Despite the economic headwinds, Maida’s approach has focused on tackling systemic inefficiencies from within
When Aminu Maida was appointed Executive Vice Chairman of the Nigerian Communications Commission (NCC) in October 2023, he inherited a telecommunications industry grappling with the weight of economic turbulence, policy inertia, and internal resistance.
Yet, less than a year into his tenure, Maida is pushing forward with bold internal reforms that many industry stakeholders believe could reshape the future of Nigeria’s digital economy and improve outcomes for millions of Nigerians.
The Roots
For over two decades, the telecoms sector has been a key driver of Nigeria’s economic transformation—from a sluggish, state-controlled system to one of Africa’s most liberalised and dynamic markets. The 2000s, under Ernest Ndukwe’s visionary leadership, laid the groundwork for what became known as Nigeria’s Telecommunication Revolution. That momentum continued under successive NCC heads and peaked with a teledensity of over 96% by the end of 2014. But today, the sector is under pressure like never before.
A Sector in Distress
The challenges facing telecom operators are multi-layered: forex scarcity, skyrocketing diesel costs, infrastructure vandalism, multiple taxation, and an outdated legal framework. Operators report that more than 70% of telecom equipment is imported, and with the Naira’s depreciation, these costs have ballooned. Diesel—crucial to powering over 40,000 base stations across Nigeria—has risen from ₦200 per litre to as high as ₦1,200, while inflation reached 33.88% in October 2024. The result? Operational expenses have jumped by over 300%, forcing companies to raise tariffs for the first time in over a decade.
“The industry cannot survive without tariff increases,” MTN CEO Karl Toriola said, framing the recent 50% hike as a necessity for survival.
Reforms with the End User in Mind
Despite the economic headwinds, Maida’s approach has focused on tackling systemic inefficiencies from within. His reform blueprint, built on professionalism, data-driven decision-making, and cost-cutting compliance, aims to reposition the NCC as a regulator that delivers value not just to telcos but to the ordinary Nigerian.
Under his leadership, the NCC is undergoing a shake-up designed to eliminate bureaucratic stagnation, enforce compliance among service providers, and clean up internal inefficiencies. Telcos have broadly welcomed these moves, seeing in Maida a regulator ready to listen and act. However, insiders say these reforms have not gone unchallenged—staff resistance within the NCC remains a formidable hurdle, with some allegedly benefitting from the status quo.
Maida’s reforms enjoy the backing of President Bola Ahmed Tinubu, but implementation will depend on managing the balance between institutional change and ensuring that legitimate staff concerns are addressed through fair and transparent processes.
Reforming the Law, Not Just the Regulator
Central to Maida’s push is a broader legal overhaul. The Nigerian Communications Act (NCA), passed in 2003, was once a revolutionary law that liberalised the industry and empowered the NCC as an independent regulator. But 22 years later, it no longer aligns with modern digital realities.
The ongoing amendment process—led by the House of Representatives in partnership with the NCC and other stakeholders—seeks to future-proof the law by incorporating critical areas such as 5G, Artificial Intelligence, the Internet of Things, and data protection. It also aims to:
Strengthen consumer protection, ensuring better quality of service and faster resolution of complaints.
Enhance cybersecurity, harmonising with existing data and cybercrime legislation.
Promote infrastructure sharing, and reduce Right of Way (RoW) costs to improve rural coverage.
Streamline regulatory processes, eliminating overlaps between agencies like NITDA and NBC.
Incentivise investment and make Nigeria a more attractive destination for telecom capital.
Gains for the Nigerian Consumer
Maida’s reform push is ultimately about long-term benefits for the Nigerian consumer.
Short-term pain, such as the recent tariff hikes, is real—but the long-term vision promises:
Improved service quality through infrastructure investment and better regulatory compliance.
Greater rural access, thanks to infrastructure-sharing and cost-reducing policies.
More inclusive digital access, particularly for small businesses and underserved regions.
Enhanced data protection and cybersecurity, which are crucial in an increasingly digital economy.
These outcomes would not only lift the sector but also empower millions of Nigerians who rely on digital services to learn, work, trade, and communicate.
Telecoms as a Growth Engine
Despite the crisis, the telecom sector remains a bright spot in Nigeria’s economic landscape. According to the National Bureau of Statistics, the ICT sector contributed 17.68% to GDP in Q4 2024, with telecommunications accounting for 14.4%—a testament to the sector’s resilience. Industry revenue reached $7.6 billion in 2024, with an 8% compound annual growth rate projected through 2028.
If the current reform drive continues—both internally at the NCC and legislatively with the amendment of the NCA—Nigeria’s telecom sector could emerge stronger, more efficient, and more inclusive.
A Reform Battle Worth Fighting
Maida’s push for reforms is far from complete. The road is bumpy, and the resistance is real. But in the words of a senior telecom executive, “What Maida is attempting is to save the sector from internal collapse—while preparing it for the digital future.”
For ordinary Nigerians, the success of these reforms could mean the difference between spotty connections and reliable digital services, between exclusion and access. In a country increasingly reliant on connectivity, that’s a battle worth fighting.
Bonus
“Signal strength,” it turns out, is not just about bars on a phone—it’s about policy, leadership, and the will to change. Read More
