NCC clarifies, says fees on advertisement, promotions not double taxation
By Ogaga Ariemu
Nigerian Communications Commission (NCC), has said that payments on advertisments and promotions does not amount to double taxation.
The Commission said this at the closing ceremony of a three-day public inqury on draft of Telecom Regulations and Guidelines review on Thursday in Abuja.
Executive Commissioner Stakeholders Management (ECSM) NCC, Mr Adeleke Adeolu, has clarified that the new fees for advertisments and promotions are to meet current realities and protect the consumers.
Adeolu said Advertising Practitioners Council of Nigeria (APCON) and the Nigerian Lottery Commission (NLC) are regulators of advertisments and lotteries while NCC is the regulator of the telcom industry where they operate.
“I think multiple taxation is a strong word to use there. It is not in the form of a tax. These are fees for the administration of an application process whereby licencees have to apply to us.
“This is in the interest of consumers to ensure that where advertisements or promotions are being run on telecommunication platforms, they are done with responsibility, with existing laws and to ensure that the interest of consumers are protected.
“If you look at the rates for advertisements and promotions, these rates were set many years ago.
“They do not reflect the reality of todays time and what we are already doing is bringing them in lime with current trends in the country and industry.”
He, however said that the NLC had a role to play as the regulator of lottery, adding that lotteries impact on consumers because people play it with their money.
He said that NLC has granted a role in ensuring that the interest of people participating in lotteries were protected and their fees at a charge for the purpose of carrying out obligations under its act.
“The NCC on the other hand has the clear mandate to protect consumers in running advertisements on promo on telecommunications networks.
“The two acts are very clear and I do not think this amounts to multiple taxation in any way,” he said.
A representative of 9mobile, Mr Ikenna Ikoku, who spoke virtually, had earlier claimed that the payment of fees on advertisments and promos will amount to double taxation.
“We pay to APCON and lottery commission paying to NCC again will result to multiple taxation. The NCC should only charge processing fees,” he said.
Another representative of Airtel, Mr Ade Gbolahan said the commission should leave the fees at the old rate of N350,000.
“The proposed fees should be left at N350,000 as it.
“This is another fees that the industry is not pleased with. We would want the commission to suspend the increase for the time been,” he said.
A staff of IHS Nigeria Limited, Mr Damian Ude aligned with 9mobile’s submissions and asked the commission for a downward review of the 10 metres requirement for deployment of communication infrastructure in Nigeria to five metres, especially in congested areas.
The three day public enquiry was a review of five guidelines, which includes: Type Approval, Short Code Operation in Nigeria,Technical Specifications for the Deployment of Communications Infrastructure, Advertisements and Promotions, as well as Consumer Code of Practice Regulations, accordingly.
