NCC AND IT'S 2.3GHZ SCHEME

After more than two months of controversy, President Umaru Musa Yar�Adua has ordered the Nigerian Communications Commission (NCC) to conduct a fresh licensing round for the 2.3GHz band.
When concluded, the new process will nullify the round conducted in May 2009.
A statement signed by the Special Adviser to the President on Media and Publicity, Mr Olusegun Adeniyi, explained that the latest step was being taken after the President reviewed official reports and representations from stakeholders.
Yar�Adua was said to have availed himself of competent advice on the licensing of the 2.3 GHz Spectrum Band. Consequently, he concluded that the stipulated rules and guidelines were not adequately complied with.
�In furtherance of the Federal Government�s desire to assure all prospective investors of its commitment to the observance of due process and a level playing field, President Yar�Adua today directed that the Nigerian Communications Commission (NCC) should initiate a fresh process for the award of the 2.3 GHz spectrum band licences,� said the presidential adviser.
He further disclosed that the President had asked the NCC to ensure that the fresh process is perceived by all stakeholders to be open and transparent. It should also meet the necessary requirements including due process and fair play, insisted Yar�Adua.
The President has by this statement resolved the stalemate that occurred after the conclusion of the process for the past two months.
The 2.3GHz licensing round which was concluded on May 8 had led to a stalemate, being a fallout of a controversy between the Ministry of Infor-mation and Communications and the NCC.
Minister of Information and Communication, Prof. Dora Akunyili, had said that the process was anything but free and fair. The NCC defended itself, saying it was transparent and asked for the licensing round to be upheld.
Akunyili accused the commission of giving companies little time (five days) to raise N1.3 billion, the cost of each licence.
NCC on the other hand stated that the process was based on a first-pay, first-served basis. The first four companies that paid the fixed price of N1,368,000,000 was to be issued the licences, the commission explained.
Akunyili also alleged that NCC did not have the authority to conduct the exercise because the National Frequency Management Council (NFMC) had not released the spectrum for sale.
Responding to the accusation, the commission stated that the former Minister, John Odey, had given it the permission to launch into the licensing round.
The Minister was said to have petitioned the Economic and Financial Crimes Commission (EFCC). The anti-corruption body thereafter questioned the Executive Vice-Chairman of the NCC, Mr. Ernest Ndukwe.
Unsatisfied, Akunyili called for its cancellation on grounds of lack of transparency. She proceeded to demand a fresh process.
The minister further directed that some N4.104 billion already collected be refunded to the three winners announced by the NCC and asked that licence be re-advertised.
However, the Attorney-General of the Federation and Minister of Justice, Michael Kaase Aondoakaa, who was mandated by the President to examine the issues of the spectrum, informed the President that although the Minister had directed NCC on the 8th of May to halt the process, available documentation showed that the commission was in compliance with extant laws and regulations.
He claimed that the process was transparent and therefore called for the sanctity of contracts and protection of investor confidence by sustaining the concluded process. A cancellation, he stressed, would reduce investor confidence, cast doubt on the investment climate in the country and leave government open to liability.
Following the sale of the spectrum by NCC, three winners made up of Multilinks, Mobitel Nigeria Ltd and Spectranet Ltd had been announced. The fourth company that would have been awarded the licence, Galaxy Wireless Ltd, was not awarded a licence because it did not meet the conditions by failing to pay the full price.
The spectrum slots of 20 MHz each in the 2.3 GHz band, is meant to enable the development of broadband telecommunications service delivery in the country.
It is a worldwide Interope-rability for Microwave Access WiMAX, based spectrum that enables wireless access for data and internet services. It also enables wireless transmission of data using a variety of transmission modes, from point-to-multipoint links to portable and fully mobile internet access.