The Nigerian Communications Commission (NCC) has finally signed a Public Private Partnership (PPP) agreement with its consultants, 3R Company Nigeria Limited, for the implementation of Revenue Assurance Solutions (RAS), which will strengthen and manage the integrity of revenue generation processes in the Nigerian telecommunications industry.
Representatives from the Infrastructure Concession Regulatory Commission were present at the agreement signing ceremony, which took place at the Commission’s headquarters in Abuja over the weekend (Friday, June 17, 2022). (ICRC). Due to the project’s scope, the ICRC has been supervising the partnership implementation process in order to put into action the decision to acquire the RAS solution through a PPP framework.
Prof. Umar Garba Danbatta, the NCC’s Executive Vice Chairman and Chief Executive Officer, signed the agreement on behalf of the Commission, while Mr. Raymond Wodi, the Chief Executive Officer of 3R Nigeria Limited, signed on behalf of his company.
Danbatta, speaking at the event, said the NCC chose RAS to support the Federal Government’s efforts to increase income production, especially as the government’s resources dwindle by the day.
The EVC noted that deploying RAS will improve monitoring and regulatory activities related to the telecommunications industry’s Annual Operating Levy (AOL) administration, as well as confer higher degrees of honesty and fidelity on the industry’s AOL numbers.
“We believe that if we can deploy RAS and ensure that we get the true picture of what the Mobile Networks Operators (MNOs) are supposed to be paying in terms of AOL, we will have achieved an important milestone in the area of revenue generation for both the Commission and the government,” Danbatta said.
The EVC praised the International Committee of the Red Cross (ICRC) for its assistance in finalizing the collaboration. He also congratulated the Commission’s Project Delivery Team (PDT), which worked diligently to ensure the project’s success, and asked the 3R Company Nigeria Limited to ensure the project’s proper deployment and implementation within its scope, aim, and the expectations of the government.
Raymond Wodi of 3R Company Nigeria Limited expressed his gratitude to the Commission for the opportunity to help the industry and the government by deploying 3R’s technological solution to enable more effective revenue generation from telecom licensees. He also informed the stakeholders that 3R is ready to complete the project on time and on budget.
Mr. Togunde Dada-Hammed, Director, Internal Audit, ICRC, speaking on behalf of Mr. Michael Ohiani, Director-General, ICRC, praised the NCC for taking the risk of deploying RAS. With the ICRC on board, he said, the process would be supported, ensuring that the project’s goals are met for the benefit of all parties concerned.
“Anyone who is familiar with global trends, particularly in Nigeria in terms of the revenue crisis that the country is facing, will recognize that deploying a RAS solution is the way to go, as proved by the NCC,” Dada-Hammed added.
Meanwhile, the EVC has praised Prof. Isa Ali Ibrahim Pantami, Minister of Communications and Digital Economy, for his involvement in proposing the NCC RAS project to the Federal Executive Council (FEC) Meeting, where it received final permission for implementation.
The RAS project is designed to be connected to the systems of licensed telecommunications operators and will be capable of capturing and reporting in near real-time billing activities by the operators for the purposes of computing and assuring the accrued AOL payable to the NCC by the licensees with minimal or no error margin. When fully operational, the NCC RAS will provide a slew of benefits to the business, including improved monitoring and control of licensed operators.
The Commission has previously engaged and fully informed MNOs, licensees in the telecoms Value Added Service chain, Commission officials, and other industry stakeholders about the Commission’s plan to deploy RAS, which will bring greater transparency and accuracy to the administration of AOL in the sector, as enshrined in the Nigerian Communications Act (NCA), 2003.
The NCC’s goal to deploy the best RAS in the Nigerian telecommunications market began in 2015, when the Commission issued an invitation to bid for firms interested in providing RAS services. The selected bidder was 3R Company Nigeria Ltd., and the Bureau of Public Procurement (BPP) had no objections to the process or the result.
Because of the project’s scope, it was determined that a public-private partnership (PPP) would be the most effective way to achieve the goal. This understanding explains why the International Committee of the Red Cross (ICRC) was asked to oversee the procedure, as required by its rules.
As a result, the Commission established a Project Delivery Team, which worked with a group of legal advisers, financial modelers, and PPP experts under the supervision of the International Committee of the Red Cross (ICRC), to ensure that all necessary steps were taken in accordance with the ICRC Regulations 2005.
The favored partner was subjected to due diligence, and the Office of the National Security Adviser gave it a clean bill of health (ONSA). The National Information Technology Development Agency certified the software and hardware components of the proposed RAS as well (NITDA).
Signed:
Director, Public Affairs Dr. Ikechukwu Adinde
2022, 19th of June
NCC and 3R Reach Agreement on Revenue Assurance Solutions
