" ITREALMS

Wednesday, February 24, 2010

Mobile World Congress: Africa urged to harmonize broadband options


African telecommunications regulators have been tasked to ensure the harmonization of policies to encourage frequency distribution that would boost mobile broadband and enhance the chances of benefiting from digital dividends.

A team of experts from the Global System for Mobile Association (GSMA) and Qualcomm Corporation were united in making this call as they took time one after another, reiterating the need for the African continent to put its house in order to optimally take advantage of mobile broadband craze.

Speaking at a session for African regulators on ‘The Digital Dividend: How to Deliver Broadband for All’ at the 2010 edition of the Mobile World Congress (MWC), which ended last weekend in Barcelona, Spain, they enjoined African regulators to join forces to boost broadband diffusion.

Unarguably, they expressed no doubt that the future of mobile communications is broadband, which is anticipated to stimulate economic development across the world and developing countries in particular, most of which are in Africa.

Leading the team was the chairperson of the Spectrum Management Group at GSMA, Mrs. Elizabeth Cassin, who noted that mobile technology has revolutionized the lives of millions of people in Africa and will continue to be the primary means for Information and Communication Technology (ICT) access including access for voice, data and internet-based services.

She was optimistic that mobile broadband has the potential to enhance access to health care and education, thereby creating new business opportunities, thus contributing towards the eradication of extreme poverty.

Cassin noted that though Africa is bigger than the United States, India, Argentina, and Western Europe in landscape, most of the technologies come from this part of the world to Africa.

Contributing, Director, Spectrum Regulation at GSMA, Mr. Roberto Ercole, said that Africa as at today needs broadband for mobile market sustainability, because for him, “mobile broadband is about empowerment.”

Mobile, he said, is the primary the primary means of delivering broadband and Africa needs to implement policies to boost broadband presence on the continent.

He cited an instance with the UHF spectrum, saying that it goes further than core third generation (3G) spectrum and 2 Gega Hertz (GHz), pointing out that by doubling the range through UHF entails involvement of fewer base stations by 75 per cent.

According to him, UHF offers an attractive option to boost mobile broadband coverage in the rural areas in an economically efficient way, emphasizing that the business value of opportunities would vary from market to market with the broadband boom.

The anticipated boom, she said, would drive its end-results from two main aspects, namely the policies of the state on ICT sector and availability of compatible equipment in addition to deployment.

For the Senior Director, Regulations at Qualcomm Corporation, Mrs. Elizabeth Migwali, the only way forward is for the harmonization of unused frequencies, especially nowadays of digital migration, which has forced most operators of broadcasting stations to migrate to digital equipment from hitherto analogue systems.

This, she said, would reduce cost of devices and improved socio-economic well being of the populace, which includes the delivery of quality Television programme and broadband utilities through optimization of redundant UHF frequencies.

Government of Africa, she noted, embraced technology, thus given rise to the kind of evolution currently being witnessed on the continent.

“Government took approach to embrace technology to connect people of Africa,” she declared, stressing that the environment being created by African countries has evolved that all regulators should be in the position to deliver on mobile broadband for all the citizens.

Although Africa needs a wider bandwidth to drive broadband deliverables, this does not mean it has to turn its back on voice, assuring that Qualcomm, for instance is uniquely positioned to help using multimode.

Africa, Migwali said, needs to avoid fragmentation, when eventually we switch off analogue completely as expected in 2012, adding that this could be cushioned by starting now to deliberate on ways forward, especially on how to optimize the unused frequencies earlier issued for organizations using analogue deployment.

“We should assess the actual spectrum needs for Digital Television (DTV) below 790 Mega Hertz (MHz),” she said.

Migwali underscored the fact that it takes determination to appropriately cut off the analogue system when the time comes, but African regulators, must bear in mind to harmonize from one end of the region to another.

“We need to engage in regional discussions,” she declared, stressing that Africa must start discussion on how to use the digital dividend based on UHF redeployment.

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Adenuga bags corporate leadership award

The chairman of Globacom Limited, Dr. Mike Adenuga Jr. on Sunday bagged the corporate leadership award in Abuja .

The honour came at the “Thisday Nigeria at 50 Awards”, which attracted world leaders including former United States President, Mr. George Bush, former British Prime Minister, Tony Blair, former Ghanaian President, John Kuffour and former US Secretary of State, Dr. Condoleeza Rice.

The renowned business mogul was honoured in the Business Leaders, Entrepreneurs and Corporate Champions category in recognition of the indelible mark he has left in the nation’s telecommunications industry with his company, Globacom.

A citation read before calling on Dr. Adenuga to receive the award, the Thisday publisher and chairman, Editorial Board, Chief Nduka Obaigbena said the extraordinaire businessman had built Globacom into Nigeria’s first truly
international company.

The immediate past President of Ghana, Mr. John Kuffour, presented the award to Dr. Adenuga through Globacom’s Head of Public Relations, Bode Opeseitan.

Thisday had in an earlier publication on the award, explained that Dr. Adenuga truly merited the honour because of his vision, foresight and entrepreneurial skills, which built Globacom into a remarkable entity that operates in several countries including Nigeria, Republic of Benin, Ghana and Cote d’Ivoire and employing thousands of people worldwide.

“In a period of just over six years, Adenuga’s Glo has connected an estimated 25 million subscribers and is reputed to be one of the fastest growing multinational carriers in the world”, the newspaper said. 

Other considerations mentioned include Glo’s uniqueness as the first indigenously owned telecommunication company, its introduction of per second billing when others considered this impossible; and its historic landing of Glo 1 submarine cable which connects Europe and the US to Nigeria and other African countries.

The cable has the capacity to decrease telephony costs and provide excess bandwidth to all countries that are connected to it. Other awards with which Adenuga has been honoured recently include the Silverbird Man of the Year, the Daily Independent Man of the Year and the Compass Man of the Year Awards.

He was also recognised by City People and Ovation International magazine as the Most Outstanding Personality of the Year 2009.

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Anadigics introduces power amplifier

New Jersey-based leading provider of semiconductor solutions in wireless and wireline communications markets, Anadigics Incorporated, has introduced a new, feature-rich power amplifier (PA), the AWT6283R.

This, the company said, was designed to significantly boost the performance and efficiency of WiMAX transceivers.

Ms Charlotte Chiang of Anadigics corporate communication office, told ITRealms Online at the just concluded Mobile World Congress in Barcelona, Spain that the AWT6283R is the industry’s first PA to deliver high linear output power, exceptional efficiency, and consistent RF performance over the full 3.3 to 3.8 GHz WiMAX frequency band.

Ideally for mobile applications, she said, the AWT6283R includes a step attenuator, a power detector and a reference voltage regulator in a small, easy-to-use package which simplifies design and saves board space.

According to her, WiMAX market has continued to gain momentum, with mobile devices all but displacing fixed-point equipment in new deployments.

“Commercial WiMAX networks, trial networks, and networks in development are increasing monthly,” she said.

Equally, she cited In-Stat, which stated that new devices drive the market, with USB dongles and mobile PCs embedding WiMAX capability available today, and WiMAX-enabled cellular handsets just around the corner.

Joe Cozzarelli, director, Broadband RF Product Line for Anadigics, was quoted as saying that with the introduction of the AWT6283R, the firm is expanding its product portfolio in the fast-growing WiMAX space to deliver the most efficient, high-performance components that ultimately improve the end-user experience.

“The AWT6283R complements our existing line of WiMAX devices and offers the linearity, reliability, temperature stability and ruggedness that our customers demand,” he said.

He explained that the firm is a leading supplier of WiMAX power amplifiers, having entered the market early to enable leaders like Intel who saw the potential of WiMAX.

The AWT6283R, he further said, is optimized for operation over a 500 MHz bandwidth, ensuring exceptional linearity and efficiency, and consistent RF performance, across the entire 3.5 GHz WiMAX frequency band.

“Today the WiMAX Forum currently tracks 523 WiMAX deployments in 147 countries, compared to 408 deployments at the end of 2008,” he disclosed.

Brazil, he noted, currently has potential as one of the world’s most dynamic WiMAX markets, according to Infonetics, whereas the number of WiMAX subscribers is forecast to skyrocket from 184,000 in 2008 to almost 8 million in 2013.

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USPF, CTO to train 10m Nigerians, warn against vandalisation

THE Universal Service Provision Fund (USPF) Nigeria and the Commonwealth Telecommunication Organisation (CTO) said they have concluded plans to train no fewer than 10 million Nigerians on Information and Communication Technology for Development (ICT4D) scheme, reports CHARLES OKOH.

The training programme is to hold over the next 12 months.

Representatives of the two organizations made these known at a two-day stakeholders’ forum which held in Ibadan, Oyo State capital, last week.

Director, CTO, Mr. Bashir Patel and board members of USPF present at the forum jointly agreed to set a target of training 10 million Nigerians nationwide under the USPF access for all project.

Mr. Patel said ten million people nationwide is the target that USPF has set for itself for training within a 12 months period and that the training would include youths, children and people from all walks of life.

“You have set a very ambitious project of training 10 million people and I pray to God that collectively we will deliver those 10 million trained people within the shortest possible time and that is a great ambition. When we say 10 million people they could be children, youths, adults from all walks of life so we must make sure that that is a target we will sincerely achieve,” he said.

He also said the proposal of one Community Communication Centre (CCC) per local government area is a recommendation that USPF has decided to take up, but would require feasible proposal on counterpart contributions to make them sustainable.

“One thing I would like to see in Nigeria, is that every child has the same level of education like the child in Europe or America. The federal and state governments as well as private sector companies should not deny us that right and it’s your right to demand it from them,” Mr. Patel said.

He also said the road ahead to achieving this target is a difficult one but was pleased with the level of participation of the people from the South West geopolitical zone.

Mr. Patel lamented that Africa has less than one per cent of access to ICT while America has over 50 per cent, advising that the only way to catching up with the rest of the world is to reach the rural areas.

Also speaking on some of the achievements of the forum, the founder of Growing Businesses Foundation (GBF) Dr. (Mrs) Ndidi Edozien, said the forum has commitment by the board of USPF on training workshop and that it will not just be training but also exploring potential projects and partnership opportunities.

She the project would succeed at moving forward given the level of participation shown at the forum.

She revealed that the board has accepted to provide opportunity for all participants to own a laptop.

She also said there was a general consensus by participants on the need to use ICT to build market linkages and that USPF would look into it.

Dr. Edozien called on communities with connectivity problem to share such information.

Speaking also the Managing Director, GBF, Emeka Orjih said to concretize what has been spoken about during the forum the delegates should begin to put structure to their aspiration

Meanwhile, the Secretary, USPF, Mr. Funso Fayomi, has condemned the vandalisation and careless handling of some of the facilities provided by USPF in various schools across the nation.

Mr. Fayomi who was speaking at the forum said in some cases over 100 computers were stolen while in some other schools these materials were either set ablaze or poorly handled by the students.

He said to sustain the projects in secondary and tertiary institutions USPF is developing models to share the facilities with surrounding communities and generating additional resources for periodic maintenance and upgrading of the infrastructure.

Fayomi said that USPF will continue to use the creativity and entrepreneurship of Nigerians to make information and communications technologies (ICTs) an engine for economic and social development as well as to bring the immense benefit of ICTs to Nigerians through e-education, e-commerce, e-government, e-health, e-security, e-socials among others.

He also called on stakeholders to collaborate with USPF to extend ICT infrastructure and services to underserved and unserved areas and communities.

“The USPF has opportunities for such collaboration and there are many locations that may not benefit without support from all stakeholders,” he said.

The USPF, he said, is creating a joint education and enlightenment programme and campaign for technology adoption not only in schools but in everyday living,

According to him, this campaign would dwell on the benefits of the infrastructure and services as well as the need for communities to protect the infrastructure.

Fayomi explained that to be eligible for USPF financing all proposals must meet criteria that are consistent with USPF principles and presented in standard format and such projects must be located in unserved or underserved community.

He also to meet the quest of the World Summit on Information Society (WSIS) on access for all, the USPF has initiated projects for the country.

According to him, some of these projects are School Access Programme (SAP), Community Communication Centres (CCC), Accelerated Mobile Phone Expansion (AMPE) projects, BTS and collocation infrastructure projects.

Fayomi said the USPF has put in place a five year strategic plan (2007-2011) which gives policy direction for projects to be implemented within the five year period.

The Universal Service Fund is a global phenomenon with 50 countries as signatory to an International Telecommunication Union (ITU) agreement to set aside funds to provide access to technology to the citizenry of their country, while the USPF is the organ of the Nigerian government saddled with the responsibility of achieving the mandate under the supervision of the Nigeria Communications Commission (NCC).

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NCC reaffirms support for Digital Sense forum ‘10

The Nigerian Communications Commission (NCC) has reaffirmed support for the Nigeria Digital Sense Forum following the Commission’s endorsement of the 2010 edition.

The Nigeria Digital Sense Forum is an annual public engagement and enlightenment forum of Digital Sense Africa (DSA), an initiative of Remnek Kommunications Ventures in affiliation with some continental media.

Announcing this development in Lagos, the Executive Director, Operations for Digital Sense Africa, Mrs. Nkemdilim Nweke, said the news of the support by NCC came in good time and would encourage the organization and intending corporate participation.

She said that the news was broken by the Assistant Director, Public Relations at NCC, Mr. Reuben Muoka.

According to her, Muoka while announcing the news said the support was premised on the success of the 2009 edition, which turned out interesting issues relevant to the country and the Internet community precisely.

She commended NCC for steering the country aright through people oriented policies and looks forward to active participation of the Commission in the 2010 edition.

Mrs. Nweke recalled that her office had explained that the 2010 edition of the forum will hold in second quarter of this year, precisely Friday, April 16 at the Golden Gate Ikoyi-Lagos.

The DSA boss noted that the timing of the forum follows the need to sell Nigeria’s position to the West African countries, stressing that it would enable the country to articulate her position properly before the regional Internet Governance Forum (IGF).

As said by her, other West African countries, must be carried along in the nation’s bid to ensure that her own interest is well represented in the global session of the Internet Governance Forum.

The global IGF for this year, she pointed out, is coming much earlier than that of last year, thus, the choice to hold the Nigeria Digital Sense forum in April.

Additionally, Mrs. Nweke said that this year’s theme of the forum would be on ‘Five Years of IGF, the Way Forward for Nigeria.’

She emphasized that following the success of 2009 edition, it befitting to make certain the 2010 edition takes place in good time in order to ensure that those stakeholders planning to be at this year’s Internet Governance Forum, would have most of the subject that needed trashing at heart.

Equally, she said, plans have been advanced to ensure that this edition improves on the intentions of stakeholders ahead of last year’s records.

Nigeria Digital Sense forum, she said, avails stakeholders the needed platform to articulate a stand on Internet Governance and accurately align the nation’s position into the global Internet Governance Forum holding in Vilnius, Lithuania between September 14 and 17, 2010.

The forum, she said, was initiated as part of efforts at always stimulating outlook and enlightenment on Nigeria’s position on the global annual Internet Governance Forum, which is in its fifth year.

She called to mind the fact that 2009 edition was presided over by chairman of the pioneer Internet Service Provider, Linkserve Group, Chief Chima Apugo Onyekwere with the participation of the Federal Minister of Information and Communications, Prof. Mrs. Dora Akunyili and Executive Vice Chairman (EVC) of the Nigerian Communications Commission (NCC), Dr. Ernest Ndukwe, who were both adequately represented at the forum.

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Glo subscribers connect Facebook

Globacom has introduced a new Value Added Service (VAS) tagged GloConnect which allows subscribers on the Glo Mobile network to connect directly with the popular social networking site, Facebook.

Head, Value Added Service (VAS), Globacom, Mr. Samson Isa said that the service which comes without longing on.

He explained that the service gives Glo subscribers a seamless connection to their Facebook accounts via Short Message Service (SMS) and Multi-Media Service (MMS).

The new service, he said, is targeted at youths and young adults who are fond of the social network site, Facebook, and are desirous of seeking new ways of keeping up their relationships anytime of the day from their phone without having to log on to the web.

According to him, Facebook has become the fastest growing online social networking community globally with more than 300 million users.

“A sizable number of Nigerians have found Facebook a good platform to re-unite and network with friends and associates,” he observed. 

Mr. Isa also said the new service has been developed with the youth in mind.

“For the first time in Nigeria, a GSM network operator is introducing free interaction with ‘Facebook’, the most popular online social networking community in the world,” he said, stressing that it is an opportunity for millions of Glo subscribers to continue interaction with their friends at another level.

“This service will empower Glo subscribers to access the interactive features of Facebook via SMS & MMS on the Glo network. The main purpose of this initiative is to ease the social networking drive of our subscribers through the innovative application of Multimedia Messaging service to deliver this novel service on the Glo network,” Isa said.

He equally said that the new service allows subscribers to update their status on Facebook, post on their message walls, search for friends and receive comments via sms, thus eliminating the need to log on to the internet to keep up with Facebook profile.

“What we have done is to create excitement for our subscribers and introduce fun into the lifestyle of our youths”, Isa said, pointing out that Globacom is always ahead in introducing innovative ideas that enable its subscribers rule their world.

He explained that what an interested subscriber needs to do is to visit www.gloworld.com and click on the GloConnect icon on the homepage.

“This will take the user to a special Glo branded Facebook page where they can register for the GloConnect service in two easy steps and it is ready to use.
Interested Glo subscribers can send an sms with the message, ‘Help’ to 3223 (FACE) free of charge on the mobile phone to get a set of guidelines on how to use the service,” he said.

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Visafone in Maiduguri, rewards commercial operators

Visafone Communications has given reasons why it rolled out in Maiduguri, capital of Borno State, just as it rewarded commercial telephone operators (CTO).

The roll out, the Code Division Multiple Access (CDMA) operator, said, is in furtherance of its commitment to increase access to world-class telecommunication services at customer friendly tariffs, to customers across different states and cities.

Also, the telecoms operator said it entered the historic town with exciting and affordable packages tailored to meet the communication needs of the residents and further facilitate their contacts with friends and loved ones.

Deputy General Manager (DGM) and Head, Marketing and Strategy, Visafone, Mr. Clifford Onyeike said, that residents of Maiduguri and environs would have the opportunity to enjoy several packages from the company’s bouquet.

These, he said, include Visa Internet, for fast and reliable access to the internet; VisaChill, a product which enables subscribers to make free mid-night calls; Visa Profit, designed for increased business returns; and Visa Call Hunting, a re-definition in customer care designed for both small and large organisations.

He explained that subscribers in Maiduguri have the option to choose from a rich array of low, mid and high-end mobile phones to meet their personal and business needs.

Besides, he said, they would enjoy supplementary and value added services such as ‘Share Ur Visa’, Caller Ring Back Tone, Voice SMS, Visa Chat, etc

Details of how to enjoy any of these packages could be obtained by visiting any of the dealer service shops, or by calling the call centre on 333.

“It is instructive to note that the network offers the lowest local and international call rates with calls to the USA, Canada and the UK (fixed) at 12.00/min and calls to India and China at the competitive rate of 17/min,” he said.

Visafone, which started commercial operation in February, 2008, is Nigeria’s 4th largest mobile operator by active subscriber base, presently covers 23 states and over 171 cities across the country.

In a related development, Commercial Telephone Operators (CTOs) on the Visafone network are now set for greater business returns as Visafone unveiled a new initiative tagged “Visa Profit Mega Returns.”

This, he said, would avail such subscribers on the Visa Profit package to stand the chance of winning several prizes.

The prizes which include motorcycles, refrigerators, home theatres, generators, air conditioners, televisions, Nokia handsets, solar chargers and free airtime, is a plan to reward subscribers who use up to 3000 and more airtime monthly. For every additional 1000 usage, the subscriber stands an extra chance of qualifying for a prize.

“Visa Profit Mega Returns” reiterate the company’s commitment to promoting profitable business for these commercial phone operators and by extension, encourage more Nigerians to embrace self employment.

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NCC sets new date for SIM registration

The Nigerian Communications Commission (NCC) has shifted the date for the registration of Subscriber Identification Module (SIM) cards in the country to May 1, from its initial date of March 1, 2010.

Giving consent to this development, Head, Media & Public Relations, Mr. Reuben Muoka, said that the March 1, date was deferred due the Commissions discovery that a good number of SIM cards were pushed to the market with instant activation features.

“NCC wishes to inform all telecom service providers and consumers of telecom services that the deadline for the commencement of registration of all new SIM Card users in Nigeria, earlier scheduled for March 1, 2010, has been deferred to May 1, 2010,” he said.

As said by him, the deferment became imminent following the finding that large amount of SIM cards with instant activation features, were already distributed by the service providers before the earlier announcement, stressing that this could not have been cleared out before March 1, 2010.Muoka also explained that the window period from March 1, 2010 to May 1, 2010, has been given to the operating companies to clear the backlog of SIM cards currently in the market to allow for seamless registration of all new SIM cards from the new date.

He pointed out that NCC has directed all telecom operating companies to put all necessary arrangements in place to ensure that all new SIM cards are registered before they are activated with effect from May 1, 2010.

“The extended period will also give the service providers the extra time to finalize the installation of all necessary facilities for the registration,” he said. Muoka explained that the registration process would include the capture of the photograph and biometrics of the subscriber.

In the case of existing SIM card holders, necessary processes and procedures are currently being put in place to guarantee a smooth registration exercise. The general public and all relevant stakeholders will be notified in due course about the timing and how to proceed.NCC is the independent national regulatory authority for the telecommunications industry in the country, responsible for creating an enabling environment for competition among operators in the industry as well as ensuring the provision of qualitative and efficient telecommunications services throughout the country.

NCC said its mission is to support a market driven telecommunications industry and promote universal access.

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Brymedia, TNZI in technical deal

One of the ‘reserved bidders’ in the just concluded sale of the first national carrier, the Nigerian Telecommunications Plc (NITEL) group, Brymedia Consortium has affirmed that it met all the requirements in the bidding process, just as it confirmed the technical deal with Telecom New Zealand International (TNZI).

Confirming this to ITRealms Online, the chief executive of Brymedia West Africa Limited, Mr. Adrian Wood, said his firm submitted its bid for all of the NITEL and MTel assets on Friday, February 5, 2010.

This submission, he said, was in full compliance with the Request For Proposal (RFP)
issued by the Nigeria’s Bureau of Public Enterprises on September 24, 2009 and is supported by seven local investors and reputed telecom giant, TNZ.

“The consortium is supported by seven Nigerian investor groups, and is pleased to disclose that Telecom New Zealand International did indeed agree and are still in agreement to participate as the Consortium’s international technical partner, as required by the terms of the RFP,” he declared.

According to him, the TNZI letter submitted with the Brymedia Bid documentation is a confirmation that the deal has been sealed between the two firms for the success of the partnership.

TNZI, he noted is the national operator in New Zealand, and is an enterprise with wide experience, millions of customers and significant assets in its worldwide operations.

“In their home market they have operations in fixed line, Global System for Mobile communications (GSM), Code Division Multiple Access (CDMA), Third Generation (3G), wireless broadband, Asymmetric Digital Subscriber Line (ADSL) broadband, Optic Fibre Cable (OFC) transmission, microwave and satellite transmission, broadcast, pay TV, and managed services.

“They were one of the very first national operators to be privatized and were the first ever foreign operator to be granted an international gateway license in the United States of America (USA) in the early 80s,” he said.

Additionally, Mr. Wood said TNZI carries two per cent of the world’s international long distance telephone traffic and own 50 per cent of the trans-Pacific Southern Cross undersea OFC as well as the largest portfolio of cable assets in Eastern Europe and Middle East with major voice and Internet Protocol (IP) gateways in numerous countries around the world, even as the telecom operator is financially solid, and listed on the New York (NY) Stock Exchange.

ITRealms Online recalled that Brymedia Consortium had the third highest bid in the BPE’s process for the NITEL privatization.

“We wish to congratulate BPE and its advisors BNP Paribas for completing a long and difficult, stewardship of the technical and financial bids for NITEL and MTel,” he submitted.

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Reps laud BPE on sale of NITEL

Federal lawmakers Monday applauded the Bureau of Public Enterprises for its recent sale of Nigerian Telecommunications Limited (NITEL) and Mobile Telecommunications (Mtel) to New Generation Consortium Limited, reported ABIODUN ADELAJA &
ADEKUNLE ADESUJI.

Chairman, House Committee on Privatization and Commercialization, Hon. Abbas Braimah made this known in a press statement issued in Abuja, they canvassed that despite the controversies over the sale of NITEL, New Generation Consortium should be allowed to choose another technical partner.

The committee expressed satisfaction with the process of the biding which was won by New Generation Communications Ltd led by Nigerian GiCell, for $2.5 billion.

They said the bidding was done in a process that was “transparent and in line with the guidelines for the selection of core investor.”

This is coming on the heels of allegation by the bid winner’s technical partner, China Unicom (Hong Kong) limited that it was not involved in the $2.5 billion bid for NITEL/Mtel.

At the presentation of the core investors sale process and profile of bidders by the Chairman Technical Committee of the National Council on Privatisation (NCP), Dr. Mohammed Hayatu-Deen at the Financial Bids Opening of NITEL on February 16 , the New Generation Consortium included GiCell Wireless Limited, China Unicom (Hong Kong) Limited and Minerva Group.

According to the Committee in the press statement\ signed by a member of the Committee Hon. Segun Akinloye on behalf of acting Chairman of the committee, he noted that unlike the three previous failed attempts at privatizing NITEL/Mtel, the BPE in the recent bid introduced a more stringent requirement of posting a 30 per cent bond of the anticipated bid offered by each potential core investor.

It explained further, “This requirement was met by the bidders and this condition was introduced to fend off unserious bidders who if they won the bid would be unable to pay the final bid price as we have experienced in several other Financial Bid openings.

“The committee is pleased with the outcome of the financial bid opening which produced $2.5 billion and $945 million respectively as offers from the designated Preferred and Reserved Bidders pending NCP’s approval.”

The Committee also said the bid winner, New Generation Communications should be allowed to choose another technical partner in line with the privatization guidelines so that the current sale will not be scuttled.

It could be recalled that the bid to sell the NITEL/Mtel in the past ran into turbulent waters as the National Council on Privatisation (NCP) at an emergency meeting on June 1, 2009 approved the revocation of the sale of NITEL/Mtel to Transnational Corporation of Nigeria PLC (TRANSCORP) for its inability to transform the company.

Other reasons for the revocation were the non-injection of funds into NITEL/Mtel, failure to adhere to the terms of the Share Sales Purchase Agreement (SSPA), and the inability to meet its obligation to pay staff salaries.

The statement said if China Unicom decided to pull out of the consortium, New Generation should be given the opportunity to replace them to move the process forward after payment of the bid price as approved by the NCP,” the statement added.

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