*Dr. Aminu Maida, Executive Vice-Chairman and CEO, Nigerian Communications Commission, explains the new corporate governance guidelines are intended to advance business stability, strengthen investor confidence, and improve Quality of Service in the telecoms sector of the economy

Isola Moses | 绿帽献妻

The Nigerian Communications Commission (NCC) has shed more light on the new corporate governance guidelines prohibiting its former top officials from taking up appointments, or Board of Directors’ positions with telecoms operators until five years after leaving the Commission.

Dr. Aminu Maida, Executive Vice-Chairman and Chief Executive Officer (EVC/CEO) of NCC, said the newly-released Corporate Governance Guidelines for the Communications Industry in Nigeria are intended to promote business stability, strengthen investor confidence, and improve service quality in the telecoms sector.

绿帽献妻 reports the updated and published Corporate Governance Guidelines for the Communications Industry noted that individuals who have served as Chairman, Executive Vice-Chairman, or Board Commissioners whether in Executive or Non-Executive roles while at the Commission, are now barred from holding any positions in licensed telecoms companies for five years after leaving the Commission.

Speaking at the official presentation of the Corporate Governance codes, Dr. Maida said the Guidelines are now a strategic necessity in a sector central to Nigeria鈥檚 digital future.

The guidelines significant as the digital ecosystem is exposed to risks, such as cybersecurity threats, energy supply issues, and changing consumer demands.

The EVC/CEO further said: 鈥淐orporate governance is no longer a soft requirement. It is now a strategic imperative.”

Maida as well disclosed that an internal NCC review found a clear link between strong governance, and better performance in the telecom sector.

The NCC Chief asserted: 鈥淐ompanies with solid governance structures consistently performed better in service delivery, financial management, and regulatory compliance.”

Acknowledging that the transition in the implementation of the Guidelines may pose short-term challenges, the Commission emphasised that the long-term benefits, such as better service and increased public trust, will outweigh any initial difficulties.

Besides, the Corporate Governance Guidelines also indicated that Department Directors at NCC face a three-year cooling-off period before they could accept roles with any licensee regulated by the Commission.

The fresh Guidelines equally introduced stricter internal governance for telecoms operators in the country.

The NCC, in the Corporate Governance rules, noted that Board Chairmen and Vice-Chairmen are prohibited from exercising executive powers or serving as Managing Directors or Chief Executive Officers (MD/CEOs).

Aside from these, former Board Chairmen and Non-Executive Directors may not take up executive roles in the same company, or its affiliates until five years after leaving the Board.

Moreover, in order to minimise conflicts of interest, the new guidelines also limit the number of family members on a licensee鈥檚 Board to two.

The telecoms sector regulatory Commission stressed the policy aims to encourage transparency, accountability, and ethical conduct within the telecommunications sector, while supporting innovation and regulatory compliance.

According to NCC, the Corporate Governance Guidelines apply to all communications companies holding individual licences and paying Annual Operating Levies (AOL), as required by the AOL Regulations 2022.

The Commission noted that implementation may vary by licence category, with phased compliance plans to be communicated in writing.

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