The Federal High Court in Lagos on Monday established a clear distinction regarding the regulatory powers of the Federal Competition and Consumer Protection Commission (FCCPC) within the airtime and data credit sector. The court ruled that while the Commission holds the authority to oversee market conduct, it lacks the power to issue operating licences.
In his judgment for Suit No. FHC/L/CS/760/2026, Justice Ambrose Lewis-Allagoa stated that sections 104, 105, 106, and 163 of the Federal Competition and Consumer Protection Act 2018 authorise the FCCPC to investigate anti-competitive behaviour, protect consumers, and issue relevant regulations. However, the court clarified that the FCCPC is not empowered to grant licences, noting that the DEON Consumer Lending Regulations 2025 do not create a telecommunications licensing regime. Consequently, the Nigerian Communications Commission (NCC) remains the sole authority for licensing telecommunications entities.
Impact on recent regulatory approvals
This ruling carries immediate practical implications. In April 2026, the FCCPC authorised five companies—Total Tim Nigeria Limited, Rane Interactive Medien CLS Limited, Mode NG Applications Limited, Cloud Interactive Associate Limited, and Coverage Broadband Limited—to operate as airtime and data credit providers under the DEON framework. The court’s decision now casts doubt on the regulatory legitimacy of these approvals. Related News Association seeks clarity on DEON rules as regulatory debate enters new phase How regulatory clash over airtime credit could hamper investment appeal Respite for millions of Nigerian subscribers as MTN restores airtime lending
