Business
Telcos reject 5% excise duty proposal, to meet Bosun Tijani to stop implementation
The Association of Telecommunication Companies of Nigeria (ATCON) have rejected plans to reintroduce a 5 percent excise duty on the telecommunications industry.
According to an executive bill, titled ‘Nigeria Tax Bill 2024,’ the national assembly is seeking the reintroduction of a 5 percent excise duty on telecommunications services, gaming, betting, and lottery activities.
The proposed bill comes more than one year after President Bola Tinubu, signed an executive order suspending the 5 percent excise tax on telecommunication services.
Tony Emoekpere, president of ATCON, said the association is against the plan to reintroduce the excise duty.
According to Emoekpere, it would be unfair for the government to impose an excise duty when telecommunication companies are striving to sustain operations.
“We’ve been complaining already about the fact that the tariffs we are being charged have not increased for the last 10 years and the industry is actually groaning under the lack of revenue,” he said.
“To add this to the already existing situation is like a blow that might totally sink the sector.”
In 2023, new fiscal policy measures (FPMs) — approved by President Muhammadu Buhari — included supplementary protection measures (SPM), revised excise duty rates, and green taxes.
The FPMs also impose a 5 percent excise duty on mobile telephone services (GSM), fixed telephone, and internet services — postpaid and prepaid.
But, Isa Pantami, former minister of communications and digital economy had insisted that the sector remain exempted from the tax — citing a previous presidential approval for the exemption.
Emoekpere said the association thought since the sector was earlier exempted not just by the former minister but also by the current president, it had been a foregone issue.
TELCOS TO MEET MINISTER OF COMMUNICATIONS
The ATCON president said plans are underway to meet Bosun Tijani, minister of communications, innovation and digital economy, to prevent the implementation of the excise duty.
“We will be reaching out to the ministry to see what efforts they can make to discourage this attempt because it was actually attempted before by the former minister but we got word that it was stepped down so we’re surprised that they’re coming up again at this time,” Emoekpere said.
“We will be exploring all avenues to find out why it’s coming up again despite all the efforts of the former minister and why it is still arising.”
‘PROVIDE TAX BREAKS, INCENTIVES FOR TELECOMS SECTOR’
Emoekpere also called on the federal government to look into improving the sector as it is a major source of revenue and boost to the economy.
“What the government should be considering, is what are the primary causes of high costs of operations to the telecom sector and ways to ameliorate them,” he said.
“One of the biggest challenges is that fact that a bulk of the communication sites are dependent on diesel and this diesel costs, especially now that the foreign exchange market has been fully liberalised.
“So whenever FX changes, they also affect your cost of purchasing diesel and other petroleum products. This is a big challenge to the industry.
“So if they (the government) say we are not increasing the tariff, what are the measures they are giving in terms of tax breaks or tax incentives, are there ways whereby we can encourage more local production of some of the inputs into the sector?
“These are things the government should be looking at not adding additional excise duty tax on a sector that’s already really pushing forward.
“We don’t want to get to a situation whereby people are not able to communicate at all.”
Furthermore, he said the increase in tariff or excise duty does not affect the sustainability of the sector, adding that they are indirect taxes that go to the government.
Emoekpere said what telcos need at the moment is revenue to meet their operational needs, overcome losses and improve their services.
Telecommunications companies have been clamouring for an upward tariff review to make the sector attractive to investors.
On April 25, telcos said their services were overdue for price increments as they have not raised rates in the last 11 years.
Business
Allegation of missing fund untrue, says Access Bank
Access Bank Limited has dismissed as untrue allegations of missing fund and unethical behaviour.
The Bank in a statement said: “Our attention has been drawn to a video on social media wherein allegations of missing funds and unethical behaviour have been made against Access Bank PLC.
“First and foremost, we wish to emphasise that the safety and security of our customers’ funds are core priorities which we take seriously. Second, Access Bank Plc does not engage in or condone any unethical behaviour.
“In the instant case, the allegations of missing funds in the Bank are most untrue and baseless.
“There is no N500million or any other fund or amount missing from the subject customer’s account or from any other customer’s account with us.
“We and other independent stakeholders in the banking industry have thoroughly investigated these allegations and independently arrived at the same conclusions.
“Access Bank PLC operates with the highest ethical standards, and we protect our customers’ interests whilst also respecting privacy laws.
“Consequently, whilst we have engaged and will continue to engage with our customers, we must advise the public not to rely on or believe sensational and unverified claims that are designed to titillate and mislead the public.
“We remain committed to serving our customers.”
Business
31 electricity towers affected as vandals destroy transmission lines in Edo communities
The Transmission Company of Nigeria (TCN) says vandals in Benin, Edo state, have destroyed 31 transmission towers.
In a statement on Friday, Ndidi Mbah, TCN’s director of public affairs, confirmed that vandals attacked transmission towers in Okada and Ofosu communities along the 330kV Benin-Egbin and Benin-Omotosho transmission lines.
Mbah said the vandalised towers, which suffered significant damage with critical components removed earlier in November, were discovered by TCN linesmen during a routine patrol.
“A total of 31 towers were affected in this incident,” she said.
“TCN engineers from the Benin Sub-Region have initiated repairs to prevent the collapse of the affected towers and to avoid disruption of bulk power supply.”
‘AHOADA-YENAGOA LINE UNDER REPAIR TARGETED BY VANDALS’
Mbah also said its Ahoada-Yenagoa 132kV line, which was under repair following a previous attack, was once again targeted by vandals.
The TCN spokesperson confirmed that the attack, which occurred on November 19, affected towers 29 to 31 and resulted in the theft of approximately one-third of the conductor.
On August 14, TCN announced that Bayelsa state would face a prolonged power outage following the destruction of 13 transmission towers along the Ahoada-Yenagoa 132kV double circuit transmission line by vandals.
The transmission company, on October 29, reported that 65 percent of the damaged transmission towers had been repaired.
The company said 17 transmission towers had been successfully erected, with work continuing on the remaining three.
“A team of TCN engineers, led by Engr. Emmanuel Akpa, General Manager of the Port Harcourt Region, has conducted an inspection of the site,” the statement reads.
“Preliminary findings indicate that the incident occurred at night. In an attempt to prevent further theft while repair arrangements are being made, local security has been engaged at Ula Ikata in Ahoada East LGA to secure the site until repairs are completed.
“Additionally, the line will be energized from the Ahoada end as a preventive measure.”
Mbah added that efforts are underway to replace the stolen 250mm conductor.
Despite challenges posed by difficult terrain and flooding, she said the restringing of the Ahoada-Yenagoa 132kV line is approximately 85 percent complete.
The public relations officer stressed that the incidents underscore the urgent need to address the growing problem of vandalism and theft, which continue to affect Nigeria’s power infrastructure.
She urged the public to support efforts to tackle such criminal acts, which have hindered the expansion and stability of the national grid.
Mbah also called on security operatives and local communities to remain vigilant in protecting power infrastructure in their areas as TCN intensifies its efforts to safeguard its installations.
Business
NCAA issues aerodrome certification for Lagos, Abuja international airports
The Nigeria Civil Aviation Authority (NCAA) has issued Aerodrome Certification for Murtala Muhammed International Airport in Lagos and Nnamdi Azikiwe International Airport in Abuja.
This recertification is a significant achievement, highlighting the ongoing improvements in the safety standards of Nigeria’s international airports.
The announcement was conveyed via a post on the official X (formerly Twitter) account of the Federal Airports Authority of Nigeria (FAAN) on Friday.
The Aerodrome Certificates were formally presented to the Managing Director/Chief Executive of FAAN, Mrs. Olubunmi Kuku, by the Acting Director General of the NCAA, Capt. Chris Najomo.
“@NigeriaCAA just issued Aerodrome Certification for the Murtala Muhammed International Airport Lagos and the Nnamdi Azikiwe Airport Abuja. The recertification is a major boost and attestation to the continued improvements of the safety standard of our Airports,” the tweet read in part.
The certification confirms that Lagos and Abuja airports adhere to the strict safety, operational, and technical standards of the International Civil Aviation Organization (ICAO). This milestone is anticipated to enhance trust among domestic and international airlines, strengthening Nigeria’s standing in global aviation.
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