NCC Sets ₦250,000 Fee for Interim Service Authorisation »

The Nigerian Communications Commission has approved an administrative fee of ₦250,000 for applicants seeking an Interim Service Authorisation (ISA), a permit that allows new telecommunications operators to test services before full market entry.

The fee is contained in the General Authorisation Framework recently released by the regulator, a move aimed at lowering entry barriers and fostering innovation across Nigeria’s telecommunications sector.

According to the NCC, the framework functions as a regulatory sandbox, enabling startups, technology-driven firms, and existing operators introducing new services to test ideas in a controlled, real-world environment without first obtaining a full telecom licence. The approach allows innovators to assess feasibility and demand while the Commission evaluates service quality and consumer impact ahead of commercial rollout.

In addition to the ₦250,000 ISA administrative fee, approved applicants are required to pay other applicable charges, including fees for spectrum allocation, where necessary, and numbering resources, depending on the service being tested. These charges are separate from the ISA fee.

The NCC said the framework modernises its licensing regime by introducing flexibility into a traditionally rigid system. Speaking during the unveiling of the draft framework in July, the Executive Vice Chairman and Chief Executive Officer of the NCC, Dr Aminu Maida, said the initiative was designed to accommodate emerging services not adequately covered under existing licensing categories.

“We are now at a turning point where the nature of innovation demands a regulatory paradigm that is not only responsive but enabling,” Maida said, adding that the framework promotes experimentation while protecting consumer rights and the public interest.

Under NCC supervision, operators granted an ISA can test services with up to 10,000 customers, operate only within pre-approved locations, and remain subject to continuous regulatory oversight. The authorisation is granted for an initial three months and may be renewed once, for a maximum duration of six months.

To qualify, applicants must demonstrate that the proposed service is genuinely new or significantly different, explain why existing regulations are restrictive, outline measures to protect consumers and market integrity, and submit monthly reports throughout the testing period. While temporary regulatory exemptions may be granted, obligations relating to consumer protection, data privacy, and security remain fully in force.

The Commission stressed that an ISA does not guarantee a full telecom licence. Progression to a full licence will depend on the existence or creation of an appropriate licence category and a comprehensive review by the NCC.

Industry observers say the framework is expected to encourage innovation in areas such as Open RAN, spectrum sharing, and new connectivity models, while reducing the risk of failed launches and ensuring only viable services reach full commercial deployment.