Reps Back NITEL, MTEL Acquisition By NATCOM | Independent Newspapers Limited
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Reps Back NITEL, MTEL Acquisition By NATCOM

Posted: Mar 11, 2016 at 1:14 am   /   by   /   comments (1)

Members of the House of Representatives on Thursday overwhelmingly expressed support for the acquisition of the moribund Nigerian Telecommunications Limited NITEL) and Mobile Telecommunication Limited (MTEL) by NATCOM.
The resolution was passed following the adoption of the report presented and read by Saheed Akinlade-Fijabi, chairman of the joint committee on telecommunications and privatization and commercialization.
During the consideration of the report, the House exonerated Bureau of Public Enterprises (BPE) of any wrong doing in the sale of NITEL and its mobile arm, Mtel, to a consortium of seven foreign and local firms, NATCOM.
They also emphasised the need for Federal Government to “encourage NATCOM Consortium, owners of NITEL and MTEL, by creating an enabling environment that will make the two entities compete favourably with other telecom companies.
“This is because NATCOM Consortium is an indigenous company with great potentials for creating employment opportunities, reducing the huge amount of capital flight that is currently being experienced in the telecoms sector and foster strategic competition that is capable of further reducing the cost of communications in Nigeria.”
The House tasked Nigerian Communications Commission (NCC) to meet its obligations and commitments to the Bureau of Public Enterprises and the core investor, NATCOM, in line with the presidential approval on licences and spectrum for the effective take-off of NITEL and MTEL.
In the bid to ensure efficacy and efficiency, the House urged Bureau of Public Enterprises in its post-acquisition functions to encourage a local company like NATCOM, being the core investor.