1. Capacity Building on Competition Policy in Select Countries of Eastern and Southern Africa `Promoting a Healthy Competition Culture in Sub-Sahara Africa` 14-15 February 2008, Gaborone, Botswana COMPETITION REGIME SCENARIO IN NIGERIA Presented by ADEDEJI, Babatunde Abiodun Coordinator-General / Founder Consumer Affairs Movement of Nigeria (CAMON

2. Outline of the Presentation Introduction Milestone of Competition Regime in Nigeria Privatisation and Commercialisation Policy Competition Law and Policy Present Scenario Sector-Specific Regulators Concluding Observation and Future Scenario

3. Introduction Population 144.7million (year 2006 census) 36 States and 774 Local Government Administrations. Over 200 ethnic nationalities Second Largest market in sub-Sahara Africa One of the largest producers of crude oil in the world It also has enormous natural gas reserves, vast agricultural lands, natural resources and a dynamic private sector Very big telecoms market – GSM subscribers` base rising from 40,000 in 2001 to 46.2 million in 2007 Economy fast growing and promising Democratic Government Peaceful and healthy environment for Investors.

4. Milestones of Competition Regime in Nigeria 1995 – The Nigeria Enterprises Promotion Acts, which regulates the extent and limits of foreign participation in diverse sectors of economy and inhibited competition were repealed Also in 1995 - Two principal laws regulating foreign investments were put in place. These laws are: The Investment Promotion Commission Decrees No. 16 of 1995 and the Foreign Exchange (Monitoring and Miscellaneous Provision) Decree No. 17 of 1995 1997 - all existing laws inhibited competition in the key sectors of Telecommunication, Electricity Power Generation, Oil & Gas Solid Minerals Hotels & Tourism among others were repealed.

5. Milestones cont. 1998 – The Public Enterprises Promotion and Commercialisation Decree of 1998 was promulgated. This decree then further open Nigeria market to competition as private investors and non-Nigerian now free to participate and compete with Government-owned public utility service in the key sectors of Telecommunication, etc

6. Privatisation and Commercialisation Policy The primary goal of the privatisation and commercialisation programme of the Federal Government of Nigeria is to reduce the dominance of the public sector in the economy and allow the private sector to play its proper role as the leading engine of growth As at May 1999, the Federal Government investment in these public enterprises was in the region of US$100billion. In spite of this massive investment, however, public enterprises have failed to perform the functions and attain the objectives for which they were set up. The gross failure of these enterprises is partially responsible for the current efforts towards economic liberalisation, privatisation and competition.

7. Competition Law and Policy Year 2002 - Federal government through the National Council on Privatization (NCP) began the process of introducing Competition Regime in Nigeria. The Government then, engaged the services of some legal consultants whose activities resulted in draft legislation entitled FEDERAL COMPETITION BILL. The draft Competition bill is to establish the Federal Competition Commission for the effective implementation and enforcement of law and for other matters connected therewith. Year 2004 - Government announced the plan to transform the Consumer Protection Council (CPC) into a new Commission known as “Nigeria Trade and Competition Commission (NTCC)” which is expected to handle issues relating to Consumer Protection, Competition Policy, Anti-dumping, Unfair Trade Practices and Weight and Measurements Administration.

8. Present Scenario Draft Federal Competition Bill is ready. Consumer Protection Act is in operation (administered and implemented by the Consumer Protection Council – CPC). Government plan to transform CPC into NTCC. That is, to implement both the competition Law and Consumer Protection Law under one Commission. Active collaboration between sector-specific regulators and CPC on issues of Consumers Protection and Competition. Sector-specific regulators in place regulating and promoting fair competition in the affected sector markets.

9. Sector-Specific Regulators 1.The Nigerian Investment Promotion Commission (NIPC); 2.Nigerian Communication Commission (NCC); 3.Central Bank of Nigeria (CBN); 4.Securities and Exchange Commission (SEC); 5.Consumer Protection Council (CPC); 6.National Agency for Food and Drug Administration and Control (NAFDAC); 7.Standards Organisation of Nigeria (SON); 8.Petroleum Products Pricing Regulatory Agency (PPPRA); 9.Nigerian Civil Aviation Authority (NCAA); 10.National Broadcasting Commission (NBC); 11.National University Commission (NUC); and 12.Nigeria Tourism Board (NTB). 13.Nigerian Copyright Commission (NCC) 14. National Insurance Commission (NAICOM) etc.

10. Concluding Observation and Future Scenario Nigeria is gradually forging ahead in its quest for putting in place a Competition Regime. Hopefully, the draft Federal Competition Bill may be signed into law by the present administration before the end of this year. The coming 7Up4 Project activities in Nigeria no doubt, will help in facilitating early signing into law of the draft Competition Bill. Thereby setting in motion processes of promoting a healthy competition culture in the Nigeria Market.

11. Thank you Adedeji, Babatunde Abiodun CAMON, Nigeria