By Mardiyyah Abubakar
A Federal High Court in Lagos has ruled that the Federal Competition and Consumer Protection Commission (FCCPC) cannot issue telecommunications licences, raising fresh questions about the legal status of five firms it approved under its Digital, Electronic, Online or Non-traditional Consumer Lending (DEON) Regulations.
Justice Ambrose Lewis-Allagoa delivered the judgment on Monday in Suit No. FHC/L/CS/760/2026.
The court, however, upheld the FCCPC’s authority to regulate consumer lending and competition, affirming the validity of the DEON Regulations while drawing a clear distinction between regulatory oversight and licensing powers.
Justice Lewis-Allagoa held that regulations cannot override Acts of Parliament and ruled that the DEON Regulations remain valid because they derive their authority from the Federal Competition and Consumer Protection Act (FCCPA).
He said Sections 104, 105, 106 and 163 of the FCCPA empower the FCCPC to investigate anti-competitive conduct, protect consumers and make regulations.
The judge consequently dismissed a suit filed by the Wireless Application Service Providers Association of Nigeria (WASPAN), which challenged the legality of the DEON Regulations.
Despite upholding the regulations, the court ruled that the FCCPC has no statutory power to issue telecommunications licences.
The judgment reaffirmed that the Nigerian Communications Commission (NCC) remains the sole authority empowered by law to license telecommunications operators in Nigeria.
The ruling has sparked questions about the legal basis of approvals previously granted by the FCCPC to five firms under the DEON framework.
Reacting to the judgment, lawyer and public policy commentator Ilemona Onoja said the court clearly distinguished between regulatory powers and licensing authority.
He said the FCCPC can regulate market conduct and protect consumers but cannot issue licences, as that responsibility belongs exclusively to the NCC.
According to him, the ruling raises questions about the validity of approvals issued under the DEON framework if the commission lacks licensing powers.
WASPAN also said the judgment validated one of its key arguments.
In a statement signed by its Chairman for Regulatory and Partnership, Osa Umweni, the association said the FCCPC failed to highlight the court’s finding that it lacks the authority to issue telecom licences.
Umweni said the ruling confirmed that the commission exceeded its statutory powers and reaffirmed the NCC as the primary regulator of the telecommunications sector.
He added that WASPAN is reviewing the judgment with its legal team, led by Senior Advocate of Nigeria Kemi Pinheiro, to determine whether to appeal.
The association also noted that the court dismissed the FCCPC’s preliminary objection, holding that WASPAN had served a valid pre-action notice and established a reasonable cause of action.
WASPAN further disputed the FCCPC’s claim that it voluntarily complied with the court’s interim injunction issued in April 2026.
Also reacting, Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Gbenga Adebayo, described the judgment as providing much-needed regulatory clarity.
