Rewriting the Rules of the Boardroom: The NCC’s New Governance Guidelines and What They Signal

In August 2025, the Nigerian Communications Commission (NCC) quietly but firmly repealed the 2016 Code of Corporate Governance for the Telecommunications Industry. In its place now stands the Guidelines on Corporate Governance for the Communications Industry, issued under the NCC’s regulatory authority in Section 70 of the Nigerian Communications Act, 2003.

At first glance, the new Guidelines may seem like a routine update. But on closer inspection, they represent a deeper recalibration of expectations for board leadership in Nigeria’s communications sector. They reflect a deliberate shift away from legacy structures toward sharper, time-bound, and competence-driven governance.

Reining in Tenure, Raising the Bar

The most immediate change lies in the approach to director tenure. Under the new regime, no director may serve more than ten years in total, with a hard cap of two terms of five years. For Independent Non-Executive Directors (INEDs), the limits are even more stringent: two terms of four years, after which they must step down.

This is a significant departure from the 2016 Code, which allowed up to fifteen years of cumulative service. The new position suggests that the NCC is no longer willing to tolerate boardroom overstaying, particularly where it blurs the lines between independence and familiarity.

What’s more, the five-year cooling-off period before any former director can be reappointed, either to the licensee or its subsidiaries is not just regulatory housekeeping. It sends a clear message that governance must be renewed, not recycled.

Boards Must Now Stay Up To Date

Alongside stricter limits on tenure is a reinforced emphasis on director competence. The Guidelines require every director to undergo a formal induction upon appointment and to participate in bi-annual continuing education programmes throughout their term.

This isn’t window dressing. The Guidelines make it clear that participation in continuing education is now a condition for re-election. That single requirement elevates board training from a checkbox exercise to a core governance obligation.

In a sector as complex and fast-evolving as communications where digital infrastructure, cybersecurity, spectrum management, and data governance intersect the imperative is simple, board members must know enough to lead meaningfully.

A Governance Signal, Not Just a Compliance Update

Why does this matter?

Because the communications sector sits at the heart of Nigeria’s digital transformation. It underpins not just the economy, but the tools of statecraft, education, commerce, and national security. And as the sector grows in complexity, governance cannot be static.

These Guidelines do more than clean up tenure policies. They reframe what it means to be a director in a critical infrastructure sector. They suggest that independence, competence, and accountability are not ideals, they should be viewed as preconditions.

A New Normal for Board Composition

The practical implication for telcos and other licensees is clear, board succession must now be strategic, deliberate, and anticipatory. Institutions can no longer afford passive boards made up of figureheads. The days when long service was mistaken for institutional memory or when regulatory compliance meant little more than attendance are drawing to a close.

With term limits enforced and training obligations formalised, the NCC has placed a premium on governance that is active, informed, and time-sensitive.

In the end, it’s not just about who is at the table. It’s about whether they still deserve to be there and whether they know enough to lead.

Author

Leave a Reply

Your email address will not be published. Required fields are marked *