MTN Ghana has initiated a new move in seeking a judicial review of Ghana’s National Communications Authority (NCA)’s decision to declare the telecom a Significant Market Power (SMP) in the country.
MTN says that this declaration could mean significant regulatory restrictions being placed upon it by the NCA, which could potentially limit the telecom’s growth in the country, as well as its performance, innovativeness and competitiveness in the global telecoms market.
MTN Ghana heads to court
All Africa reports that a statement issued by MTN Ghana in Accra on Friday and signed by its CEO, Selorm Adadevoh, who says that that the SMP declaration raises concerns about clear procedural breaches.
‘MTN Ghana has after much consultation, and as a last resort, made the difficult decision to resort to the law courts for redress in the form of a judicial review of NCA’s decision, to ensure the observance of the requirements of procedural fairness,’ the telecom says.
MTN asks for leniency amidst ‘clear procedural breaches’
Earlier this month, the government of Ghana in further attempts to ensure “proper and healthy competition” in its telecommunication sector instructed the NCA to enforce the provisions of the Electronic Communications (EC) Act 2008 and the National Telecommunications Policy in efforts to address ‘glaring disparities in market share and revenue share in the sector.’
According to the government, MTN Ghana’s unregulated growth and dominance ‘have impacted negatively on competition and consumer choice, necessitating corrective action.’
MTN says that the company is not opposed to the steps laid out by the regulator with the objective of further enhancing the highly competitive Ghana telecoms industry. MTN says it is prepared to support the regulator to that end.
MTN Ghana acknowledges the NCA’s ‘duty and powers to promote fair competition amongst licensed operators in Ghana’s telecommunications sector.’
“However, we believe that the regulatory authority must follow the applicable legislations and global industry best practices. As a responsible and ethical leader, MTN is neither aware of any industry economics/market study to establish market failure nor has MTN taken any steps or engaged in anti-competitive behaviour,’ MTN says, effectively calling for leniency and promising to take the necessary steps by itself.