NLRC – NCC Collaboration: Exploring New Frontiers for the Regulation of Sports Betting In Nigeria

NLRC – NCC Collaboration: Exploring New Frontiers for the Regulation of Sports Betting In Nigeria

Recently, the National Lottery Regulatory Commission( NLRC) announced the setting up of a customer protection committee in partnership with the National Communications Commission (NCC).

The committee which is a joint venture of both agencies of the federal government is a two pronged approach for the protection of consumer rights, betting companies and telecommunications companies.

This has been in the works for a long time, but there have been hitches along the way. With the need to tighten regulatory lapses between them, the two agencies signed a Memorandum of Understanding which expired in August 2018 without seeing the light of the day.

However, with the joint venture now in full flight, it could be a fresh start for the regulation of online betting and the protection of the interests of all stakeholders.

Top on the agenda of the committee is to address mutual regulatory challenges, especially the protection of customer’s data. Additionally, the revenue sharing formula between Mobile Network Operators and Betting companies will also be accorded priority.

Is this a new dawn in the online betting industry?

Before now, players have been at the mercy of individuals lurking around Cyberspace to carry out their nefarious activities. And as a result, many people have become victims of fraudulent breaches of their online betting accounts.

Now that both government agencies are exploring new paths of cooperation and novel ways of carrying out their responsibilities, this could spell the start of an exciting new era for both the gambling operators and their customers. Not to forget the Telecom companies themselves.

As a matter of fact, online betting is heavily reliant on internet usage which is within the purview of the National Communications Commission. With this Union however, the gap that exists between both regulators will likely be bridged sooner rather than later.

Beyond the two agencies closing ranks, the union portends good tidings for the online betting industry in Nigeria. The bookmakers, the Telcos and ultimately the punters will be well protected.

What about the other frontiers?

Being a nascent but fast growing gaming industry, the Nigerian online betting industry is faced with myriads of challenges beyond the standard regulatory problems.

While there is a good chance that some of the more pronounced issues could get prompt attention, there are still some less obvious challenges to be confronted.

With a promise of getting rich in no time, and betting companies dangling a number of varying welcome bonuses to lure new players, there is a good chance that players could become extremely drawn to online betting which could lead to irresponsible gaming.

This begs the question! Will the joint committee look into other sundry issues like problem gambling?

Recently, a betting operator in Ghana partnered with the country’s regulatory agency to set up a responsible gaming centre. Is this a path the committee will tow?

There is also the issue of underage gambling which is rife in the country. Section 34 of the Gambling Act of 2004 provides that it is illegal for minors to participate in online betting activities under any guise. But there is a blatant disregard for this piece of legislation.

So, beyond harmonizing their activities through the consumer protection committee will there be a  new approach to sports betting in Nigeria?