FEDERAL UNIVERSITY LOKOJA

FACULTY OF SOCIAL SCIENCES

DEPARTMENT OF MASS COMMUNICATION

COURSE CODE: MCM 413

COURSE TITLE: BROADCAST SEMINAR PRESENTATION

DEREGULARIZATION

BY
GODWIN OLORUNMAYE
SOS19MSC040

SUBMITTED TO
DR. OLUBUNMI AGBANA

MARCH, 2024

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1.1 INTRODUCTION

The Nigerian broadcast industry has undergone a profound metamorphosis, marked by a pivotal

shift towards deregulation. This transformative process has played a crucial role in redefining the

dynamics of the industry, breaking away from the traditional mold of government control and

fostering an environment of increased competition and dynamism. Deregulation, at its core,

signifies the intentional reduction or removal of governmental regulations and constraints within

an industry, with the primary goal of unleashing market forces and encouraging a more flexible

and responsive operational landscape. Established in 1957 with the formation of the Nigerian

Broadcasting Corporation (NBC), the broadcast industry in Nigeria initially operated under the

umbrella of state-controlled media. This monopolistic control persisted for several decades,

shaping the narrative and content disseminated to the public. However, with the global evolution

of media and the advent of digital technology, the limitations of this centralized control became

increasingly apparent. The need for a more open, diverse, and competitive broadcasting sector

prompted a reevaluation of existing regulatory frameworks.

The decision to embrace deregulation within the broadcast industry in Nigeria was underpinned

by a series of compelling rationales. Scholars such as Oluwafemi (2009) argue that the traditional

model of state-controlled media hindered the industry's ability to adapt to rapidly changing

global media trends. Deregulation was seen as a strategic response to the call for greater media

pluralism, increased competition, and the infusion of private sector participation. Additionally,

economic considerations played a significant role, with the government recognizing the potential

for revenue generation through licensing fees and increased advertising revenue within a

liberalized broadcasting environment.The significance of broadcast deregulation in Nigeria

extends beyond the industry's structural changes. It symbolizes a paradigm shift towards a more

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democratic and diverse media landscape, aligning with the broader political transition towards

democratic governance. The move towards deregulation emphasizes the importance of freedom

of expression, diversity of perspectives, and the empowerment of various stakeholders within the

media ecosystem.

This paper delves into the intricate facets of the evolution of broadcast deregulation in Nigeria.

By exploring the historical context, policy developments, and the impact on market dynamics,

this paper aims to provide a comprehensive understanding of the multifaceted nature of

broadcast deregulation. The subsequent sections will delve into the positive outcomes, challenges

faced, and recommendations for a sustainable and vibrant broadcasting industry in Nigeria. The

insights drawn from scholarly perspectives will guide this exploration, contributing to a nuanced

and informed analysis of the journey of deregulation within the Nigerian broadcast sector.

2.1 HISTORICAL BACKGROUND

Broadcasting started in Nigeria with the radio broadcasting in 1936. It started as a relay of the

British Empire services (Williams 1971). Before the fourth decade of the 20th century, the

British colonialists had depended on the print media for publicity and propaganda and they later

added radio to their arsenal of information dissemination, the station began operations with the

establishment of a relay station in Victoria Island, Lagos which disseminated broadcast

information to major Towns in Nigeria via the wired wireless otherwise known as Rediffusion. In

1956 with the establishment of what came to be known as Nigerian Broadcasting Corporation

(NBC), broadcasting was incorporated under law and operated under the policies of the Federal

Ministry of information. The provisions of this law, called 1956 Nigerian Broadcasting

Corporation Ordinance -, stated that “the corporation could carry on all such activities as may

appear “requisite, advantageous or convenient” and could erect, maintain wire distribution

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services”. This law thus became the first in the nation’s history to provide the legal platform for

the establishment of broadcast media in Nigeria. It was not until a hundred years after the first

newspaper- “Iwe Irohin Fun Awon Egba “was read on the streets of Abeokuta, that Nigerians

began to view motion pictures on tube with the establishment of the first Television station in

Nigeria, and black Africa Known as Western Nigeria Television (NNTV). This station beamed

the first signals on the 31st of October 1959 thereby buttressing the allusion of Otunba (2015)

that print media is a century older than Nigerian TV, just as it is 70 years ahead of Radio. Since

Western government of Obafemi Awolowo established the WNTV in 1959, television has

continued to grow in leaps and bounds. However, the growth of television has not been

unassociated with the growth of the nation and the development associated with such growths.

Primarily the multiplicity of broadcast stations is linked to the balkanization of the nation into

smaller units by successful governments over the years. From the regional government in 1966,

Nigeria now has 36 states in 1994. Each of the state has its own radio and television stations. All

these are in addition to over 36 Federal governments owned NTA Stations and about same

number of Radio Nigeria stations operating across the states of the federation. It would be

recalled that the military government had acquired all the TV Stations in Nigeria in April 1976.

The government had then directed that Nigerian Television Authority should elaborate, analyses

and package government’s development Programmes, believing that a federally controlled

television network would fulfill national needs rather than partisan or sectional interests to foster

unity and assist in general education. A major boost for the growth and development of

broadcasting in Nigeria was the deregulation of broadcast media landscape, via the promulgation

of Decree no 38 0f 1992 (now act of parliament) establishing the Nigerian Broadcasting

Commission (NBC). Hitherto, broadcast media ownership had remained an exclusive preserve of

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the state, as prescribed by the constitution. Section 39 (2) of 1999 Nigerian constitution explains

and stipulates who can own the different media in Nigeria. It reads in parts: “Without prejudice

to the generality of subsection (1)b of this section, every person shall be entitled to own,

establish and operate any medium for the dissemination of information, ideas and opinion”.

However, there is a provision to this sub-section which provides that no person other than the

government of the federation or of a state or any other person or body authorized by the

President (with the approval of the National Assembly) shall own establish or operate a

television or wireless broadcasting station for any purpose whatsoever. The 1992 deregulation

program therefore opened the broadcast media landscape to private ownership, a step that had

brought tremendous improvement to the growth and development of broadcast media in Nigeria.

Before the deregulation, Oyebola (2013) observes that, the nearly forty government-owned

electronic media have all virtually become government megaphones. Some were barely

surviving with serious dearth of infrastructure and even personnel who have gone for greener

pastures (sic) after months and months of unpaid salaries. The few staffers (sic) remaining were

just hanging on under serious censorship (either self-imposed or directed from above). ….

morale is at its lowest ebb and creativity neither allowed nor encouraged. The situation as

painted by Oyebola is a very apt reflection of the actual state of things in the broadcast industry

before the advent of private ownership of broadcast media in Nigeria. To a large extent,

broadcasting has fared better since 1992 especially in the areas of production quality, use of new

technologies, coverage and reach as well as accessibility to wider segments of the society.

2.2 CONCEPT OF DEREGULATION

Deregulation is a socio-economic and political concept that involves the reduction or elimination

of government-imposed restrictions, controls, and regulations within a specific industry or sector.

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The fundamental aim of deregulation is to promote competition, efficiency, innovation, and

market-driven dynamics by minimizing state intervention and fostering a more open and flexible

environment for businesses to operate. In the context of the broadcast industry, deregulation

refers to the process of relaxing or removing governmental constraints on media ownership,

content creation, licensing, and other regulatory aspects. This shift away from centralized control

allows for increased private sector participation, diversity of voices, and a more responsive

media landscape.

2.3 EMERGENCE OF DEREGULATION POLICIES IN NIGERIA

The emergence of deregulation policies in Nigeria's broadcast industry was influenced by a

confluence of factors, including global media trends, economic imperatives, and the need for a

more dynamic and competitive media landscape. As noted by scholars such as McQuail (1994),

the late 20th century witnessed a global shift towards liberalization and deregulation in various

industries, including media. Countries around the world were recognizing the limitations of state-

controlled media and the benefits of fostering a more open and competitive environment. Nigeria

was no exception, as policymakers observed the positive outcomes experienced by other nations

that had embraced deregulation. The economic imperative to stimulate growth and attract foreign

investment played a pivotal role in the emergence of deregulation policies. Deregulation was

seen as a means to encourage private sector participation, foster innovation, and generate

revenue for the government. Oluwafemi (2019) argued that the Nigerian government, facing

economic challenges, saw the broadcast industry as a potential source of revenue through

licensing fees and increased advertising revenue. The political transition from military rule to

democratic governance in Nigeria also played a crucial role in the emergence of deregulation

policies. Scholars like Nwankwo (2019) highlight that the shift towards democracy created a

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more conducive environment for diverse voices and perspectives within the media landscape.

The new political dispensation emphasized the importance of freedom of expression and a

pluralistic media environment, leading to the reconsideration of strict regulatory controls.

Advancements in technology and the increasing interconnectedness brought about by

globalization contributed to the emergence of deregulation policies. According to Thompson

(1995), the rise of satellite communication, the internet, and digital broadcasting necessitated a

reevaluation of traditional regulatory frameworks. Policymakers recognized the need to adapt to

these technological changes to remain relevant in the global media landscape.

International organizations, such as the International Telecommunication Union (ITU) and

UNESCO, played a role in shaping Nigeria's deregulation policies. Asemah (2014) note that

these organizations advocated for liberalization and encouraged member countries to adopt

policies that promote media freedom and diversity. Nigeria, as a member of these organizations,

felt the pressure to align its policies with international standards. The emergence of deregulation

policies in Nigeria's broadcast industry was a multifaceted process influenced by global media

trends, economic considerations, political changes, technological advancements, and

international influences. Policymakers sought to create a more vibrant and competitive media

landscape, recognizing the potential benefits of private sector participation and technological

innovation.

2.4 DEREGULATION AND THE RISE OF NEW MEDIA OWNERS

Deregulation, in the words of Watson and Hill (2016) is “the process whereby channels of

communication, specifically radio and television are opened up beyond the existing franchise

holders.” To them, ‘privatization’, another term in current use demonstrates the practical nature

of the transition from public to commercial control. Further on the subject, Mosco (1990)

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identified what he called the ‘five myths’ or the five influential assumptions about the

deregulation of telecommunication. According to him, deregulation: lessens the economic role of

the government; benefits consumers; diminishes economic concentration; is widely supported

and is inevitable. These attributes of deregulation hold true irrespective of the socio-economic

milieu. This explains why deregulation is vehemently pursued and applauded by most media

observers of which Mailafiya (2012) is not one. Mailafiya had taken a rather conservative and

myopic posture on the subject of deregulation in Nigeria when he asserted that “in order to

maintain peace and stability and retain our cultural identity in a world dominated by Western

culture, government monopoly over broadcasting should be retained. It must be noted that

deregulation, like most other social policies has its success or failure hinged on the operators of

the social system rather than on the innate component or essence of the policy itself. An

evaluation of the situation since the deregulation of the broadcast industry in Nigeria would show

several benefits that have accrued to the nation. To be sure, deregulation in Nigeria has had its

own flip sides, they are however negligible when compared with the several benefits.

One important fallout of the deregulation policy in Nigeria is the emergence of new patterns of

ownership. Although these new forms of ownership cannot be said to be totally new when

viewed from broader perspectives, they are nevertheless novel to the Nigerian media scene.

2.5 POSITIVE OUTCOMES OF DEREGULATION

The deregulation of Nigeria's broadcast industry has yielded several positive outcomes,

transforming the sector into a more dynamic, competitive, and responsive entity. Scholars and

industry observers have extensively documented these positive consequences, highlighting the

far-reaching impacts on content quality, market dynamics, and societal engagement.

Increased Competition and Market Dynamics:

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One of the primary positive outcomes of broadcast deregulation in Nigeria has been the

heightened level of competition within the industry. According to Onyeama (2013), the influx of

private broadcasters has spurred healthy competition, fostering innovation and diversity in

programming. Increased competition has not only elevated the quality of content but has also

expanded the choices available to consumers, contributing to a more engaging and responsive

media environment.

Diversification of Content and Programming:

Deregulation has paved the way for a more diverse range of content and programming, reflecting

the cultural, social, and political diversity within Nigeria. Olatunji (2016) argues that the

liberation from state-controlled media has allowed broadcasters to explore a variety of themes,

perspectives, and formats that cater to the diverse tastes and interests of the Nigerian audience.

This diversification has not only enriched the content landscape but has also contributed to a

more inclusive representation of voices and ideas.

Improved Programming Quality:

The injection of private capital and competition has driven an improvement in the quality of

programming. Scholars such as Adewumi (2011) point out that broadcasters, vying for audience

attention, have invested in enhancing production values, storytelling techniques, and overall

content quality. This enhancement in programming quality has not only captivated audiences but

has also elevated the reputation of Nigerian broadcasting on the international stage.

Economic Growth and Job Creation:

Deregulation has stimulated economic growth within the broadcast industry, resulting in the

creation of jobs and business opportunities. Ekeanyanwu (2017) notes that the influx of private

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players has led to increased investment in production, distribution, and advertising, contributing

to the overall economic development of the sector. The emergence of new channels, production

houses, and media-related services has generated employment opportunities, fostering a more

robust media ecosystem.

Technological Advancements and Innovation:

The shift towards deregulation has encouraged broadcasters to embrace technological

advancements and innovate in content delivery. With the advent of digital broadcasting and

online streaming platforms, Okoli (2019) argue that broadcasters have explored new avenues to

reach audiences and deliver content. This technological evolution has not only improved the

efficiency of content distribution but has also facilitated the exploration of innovative storytelling

formats and interactive media experiences. In conclusion, the positive outcomes of broadcast

deregulation in Nigeria are evident in the increased competition, diversified content landscape,

improved programming quality, economic growth, job creation, and technological innovation.

These outcomes collectively contribute to a more vibrant and responsive broadcast industry that

reflects the dynamic nature of Nigeria's media landscape.

2.5CHALLENGES AND CONCERNS OF DEREGULATION

The deregulation of Nigeria's broadcast industry, while bringing about positive changes, has not

been without its share of challenges and concerns. Scholars and industry experts have identified

various issues that pose potential threats to the effectiveness and sustainability of the

deregulation process.

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Media Ownership Concentration

A significant concern arising from broadcast deregulation in Nigeria is the concentration of

media ownership in the hands of a few major players. Adekoya (2015) notes that despite the

increase in the number of private broadcasters, a small number of conglomerates dominate the

market. This concentration raises concerns about the potential for limited diversity of voices,

perspectives, and content, as well as the risk of undue influence over public discourse by

powerful media entities.

Regulatory Hurdles in Licensing and Content Regulation

The regulatory environment, despite efforts towards liberalization, has faced challenges related

to licensing and content regulation. Ogundipe (2018) observes that bureaucratic processes,

delays in license approvals, and inconsistent application of content regulations have hindered the

smooth functioning of the industry. Such hurdles can create an uneven playing field, favoring

established players and impeding the entry of new, diverse voices into the market.

Balancing Diversity and Market Competitiveness

Balancing the need for market competitiveness with the preservation of diversity remains a

delicate challenge. Afolabi (2016) argues that while competition is crucial for industry growth,

there is a risk of homogenizing content to cater to mass appeal, potentially neglecting niche

markets and minority interests. Striking the right balance between a competitive market and a

diverse media landscape requires nuanced regulatory frameworks that encourage both. Ezeani

(2020) emphasizes that the challenges in deregulation extend beyond the immediate industry

concerns, impacting broader societal aspects. Concerns have been raised about the potential for

media to be used as a tool for political manipulation and misinformation, compromising the role

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of the media as a watchdog and public informer. These broader concerns underscore the need for

comprehensive regulatory frameworks that address not only economic and industry dynamics but

also the societal implications of media concentration and influence.

Digital Divide and Technological Challenges

The transition to digital broadcasting, while opening new opportunities, has also brought about

challenges. Mohammed (2021) highlights the digital divide, where smaller broadcasters may

struggle to afford the necessary technological upgrades, potentially widening the gap between

large and small players. Addressing these technological challenges requires supportive policies

that ensure a smooth transition for all industry participants. The challenges and concerns

associated with broadcast deregulation in Nigeria encompass issues of media ownership

concentration, regulatory hurdles, the delicate balance between diversity and market

competitiveness, scholarly concerns about societal implications, and technological challenges

related to the digital transition. Addressing these challenges requires continuous evaluation and

refinement of regulatory frameworks to ensure a fair, diverse, and sustainable broadcast industry.

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3.1 CONCLUSION
The deregulation of Nigeria's broadcast industry has ushered in a new era marked by increased

competition, diversified content, and technological advancements. While the positive outcomes

are evident, the journey towards a more dynamic and responsive media landscape has not been

without its challenges and concerns. The positive impact of deregulation is notable in the

heightened competition that has spurred innovation, leading to an improvement in the quality of

programming. The diversification of content has not only enriched the media landscape but has

also reflected the diverse tapestry of Nigerian society. Economic growth, job creation, and

technological innovation further underscore the transformative potential of deregulation.

However, the challenges and concerns demand careful attention. The concentration of media

ownership in the hands of a few major players poses risks to diversity and pluralism. Regulatory

hurdles, including licensing delays and content regulation inconsistencies, must be addressed to

ensure a level playing field for both established and emerging broadcasters. Balancing the pursuit

of market competitiveness with the preservation of diversity remains a nuanced task, requiring

continuous refinement of regulatory frameworks. Scholarly perspectives on the societal

implications of media concentration emphasize the need for vigilant regulation to prevent undue

political influence and misinformation. Additionally, the digital transition introduces challenges

such as the digital divide, necessitating policies that facilitate a smooth transition for

broadcasters of all sizes. while broadcast deregulation in Nigeria has undeniably transformed the

industry, there is a pressing need for adaptive and responsive regulatory frameworks. Striking a

delicate balance between competition and diversity, addressing ownership concentration, and

ensuring equitable access to technological advancements will be essential for sustaining the

positive momentum of deregulation. Continuous collaboration between regulatory bodies,

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industry stakeholders, and scholars is crucial for navigating the evolving landscape of Nigeria's

broadcast industry in the years to come.

4.4 RECOMMENDATION

To navigate the evolving landscape of Nigeria's broadcast industry and ensure the sustained

positive impact of deregulation, the following recommendations are proposed:

1. Review and Update Regulatory Frameworks: Regularly review and update regulatory

frameworks to address emerging challenges and opportunities. This includes streamlining

licensing processes, ensuring transparency, and adapting regulations to technological

advancements.

2. Invest in Research and Development: Promote research and development initiatives

within the broadcast industry. Encourage innovation, technological advancements, and

the exploration of new storytelling formats. This will contribute to the industry's

adaptability and competitiveness on a global scale.

3. Foster Media Literacy: Implement educational programs to enhance media literacy

among the public. A well-informed audience can better discern quality content, contribute

to a more robust media ecosystem, and act as a check against misinformation.

4. Address Regulatory Hurdles: Streamline licensing procedures to reduce bureaucratic

delays and ensure fair and consistent application of content regulations. This will create a

more conducive environment for both established and emerging players, fostering a level

playing field.

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