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Joshua Fagbemi
Guest
A proposed bill titled “A Bill for an Act to Alter the Nigeria Data Protection Act, 2023, LFN,” that seeks to mandate the establishment of physical offices for social media platforms and data processors has passed its first reading. The new bill, sponsored at the Senate level, is set to broaden the security of global data protection and improve the Nigerian economy.
While addressing the matter, Senator Ned Nwoko (PDP-Delta), who sponsored the bill expressed that the move is targeted towards strengthening stakeholder confidence and enhancing swift resolution of complaints.
He pointed out that he proposed in the bill that ‘Section 5 of the NDPC Act 2023’ be altered by the addition of a new article ‘P’.
“It shall read that the commission shall mandate all data controllers, data processors, or operators of social media platforms to establish and maintain a physical office situated within the territorial boundaries of the Federal Republic of Nigeria.”
“Failure to comply with this requirement for a continuous period of 30 days shall render the entity liable to a prohibition from conducting operations within the jurisdiction of Nigeria’’, he noted.
Senator Ned Nwoko
Nwoko emphasized that data processors in the bill referred to entities that process personal data on behalf of a data controller. He said these groups make use of certain instructions without autonomy over the purposes or means of processing. He added that Physical Offices as referred to in the proposed bill means a fixed operational base that serves as a business location within the country.
Furthermore, he said they should be staffed and authorized to engage with regulators, stakeholders, and the public for the purpose of fulfilling legally bound and operational obligations.
“Operators of Social Media Platforms means legal persons or entities responsible for owning, managing, or controlling digital platforms that facilitate user interaction, content sharing, or communication,” he added.
He then proposed that Section 65 of the Principal Act be altered by the addition of new terms and their interpretations.
“They shall read that Data Controllers means entities that determine the purposes and means of processing personal data and bear legal responsibility for compliance with data protection laws”, he said.
The new bill, if passed into law, could create employment and investment opportunities through the establishment of local infrastructures. The bill has now moved to subsequent reading in the Senate for further modifications.
Likewise, this bill seeks to build on the Nigeria Data Protection Act of 2023 signed into law by President Bola Tinubu in June 2023.
As part of the process to protect the data of Nigerians, the proposed bill that seeks the physical establishment of data operators and social media platforms serves as a development to the NDPC action in 2023.
Last year the Nigeria Data Protection Commission (NDPC) mandated banks, telecom companies, insurance companies, and other organisations that control the data of Nigerians to apply with the commission for data protection compliance monitoring before December 2023.
According to the National Commissioner of NDPC, Dr Vincent Olatunji, the task of securing the data of Nigerians is a huge one. He, however, expressed belief that the new Nigeria Data Protection Act 2023 was up to the task.
The National Commissioner also announced that since the commission began its regulatory and oversight duties in June 2023, it has already fined three banks after investigating them for data breaches. While he didn’t reveal the names of the banks, he was, however, optimistic that they would comply and pay their fines as due.
He also revealed that the commission was investigating nine organizations for various data breaches. The organizations spread among the education sector, banking, and insurance sector as well as the telecommunications industry. While he also didn’t reveal their names, he said the NDPC would investigate the data abuses without leaving any stone unturned.
“Since we started, the commission has not had any course to run to anyone. We have fined three major banks, and they will pay their fines. We are currently investigating about nine major organisations, an insurance firm, a school, and a consulting firm. We don’t work based on political affiliation,” the commissioner said.
Nigeria has continued to witness increasing cases of data breaches. In a report, Technext revealed that the country witnessed 83,000 cases of data breaches in the first quarter of 2023. This represented a 64% increase from the fourth quarter of 2022, in which the country recorded 50,000 data breaches.
An increase in data breaches in Nigeria is a cause for concern because it means that more and more people’s personal information is being exposed to potential hackers and identity thieves. This can have a devastating impact on individuals, businesses, and the economy as a whole.
Read More: NDPC orders banks, and telcos to apply for data protection monitoring before December.
While addressing the matter, Senator Ned Nwoko (PDP-Delta), who sponsored the bill expressed that the move is targeted towards strengthening stakeholder confidence and enhancing swift resolution of complaints.
He pointed out that he proposed in the bill that ‘Section 5 of the NDPC Act 2023’ be altered by the addition of a new article ‘P’.
“It shall read that the commission shall mandate all data controllers, data processors, or operators of social media platforms to establish and maintain a physical office situated within the territorial boundaries of the Federal Republic of Nigeria.”
“Failure to comply with this requirement for a continuous period of 30 days shall render the entity liable to a prohibition from conducting operations within the jurisdiction of Nigeria’’, he noted.
Senator Ned Nwoko
Nwoko emphasized that data processors in the bill referred to entities that process personal data on behalf of a data controller. He said these groups make use of certain instructions without autonomy over the purposes or means of processing. He added that Physical Offices as referred to in the proposed bill means a fixed operational base that serves as a business location within the country.
Furthermore, he said they should be staffed and authorized to engage with regulators, stakeholders, and the public for the purpose of fulfilling legally bound and operational obligations.
“Operators of Social Media Platforms means legal persons or entities responsible for owning, managing, or controlling digital platforms that facilitate user interaction, content sharing, or communication,” he added.
He then proposed that Section 65 of the Principal Act be altered by the addition of new terms and their interpretations.
“They shall read that Data Controllers means entities that determine the purposes and means of processing personal data and bear legal responsibility for compliance with data protection laws”, he said.
The new bill, if passed into law, could create employment and investment opportunities through the establishment of local infrastructures. The bill has now moved to subsequent reading in the Senate for further modifications.
Likewise, this bill seeks to build on the Nigeria Data Protection Act of 2023 signed into law by President Bola Tinubu in June 2023.
Proposed bill: a continual pursuit of data protection
As part of the process to protect the data of Nigerians, the proposed bill that seeks the physical establishment of data operators and social media platforms serves as a development to the NDPC action in 2023.
Last year the Nigeria Data Protection Commission (NDPC) mandated banks, telecom companies, insurance companies, and other organisations that control the data of Nigerians to apply with the commission for data protection compliance monitoring before December 2023.
According to the National Commissioner of NDPC, Dr Vincent Olatunji, the task of securing the data of Nigerians is a huge one. He, however, expressed belief that the new Nigeria Data Protection Act 2023 was up to the task.
The National Commissioner also announced that since the commission began its regulatory and oversight duties in June 2023, it has already fined three banks after investigating them for data breaches. While he didn’t reveal the names of the banks, he was, however, optimistic that they would comply and pay their fines as due.
He also revealed that the commission was investigating nine organizations for various data breaches. The organizations spread among the education sector, banking, and insurance sector as well as the telecommunications industry. While he also didn’t reveal their names, he said the NDPC would investigate the data abuses without leaving any stone unturned.
“Since we started, the commission has not had any course to run to anyone. We have fined three major banks, and they will pay their fines. We are currently investigating about nine major organisations, an insurance firm, a school, and a consulting firm. We don’t work based on political affiliation,” the commissioner said.
Nigeria has continued to witness increasing cases of data breaches. In a report, Technext revealed that the country witnessed 83,000 cases of data breaches in the first quarter of 2023. This represented a 64% increase from the fourth quarter of 2022, in which the country recorded 50,000 data breaches.
An increase in data breaches in Nigeria is a cause for concern because it means that more and more people’s personal information is being exposed to potential hackers and identity thieves. This can have a devastating impact on individuals, businesses, and the economy as a whole.
Read More: NDPC orders banks, and telcos to apply for data protection monitoring before December.