The federal government is planning to develop regulations to guide the operations of e-commerce platforms in the country as well as cyber insurance for the users.
This plan is contained in the draft National Digital Economy and E-Governance Bill currently before the National Assembly, a copy of which was seen by Nairametrics.
According to Section 40 of the Bill, “the National Insurance Commission (NAICOM) in consultation with the regulatory agency shall develop and issue regulations including provisions on cyber insurance to improve security in electronic commerce.”
‘The regulatory agency’ refers to the National Information Technology Development Agency (NITDA) according to the Bill’s interpretation.
The Bill is sponsored by the Ministry of Communications, Innovation, and Digital Economy,and currently going through public engagement phase according to the Ministry.
Guidelines for e-commerce operation
In addition to the planned regulations, the Bill also sets guidelines for the operation of e-commerce platforms in Nigeria. Section 39 of the Bill specifically focuses on the information requirements for all e-commerce platforms.
“A person using electronic communications to sell goods or services to consumers shall provide accurate, clear, and accessible information about themselves including the legal name of the person, its principal geographic address, and an electronic means of contact or telephone number, sufficient to allow– (a) prompt, easy and effective consumer communication with the seller; and (b) service of legal process,” subsection one of the Section 39 read.
Goods description
While subsection two mandates e-commerce platforms to provide “accurate and accessible information describing the goods or services offered, subsection three harps on providing clear terms and conditions.
“A person using electronic communications to sell goods or services to consumers shall provide information about the terms, conditions and costs associated with a transaction in a manner that is accessible, concise, and comprehensive to the consumer, including– (a) terms, conditions and methods of payment; and details of and conditions related to withdrawal, termination, return, exchange, cancellation and refund policy information; and (b) details of and conditions related to withdrawal, termination, return, exchange, cancellation and refund policy information,” it stated.
What this means
If the Bill is passed into law, e-commerce popular platforms like Jumia, Konga, among others, as well as small players in the industry would be subjected more stringent regulations. This could also lead to introduction of new taxes and levies by the regulatory agency, which is NITDA.
E-commerce platforms also risk fines for contravening any section of the law pertaining to their business.
What you should know
Speaking during a media engagement on the Bill, which was held in Abuja last week, the Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani, said when passed into law, it would provide a legal framework and accelerate progress in the digital economy agenda.
“This bill will accelerate the progress in our digital economy because there is no clear legislation in that space.
“We believe that the bill will support the growth and transformation of Nigeria’s economy through the application and the use of this technology in all facets of life in Nigeria.
“It will create the enabling environment for fair competition, and promote innovation, growth and competitiveness for the Nigerian economy,” Tijani said.
According to him, when the bill is passed into law, it will be implemented in all the six geopolitical zones of the country.
Also speaking, the Director-General, the National Information Technology Development Agency (NITDA), Malam Kashifu Inuwa, said the bill would enhance the use of the digital economy in the entire country, both in government and the private sector.
