Commercial Satellite Operations in Nigeria - Key Considerations for Nigeria Market Entry

Nigeria’s commercial satellite sector is regulated primarily by the National Space Research and Development Agency (NASRDA), under the NASRDA Act of 2010, with complementary oversight from the Nigerian Communications Commission (NCC) for satellite-based telecommunications services. The regulatory framework has evolved significantly since the 2015 NASRDA Regulations on Licensing and Supervision of Space Activities, culminating in the more comprehensive 2025 NASRDA Handbook on Space Regulation and Spectrum Management. The 2025 Handbook on Space Regulation and Spectrum Management modernizes the extant regulatory framework by introducing a structured licensing system and  providing greater clarity and operational guidance for satellite operators, including online applications, spectrum coordination, and reporting obligations

1. The Scope of Regulatory Authority

The 2015 NASRDA Regulations on Licensing and Supervision of Space Activities establishes general licensing requirements for any “space activity” conducted by Nigerian or foreign operators. NASRDA’s regulatory authority covers a broad range of space activities. It applies to any space object, whether a satellite or spacecraft, that is registered in Nigeria or operated by a Nigerian entity. It also extends to space operations conducted within Nigerian territory, including remote sensing services, signals received in Nigeria, the use of Nigerian spectrum, or services provided to Nigerian users. Ground-based infrastructure linked to space operations such as teleport stations, ground control facilities, and satellite terminals within Nigeria falls under NASRDA’s oversight, as do organizations that control and manage space objects operating over or within Nigerian territory. Foreign operators are likewise subject to NASRDA regulation. Even if a satellite is launched abroad, providing services to Nigerian users or utilizing Nigerian spectrum or engaging in other commercial activity triggers NASRDA licensing requirements.

Importantly, the 2015 Regulations expressly define the scope of “commercial space activity” and “space activity” to clarify the breadth of NASRDA’s jurisdiction. "Commercial space activity" is defined to include any space-related operation carried out for the purpose of generating revenue or profit, whether undertaken by governmental or non-governmental entities. More broadly, "space activity" is defined to include the operation, guidance, and re-entry of space objects into, in, and from outer space, as well as all activities essential to the launch, operation, guidance, and re-entry of those space objects. This definitional framework reinforces NASRDA’s wide regulatory reach and ensures that both domestic and foreign actors conducting profit-driven or operationally significant space activities fall squarely within the licensing regime.

2. License Categories for Space Activities in Nigeria

NASRDA classifies space-activity licenses into three main categories: upstream, midstream, and downstream. The upstream license category pertains to the space segment itself and includes licenses such as Satellite Landing Permits, which authorize operations over Nigerian territory, both land and sea, and Space Spectrum Access licenses, which grant access to the satellite spectrum above Nigeria. These upstream licenses are issued for a period of 5 (five) years and may be renewed upon expiry.

The midstream license category relates to services that support space operations, particularly in data handling and network management. Licenses in this category cover satellite data reception and processing, encryption, network management, teleport services, and the development and distribution of Geographic Information System (GIS) and Location Information System (LIS) software. Consultancy services in these areas are also included under midstream licensing. Licenses in this category are subject to annual renewal.

The downstream license category concerns ground-based and launch infrastructure. It encompasses the operation of ground stations, the construction and management of launch facilities, the launching of space objects and the coordination of their flight paths, issuance of overseas launch certificates, operation of launch vehicles, and the manufacturing of space objects. Downstream licenses are valid for three years and can also be renewed.

In addition to these licensing requirements, all corporate entities engaged in any of these space activities must pay various fees, including application, license, and renewal fees, as prescribed by NASRDA.

3. Minimum Requirements for Licensing

The 2015 NASRDA Regulations on Licensing and Supervision of Space Activities establishes the minimum requirements to obtain a license for the operations of space activities in Nigeria. Applicants are required to demonstrate financial capacity, technical expertise, and adherence to safety, environmental, and international obligations, including the Outer Space Treaty, the Liability Convention, and the Registration Convention. Operators are also subject to mandatory indemnification and insurance obligations. The Regulations require every operator to indemnify the Federal Government of Nigeria against any claims, losses, or damages arising from the operator’s space activities, up to a statutory limit of USD 15,000,000. In addition, operators must procure and maintain an insurance policy of at least USD 15,000,000 to cover potential third-party liabilities, including damage to persons, property, or other space assets. These requirements ensure that financial responsibility for operational risks remains with the operator rather than the Nigerian government.

4. Additional Compliance Obligations

It is important to note that operators must satisfy several additional compliance obligations before they can successfully apply for a licence under the NASRDA Regulations. First, any entity seeking authorisation must be formally incorporated in Nigeria, and must provide its Certificate of Incorporation as part of the application package. Applicants are also required to show evidence of good corporate standing, including the submission of updated annual returns.

In addition to corporate documentation, NASRDA requires operators to obtain regulatory approvals from other competent government agencies depending on the nature of the proposed space activity. These may include certifications or clearances from the Standards Organisation of Nigeria (SON), the National Information Technology Development Agency (NITDA), the Nigerian Communications Commission (NCC), the National Broadcasting Commission (NBC), and, where applicable, the International Standards Organization (ISO). These cross-agency approvals ensure that equipment, software, and operational processes meet national and international technical and safety standards. Applicants must also provide relevant technical documentation, environmental and safety information, and, in some cases, prepare for physical inspection of ground installations such as teleports, data centres, or ground stations prior to licence issuance.

5. Penalties

Section 43 of the 2015 NASRDA Regulations on Licensing and Supervision of Space Activities imposes civil penalties for operating without a valid license or for violating license conditions, and expressly prohibits unlicensed operations. Corporate offenders are liable for at least 15% of the total project value, while individual offenders face a minimum liability of 5%. The regulations further empower the Nigerian government to take legal action for offenses committed outside the country.

This publication is based on the authors' independent analysis, observations, and experience advising clients on regulatory and compliance matters. It is provided solely for informational purposes. The views expressed herein do not constitute legal advice or an official recommendation, nor do they represent the position of any institution or client. Readers should seek specific professional advice before relying on any part of this publication.