Data Protection Bill: Know It Guidelines, Objectives and Penalties
In recent times, Nigerian businesses have engaged in a losing battle against data threats of all kinds: phishing attacks, malware, ransomware, etc. As proof, statistics reveal that in 2021, 71% of Nigerian firms were hit by ransomware, and small and medium businesses have it even worse. Additionally, phishing attacks on SMEs grew by 87% in 2022, compared to 37% in 2021. These attacks had terrible consequences as scams, impersonations, and loss of privacy became the norm. This situation discouraged foreign organisations from investing seriously in the country. The Director of Research and Development, Mr. John Dumesi, said, “Part of the findings and key threat trends we discovered are that data protection policies, enforcement, and disclosure practices are grossly lagging; there is a surge in corporate phishing attacks.” It became obvious that Nigeria needed a strong data protection policy, and in 2023, a data protection bill was passed by the Nigerian government. In this article, you’ll learn what the Data Protection Bill means for Nigerians. What is the Data Protection Bill in Nigeria? The data protection bill in Nigeria was passed into law as the Nigeria Data Protection Act (NDPA) on June 12, 2023, by President Bola Hammed Tinubu to protect Nigerian data from loss, compromise, and theft. The Objectives of Data Protection Bill, 2023 The data protection bill for 2023 came on the heels of the NDPR (Nigerian Data Protection Regulation). which was replaced due to insufficient policies and weak enforcement. The primary objective of the Data Protection Bill is to protect the fundamental rights and freedoms of data subjects by regulating the processing of personal data. The following objectives are as stated in the document:. “Protecting data subjects’ rights as well as providing means of recourse and remedies in the event of breaches; ensuring that data controllers and data processors fulfill their obligations to data subjects.” “Promoting data processing practices that safeguard the security of personal data and the privacy of data subjects; ensuring that personal data is processed in a fair, lawful, and accountable manner.” “Strengthen the legal foundations of the national digital economy and guarantee the participation of Nigeria in the regional and global economies through the beneficial, trusted use of personal data.” And finally, Establishing an impartial, independent, and effective regulatory commission to superintend over data protection and privacy issues and supervise data controllers and data processors.” Data Protection Bill Highlights The bill encompasses a broad range of laws, but here are the data protection bill highlights—the most important ones. Establishment of the Nigerian Data Protection Commission (NDPC) A law is only as effective as its enforcement. This statement is a known fact all over the world. As a matter of fact, lack of proper enforcement led to the NDPR cancellation. The Data Protection Bill made the necessary provisions for its own enforcement. According to Section 7 of the bill, the NDPC was established to: Promote awareness of risks to personal data and data protection measures. Including the rights and obligations granted under the Act. Ensure the use of technological and organisational data protection measures. Foster the development of personal data protection technologies in accordance with recognised international good practices and applicable international law. Promote awareness of data controllers and processors’ obligations under the Act. Data Processing Guidelines The guidelines are very straightforward. Data controllers and processors are not allowed to process sensitive personal data themselves or by a third party unless: The processing is necessary for exercising or performing the rights or obligations of the data controller or the data subject to underemployment, social security laws, or any other similar laws. The data subject has given and not revoked consent to the processing for the specific purpose or purposes for which it will be processed. It is necessary to protect the vital interests of the data subject or of another individual where the data subject is physically or legally incapable of giving consent. In the situations above, the Data Protection Bill has the following principles: Data can only be processed for lawful purposes, which must be stated clearly beforehand. The consent of data subjects must be obtained. Data subjects also have the right to withhold or withdraw consent at any point. The data collected must not be used for any other purpose other than the stated one. For no reason should personal data be stored beyond the necessary timeframe. Also, data subjects can request deletion or destruction of their data by data controllers. All data must be accurate, with inaccuracies corrected immediately. Lastly, the integrity of personal data must be kept with the utmost priority. The NDPC is tasked with enforcing compliance with the rules. Child Consent The bill caters to the data of all Nigerian citizens, children included. In the Bill, a child is an individual under the age of 18. Section 33 of the bill states that: The data controller must obtain the child’s parent or legal guardian before processing personal data. It also emphasises the use of government-approved identification documents to prove the child’s age and consent. Although this does not apply when: Processing is necessary to protect the interests of the child. The processing is carried out for medical or social care purposes by a professional or similar service provider with a duty of confidentiality. Data Breach Management Data breaches, as a constant threat, have gained the attention of the Nigerian government. So, the bill laid out a proper guide for its management. The Data Protection Bill mandates data controllers and processors to keep a record of all personal data breaches. In addition, data controllers are to report every data breach that occurs to the NDPC within 72 hours. However, this timeframe can be extended due to the legal needs of law enforcement. Data Protection Officer and Compliance Services Section 33 of the bill mandates data controllers and processors of “major importance” to have a data protection officer well-versed in the data protection laws and practices. The DPO can be an employee or outsourced from a data protection service consultancy. Also, the Data Protection Bill 2023 outlines the tasks of a DPO as follows: Advising the data controller, processor,
An Overview of The Nigeria Data Protection Act
On June 12, 2023, the Nigerian government took a bold step towards achieving maximum data protection. The country enacted the Nigeria Data Protection Act to provide a comprehensive legal framework for data protection. While the European Union (EU) was miles ahead, this decision placed Nigeria on the same journey towards the protection of data. Prior to this, the Nigerian government made several attempts to protect personal data, one of which is the NDPR The NDPR, which stands for Nigerian Data Protection Regulation, was issued in February 2019 and established by the NITDA (Nigerian Information Technology Development Agency). But there wasn’t much regard for it. Why? A major shortcoming of the NDPR is that it’s subsidiary legislation and lacks vital provisions expected of a comprehensive law. For example, NITDA lacked the statutory authority to establish a commission with wide powers to deal with data privacy issues in Nigeria. This created a problem between foreign organisations and the Nigerian market, as the former could not trust the latter. So, the NDPA came into play as the principal data legislation in Nigeria. This article will provide an overview of the NDPA, its objectives, basic terminology, scope of application, principles, and penalties. Objectives of the Nigerian Data Protection Act (NDPA) There’s something about data that’s invaluable. A look at the estimated amount of data generated worldwide—2.5 quintillion bytes—proves how much the world uses data. While individuals can pretend to not need data, companies dare not say so. They need data to run promotions, for market expansions, product diversification and most importantly, digital marketing Now, companies are not the only users of data; cybercriminals obsess over it too. And they don’t care about who/what gets hurt. So, Organizations have to implement data protection systems against unauthorized access, loss, or compromise of data. So, how does the NDPA help out? The primary objective of the NDPA is to safeguard the fundamental rights and freedom of privacy as guaranteed under the constitution of the Federal Republic of Nigeria. The objectives of the NDPA in detail are: To protect the rights of data subjects by making sure personal data is processed in a lawful, fair, and transparent manner. This aligns with the basic principles of data protection. To provide a legal framework for the regulation and protection of personal data. Also a means of rectifying the rights of data subjects breached. To ensure data controllers and processors comply with their obligations to data subjects To promote data security and privacy in data processing activities in Nigeria. To ensure the inclusion of Nigeria in the regional and global economies through trusted use of personal data. Basic terminologies in NDPA. The Nigerian Data Protection Act has unique terminology. Here are some definitions to help you get started. Data controller Is an individual, private entity, public commission, agency, or any other body that, alone or jointly with others, determines the purpose and means of processing data. Data Processor The act describes a data processor as an individual, private entity, public authority, or any other body who processes data on behalf of a data controller or another data processor. Personal data Any information that relates directly or indirectly to an identified or identifiable individual by reference to an identifier, e.g., name, age, identity number, location ID, factors specific to the physical, psychological, cultural, social, or economic state of the individual. Sensitive personal data The act defined sensitive data as personal data relating to an individual’s Genetic and biometric data Ethnic origin Religious or similar beliefs, such as philosophy or conscience,. Sex life Health status Political opinion Trade union membership And other information deemed sensitive by the commission. Scope and Application of the Nigerian Data Protection Act The NDPA applies to the processing of personal data by data controllers and processors belonging to data subjects in Nigeria. The NDPA mandatorily applies in the following instances: Where the data processing takes place is Nigeria. The organisation processing data is not located in the country but processes data belonging to a Nigerian citizen. The data controller or processor is resident, domiciled, or operating in Nigeria. It’s important to note that the location of the controller or processor doesn’t matter as long as the data subject is in Nigeria; the NDPA applies. However, the Nigeria Data Protection Act has limitations. The Nigerian Data Protection Act does not apply to the processing of personal data carried out by one or more persons solely for personal or household purposes. Also, it’s important to know that this exemption applies when such processing doesn’t violate the fundamental rights of a data subject. Additionally, the NDPA will not apply if the processing of personal data is carried out by a competent authority for any of the following purposes: the prevention, investigation, detection, prosecution, or adjudication of a criminal offense or to execute a criminal penalty in accordance with any applicable law; to prevent or control a national public health emergency; for national security; in respect of publication in the public interest for journalism, educational, artistic and literary purposes to the extent that such obligations and rights are incompatible with such purposes; or necessary to establish, exercise, or defend legal claims, whether in court proceedings or in an administrative or out-of-court procedure Basic Principles of the Nigerian Data Protection Act (NDPA) Just like most data protection regulations around the world, the NDPA has principles guiding organisations to compliance. Consent Organisations must get the full consent of the data subjects before collecting, processing, and storing data. The subjects must give consent freely with no trace of foul play. The data subjects also have the right to withdraw their consent. Now, data processing is lawful without consent when carried out: To protect the interests of the data subject or another person, where the subject is physically or legally incapable of giving consent. To establish, defend a legal claim, get legal advice, or carry out a legal proceeding. To carry out a contract to which the data subject is a third party. To conduct a task of public interest.
NDPR: An Overview of The Nigeria Data Protection Regulation
Organizations all over the world are facing a great challenge, “how to safeguard data”. The process of safeguarding data, known as data protection, is a delicate one. Companies, small, medium, and large, are exposed to data threats like cyberattacks, accidental loss, and compromise. Where the wrong persons access data, forgeries, targeted attacks, and impersonations are some of the consequences. This pushed countries—Nigeria included—to lay ground rules to guide organizations through protecting the data of their citizens. Examples are the NDPR, GDPR, UK GDPR, etc. In this article, you’ll learn all there is to know about the Nigerian Data Protection Regulation(NDPR) What is the NDPR? The full NDPR meaning is NIGERIAN DATA PROTECTION REGULATION. It is a set of rules guiding the protection of Nigerian data by organizations. The Nigerian Data Protection Regulation has four objectives, which are: Territorial scope of the NDPR Just like most data protection laws, its reach extends beyond Nigerian borders. The NDPR applies to any organization processing the personal data of Nigerian citizens (home or abroad), regardless of its geographical location. For instance, If an organization in the EU wants to process the personal data of a Nigerian citizen, it has to follow the NDPR. When was the NDPR Established? The establishment of the Nigerian Data Protection Regulation occurred in January 2019 by the National Information Technology Development Agency (NITDA). Who Regulates NDPR? In the initial stages, the NITDA was the regulatory body. However, there was a need to create a separate body for the NDPR. The NITDA was stretched beyond what was necessary. The Nigeria Data Protection Bureau (NDPB) was established as the regulatory body. The purposes of NDPB are: Principles of the NDPR The Nigerian Data Protection Regulation has some principles guiding organizations (data controllers) Consent Organizations must get the full consent of the data subjects before collecting, processing, and storing data. The subjects must give consent freely with no trace of foul play. The data subjects also have the right to withdraw their consent. Lawfulness Data can only be collected for lawful purposes. Organizations must clarify the reasons for data collection, processing, and storage. Such purposes should be clearly disclosed to the data subjects. Accuracy Another principle is Accuracy. All the data collected by organizations must be correct. Any inaccuracy should be rectified immediately. Data minimization Data collected can only be processed for the stated purposes. It is unlawful to process data for any reason contradicting the initial purposes. Security Organizations must take specific precautions to ensure data security. This includes measures against unauthorized access, disclosure, loss, and alterations of personal data. Rights of data subjects. Also, the NDPR has provisions for data subjects. Individuals have the clear right to halt the processing of their data. They can also request access, erasure, and correction. Differences between the NDPR and NDPA. NDPA stands for the Nigerian Data Protection Act. Its issuance was in February 2023. The NDPA is the current data protection law in Nigeria. Its issuance did not completely overrule the previous laws—NDPR and the Data Protection Bill. Rather, they were placed under its umbrella. While the NDPA covers most of the NDPR, it lacks the specificity of the latter. The major difference between the two lies in the definition of terms. In summary, the NDPA and NDPR are more similar than different. In times where there is a conflict between the two, the NDPA is supreme. NDPR and GDPR The Nigerian Data Protection Regulation (NDPR) and the General Data Protection Regulation (GDPR) are the regulations for data protection in Nigeria and the EU, respectively. When it comes to it, the penalties are different. Non-compliance with the GDPR comes with a fine of up to 4% of the annual global profit or €20 million, whichever is higher. The NDPR non-compliance penalty is less severe. A fine of up to 2% annual global profit or 10 million Naira, whichever is greater. Nigerian Data Protection Regulation is an adaptation of the GDPR. GDPR is more comprehensive, with a broader scope. In conclusion The Nigerian Data Protection Regulation is important for safeguarding data in Nigeria, and meeting international standards while addressing local needs. Compliance with the NDPR will help organizations avoid penalties and foster trust among the client community. Are you an organization looking to scale up your NDPR and GDPR compliance? You can reach out to us at Johan Consults and be sure to get the best.
