State gaming regulators urge FCCPC to strip lottery powers from draft rules

The Federation of State Gaming Regulators of Nigeria (FSGRN) has asked the Federal Competition and Consumer Protection Commission (FCCPC) to remove all lottery and prize-draw provisions from its draft Sales Promotion (Amended) Regulations, 2026. The FSGRN published the demand in a statement on 21 October 2026 after the FCCPC had published the draft on 30 September 2026 and closed the public comment window on 20 October 2026.

The FSGRN's position and requested amendments

The federation wants an immediate review and amendment of the draft to excise every provision it says encroaches on the constitutional powers of states over lotteries, promotional lotteries, prize draws and games of chance. The statement, signed by Olajide Boladuro, Director-General of the Oyo State Lottery and Gaming Board and Vice Chairman of the FSGRN, asks the FCCPC to remove all references to the National Lottery Act, 2005 and to the National Lottery Regulatory Commission (NLRC) where those references relate to promotional lotteries.

The FSGRN also calls on the Attorney-General of the Federation to ensure federal agencies comply with the Supreme Court judgment of November 2024. The federation framed its objection around the principle that a lottery remains a lottery even when described as a sales promotion, quoting its own statement:

"A lottery does not cease to be a lottery merely because it is described as a sales promotion."

The statement adds a broader legal claim: "What the Federal Government has been restrained from doing directly cannot lawfully be accomplished indirectly through another federal agency, a different regulatory instrument or a change in administrative terminology."

Which parts of the draft attract objection

The FSGRN identified specific provisions it says amount to federal usurpation of state regulatory authority:

• Regulation 1, which the federation reads as extending the rules to lotteries, digital platforms and promotional activities across all sectors of the economy.

• Regulation 3, which states promotions that qualify as lotteries under the National Lottery Act, 2005 must comply with that Act and obtain NLRC approval.

• Part II, which requires sales promotions to be registered with the FCCPC, with fees, registration certificates and powers to refuse, suspend or revoke registration.

• Part VIII, which would permit the FCCPC to supervise prize draws, monitor winner selection, demand information about random selection algorithms and order re-draws where irregularities are suspected.

• Regulation 64, which provides for cooperation between the FCCPC and the NLRC where a promotion contains elements of a lottery.

The federation says those powers go beyond consumer protection and amount to licensing and supervisory activity properly exercised by gaming regulators at state level.

Legal background: the November 2024 Supreme Court judgment

The FSGRN bases its argument on the Supreme Court decision in Attorney-General of Lagos State & Ors v. Attorney-General of the Federation & Ors, Suit No. SC/1/2008, decided on 22 November 2024. The federation says the court nullified the National Lottery Act, 2005 as it applied to state regulation of lotteries and granted, under Relief/Declaration No. 9, a perpetual injunction restraining "the Federal Government and its agencies" from exercising the impugned lottery powers within the states. The Federal Capital Territory was treated separately and remained within the legislative reach of the National Assembly.

Some coverage has described the injunction more narrowly as restraining federal enforcement in the plaintiff states, but the FSGRN contends the injunction applies generally to federal agencies and therefore to the FCCPC.

Other consultation responses and FCCPC's stated intent

The FSGRN is not the only respondent to the FCCPC consultation. The Foundation for Consumer Freedom Advancement (FCFA) also submitted comments supporting action against fraudulent promotions while warning that some proposed requirements could extend into ordinary advertising and discounts. The FCFA's concerns are framed around consumer protection rather than the constitutional division of powers.

The FCCPC described the consultation as intended to gather input on protecting consumers and keeping promotional practices fair. The proposed amendments update Nigeria's existing sales promotion rules and change the notification fees that apply. The draft is labelled the Sales Promotion (Amended) Regulations, 2026.

Potential practical effects identified by the FSGRN

The FSGRN does not deny the FCCPC a role in consumer protection but draws a line between protecting someone who enters a lottery and licensing or supervising lotteries themselves. It warns that, as it reads the draft, operators running promotional lotteries could require FCCPC registration and NLRC approval in addition to any approval already held from state gaming regulators. The federation says such duplication would add compliance costs, regulatory uncertainty and conflicting requirements for operators and players.

For anyone entering a prize draw or promotional lottery in Nigeria, the draft remains a proposal only: the comment period closed on 20 October 2026 and the FCCPC had not published a response to the FSGRN as of the federation's statement. The article was last updated 23 October 2026.

For related coverage of regulatory developments see our pieces on regulation and recent industry reactions in news.