The Nigerian Communications Commission (NCC) has approved a 50 per cent tariff hike for telecommunications network operators in the country.
Confirming the approval in a statement on Monday, NCC Spokesman, Reuben Muoka, said it was in response to prevailing market conditions.
Join our WhatsApp ChannelMuoka stated that although it was not up to 100 per cent as requested by some network operators, the 50 per cent tariff adjustment “was arrived at taking into account ongoing industry reforms that will positively influence sustainability.”
He explained that the tariff increase was in line with Section 108 of the Nigerian Communications Act, 2003 (NCA) which provides for regulation and approval of tariff rates and charges by telecommunications operators.
According to the statement, “these adjustments will remain within the tariff bands stipulated in the 2013 NCC Cost Study and requests will be reviewed on a case-by-case basis as is the Commission’s standard practice for tariff reviews. It will be implemented in strict adherence to the recently issued NCC Guidance on Tariff Simplification, 2024.”
The regulator said tariff rates had remained static since 2013, despite the increasing costs of operation faced by telecom operators.
It emphasised that the approved adjustment is “aimed at addressing the significant gap between operational costs and current tariffs while ensuring that the delivery of services to consumers is not compromised.”
The regulator added that the tariff adjustments will help operators to continue investing in infrastructure and innovation, to render quality service to consumers.
The NCC said that in recognition of the concerns by the public, the decision to approve the tariff increase was made after extensive consultations with key stakeholders across the public and private sectors. “The NCC has prioritized striking a balance between protecting telecom consumers and ensuring the sustainability of the industry, including the thousands of indigenous vendors and suppliers who form a critical part of the telecommunications ecosystem.
“The NCC recogniszes the financial pressures faced by Nigerian households and businesses and remains deeply empathetic to the impact of tariff adjustments,” it explained.
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The statement said the Commission has mandated that telecoms operators implement the tariff adjustments in a manner that is fair and transparent to the consumers.
It also mentioned that telecoms operators are required to enlighten the public about the new tariff rates “while demonstrating measurable improvements in service delivery.
“Additionally, the NCC reaffirms its dedication to fostering a resilient, innovative, and inclusive telecommunications sector. Beyond protecting consumers, the Commission’s actions are designed to ensure the long-term sustainability of the industry, support indigenous vendors and suppliers, and promote the overall growth of Nigeria’s digital economy.”
NCC added that as a regulator, it would continue to engage with stakeholders to create an environment that is conducive to everyone, including consumers and operators.
Victor Ezeja is a passionate journalist with six years of experience writing on economy, politics and energy. He holds a Masters degree in Mass Communication.