NCC Approves 50% Telecom Tariff Hike, Mandates Transparent Pricing for Subscribers
NCC Approves 50% Telecom Tariff Hike, Mandates Transparent Pricing for Subscribers
The Nigerian Communications Commission (NCC) has directed telecommunications operators to simplify tariff structures, ensuring transparency and ease of understanding for subscribers. This follows the commission’s approval of a 50% tariff increase in the telecom sector.
Chairman of the Association of Licensed Telecommunication Operators of Nigeria (ALTON), Engr. Gbenga Adebayo, made the announcement during a national television interview on Tuesday. He assured Nigerians that the tariff adjustment would lead to improved service quality and a more sustainable telecom industry.
Adebayo emphasized that the increase was long overdue, given rising operational costs and economic pressures.
“In the past 12 years, there has been no tariff adjustment, even as costs for diesel, energy, and other operational inputs have surged. The previous rates were no longer sustainable, and the industry faced the risk of collapse. This review ensures that tariffs are reflective of market dynamics and commensurate with the cost of providing services.”
He clarified that the price adjustment underwent due regulatory processes and was necessary to keep the sector viable.
“Our regulator doesn’t set prices but ensures they align with market forces. This adjustment is the result of comprehensive engagement with the government and our regulator, making it both transparent and necessary.”
Adebayo assured Nigerians that the tariff increase would translate into improved network performance and service quality.
“We are committed to optimizing our networks, upgrading systems, and improving service delivery. The government has also mandated us to simplify tariffs, making them more transparent and easier for subscribers to understand.”
According to him, telecom operators are already implementing quick fixes to enhance service quality while deploying new infrastructure to strengthen network performance.
“While there are consequences of delayed investments in the sector, this tariff review provides a much-needed opportunity to restore and improve infrastructure.”
Adebayo also highlighted the importance of foreign exchange stability in sustaining telecom operations and attracting investments.
“Many of our obligations were contracted at previous exchange rates but must now be serviced at current rates. Stability in the currency market will allow us to better manage these obligations and attract the investments needed to grow the sector.”
He expressed optimism that the tariff adjustment would restore investor confidence, leading to job creation and economic growth.
“A strong telecom sector is vital to commerce, banking, education, health, and other critical sectors. By strengthening our foundation, we will continue to drive Nigeria’s economy forward.”
Acknowledging the concerns of subscribers, Adebayo urged Nigerians to see the tariff adjustment as a necessary response to economic realities.
“What hasn’t increased in the last 24 months? These adjustments are a reflection of global economic realities, not arbitrary decisions. We are the backbone of other infrastructures, and a thriving telecom sector is crucial to national development.”
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He assured the public that the industry is on the path to recovery and long-term sustainability.
“We are committed to building on past progress, providing better services, and creating opportunities for economic transformation. With this review, the future looks brighter for the telecom sector and, by extension, the Nigerian economy.”
The NCC’s directive ensures that telecom operators present clear and understandable pricing structures, helping subscribers navigate the new tariff regime with ease.
