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Why NCC approved 50% tariff hike for Nigerian Telcos

By Stanley Iwuoha

The Nigerian Communications Commission has explained that to salvage the telecom sector, fast winding down due to ballooning operational cost, was the reason it approved the adjustment of telecom tariffs by 50 percent.

The commissions says the adjustment is within its rights and powers as enshrined in section 108 of the Nigerian Communications Act, NCA of 2003.

The section empowers the commission to regulate and approve tariff rates and charges for the telecom sector.

According to the Commission, 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.

It will be recalled that tariff rates have remained static since 2013, despite the increasing costs of operation faced by telecom operators.

A statement signed by the Director of Public Affairs, Rueben Morka explained that these adjustments will support the ability of operators to continue investing in infrastructure and innovation, ultimately benefiting consumers through improved services and connectivity, including better network quality, enhanced customer service, and greater coverage.

Recognising the concerns of the public, Morka said this decision was made after extensive consultations with key stakeholders across the public and private sectors.

“The NCC has prioritised 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 recognises the financial pressures faced by Nigerian households and businesses and remains deeply empathetic to the impact of tariff adjustments. To this end, the Commission has mandated that operators implement these adjustments transparently and in a manner that is fair to consumers. Operators are also required to educate and inform the public about the new 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.
“As a regulator, the NCC will continue to engage with stakeholders to create a telecommunications environment that works for everyone—one that protects consumers, supports operators, and sustains the ecosystem that drives connectivity across the nation.”

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