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NCC Approves, Caps Tariff Hike At 50% For Telecom Operators

Thecabal by Thecabal
January 20, 2025
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NCC Approves, Caps Tariff Hike At 50% For Telecom Operators
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The Nigerian Communications Commission (NCC) has approved tariff adjustment, as requested by telecoms operators, capping maximum increment at 50 per cent.

This was made known in a statement signed by Mr Reuben Muoka, Director of Public Affairs, NCC, and made available to newsmen on Monday.

The NCC said: “Pursuant to its power under Section 108 of the Nigerian Communications Act, 2003 (NCA) to regulate and approve tariff rates and charges by telecommunications operators, it would be granting approval to tariff adjustment requests by network operators in response to prevailing market conditions.”

It said that although the increment was lower than the over 100 per cent requested by some network operators, the commission had to take into account ongoing industry reforms that would positively influence sustainability.

“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.

“Tariff rates have remained static since 2013, despite the increasing costs of operation faced by telecom operators.

“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 commission said.

It said that the adjustments would support the ability of operators to continue investing in infrastructure and innovation.

The NCC added that, the adjustment would ultimately benefit consumers through improved services and connectivity, including better network quality, enhanced customer service, and greater coverage.

It said that recognising the concerns of the public, the decision was made after extensive consultations with key stakeholders across the public and private sectors.

“The NCC has prioritised striking a balance between protecting telecoms 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,” it said.

The NCC said it would continue to show its dedication to fostering a resilient, innovative, and inclusive telecommunications sector.

It added that, 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,” it said. (NAN)

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