NATCOMS decries 50% telecom tariff hike, say 10% sufficient 

The National Association of Telecommunications Subscribers (NATCOMS) says the Nigerian Communications Commission’s (NCC) has refused to honour its appeal to reduce its 50 per cent tariff hike approval to 10 per cent.

The National President, NATCOMS, Mr Deolu Ogunbanjo told the News Agency of Nigeria (NAN) on Thursday that the appeal was made in a letter sent to the NCC chief executive officer on Friday, Jan. 24, 2025

NCC approves 50% tariff hike for telecom operators

Ogunbanjo said that the letter of appeal proposed a maximum tariff hike of 10 per cent as a more balanced measure, allowing operators to generate revenue while minimising the burden on consumers.

According to him, the 50 per cent tariff hike approval is an overkill.

He said that, as the NCC had refused to honour its appeal, the association would be filing a case in court to contest the tariff hike approval given to Mobile Network Operators (MNOs) by the commission.

The NATCOMS president also called on the Nigeria Labour Congress to shelve its proposed Feb. 4 protest on tariff hike, and rather embrace dialogue.

Ogunbanjo told NAN that its letter to the NCC cited the potential of a 50 per cent tariff hike to devastate consumers and the economy.

“The proposed 50% hike is expected to have far-reaching implications.

“Small businesses may be forced to shut down, while larger businesses may pass the increased costs to consumers.

“Students who rely on data for academic purposes may face significant disruptions to their learning.

“Senior citizens who depend on telecommunications services to stay in touch with loved ones may be forced to revert to outdated communication methods.’’ he said.

The NATCOMS boss stressed that  telecommunications operators had alternative options of generating capital, such as aggressive debt collection, intra-industry debt management, and loan financing, rather than passing the burden to consumers.

He noted that the operators had previously reaped massive profits, which could be reinvested to improve service delivery instead of imposing a hefty tariff hike.

BRANDECONOMY reports that the Nigerian Communications Commission (NCC), the industry’s regulatory body had approved a maximal increment of 50 per cent tariff adjustments to operators.

The Commission said its approval of telecom tariff hike, though less than the 100 per cent hike demanded by operators, was in response to prevailing operational costs.

It said that its decision was in 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.

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

“The NCC recognises the financial pressures faced by Nigerian households and businesses and remains deeply empathetic to the impact of tariff adjustments,’ the NCC said in a statement.

It noted that these adjustments would support the ability of operators to continue investing in infrastructure and innovation, ultimately benefiting consumers through improved services and connectivity.

The NCC added that consumers would benefit from better network quality, enhanced customer service, and greater coverage within the country.