• Thu. Feb 13th, 2025

NCC Balances Industry Sustainability, Consumer Protection In Telecom Tariff Adjustment

The Nigerian Communications Commission (NCC) has approved a modest adjustment in telecommunications tariffs, capping the increase at 50%, to address the financial challenges faced by operators while safeguarding consumer interests. This decision comes amidst mounting operational costs in the sector, which had remained static for nearly a decade despite escalating demands for data and voice services.

Announcing the development, the NCC emphasized that the adjustment aligns with its regulatory mandate under the Nigerian Communications Act of 2003. The Commission said the move was informed by extensive consultations with stakeholders, ensuring a balance between the rising costs borne by telecom operators and the economic realities of Nigerian households.

The NCC noted that the adjustments were necessary to mitigate the impact of inflation, energy costs, and currency devaluation on the telecommunications sector. Operators have struggled with these challenges, which have threatened service quality, network expansion, and job sustainability.

Telecom operators had initially proposed a 100% tariff increase, citing the need to reflect the current cost of operations. However, the NCC approved a maximum adjustment of up to 50%, maintaining rates within the tariff bands established in its 2013 Cost Study. This decision reflects the NCC’s commitment to creating a fair and competitive telecommunications environment while prioritizing consumer protection.

The Commission also mandated operators to implement the changes transparently, educate customers about the new rates, and offer affordable plans tailored to various income levels. It further assured Nigerians that it would closely monitor the implementation to ensure compliance with its guidelines and prevent exploitation.

The NCC stressed that the tariff adjustment was not related to ongoing tax reforms but aimed at bolstering the telecommunications sector’s capacity to support Nigeria’s digital economy. This includes enabling operators to invest in infrastructure upgrades, expand network coverage, and enhance service quality, ultimately benefiting consumers with better connectivity and reduced service downtime.

Assistant Comptroller-General of Customs in charge of Finance and Administration, Hussain Ejibunu, commended the NCC’s efforts, describing the decision as a patriotic move to secure the sector’s future. He urged Nigerians to view the adjustments as a forward-looking strategy to strengthen the industry, foster innovation, and sustain Nigeria’s global competitiveness in telecommunications.

The NCC’s actions reflect its role as a regulator committed to balancing the interests of operators, consumers, and the broader economy. Through this tariff adjustment, the Commission is ensuring the long-term sustainability of the sector while laying the groundwork for Nigeria’s continued digital transformation.

Hyacinth Beluchukwu Nwafor

Hyacinth Beluchukwu Nwafor is a seasoned journalist and the CEO/Founder Belch Digital Communications, publishers of Hybrid News Nigeria.

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