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Home Top stories

Tariff Increase: NCC Okays 50% Jump

Admin by Admin
January 20, 2025
in Top stories
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The Nigerian Communications Commission (NCC) is set to approve tariff adjustments for telecommunications operators, exercising its authority under Section 108 of the Nigerian Communications Act, 2003. This move is in response to the current market conditions, which have led network operators to request tariff hikes.

The adjustment, capped at a maximum of 50 per cent of current tariffs, though lower than the over 100 per cent requested by some network operators, was arrived at taking into account ongoing industry reforms that will positively influence sustainability, Director Public Affairs, Reuben Muoka disclosed in a press release.

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.

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, 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.

The Nigerian Communications Commission (NCC) remains committed to developing a telecommunications sector that is resilient, innovative, and inclusive. The Commission’s goal goes beyond protecting consumers; it aims to ensure the long-term sustainability of the industry, empower local vendors and suppliers, and drive the growth of Nigeria’s digital economy.

As a key regulator, the NCC will continue to dialogue with stakeholders to foster a telecommunications environment that benefits all parties. This collaborative approach aims to strike a balance between consumer protection, operator support, and ecosystem sustainability, ultimately driving nationwide connectivity.

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