Reps Demand Reversal Of Telecom Tariff Hike As New Fees Begin
On Tuesday, following a motion of urgent national importance submitted by Representative Oboku Oforji, the House of Representatives called for the immediate suspension of a 50% increase in telecom tariff
The House condemned the substandard service delivery from telecom operators, insisting that any tariff hike should be postponed until service improvements are made. Lawmakers directed the Nigerian Communications Commission (NCC) and Minister of Communications, Innovation, and Digital Economy Bosun Tijani to halt the tariff increase in light of the country’s economic hardships.
This call to action coincided with the rollout of the new tariff regime, which had been previously approved by the NCC. On social media, many subscribers noted an approximate 50% surge in the costs of calls, data, and text messages.
According to official data from December 2023, Nigeria has over 224 million telecom subscribers. MTN leads with more than 87 million subscribers, accounting for 38.79% of the market share, while Globacom and Airtel each serve 61 million users, and 9mobile has 13.9 million subscribers.
Earlier in January, the NCC said telephone subscribers in Nigeria would pay more for data and airtime as it approved a 50% tariff increase for telecom operators in the country.
A spokesman for the regulator, Reuben Muoka, had said the price adjustment, though lower than the “over 100% requested by some network operators, was arrived at taking into account ongoing industry reforms that will positively influence sustainability”.
The regulator had said the increase was 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.
Also, the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) had threatened an industrial action, demanding a reversal of the hike, but the labour unions aborted their rallies after last-minute talks with government representatives.
Nigerians are experiencing what many have described as the worst economic crisis in decades following the removal of energy subsidies and the floating of the naira. The two economic policies, many believed, have plunged Nigeria into severe inflationary pressures.
After his inauguration in May 2023, President Bola Tinubu, former Lagos governor, removed petrol subsidy and floated the naira. Petrol prices more than quadrupled, soaring from less than N200 per litre to over N1,100 in many parts of the country. The naira also took a nosedive, wobbling from around N700/$ to N1,600.
Food and commodity inflation have skyrocketed as Nigerians battle what can pass for the worst cost of living crisis since the country’s independence over six decades ago.
