No-No! Telecoms Subscribers Association Rejects Tariff Hike
The Nigerian Communications Commission (NCC) had on Monday approved a 50% tariff increase for telecom operators in the country following calls by the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) for an upward review of tariff.
But the National Association of Telecoms Subscribers (NATCOMS) has faulted the move and threatened to sue.
“It is not it at all. It is so much for subscribers to bear. Already, we are grappling with a lot of things that are surrounding the business climate here – fuel cost, electricity cost, and all that – you are now looking at telcos asking for 100% and NCC now is granting them 50%. It is a no-no,” NATCOMS president Deolu Ogunbanjo said on Tuesday’s edition of Channels Television’s Lunchtime Politics.
“We are definitely not going to accept this,” the NATCOMS chief insisted.
Telecoms operators had asked for a 100% hike in tariff, citing operational and increments in other sectors like aviation and power.
According to the operators, tariffs have not been increased in the sector for about 11 years which if allowed to continue will impact the quality of service delivery in the country.
“So, it addresses sustainability and also enables the regulators to hold the big stick on the issue of quality of service and allows us consequently to invest in giving the quality of service Nigerians deserve,” the Chief Executive Officer of MTN Nigeria Karl Toriola said during his January 3, 2025
NATCOMS does not, however, buy the argument.
“There are so many windows open to them,” Ogunbanjo said referencing options like a five to 10% increment in tariff, and “initial public offerings” among others.
“We would want to call on them to bring it to our demanded five to 10% increase.”
He threatened that NATCOMS would take the telecoms operators to court and claimed that during the last meeting of stakeholders, no agreement was reached on tariff increment.
“To be quite honest, it is a bit shocking,” the NATCOMS president added.
