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NCC approves 50% telecom tariff hike

First rate change in over a decade

Credible News by Credible News
January 20, 2025
in Development, Human Interest, News
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The Nigerian Communications Commission, NCC, has approved tariff adjustments for telecom operators, marking the first rate change since 2013.

This decision, announced on Monday through a statement signed by the Director of Public Affairs, Reuben Muoka, comes in response to rising operational costs within the industry.

The adjustments will allow for a maximum increase of 50% to existing tariffs, significantly lower than the more than 100% hike some operators had initially requested.

The NCC made this decision under its authority provided by Section 108 of the Nigerian Communications Act, 2003, and clarified that the new tariffs would remain within the parameters set by its 2013 Cost Study.

The commission emphasized that the tariff adjustments would also adhere to its 2024 Guidance on Tariff Simplification, ensuring transparency and fairness during implementation.

“The adjustment, capped at 50% of current tariffs though less than the over 100% proposed by some operators was made after considering ongoing industry reforms that will support long term sustainability,” the statement noted.

The NCC also assured that the changes would remain within the tariff bands outlined in its 2013 Cost Study, with requests being reviewed on a case by case basis, as is the commission’s usual practice during tariff reviews.

While tariff rates have remained unchanged since 2013, telecom operators have faced rising operational costs, making the adjustment necessary to address the gap between current tariffs and the financial pressures of running telecom services.

The NCC noted that the adjustment aims to balance the need for service sustainability with the delivery of quality services to consumers.

The commission further stressed that the tariff changes were essential for maintaining investments in infrastructure and innovation, which would, in turn, benefit consumers through improved services, better network quality, and wider coverage.

The decision followed extensive consultations with stakeholders in both the public and private sectors, with the NCC focusing on balancing consumer protection with industry sustainability.

Acknowledging the financial challenges faced by Nigerian households and businesses, the NCC required operators to implement the new rates transparently and educate the public on the adjustments.

Moreover, operators will need to demonstrate measurable improvements in service delivery as part of the tariff revisions.

In addition to protecting consumers, the NCC emphasized that its actions aimed to sustain the industry’s long-term health, support local vendors and suppliers, and foster the growth of Nigeria’s digital economy.

The commission reaffirmed its commitment to maintaining an inclusive telecommunications environment that supports both consumers and the wider ecosystem that drives national connectivity.

“The NCC is committed to ensuring a resilient and inclusive telecommunications sector,” Muoka concluded, “engaging with stakeholders to safeguard consumer interests while promoting the growth of the country’s digital infrastructure.”

Crediblenewsng.com

Tags: Electricity TarrifHikeMr. Reuben MuokaNigerian Communications Commission
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