The Federal High Court in Abuja has scheduled May 8, 2025, for judgment in the legal battle between the Federal Competition and Consumer Protection Commission, FCCPC, and MultiChoice Nigeria over the company’s recent subscription price hike.

The FCCPC insists that its lawsuit is not an attempt to regulate prices but to curb alleged exploitative practices and market dominance abuse. This position was presented by the commission’s counsel, Prof. J.E. Agbugu, during Thursday’s court proceedings.

MultiChoice Nigeria had increased subscription fees for its DStv and GOtv packages by up to 25% from March 1, 2025, citing inflation and rising operational costs. The adjustment saw DStv Compact rise from ₦15,700 to ₦19,000, Compact Plus from ₦25,000 to ₦30,000, Premium from ₦37,000 to ₦44,500, and GOtv Supa Plus from ₦15,700 to ₦16,800.

Following the announcement, the FCCPC directed MultiChoice to suspend the price increase pending regulatory review. However, the company proceeded with the adjustment, prompting the commission to initiate legal action.

MultiChoice’s lead counsel, N.J. Onigbanjo, argued that Nigeria operates a free-market economy where service providers are not required to obtain regulatory approval before adjusting prices. He emphasized that the FCCPC lacks the authority to regulate pricing, stating that only the President has the legal power to impose price controls.

In response, Agbugu maintained that the FCCPC is empowered under Sections 17(e) and 17(f) of the FCCPC Act to investigate price increases and protect consumers from unfair business practices. He also claimed that MultiChoice failed to justify its price hike despite being invited for regulatory engagement.

Onigbanjo countered that MultiChoice had notified the FCCPC of its planned price review in a letter dated February 21, 2025, before the commission issued its suspension directive on February 27. He further noted that the company had filed a lawsuit on March 3, challenging the directive, but the FCCPC responded with a threat of prosecution.

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The MultiChoice counsel also accused the FCCPC of selectively targeting the company while other service providers had raised their prices due to similar economic challenges. Agbugu dismissed this claim, insisting that MultiChoice’s actions were unjustified and required regulatory scrutiny.

During the hearing, Justice James Omotosho struck out an interlocutory injunction previously sought by MultiChoice, stating that it had been overtaken by events. The court also granted an oral application allowing the FCCPC to regularize its counter-affidavit.

A key issue raised during the proceedings was whether the government has the power to impose price controls in a free-market economy to protect consumers. Justice Omotosho questioned this point, prompting Onigbanjo to reaffirm that only the President could set price ceilings, and no such directive had been issued.

After considering arguments from both sides, the court adjourned the case until May 8, 2025, for judgment, a decision that could have significant implications for both consumers and service providers.

Crediblenewsng.com