NCC approves up to 50% tariff adjustment to support telecom sector

BY MOTOLANI OSENI

The Nigerian Communications Commission (NCC) has approved requests from telecommunications operators for tariff adjustments of up to 50 per cent.

This move, made under the powers granted to the NCC by Section 108 of the Nigerian Communications Act, 2003, aims to address rising operational costs and ensure the long-term sustainability of the telecom sector.

The approved adjustment is significantly lower than the over 100 per cent increase requested by some operators. It was determined after careful consideration of ongoing industry reforms and is capped within the tariff bands outlined in the NCC’s 2013 Cost Study. Adjustments will be reviewed on a case-by-case basis, adhering to the recently issued NCC Guidance on Tariff Simplification, 2024.

Tariff rates in Nigeria have remained static since 2013, despite the rising costs faced by telecom operators. The NCC stated that the adjustment is necessary to bridge the gap between operational costs and existing tariffs while ensuring continued service delivery to consumers.

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The commission stressed that the adjustments would allow operators to invest in critical infrastructure and innovation, ultimately benefiting consumers with improved network quality, better customer service, and expanded coverage. Operators are also required to implement the adjustments transparently and educate the public about the new rates, highlighting measurable improvements in service delivery.

Recognising public concerns, the NCC explained that the decision was made after extensive consultations with stakeholders across the public and private sectors. The Commission is committed to balancing consumer protection with the sustainability of the telecom industry, which includes thousands of indigenous vendors and suppliers who form a critical part of the ecosystem.

The NCC acknowledged the financial pressures faced by Nigerian households and businesses and expressed empathy regarding the impact of the adjustments. It has mandated that operators implement the changes fairly and transparently to minimise consumer burdens while enhancing service delivery.

Additionally, the NCC reaffirmed its dedication to fostering a resilient and inclusive telecommunications sector. Beyond addressing operational challenges, the Commission’s actions are designed to support indigenous businesses, promote innovation, and drive the growth of Nigeria’s digital economy.

As a regulator, the NCC pledged to continue engaging with stakeholders to create a telecommunications environment that serves everyone, protects consumers, and sustains the industry’s ecosystem for long-term growth and connectivity nationwide.