Why Nigerians need to Brace up for 50% Telecom Tariff Hike. – Tech. Expert
By Dooyum Naadzenga
Tech expert, Bosun Ayeni analyses the implications of the 50 % telcos tariff hike.
With the approval, January 20, 2025 by the Nigerian Communications Commission (NCC) of a staggering 50% increase in tariffs for mobile network operators (MNOs), marking the first major adjustment since 2013.
The decision comes amidst rising operational costs driven by inflation, currency devaluation, and increasing diesel prices that have severely impacted telecom operators’ profitability
While the NCC argues that this hike is essential for sustaining the telecom sector, many Nigerians fear the financial strain it will impose on households already grappling with economic challenges.
The average cost of calls and data will rise significantly, with the price of 1GB of data jumping from approximately ₦350 to ₦525, pushing essential communication services further out of reach for low-income citizens
Telecom executives have long warned that without a tariff adjustment, the industry could face dire consequences. MTN Nigeria’s CEO highlighted that failure to increase tariffs could lead to service shutdowns due to unsustainable operational costs
The NCC’s approval, however, has drawn mixed reactions from consumer advocacy groups, who demand improved service quality in exchange for higher prices.
Critics argue that this increase could exacerbate the digital divide in Nigeria, particularly affecting students and small businesses that rely on affordable telecom services for communication and economic activities.
The potential shift towards over-the-top messaging platforms may further diminish traditional telecom usage, impacting revenue streams for MNOs.
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In response to these challenges, stakeholders are calling for a more gradual implementation of the tariff hike and better coordination between the government and telecom operators to ensure that increased costs do not disproportionately affect vulnerable populations
As the February implementation date approaches, consumer groups are prepared to take legal action if service quality does not improve alongside the new rates.
Ultimately, as Nigerians brace for this significant tariff hike, the question remains: will this move stabilize the telecom sector or deepen the economic struggles of millions? The coming weeks will be crucial in determining whether this decision leads to improved services or further disenfranchisement of everyday users
