Telecom Tariff Hike: Subscribers to Negotiate With NCC Today as NLC, NANS Threaten to Protest

• Nigerian subscribers under the aegis of the National Association of Telecommunication Subscribers (NATCOMS) will be negotiating with NCC today
• The body hopes to persuade NCC to rescind the earlier approval given to TelCos to increase tariffs by up to 50%
• Meanwhile, the threat to go to court still stands, even as the Nigerian Labour Congress and the National Association of Nigerian Students (NANS) threaten to protest

Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.

The National Association of Telecommunication Subscribers (NATCOMS) have said it will engage with the Nigerian Communications Commission (NCC) today over the recently approved tariff increase, and seek a rescindment of the decision.

The subscriber body cautioned the NLC from taking collective actions, noting that doing so would send a wrong signal to investors in Nigeria and make the country unattractive to them.

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Adeolu Ogunbanjo, the NATCOMS president, noted that the civil option would be to take the case to court instead of instigating a boycott or protest.

He noted that the telecommunications sector represents a model of what successful deregulation of an industry represents, and the private players are there to make a profit. It was only regrettable that the NCC did not consult with consumers before the approval.

Ogunbanjo, however, suggested that rather than pass on the increased costs to subscribers, the companies should explore alternatives to raise capital to inject into the business.

This, he said, will be at the core of the NATCOMS engagements with NCC and the Telcos, the PUNCH reports.

NANS to join NLC in protest

The National Association of Nigerian Students has equally complained about the hike. In a statement, Oladimeji Uthman, the Clerk of the Senate at NANS National Headquarters, said that this move will compound hardships for Nigerian students.

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The student body called for a reversal of the decision, threatening that they would embark on nationwide protests if nothing is done. They described the move as inconsiderate, as students need affordable internet to access information globally and bridge the gaps in Nigeria’s education system.

This reaction suggests that the body may be joining the Nigerian Labour Congress (NLC) to embark on collective action.

NCC, Telcos agreed on 50% raise in tariffs

Nigerian telecom operators have been agitating for a raise in telecom tariffs since 2024. They claim that the hike is due to the volatile foreign exchange market, rising energy costs, and inflation, which have resulted in significant losses in recent years. They also noted that they were running at a loss and needed to increase tariffs to stay afloat.

While denying their request for a 100% tariff increase, the Federal government proposed a rate increase of 30 to 60%.

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Recently, the NCC eventually permitted telecom operators to raise their tariffs by 50%. This represents the first hike in over 11 years, and the operators insist that Nigeria’s economic realities justify it.

Responding to the approval, Karl Toriola, CEO of MTN Nigeria, said the adjustment would address rising operational costs and ensure critical investments in infrastructure in the telecom industry.

The Federal Competition and Consumer Protection Commission (FCCPC) also sent a message to TelCos that the new tariff regime must feature improved services as there would be zero tolerance for network blackout of congestion.

Subscribers threaten court action over increased tariffs

In an earlier development, Legit.ng reported that the subscribers under the umbrella of the National Association of Telecoms Subscribers would be suing the Nigerian Communications Commission (NCC).

This decision came after the NCC approved telecommunications companies' (telcos') proposal to increase prices on January 20.

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50% Telcom tariff hike: Nigerians ready to battle FG in court, issue demands

The president of NATCOMS stated that the federal government's approved tariff rise of 50% was unacceptable, especially without due consultation with subscribers.

Source: Legit.ng