Court Reserves Judgment in MultiChoice, FCCPC's Price Hike Dispute

• Multichoice and the Federal Competition and Consumer Protection Commission (FCCPC) are in court
• The case is over Multichoice's recent decision to implement new DStv and GOtv subscription fee hikes
• FCCPC had earlier asked the payTV company not to go ahead with the price hike, but Multichoice argued it does not require regulatory approval

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The Federal High Court in Abuja has scheduled May 8, 2025, for its judgment in the legal battle between MultiChoice Nigeria and the Federal Competition and Consumer Protection Commission (FCCPC) concerning recent subscription fee hikes for DStv and GOtv services.

Justice James Omotosho fixed the date after hearing arguments from both parties on the FCCPC's authority to regulate MultiChoice's pricing decisions.

MultiChoice's legal team, led by senior advocate N.J. Onigbanjo, argued that under Nigeria's free-market economy, service providers like MultiChoice are not required to seek regulatory approval before adjusting prices.

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Onigbanjo contended that the FCCPC Act does not grant the commission authority to regulate prices, asserting that only the President of Nigeria holds such power.

Court proceedings over DStv/GOtv price hike

The court heard that MultiChoice had notified the FCCPC of its planned price increase in a letter dated February 21, 2025.

However, despite this communication, the FCCPC ordered MultiChoice to suspend the price adjustment on February 27, prompting MultiChoice to file a lawsuit on March 3 challenging the directive.

In response to MultiChoice's actions, FCCPC's counsel, Prof. J.E. Agbugu, SAN, defended the commission's stance, citing Sections 17(e) and 17(f) of the FCCPC Act, which empower it to investigate price increases and protect consumers from unfair practices.

Agbugu clarified that while the FCCPC does not fix prices, it has the statutory authority to scrutinize price hikes to prevent exploitation.

During the proceedings, the court allowed the FCCPC to regularize its counter-affidavit and dismissed an interlocutory injunction previously sought by MultiChoice as outdated. Justice Omotosho also questioned the potential imposition of price controls in a free-market economy to safeguard consumers, a point Onigbanjo countered by reaffirming that only presidential directives could establish price ceilings, which were not issued in this case.

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The court reserved its judgment until May 8, 2025, amid ongoing disputes over the legality of MultiChoice's price adjustments and the FCCPC's regulatory jurisdiction, Punch reports.

Multichoice increases DSTV prices

In a previous report by Legit.ng, MultiChoice Nigeria announced the price hikes on March 1, 2025, attributing them to inflation and rising operational costs.

The increases ranged up to 25% across various packages: DStv Compact rose from N15,700 to N19,000, Compact Plus from N25,000 to N30,000, DStv Premium from N37,000 to N44,500, and GOtv Supa Plus from N15,700 to N16,800.

The FCCPC contested these hikes, directing MultiChoice to halt them pending regulatory review. When MultiChoice proceeded with the adjustments regardless, the FCCPC initiated legal action at the Federal High Court in Abuja.

Proofreading by James Ojo, copy editor at Legit.ng.

Source: Legit.ng