NCC opposes operators’ proposed 40% tariff hike

14 June 2022

An annoucement from The Nigerian Communications Commission (NCC) acknowledged the receipt of a letter from the Association of Licensed Telecommunication Operators of Nigeria (ALTON) requesting a 40% increase in the tariffs of certain telecoms services.

According to the regulator, this proposal cannot be implemented at this time, as the issue requires a rigorous cost-based study and due process.

“In line with international best practices and established regulatory procedures, the NCC ensures that its regulatory activities are guided by regular empirical cost-based studies to determine the appropriate costs (top price and floor price) within which service providers are allowed to charge their subscribers for the services provided,” a statement said.

Since mid-March, operators mooted a possible increase in telecom service rates due to higher operating prices. In early May, the Association of Licensed Telecoms Operators of Nigeria sent a letter to the NCC in which it proposed a 40 percent increase in the cost of calls, SMS and data.

Subscribers objected, claiming it was inappropriate, especially given the economic difficulties they are currently facing.

The NCC issued a reminder to telecom operators that any proposals to increase tarriffs, must be refered to the NCC first, even if such proposals might be justified.