On Monday, the National Association of Telecommunications Subscribers said it would file a lawsuit against the federal government’s decision to allow telecom operators to increase tariffs by 50 per cent.
NATCOMS president Deolu Ogunbanjo, in an interview in Lagos, said the Nigerian Communications Commission did not carry subscribers along.
Mr Ogunbanjo said that NATCOMS understood the dilemma faced by the telecommunications industry and had suggested a five per cent to ten per cent marginal increase in tariff. He said that the approval by the federal government for telecom operators to hike tariffs but capped at 50 per cent maximal increment was unacceptable.
According to Mr Ogunbanjo, earlier, economic experts had x-rayed the telecoms sector and said that it was in intensive care, meaning that it needed to be attended to.
“The industry operators can opt for an initial public offer for Nigerians to buy shares in their companies as a way of raising funds. However, a situation where a whole 50 per cent is granted for a tariff hike is not cheap. It is a no from us subscribers.
“I mean, for what we are already going through, no for us, we will challenge this in court,’’ Mr Ogunbanjo stated.
On Monday, the NCC, the industry’s regulatory body, released a statement saying it had acceded to the requests of operators to hike tariffs. This was announced in a statement.
The NCC said it had approved the 50 per cent tariff adjustments in response to prevailing operational costs. It said this was less than the 100 per cent demanded by some telecom operators.
It said its decision was pursuant to its power under Section 108 of the Nigerian Communications Act, 2003, to regulate and approve tariff rates and charges by telecommunications operators.
The NCC added that, while recognising the concerns of the public, the decision was made after extensive consultations with key stakeholders across the public and private sectors.
“The NCC has prioritised striking a balance between protecting telecoms consumers and ensuring the sustainability of the industry, including the thousands of indigenous vendors and suppliers who form a critical part of the telecommunications ecosystem.
“The NCC recognises the financial pressures faced by Nigerian households and businesses and remains deeply empathetic to the impact of tariff adjustments. To this end, the commission has mandated that operators implement these adjustments transparently and in a manner that is fair to consumers,” the NCC explained.
It added that these adjustments would support the ability of operators to continue investing in infrastructure and innovation, ultimately benefiting consumers through improved services and connectivity.
The NCC also mentioned that consumers would benefit from better network quality, enhanced customer service, and greater coverage within the country.
