The Nigerian Communications Commission (NCC) has approved tariff adjustment requests from telecommunications network operators in response to rising operational costs. The adjustment, capped at a maximum of 50% of current tariffs, falls significantly below the over 100% increase sought by some operators.
The NCC, empowered by Section 108 of the Nigerian Communications Act, 2003 (NCA), emphasized that the measure aims to balance the sustainability of the telecom industry with consumer affordability. This decision aligns with the Commission’s 2013 Cost Study and will adhere to the recently issued NCC Guidance on Tariff Simplification, 2024.
Tariff rates, unchanged since 2013, no longer reflect the current economic realities, leading to a widening gap between operational costs and revenue for telecom operators. The adjustments are designed to address this disparity, enabling operators to invest in infrastructure, innovation, and service improvements.
In announcing the decision, the NCC underscored its commitment to protecting consumers while supporting the industry’s growth. “We aim to create an environment where operators can thrive while ensuring that consumers receive value through better network quality, expanded coverage, and enhanced customer service,” the Commission stated.
The decision followed extensive consultations with public and private stakeholders, reflecting the NCC’s effort to strike a balance between industry sustainability and consumer interests.
The NCC acknowledged the financial pressures faced by Nigerians and has mandated operators to implement the adjustments transparently and fairly. Public awareness campaigns about the new tariffs and measurable service improvements are part of the Commission’s directive to telecom operators.
The NCC highlighted the broader economic implications of the decision, emphasizing its role in fostering innovation, supporting indigenous vendors and suppliers, and driving growth within Nigeria’s digital economy. The adjustments will help operators address challenges while maintaining their commitment to delivering reliable and affordable services.
Looking ahead, the NCC reiterated its commitment to engaging with stakeholders and promoting a telecommunications environment that works for all, ensuring a balance between consumer needs, operator sustainability, and the overall health of the telecom ecosystem.
The tariff adjustments mark a strategic step by the NCC to ensure the long-term viability of Nigeria’s telecommunications industry amid evolving market conditions.
