The Nigerian House of Representatives has directed telecommunications providers to suspend the implementation of a 50% tariff increase, citing concerns over rising inflation and economic hardship.
During a plenary session on Tuesday, lawmakers instructed the Nigerian Communications Commission (NCC) and the Minister of Communications, Innovation, and Digital Economy to put the tariff hike on hold. The directive followed the commencement of the new pricing by major telecom operators, including MTN, which had already adjusted its data and call rates.
The tariff increase, which was approved by the NCC, took effect on Monday, with MTN implementing new pricing structures. For instance, MTN’s 15GB weekly plan, previously priced at ₦2,000, now costs ₦6,000—representing a 200% increase. Similarly, the 100GB data bundle that was ₦20,000 has been replaced by a 90GB plan for ₦25,000, reflecting a 25% hike. The 600GB package has also been revised, with subscribers now paying ₦120,000 for 480GB instead of the previous ₦75,000 for 600GB, marking a 60% price increase. Additionally, the cost of SMS has risen from ₦4 to ₦6.
Despite the NCC’s approval, the lawmakers strongly opposed the hike, arguing that the timing was unfavorable given the country’s economic challenges. Oboku Oforji, a legislator from Bayelsa State, moved a motion titled “Need for the Nigerian Communications Commission not to approve the impending hike in telecommunications tariffs,” emphasizing the burden it would place on consumers already struggling with inflation, which stood at 34.6% in November 2024, and the removal of fuel subsidies.
Oforji stressed that while telecom operators justified the increase due to rising operational costs, they should first address long-standing issues such as poor network service. He warned that the tariff hike could push many Nigerians into deeper financial distress, particularly small businesses that depend on affordable data and calls for daily operations.
“The House is aware that telecom operators have been advocating for this hike for over eleven years,” Oforji said. “However, the National Association of Telecoms Subscribers has rejected the increase, calling it insensitive and an additional strain on consumers.”
Billy Osawaru, a representative from Edo State, also voiced his concerns, urging telecom providers to improve service quality before imposing higher tariffs.
“Why must the burden always fall on the poor? First, it was electricity tariffs, and now telecom services. Nigerians deserve quality service before any price adjustments,” he said.
However, industry stakeholders, including the Association of Licensed Telecommunications Operators of Nigeria (ALTON), defended the hike. ALTON Chairman, Gbenga Adebayo, argued that the tariff adjustment was necessary for the sustainability of the telecom sector, warning that continued underinvestment could lead to service deterioration.
“I understand the public’s concerns, but without this adjustment, the industry may struggle to survive,” Adebayo stated. “If telecom providers cannot recover their investments, the sector will suffer.”
The NCC had announced the tariff hike on January 20, citing increased operational costs as a key factor. However, with growing opposition from lawmakers and consumer advocacy groups, the implementation of the new pricing structure remains uncertain as the debate continues.
