The National Association of Telecoms Subscribers have rejected the proposed hike in data and call tariffsThey described the move to increase tariffs in these challenging times as insensitive to the plight of Nigerians The proposed hike will see call tariffs move up to N15.40 per minute, N5.60 per SMS, and N1,400 per gigabyte of data
Henzodaily.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience and a deep understanding of Nigeria’s corporate sector and emerging trends in the fintech space.
Telecom subscribers in Nigeria have objected to the proposed hike in call and data tariffs.
Speaking under the aegis of the National Association of Telecoms Subscribers, they denounced the plan, describing it as an unnecessary burden on consumers who already face economic hardship.
They made this known in a communique issued after an emergency meeting on Tuesday.
Telecom subscribers Object to Tariff Hike, describe it as insensitive.
Photo Credit: Ivan Pantic
Source: Getty Images
The communique signed by Chief Adeolu Ogunbanjo, the National President, and Barrister Bayo Omotubora, the National Secretary of NATCOMS, chided the Nigerian Communications Commission (NCC) for even considering a 40% tariff hike.
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It read in part;
“This association considers the decision of the NCC as very insensitive and not in the interest of Telecoms Services Consumers. The unrelenting rise in prices of Goods and Services in the Country has made life extremely difficult for the generality of Citizens who are Consumers of Telecom Services. The new increment is therefore one additional burden too many. This is a clear violation of the Nigerian Communications Commission’s duty to protect the interests of consumers.”
They said further in the communique that the taxes on telecom services introduced in the 2020 Finance Act have already caused hardship for Nigerian subscribers, some of whom have already cut back on their telecom spending.
NATCOM suggested that the TELCOs explore alternate means of raising funds, such as listing on the Nigerian Stock Exchange, to attract more investors.
The proposed hike
Information from a Senior Executive at a leading telco recently revealed that Telcos are set to secure approval from the NCC to hike call and data charges before the end of Q1, 2025.
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The proposed hike is more than a decade overdue, according to the Telcos, as inflation and forex volatility continue to push the costs of operations upward.
A part of NATCOM communique says that the hike would push the cost of voice calls from N11.00 to N15.40 per minute, the cost of SMS from N4.00 to N5.60, and the cost of data from N1,000 to N1,400 for 1 gigabyte of data.
The PUNCH reports, however, that a source within the NCC dismissed the rumours of tariff hikes.
Why Telcos want to hike tariff
In a recent Henzodaily.ng report, the Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Gbenga Adebayo, stated that the high cost of operation could drive TELCOs out of business if they are not allowed to hike tariffs.
He explained that these rising costs are triggered by volatile foreign exchange rates, rising inflation, and increasing fuel and electricity costs in Nigeria.
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Adebayo warned that subscribers may experience service disruption, which could impact sectors like security, healthcare, and education which rely heavily on communication infrastructure.
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Source: Henzodaily.ng