The Nigerian Communications Commission (NCC) has approved a tariff adjustment for telecommunications operators, including Glo, MTN, and others, in a move aimed at addressing rising operational costs in the industry. The announcement was made via the official X handle of Daily Trust, drawing attention to the long-standing demand for an upward review of rates.
In a statement by Reuben Mouka, the NCC’s spokesperson, the approval was granted in line with the Commission’s authority under Section 108 of the Nigerian Communications Act, 2003 (NCA), which empowers it to regulate and approve tariff rates for telecommunications services. Mouka explained that the decision was informed by prevailing market realities and the need to ensure the sustainability of the telecoms sector.
The NCC approved an increase of up to 50% on current tariffs, significantly lower than the over 100% hike requested by some operators. According to the commission, this cautious adjustment balances the financial viability of operators with consumer protection. The new tariffs will remain within the bands set by the NCC’s 2013 Cost Study and will be reviewed on a case-by-case basis to ensure fairness and compliance.
The adjustment also aligns with the NCC’s newly issued Guidance on Tariff Simplification, 2024, which seeks to promote transparency and simplicity in tariff structures. The review reflects ongoing industry reforms aimed at enhancing the sector’s competitiveness while maintaining affordability for consumers.
Telecom operators have faced mounting operational challenges over the years, with rising inflation, foreign exchange volatility, and increased costs of energy and infrastructure taking a toll on their bottom lines. Despite these hurdles, telecom tariffs have remained unchanged since 2013—a situation the NCC described as unsustainable.
Mouka emphasized that the tariff adjustment is necessary to close the widening gap between operational costs and revenue while ensuring uninterrupted service delivery to consumers. He reassured the public that the adjustment would not compromise the quality of service and that the NCC would monitor implementation to safeguard consumer interests.
The news of the tariff hike has elicited mixed reactions from Nigerians, with some expressing concern over the impact on affordability, especially amid rising economic hardship. However, industry experts argue that the move was inevitable, given the need to sustain investments in infrastructure and service delivery.
This tariff adjustment marks a significant step in the NCC’s efforts to strike a balance between fostering a competitive telecom market and ensuring that operators remain financially stable. As the industry continues to evolve, stakeholders will be watching closely to see how these changes affect both operators and consumers in the months ahead.
The NCC’s decision signals a commitment to proactive regulation, even as it works to address the complex dynamics of a rapidly growing telecommunications sector.
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