Nigerians are prepared to take legal action against the federal government in response to the recently approved 50 percent increase in telecommunications tariffs, including calls and data.
Last week, the Minister of Communications and Digital Economy, Bosun Tijani, indicated that telecom rates would rise by either 30 or 50 percent after discussions with operators, who had initially suggested a staggering 100 percent increase.
This latest hike marks the first adjustment in telecom pricing since the Nigerian Communications Commission (NCC) established the pricing framework in 2013. In light of this change, Point of Sales Operators are already signaling plans to raise their service fees.
Once implemented, the new rates could see call costs soar to N16.5 per minute from N11, SMS charges increase to N6 from N4, and the price for 1 gigabit of data jump to N431.25.
Additionally, telecom companies could potentially generate N6.7 trillion annually from call revenues alone under the new tariff structure, as 2023 data revealed total outgoing telephone traffic reached 205.3 billion minutes, with incoming traffic at 203.2 billion minutes.
Adeolu Ogunbanjo, President of the National Association of Telecoms Subscribers, along with Ogungbayi Ganiyu, National Spokesperson for the Association of Mobile Money & Bank Agents in Nigeria, have expressed their intent to challenge the new tariffs in court.
Ogunbanjo emphasized that subscribers were only amenable to a modest increase of 5 or 10 percent, not the 50 percent hike announced by the NCC. He lamented that this increase would further burden Nigerians who are already struggling with rising costs of fuel, transportation, and food, which saw a 38.90 percent increase in December 2024.
“It is unfortunate that it is the Minister of Communications and Digital Economy, Bosun Tijani, who is the one leading the telecommunications service increase.
“He should not impoverish Nigerians.
“While I understand the challenges facing the telecom sector, we agreed to a 5 to 10 percent tariff hike. If that is not enough, the telcos should go to the capital market to raise funds.
“We are going to court to challenge the decision by the federal government to approve a 50 percent tariff hike because we have given them options.“We’ve painfully agreed to a telecom tariff hike. We know we are going to pay more but not 50 percent
“The telcos requested a 100 percent tariff hike; of course the telcos want to make more profit to the detriment of subscribers.“50 percent tariff hike is too much. We are saying no. It is not acceptable. Anything more than 10 percent, we are going to court. “This tariff will be enormous. Every business will increase their tariff. From the companies to the ordinary POS operators.
Other Articles
