The Nigerian Communications Commission’s acceptance of a 50% rate adjustment has prompted an official response from telecom operators operating under the auspices of the Association of Telecommunications Companies of Nigeria (ATCON).
Although the 50% increase did not satisfy the operators’ demand for a 100% increase, ATCON pointed out that the decision shows the NCC’s recognition of the telecom sector’s substantial operational difficulties and dedication to maintaining high-quality service delivery for Nigerians.
In a press release, ATCON President Tony Izuagbe Emoekpere praised the NCC’s consultative and cooperative approach to tackling these industry challenges.
Telcos anticipate the Determination paper.
The formal Determination document from the NCC, which is anticipated to provide comprehensive directions on the application of the new prices per the Nigerian Communications Act 2003, is anxiously anticipated by ATCON’s users.
The authority claims that this document would be crucial in assisting operators and stakeholders in implementing the changes and the expectations associated with them.
“We recognize that this is a start towards closing the gap between operating expenses and revenues, even though the authorized tariff adjustment, which is limited to a 50% increase, does not entirely answer the operators’ desire for a 100% increase.”
“This adjustment will enable operators to continue investing in infrastructure, expand coverage, and improve service quality for the benefit of all Nigerians,” it noted.
Consumer Benefits
Because operators are dedicated to reinvesting the extra cash into improving network quality, extending digital access, and providing a better customer experience, ATCON told Nigerians that the rate revisions would ultimately benefit consumers.
- The group emphasized that these expenditures would increase coverage, better connectivity, and creative solutions to satisfy Nigerians’ changing requirements.
- It stated that telecom pricing in Nigeria has remained unchanged for more than ten years despite rising costs brought on by inflation, exchange rate instability, and the significant investments needed to satisfy rising consumer demand.
- ATCON pointed out that these difficulties have severely strained operators’ finances, endangering the sector’s viability as a pillar of Nigeria’s digital economy.
“The telecommunications sector remains dedicated to contributing to national development and economic growth by fostering an environment of sustained investment,” the statement explained.
In addition to thanking the NCC for striking a balance between operator and consumer interests, ATCON asked the Commission to continue communicating openly with telecom operators to resolve persistent issues that impede operational effectiveness.
Background
- Citing growing operational costs and the need to support the sector, the NCC said Monday that it had authorized a 50% rate increase for telecom providers.
- The ruling highlights the Commission’s regulatory authority under Section 108 of the Nigerian Communications Act, 2003, according to a statement signed by Reuben Muoka, Director of Public Affairs.
- The National Association of Telecommunications Subscribers (NATCOMS) has threatened to sue over the authorized tariff increase.
- NATCOMS claims important parties, including subscribers, were not sufficiently consulted before this decision.