Nigerian Telecom Operators Seek 100% Tariff Hike on Calls, Data Packages

Starfolk

Starfolk

January 03, 2025 · 3 min read
Nigerian Telecom Operators Seek 100% Tariff Hike on Calls, Data Packages

Nigerian telecom operators are seeking a 100% tariff hike on calls and data packages, citing high operational costs driven by inflation and service delivery expenses. The proposal, submitted to the Nigerian Communications Commission, aims to tackle the financial strain on the industry, but has sparked opposition from consumer groups.

MTN Nigeria's CEO, Karl Toriola, revealed the proposal during an interview on Arise TV, stating that the telecoms industry, which has remained a pillar of support for the economy, must be sustained to prevent collapse. The industry has been grappling with rising operational costs, and the proposed tariff hike is seen as a necessary measure to ensure sustainability.

The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has been advocating for higher tariffs, citing the economic pressures faced by the industry. However, the National Association of Telecoms Subscribers has firmly rejected the proposed increase, labeling it "insensitive" and highlighting the added strain it would place on consumers already grappling with significant economic hardships.

The Nigerian Communications Commission (NCC) has yet to respond to the proposal, but industry experts believe the regulator will likely prioritize consumer welfare while balancing operators' operational sustainability. The coming weeks will determine whether the telecom giant's proposal for higher tariffs secures regulatory approval or is rejected in the face of growing public resistance.

The proposed tariff hike has significant implications for consumers, who are already struggling with high inflation rates and economic uncertainty. If approved, the hike could lead to increased costs for consumers, potentially affecting the adoption and usage of telecommunications services in the country.

The development also highlights the challenges faced by the telecom industry in Nigeria, where operators are struggling to maintain profitability in the face of rising operational costs and economic pressures. The industry's sustainability is critical to the country's economic growth, and the proposed tariff hike is seen as a necessary measure to ensure the industry's continued viability.

As the regulator deliberates on the proposal, the outcome will have far-reaching implications for the telecom industry, consumers, and the broader economy. The decision will be closely watched, and its impact will be felt across the country.

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