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The Nigerian Communications Commission (NCC) has approved a request by telecommunications operators to adjust tariffs in response to prevailing market conditions.
The adjustment, capped at a maximum of 50% of current tariffs, aims to address the significant gap between operational costs and current tariffs while ensuring that service delivery to consumers is not compromised.
Key Points of the Tariff Adjustment
Tariff Increase: The adjustment is capped at a maximum of 50% of current tariffs, lower than the over 100% requested by some network operators.
Tariff Bands: The adjustments will remain within the tariff bands stipulated in the 2013 NCC Cost Study.
Case-by-Case Review: Requests will be reviewed on a case-by-case basis as is the Commission’s standard practice for tariff reviews.
Implementation: The adjustment will be implemented in strict adherence to the recently issued NCC Guidance on Tariff Simplification, 2024.
Rationale Behind the Tariff Adjustment
The NCC recognized that tariff rates have remained static since 2013, despite increasing operational costs faced by telecom operators. The approved adjustment aims to support the ability of operators to continue investing in infrastructure and innovation, ultimately benefiting consumers through improved services and connectivity.
Impact on Consumers and the Industry
The NCC has prioritized striking a balance between protecting telecom consumers and ensuring the sustainability of the industry.
The Commission has mandated that operators implement these adjustments transparently and in a manner that is fair to consumers. Operators are also required to educate and inform the public about the new rates while demonstrating measurable improvements in service delivery.
