The Nigerian Communications Commission (NCC) has announced a 50% tariff increase for telecom services, including data and airtime, a decision expected to impact the country’s over 224 million telephone subscribers. The adjustment, approved on Monday, was revealed in a statement by NCC spokesperson Reuben Muoka.
The NCC explained that the increase, though substantial, is significantly lower than the “over 100%” hike initially requested by some telecom operators. The decision, the regulator stated, was informed by “ongoing industry reforms that will positively influence sustainability.”
The adjustment is grounded in the NCC’s mandate under Section 108 of the Nigerian Communications Act, 2003, which empowers the Commission to regulate and approve tariff rates and charges by telecommunications operators. The changes will remain aligned with the tariff bands established in the 2013 NCC Cost Study and will be implemented according to the Commission’s 2024 Guidance on Tariff Simplification.
The NCC noted that tariff rates had remained unchanged since 2013, despite rising operational costs faced by telecom operators. According to the Commission, the hike aims to close the gap between these costs and existing tariffs while maintaining service quality.
“The approved adjustment is aimed at addressing the significant gap between operational costs and current tariffs while ensuring that the delivery of services to consumers is not compromised,” the NCC’s statement read.
It added that the tariff revision would enable telecom companies to continue investing in infrastructure and innovation, resulting in better network quality, enhanced customer service, and broader coverage for consumers.
Acknowledging the financial strain faced by Nigerian households and businesses, the NCC assured subscribers that the implementation would be transparent and fair. Telecom operators are required to educate consumers on the new rates and demonstrate measurable improvements in service delivery.
“To this end, the Commission has mandated that operators implement these adjustments transparently and in a manner that is fair to consumers,” the statement added.
As of December 2023, Nigeria had over 224 million subscribers, with MTN leading the market with 87 million users, accounting for 38.79% of the total market share. Globacom and Airtel each boast 61 million subscribers, while 9mobile trails with 13.9 million users.
The tariff hike has sparked debate among subscribers and industry stakeholders, with many questioning its impact on affordability and connectivity. However, the NCC maintains that the adjustment is a necessary step to ensure the telecom industry’s long-term viability and improved services for consumers.
