Subscribers’ Backlash: NCC Faces Legal Threats
The National Association of Telecoms Subscribers (NATCOMS) has declared its intention to sue the Nigerian Communications Commission (NCC) following the commission’s approval of a 50% increase in telecom tariffs. This development has sparked widespread concern among Nigerians, who are already grappling with escalating living costs.
NATCOMS, the foremost body representing telecom subscribers in Nigeria, argued that the tariff hike imposed an excessive financial burden on consumers without adequate stakeholder engagement. Deolu Ogunbanjo, the president of NATCOMS, criticized the NCC for disregarding consumer interests during the decision-making process, asserting that the increase was unfair and unsustainable for the average Nigerian.
Operators Cite Industry Challenges
The tariff adjustment followed consistent lobbying from the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON). Both groups emphasized the need for a tariff review to maintain industry sustainability, citing rising operational costs and economic pressures.
While industry players have justified the hike, NATCOMS countered with an alternative proposal. According to Ogunbanjo, a more modest increase of 5% to 10% would better balance the sector’s financial health with consumer affordability. “Telecommunications services are integral to everyday life and essential sectors such as banking, education, and government services. A 50% hike will strain businesses and individuals alike,” Ogunbanjo noted.
Economic Hardships Worsen
The tariff increase comes at a time when Nigerians are facing mounting economic challenges. With inflation, high fuel prices, and rising costs of goods and services, the additional financial pressure from increased telecom tariffs has ignited public outcry. The Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, previously hinted that telecom tariff hikes would not exceed 60%. However, the approval of a 50% increase has already drawn sharp criticism from consumers.
Legal Action on the Horizon
In response to the tariff adjustment, NATCOMS has announced plans to take legal action against the NCC. Ogunbanjo emphasized the need for alternative funding solutions, such as Initial Public Offerings (IPOs) on the Nigerian Stock Exchange, to help telecom operators raise capital without burdening consumers. “There are viable ways for operators to generate revenue without imposing such drastic increases on subscribers,” he argued.
Call for Stakeholder Engagement
Ogunbanjo urged the NCC and telecom operators to adopt a more inclusive approach to policy-making. He highlighted the importance of engaging consumers and other stakeholders in discussions that directly affect their finances and access to essential services. “Transparency and dialogue are key to achieving fair and sustainable solutions,” Ogunbanjo concluded.
Rising Tensions in the Telecom Sector
As the controversy unfolds, NATCOMS’ legal threat underscores growing dissatisfaction with how regulatory decisions are made in Nigeria. The outcome of this case could set a precedent for consumer advocacy in the telecom industry, potentially reshaping how future policies are implemented.
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