Subscribers Reject Proposed Plans by Telcos to Hike Tariff

Telecommunications service subscribers have opposed the planned increase in the cost of voice calls, short message services (SMS) and data services in the country.

They were reacting to the letter by Association of Licensed Telecoms Operators of Nigeria (ALTON), to the Nigerian Communications Commission (NCC) about the possible tariff review.

Chief Deolu Ogunbanjo, president of the National Association of Telecoms Subscribers of Nigeria (NATCOMs), said the Nigerian consumer is already overburdened.

The association claimed the economic hardship, including steep inflation rise, has shrunk disposable incomes significantly making the planned tariff hike ill-timed.

Recall that ALTON, while citing a rise in energy cost, impact of insecurity and other operating challenges in the country on their operations, claimed they are left with no choice but to increase tariffs unless the situation improves.

The body made its plan known in a letter addressed to the leadership of the NCC. The letter was dated April 25, 2022, but received and acknowledged by the NCC on April 27, 2022.

Telecom companies proposed a 40 per cent increase in the cost of calls, SMS, and data to the NCC as a result of the rising cost of business operations.

Based on their proposal, the price floor of calls will increase from N6.4 to N8.95 while the price cap of SMS will increase from N4 to N5.61.

The letter, which was signed by Gbenga Adebayo and Gbolahan Awonuga, chairman and head of Operations, respectively, said the challenges have impacted their operations significantly.

But Chief Ogunbanjo, said telcos should not increase tariffs because subscribers are passing through a lot of challenges now.

Ogunbanjo said the operators should hold Prof. Isah Pantami, minister of Communications and Digital Economy, and the NCC responsible for the drop in their revenues.

“The chairman of ALTON, Gbenga Adebayo, and I were at a television programme, last month, where he denied any planned hike in service tariffs.