Telecom operators in Nigeria seek tariff increase

Nigerian telecom operators want tariff hikes to offset rising operational costs linked to inflation, currency devaluation, and security issues. They seek policy guidance from the Minister of Communication to address these challenges.

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Nigerian telecom operators, represented by the Association of Licensed Telecommunications Operators of Nigeria (ALTON), are proposing an upward review of the mobile tariff, citing the increasing cost of business operations and the harsh economy. They attribute this need to the mounting operational costs they face and the broader economic challenges in the country. To address this issue, they have put forward a proposal for an upward revision of mobile termination rates for voice services and an interim adjustment of floor prices for both voice and data services in the telecom industry.

On the other hand, the Nigerian Communications Commission (NCC) has rejected the request by operators, saying that any increase must be justified. The NCC also stated that no tariff increase will be effected without due consultation with all stakeholders.

ALTON has identified challenges in Nigeria’s telecom sector, including inflation, currency devaluation, and security concerns. These factors have raised operational costs and deterred investments. Existing pricing regulations don’t account for these issues, making it hard for operators to set sustainable prices. ALTON is also concerned about multiple taxation, infrastructure protection, and the need for innovation and research.