The Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, defended the recent 50% tariff increase for telecom services on Tuesday, citing rising inflation and operational costs as the driving forces behind the hike.
Speaking before lawmakers to present the ministry’s budget, Tijani explained that the tariff adjustment was necessary to address the broader economic challenges, including the rising cost of imported goods. He also emphasized the long-standing practice of leaving telecom infrastructure investment to private companies, which base their investments on economic activity, reflected by areas with consistent lighting.
Despite this, the hike has faced significant pushback. The National Association of Telecoms Subscribers (NATCOMS) and the Socio-Economic Rights and Accountability Project (SERAP) have both vowed to challenge the increase in court, arguing that it is excessive and unlawful. NATCOMS President Adeolu Ogunbanjo stated that the association would first seek to engage with the telecom regulator, NCC, this week to attempt a reversal of the hike to 10%. If the talks fail, legal action will follow.
Meanwhile, SERAP issued a 48-hour ultimatum, calling for an immediate reversal of the increase, labeling it “unlawful.”
The Nigerian Communications Commission (NCC) had approved the tariff hike on Monday, noting that it was the first adjustment since 2013. While the initial proposal called for a 100% increase, the NCC capped the rise at 50%, balancing the needs of telecom operators with consumer interests.
The hike has sparked frustration among Nigerians, particularly low-income earners, who rely heavily on affordable telecom services. Despite these concerns, the NCC assured that the adjustment would be implemented transparently and fairly, prioritizing the long-term sustainability of the telecom industry while also considering the financial pressures on consumers.
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