FG Faces Legal Challenge from Nigerians Over Telecom Tariff Increase
The Nigerian Communications Commission (NCC) has approved a 50% increase in telecommunications tariffs, affecting services such as calls, data, and SMS. This decision follows requests from telecom operators, including MTN Nigeria Communications Plc, who had initially sought a 100% hike to mitigate economic challenges like currency depreciation and high inflation.
In response, the National Association of Telecommunications Subscribers (NATCOMS) has announced plans to sue the federal government over the tariff increase. NATCOMS President, Deolu Ogunbanjo, stated that subscribers had agreed to a 5% to 10% hike, not the approved 50%, and expressed concerns about the financial strain this would place on Nigerians already facing economic hardships.
The tariff adjustment is the first in 12 years, with previous rates remaining static since 2013. The new pricing structure means that Nigerians may now pay ₦16.5 per minute for calls, up from ₦11, and ₦6 for SMS, up from ₦4. The cost of 1 gigabit of data is expected to rise to ₦431.25.
This development has also prompted Point of Sales (POS) operators to consider increasing their service charges, as their operations heavily rely on telecom services. The Association of Mobile Money & Bank Agents in Nigeria (AMMBAN) indicated that its members might have no option but to adjust fees in response to the telecom tariff hike.
The situation remains dynamic, with legal actions pending and various stakeholders expressing concerns about the broader economic implications of the tariff increase.
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