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May
07
NCC Warns Telcos Against Tariff Increase
By: In: News

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The Nigerian Communications Commission (NCC) has dismissed the request by telecommunications companies to increase calls, data, and SMS tariffs by 40 per cent.

While acknowledging that the operators might have a justifiable reason for the request which was sent to it in a letter, the Commission said there would not be any cost review in the telecom sector until empirical studies are conducted to ascertain if increments are necessary.

The Commission in a statement signed by its Director of Public Affairs, Dr. Ikechukwu Adinde, allayed the fears of telecom subscribers, noting that operators will not effect any tariff increase without the approval of the regulator. According to NCC, the current tariff regime being administered by the service providers is a product of its “determination in the past.”

What NCC is saying

The Commission in the statement explained that: “Consistent with international best practice and established regulatory procedures, the NCC ensures its regulatory activities are guided by regular cost-based and empirical studies to determine the appropriate cost (upper and floor price) within which service providers are allowed to charge their subscribers for services delivered.”

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In case you missed it

The telecom operators under the auspices of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), had last week written a letter to the Commission seeking permission to increase tariffs by 40 per cent. The operators cited high cost of running their operations as the major reason for their proposed tariff hike.

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