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Reps Urge FG to Halt Telecom Tariff Increase

House of Representatives Calls for Suspension of Telecom Tariff Hike

paulcraft by paulcraft
February 12, 2025
in National
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  • The House of Representatives urged the Minister of Communications and NCC to suspend telecom tariff hikes until service quality improves
  • Rep. Obuku Offorji challenged telecom companies’ justifications for tariff increases, citing economic hardship and poor network service delivery

The House of Representatives has urged the Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, along with the Nigerian Communications Commission (NCC), to suspend the planned increase in telecommunications tariffs until service quality improves.

This resolution followed the adoption of a motion of urgent public importance moved by Rep. Obuku Offorji during plenary on Tuesday.

Presenting the motion, Offorji recalled that after a stakeholders’ meeting on January 8, the minister announced that telecom operators in Nigeria would soon increase tariffs.

According to the minister, discussions are ongoing as some telecom firms have pushed for tariff increases of up to 100 percent. However, he clarified that the final increase would not reach that level, and NCC would approve and announce the new rates in due course.

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The lawmaker, however, challenged the justifications provided by telecom companies for the hike, including rising investment costs, improved networks, and increasing demand for digital services in sectors like education, banking, and healthcare.

Offorji noted, “Telecom companies have been advocating for tariff hikes for the past 11 years, as stated by the Association of Licensed Telecom Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON).

They argue that cost-reflective tariffs are necessary due to economic challenges such as record inflation of 34.6 percent in November 2024 and losses from foreign exchange fluctuations.

“The National Association of Telecoms Subscribers has rejected the proposed tariff hike, calling it insensitive and an additional burden on consumers already struggling with economic hardship and poor network service delivery.

“It is essential that telecom companies enhance their service quality, which Nigerians have long demanded, before considering any tariff increase.

“These price hikes will have far-reaching consequences, deepening financial struggles for the average Nigerian, undermining the country’s goal of leveraging technology for economic recovery, worsening poverty, and widening inequalities, particularly for low-income families.

“Affordable connectivity is crucial for progress in key sectors such as digital banking, education, healthcare, agriculture, and e-governance. Informal sector workers who rely on affordable mobile data for gig work may struggle to stay connected.”

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