Business
More Burden for Telecom Subscribers Over Tariff Hikes
![Telecom Subscribers](https://theeagle.com.ng/wp-content/uploads/2024/12/Teleoms-users.jpg)
Telecom subscribers in the country may well brace up for more charges come 2025, as apex telecom regulator has approved tariff hikes for calls, sms and internet services.
The approval by the Nigerian Communications Commission (NCC), of the long-feared tariff hikes for calls, SMS, and internet services, has eventually come and would take effect in a matter of 6 days.
This decision culminates over a decade of intense advocacy by telecommunications operators such as MTN Nigeria, Airtel, and 9Mobile, that they were suffocating amidst high operational costs.
The NUC approval signals the first telecom price hike in 11 years which may significantly alter Nigeria’s telecommunications sector.
It is coming in the midst of complaints bothering on connectivity down times on the one hand, and general increase of prices of goods and other services, without a concomitant increase in wages.
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sWhereas salaries have remained stagnant across several industrial sectors, foodstuff prices are on the increase.
There are also reports that food inflation is about 39.93% even as telecommunications prices may skyrocket by as much as 40% upon the implementation of the new tariff.
If implemented, telecom subscribers would bear more burden. The cost of making a call would experience an upward jerk from ₦11 to ₦15.40 per minute, and text message fees would jump from ₦4 to ₦5.60, one computation has said.
Notwithstanding the sentiments out there, the NCC says it has “historically prioritized subscriber affordability” even rejecting a particular operator’s submission for a double subscription, fee to N76, 000 in October.
Regarding data packages, the price of a 1GB bundle will climb from ₦1,000 to a minimum of ₦1,400.
The increase will place an additional financial burden on consumers, reducing their purchasing power and economic activity, while also affecting the profitability and competitiveness of small and medium-sized enterprises.
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For the NCC, the latest development could best be described as a balancing act.
On the one hand, it is hounded by telecom subscribers who are quick to complain about poor service and high tariffs; but on the other hand, it is hounded by telecoms sector operators who have long been complaining of struggles breaking even.
Some have gone to the extent of warning of operator collapses.