Telecom operators, under the aegis of Association of Licensed Telecommunications Operators of Nigeria (ALTON), have renewed calls for end user tariffs hike over rising operational cost.
ALTON, through its chairman Gbenga Adebayo, warned of ‘service shedding’ as an alternative should they be unable to increase tariffs.
Adebayo spoke during av‘Stakeholders End of the Year Dinner’ at the weekend in Lagos.
The Association of Telephone Cable TV and Internet Subscribers of Nigeria (ATCIS), are, however, against the call, urging the telcos to stop playing to the gallery.
ATCIS President, Sina Bilesanmi, said the operators were at liberty to increase tariff within the existing price regime, adding that the fear of competition will not allow them to do so.
Bilesanmi, who is a member, Industry Consumer Advisory Forum (ICAF), a multi-sectoral committee of public and private sector institutions that works with Nigerian Communications Commission (NCC) to improve its protection of telecoms consumers from fraud, service challenges, and other online transaction risks, said: “Currently, the operators are charging different tariffs within the band set by the NCC which they have not totally exhausted,” he said, adding that the operators are playing politics.
The ALTON chairman said as the curtain falls on the 2024, there was need to issue an urgent and critical call to action for the future of the telecom industry
He said: “If nothing is done, we might begin to see in the new year grim consequences unfolding, such as service shedding; operators may not be able to provide services in some areas and at some times of the day leaving millions disconnected, there will be significant economic fallout, because businesses will suffer from a lack of connectivity, stalling growth and innovation.”
“There will also be national economic disruption where key sectors like security, commerce, healthcare, and education which rely heavily on telecom infrastructure, will face serious disruptions.”
According to him, this is not a time for further deliberation or delayed decisions, stressing that the survival of the telecom sector demands immediate and bold reform for its sustainability.
Adebayo said: “Our tariffs must be reviewed to reflect the economic realities of delivering telecom services at a minimum for industry sustainability. Without this, operators cannot continue to guarantee service availability.
“I must say it again with even greater urgency that we are in the last days for the survival of this sector and if immediate and decisive action is not taken, the hope for a better 2025 will remain just that—a hope.
“The challenges we face are not new, but they have become more acute and more threatening with this passing year. Rising operational costs, skyrocketing energy cost, the relentless pressure of inflation, volatile exchange rates, amongst other have all placed an unsustainable burden on network operators.”
Bilesanmi said the ATCIS had sought clarification directly from the NCC on the proposed hike which he described as a wild hoax.
He added: “The NCC has confirmed that there is no truth to claims of call charges increasing to N15.40 per minute from N11, SMS charges rising to N5.60, or 1GB of data costing N1,400 instead of N1,000.
“Any changes in tariffs, if necessary, will follow due process and involve input from all stakeholders, including ATCIS. There is no cause for alarm.”
