The Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, defended the recent approval of a 50 per cent hike in telecom tariffs amidst widespread criticism and looming legal action from advocacy groups and subscribers.
Speaking on Tuesday during a budget defense session with lawmakers, Minister Tijani attributed the tariff adjustment to escalating economic challenges such as inflation and the increasing costs of imported goods.
“Rising inflation and operational costs are the reasons for the recent tariff increase,” Tijani explained.
He also highlighted the ministry’s efforts, including the ambitious 90,000-kilometre fibre project aimed at enhancing connectivity nationwide.
Elaborating on the historical context of telecom investments in Nigeria, Tijani remarked, “What most people don’t pay attention to is that historically, we’ve left investment in telecommunications infrastructure to private companies. And these private companies will only go to where they can make money. They use a data set, called night-time satellite data, which will look down on the economy at night.
“They will see where light exists, and that’s where they will put their money. Because those lights, for them, indicate economic activities.”
The National Association of Telecoms Subscribers and the Socio-Economic Rights and Accountability Project have criticized the hike, calling it excessive and burdensome. Both groups are prepared to challenge the decision if not reversed.
The President of NATCOMS, Adeolu Ogunbanjo, stated that the association would meet with the Nigerian Communications Commission this week to negotiate a reduction of the increase to 10 per cent.
Should the talks fail, Ogunbanjo confirmed that NATCOMS would take legal action.
“While the association might accept a modest tariff increase of five to 10 per cent, anything beyond that would be deemed unacceptable,” he said.
SERAP also condemned the hike, issuing a 48-hour ultimatum to reverse the decision. The organization announced via its X account, “The Tinubu administration and telcos must immediately reverse the unlawful increase in calls and data costs. We’ll see in court if the 50 per cent tariff hike is not reversed within 48 hours.”
Subscribers, particularly low-income earners, have expressed frustration, arguing that the increase worsens the cost of living and restricts access to essential communication services.
On Monday, the NCC approved the tariff adjustment, explaining that the move was necessary to address rising operational costs.
Although telecom operators initially proposed a 100 per cent increase, the regulator capped the adjustment at 50 per cent, marking the first tariff revision since 2013.
Reuben Muoka, Director of Public Affairs for the NCC, said the adjustment reflects a careful attempt to balance consumer protection with the sustainability of the telecom industry.
“The NCC has prioritised striking a balance between protecting telecoms consumers and ensuring the sustainability of the industry, including the thousands of Indigenous vendors and suppliers who form a critical part of the telecommunications ecosystem,” Muoka stated.
Acknowledging the financial strain on Nigerians, the NCC emphasized that the adjustments must be implemented transparently.
“The NCC recognises the financial pressures faced by Nigerian households and businesses and remains deeply empathetic to the impact of tariff adjustments. To this end, the commission has mandated that operators implement these adjustments transparently and in a manner that is fair to consumers,” the statement read.
