Chioma Ezike
The recent tariff hike approval by the Nigerian Communications Commission, NCC has been justified by MTN Nigeria, Airtel Nigeria, and 9Mobile as a necessary measure to ensure the sustainability of the telecom industry already struggling to survive.
The companies, under the Association of Licensed Telecommunications Company of Nigeria (ALTON), claim that the 50% tariff increase which will take effect from this month is required to address the rising operational costs and challenges facing the industry
Speaking at a town hall meeting between Telecommunication Chief Executives, journalists and online content creators in Lagos, Mr. Tobechukwu Okigbo, Chief Corporate Services and Sustainability Officer (CCSSO) of MTN Nigeria, said the industry is facing significant challenges given the present economic realities, including a 300% rise in food items, petroleum, and electricity costs. Okigbo emphasized the urgent need to ensure the sustainability of telecom services to avoid an imminent collapse of the industry.
The tariff hike, which was approved by the Nigerian Communications Commission (NCC) has been met with concerns from consumer advocacy groups, who argue that it will negatively impact affordability and affect millions of Nigerians.
The telecom companies, however, maintain that the tariff increase is essential for sustaining operations and providing high-quality services.
They argue that the cost of doing business has risen sharply, and that the tariff increase is necessary to keep up with these changes and continue investing in their networks.
The meeting was aimed at addressing these vital issues and responding to agitations in some quarters over the approval of 50 percent telecom tariff increase for Telecom companies by the Nigerian Communications Commission. NCC.
Mr Okigbo pointed out that it takes a whole lot of financial commitments and investment for telecom services to get to the people and tariff increase is long over due given the present economic realities. The increase he said would help the companies extend services under served areas, improve services and boast the economy .
Responding to the proposed February 7 strike by the Nigerian Labour Congress, Mr Okigbo said the telecommunications companies are members of Private Telecommunications and Communication Senior Staff Association of Nigeria an affiliate of NLC and the union few days ago have declared their stand on the proposed industrial action by the Nigeria Labour Congress.
Recall that the Private telecommunication and Communication Senior Staff Association, few days ago wrote NLC and pointed out the removal of subsidy on fuel which led to exponential increment in the prices of petroleum products had led to increase in the cost of maintaining telecommunication sites across the country.
Responding to the three months expectancy time for quality of service improvement which is one of the rationale behind the 50 percent telecom tarrif increase, the Chairman Association of Licensed Telecommunications Companies of Nigeria, ALTON Mr Gbenga Adebayo said the is no hundred percent assurance in meeting up with the timing as the operators have to go through a process which may or may not exceed the three months and assured that the outcome would be communicated to the masses.
Some of the telecom executives Ugonma Nwoye and Kenechukwu Okonkwo who addressed telecom consumers consern on data depletion advised consumers to deactivate automatic download from their Wats app settings to avoid downloading irrelevant videos from Wats app groups.
The telecom Chief Executives said the 50 percent tariff increase will definitely take effect this month.