22, January 2025
Thank you for reading this post, don't forget to subscribe!The Federal Competition and Consumer Protection Commission (FCCPC) has warned telecommunications companies in Nigeria that the recent increment in tariff rates must lead to better service delivery.
According to the FCCPC Director of Corporate Affairs, Ondaje Ijagwu, in a statement on Wednesday, the MoU between the FCCPC and the Nigerian Communications Commission “provides a unified framework to oversee the implementation of this tariff adjustment in a manner that meets the needs of consumers”.
Ijagwu said, “The partnership ensures that the increase does not become a justification for exploitative practices but rather an opportunity to foster fairness, transparency, and accountability in the telecommunications sector.”
The FCCPC said while it “acknowledges the economic pressures faced by telecom operators, including increasing operational costs, we unequivocally state that consumer interests remain paramount”.
“The FCCPC acknowledges the intense pressure faced by the NCC intense pressure faced by the NCC over the years to approve tariff increases due to the rising operational costs experienced by telecom operators, which became more pronounced in recent times.
“We commend the NCC for adopting a deliberate and measured approach by rationalising the tariff adjustment and linking it to commensurate improvements in service quality while implementing measures to mitigate the impact on consumers.
“The NCC’s approval of a 50% adjustment, which is lower than the over 100% increase initially proposed by operators, demonstrates a thoughtful effort to balance industry sustainability with consumer protection.
“We are also pleased with the NCC’s directive to operators to ensure that, henceforth, tariffs are clear, straightforward, and free of hidden charges or complexities,” the agency said.
The statement noted that operators “are now required to disclose all key details upfront, including the cost, validity period, and the specific inclusions of a plan.
“Consumers can also expect a mandatory disclosure table from their service providers, enabling them to make informed decisions without worrying about unexpected charges or surprises.”
The commission also stated that it hoped that the new development will tackle the complaints of consumers who have consistently expressed the desire for measurable improvements in the quality of service “before any tariff increases are implemented”.
Some of the issues flagged by the commission include network congestion, dropped calls, inconsistent internet speeds, unusual data depletion, and poor customer service.
It said, “It is, therefore, crucial that tariff adjustments directly translate into demonstrable and tangible service enhancements for consumers.
“The Memorandum of Understanding (MoU) recently signed between the FCCPC and NCC highlights a shared commitment to ensuring robust consumer protection, fair competition, and the eradication of exploitative practices in the telecommunications sector.
“It reinforces the principle that any regulatory or pricing adjustment must balance the sustainability of the industry with the interests of consumers.”
The FCCPC warned that there must be better service delivery with improvements in network reliability, speed and accessibility.
It said, “It is non-negotiable that telecom operators must prioritise visible and measurable improvements in network reliability, speed, accessibility, and customer service as part of any tariff adjustment.
“The rationale for the increase must be reflected in better services for consumers who rely on telecommunications for both personal and business purposes.
“Operators are expected to allocate increased revenues responsibly, with an emphasis on infrastructure development and service delivery improvements. Clear mechanisms must be established to monitor how these funds are utilised, ensuring that consumers directly benefit from the adjustments.”
SaharaReporters reported on Monday that the NCC had approved a tariff increase for telecommunications companies, citing prevailing market conditions.
Reuben Mouka, the commission’s spokesperson, announced the decision in a statement on Monday, explaining that the approval aligns with the NCC’s
regulatory powers under Section 108 of the Nigerian Communications Act, 2003.
According to Mouka, the adjustment allows a maximum increase of 50 percent on current tariffs, a compromise from the over 100 percent hike initially requested by some network operators.
(www.naija247news.com)