Telecom services tariff hike sparks fresh mix reactions

The federal government’s recent approval of not more than 60 per cent hike in telecom services tariffs has sparked widespread debate among industry stakeholders, experts, and consumers.

The adjustment, which affects call and data services, follows months of negotiations between the Nigerian Communications Commission (NCC), telecom operators, and government representatives.

The Minister of Communications and Digital Economy, Bosun Tijani, who announced the tariff hike during a recent interview, cites rising operational costs as the primary driver.

According to him, inflation, currency depreciation, and soaring energy prices have reportedly made it increasingly difficult for telecom operators to sustain their operations under the current pricing structure.

Telecom companies had long pushed for a tariff review, citing the high cost of diesel, network maintenance, and regulatory compliance. “This increase reflects the realities of doing business in today’s economic environment,” a senior industry executive said.

Former NCC Executive Vice Chairman, Prof. Umar Danbatta defended the move, describing it as a balance between sustaining the industry and protecting consumer interests.

“The adjustment was made after thorough consultations, and we are committed to monitoring its impact to ensure operators comply with quality standards,” he stated.

A technology expert, Dr. Amina Bello, raised concerns about the broader implications for digital inclusion. “With many Nigerians already excluded from the digital economy due to affordability issues, a steep hike like this risks pushing even more people offline,” she warned, highlighting the potential to widen the digital divide.

On a more optimistic note, telecom analyst Adewale Bakare argued that the tariff increase could lead to better service quality. “With improved revenue, operators have an opportunity to upgrade infrastructure and expand coverage. Transparency in how these funds are utilized will be crucial to building public trust,” he remarked.

For consumers, the hike represents a significant burden, particularly in a country grappling with high inflation and declining purchasing power.