JUST IN: NCC Finally approves telcos’ request for tariff increase, caps hike at 50%

The proposal for price increases by telecommunications firms (telcos) has been granted by the Nigerian Communications Commission (NCC).

NCC said the clearance was made in accordance with its authority under Section 108 of the Nigerian Communications Act, 2003 (NCA) to regulate and authorize tariff rates and charges by telecoms providers in a statement released Monday by Reuben Muoka, the commission’s director of public affairs.

According to NCC, the tariff adjustment is limited to 50%, which is less than the 100% that the telcos had asked for.

The regulator claims that the pricing rise is a reaction to the state of the market.

Although it is less than the over 100% that some network operators had demanded, the adjustment, which is limited to no more than 50% of existing rates, was made with consideration for continuing industry reforms that will have a positive impact on sustainability, according to the commission.

“As is the Commission’s regular procedure for tariff reviews, requests will be examined on an individual basis, and these modifications will stay within the tariff bands outlined in the 2013 NCC Cost Study. Strict adherence to the recently released NCC Guidance on Tariff Simplification, 2024, shall govern its implementation.

Tariff rates have remained static since 2013, despite the increasing costs of operation faced by telecom operators. The authorized modification aims to close the large discrepancy between operating costs and current tariffs without compromising service delivery to customers.