Telecoms: FCCPC applauds NCC for ‘rationalising’ tariff adjustments, tasks MNOs on improved service to consumers

*The Federal Competition and Consumer Protection Commission commends the Nigerian Communications Commission for adopting ‘a deliberate and measured approach by rationalising the telecoms tariff adjustment’, and charging telecoms service providers on improved Quality of Service while implementing measures to enhance consumer experience in the ecosystem

Gbenga Kayode | ConsumerConnect

For its “deliberate and measured approach” in regulating the tariff hike procedure, the Federal Competition and Consumer Protection Commission (FCCPC) has applauded the Nigerian Communications Commission (NCC) for approving a 50 percent adjustment in telecommunications tariffs for the Mobile Network Operators (MNOs) in the country.

ConsumerConnect had reported the Nigerian Communications Commission January 20, 2025, disclosed it granted approval for tariff adjustment requests by the Mobile Network Operators in response to prevailing market realities in the country’s telecoms ecosystem.

The telecoms sector regulatory Commission also noted that it approved the proposal for upward tariff adjustments by the MNOs, pursuant to its power under Section 108 of the Nigerian Communications Act, 2003 (NCA) to regulate and approve tariff rates and charges by telecommunications operators in the West African country.

Mr. Reuben Muoka, Director of Public Affairs at NCC, stated that the upward adjustments, capped at a maximum of 50 percent of current tariffs, though lower than the over 100 percent requested by some network operators, was arrived at taking into account ongoing industry reforms that will positively influence sustainability.

“These adjustments will remain within the tariff bands stipulated in the 2013 NCC Cost Study, and requests will be reviewed on a case-by-case basis as is the Commission’s standard practice for tariff reviews.

“It will be implemented in strict adherence to the recently issued NCC Guidance on Tariff Simplification, 2024.”

The FCCPC Tuesday, January 22 stated that it acknowledged the economic pressures that the Nigerian telecoms operators have faced, including increasing inflation, operational costs, and Forex Exchange (Forex) issues, noting yet the Commission “unequivocally states that consumer interests remain paramount.”

Mr. Ondaje Ijagwu, Director of Corporate Affairs at FCCPC, in the statement said the market regulatory Commission equally affirmed the intense pressure the NCC had faced over the years to approve tariff increases due to the rising operational costs experienced by telecoms operators, which became more pronounced in recent times.

NCC commended for rationalising tariff increments for MNOs

Underlining the significance of the regulatory intervention in the burning tariff adjustment issue in the telecoms ecosystem, Ijagwu stated: “We commend the NCC for adopting a deliberate and measured approach by rationalising the tariff adjustment, and linking it to commensurate improvements in MNOs’ Quality of Service (QoS) while implementing measures to mitigate the impact on telecoms consumers.

“The NCC’s approval of a 50 percent adjustment, which is lower than the over 100 percent increase initially proposed by operators, demonstrates a thoughtful effort to balance industry sustainability with consumer protection.”

The Commission averred: “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.”

According to the market regulator in regard to the recent 50 percent tariff increments, the network operators are now required to disclose all key details upfront, including the cost, validity period, and the specific inclusions of a plan for transparency and improved service delivery.

Regulatory mandate to MNOs for enhanced QoS, consumer experience

As regards what is in it for consumers in the tariff hike regime, the FCCPC stated that telecoms consumers also could expect a mandatory disclosure table from their service providers.

This would enable the subscribers to make informed decisions without worrying about unexpected charges or surprises, said the Director of Corporate Affairs.

The Commission further noted: “Consumers have consistently expressed the desire for measurable improvements in the Quality of Service before any tariff increases are implemented.”

The market regulator as well acknowledged that issues, such as network congestion, dropped calls, inconsistent internet speeds, unusual data depletion, and poor customer service have remained prevalent concerns in the Nigerian telecoms space.

“It is, therefore, crucial that tariff adjustments directly translate into demonstrable and tangible service enhancements for consumers,” stated the Commission.

Significance of extant MoU between FCCPC and NCC

The statement also referenced the recent Memorandum of Understanding (MoU) consummated between the FCCPC and NCC, which highlights “a shared commitment to ensuring robust consumer protection, fair competition, and the eradication of exploitative practices in the telecommunications sector.”

Ijagwu stated: “It reinforces the principle that any regulatory or pricing adjustment must balance the sustainability of the industry with the interests of consumers.

“It is non-negotiable that telecoms operators must prioritise visible and measurable improvements in network reliability, speed, accessibility, and customer service as part of any tariff adjustment.”

The Commission said the rationale for the increase must be reflected in better services for consumers who rely on telecommunications for both personal and business purposes.

It stated: “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.

“Operators must also clearly communicate the rationale for the tariff adjustments to consumers.”

The FCCPC explained this includes ensuring that consumers are fully informed about the nature of the changes, their benefits, and how they align with efforts at improving service delivery and infrastructure in the telecoms environment.

The statement noted that the MoU between the FCCPC and NCC as well provides a unified framework to oversee the implementation of this tariff adjustment in a manner that meets the needs of consumers.

It emphasised how the partnership also 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.

Benefits of advanced connectivity to consumers, other industry stakeholders

The Commission stated that as Nigeria embraces rapid technological advancements and increasing reliance on digital connectivity, it is imperative that the benefits of a thriving telecommunications ecosystem extend to all stakeholders, particularly consumers.

The market regulator noted: “The FCCPC assures the public that, together with the NCC, we will continue to pursue measures that uphold these objectives.

“We are committed to closely monitoring the impact of these tariff adjustments to ensure compliance with established regulatory standards.

“Operators are reminded that the FCCPC is actively working with NCC to address concerns that may be raised by consumers during this transition period and beyond.”

Ijagwu stated: “The Commission encourages consumers to report any unfair practices or concerns through its official channels to ensure effective resolution.”[ do_widget id=heateor_sss_sharing-2]