The Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, has confirmed that telecom tariffs will increase. However, the hike will not reach the 100% proposed by operators.
During an interview shared by Channels TV on X (formerly Twitter), Tijani revealed the government’s ongoing review of telecom tariff adjustments. He stated that the Nigerian Communications Commission (NCC) will ensure a balanced approach to protect consumers while supporting industry growth.
Proposed Telecom Tariff Hike Linked to Rising Costs
Telecom operators have submitted a proposal to the NCC requesting a 100% increase in telecom tariffs. This proposal cites escalating operational costs, inflation, and increased service delivery expenses as driving factors.
The operators argue that without tariff adjustments, the sector’s sustainability could be jeopardized. Industry leaders emphasize that the current cost environment has made maintaining quality service and network expansion increasingly challenging.
Minister Emphasizes Balanced Regulations
After a stakeholders’ meeting in Abuja, Tijani highlighted the importance of proper regulations to sustain the telecommunications sector. He stressed the need to balance consumer protection with operators’ ability to invest in infrastructure.
“The verdict is that tariffs will increase but not by 100%. The NCC is reviewing a commissioned study to determine fair directives.”
Bosun Tijani
He added that safeguarding telecommunications infrastructure and increasing local content are key initiatives under review. These measures aim to secure the sector’s continued contributions to Nigeria’s economic development.
Efforts to Mitigate Telecom Tariff Hikes’ Impact on Nigerians
Tijani assured Nigerians that the government is considering measures to alleviate the effects of tariff increases. He acknowledged operators’ push for adjustments due to surging costs, including inflation and volatile exchange rates.
“Our study explores ways to sustain the sector without imposing significant hardship on citizens. Targeted strategies are being devised to address these challenges,” the minister said.
Operators Warn of Potential Service Cuts Without Telecom Tariff Adjustments
Industry leaders warn that failure to adjust telecom tariffs could lead to service shedding in some areas. The Chairman of the Association of Licensed Telecommunications Operators of Nigeria, Engr. Gbenga Adebayo, described the telecom sector as “under siege” due to skyrocketing costs.
Airtel Nigeria’s CEO, Dinesh Balsingh, emphasized the necessity of tariff adjustments, noting a 300% rise in operating expenses over the past 18 to 24 months. He stated that realigning pricing with economic realities is essential to maintaining service quality and meeting growing digital connectivity demands.
