In reaction to the concerns of the Subscribers, over the news that Network providers under the umbrella of Mobile Network Operators (MNOs) have decided to increase tariffs and are agitating for it, NCC has made a press release to allay the fears of subscribers.
The MNOs stated the high cost of running their operations as the major reason for their proposed tariff increase but NCC has assured subscribers that they are not allowed to do such either individually or collectively without recourse to NCC, following the outcome of a cost study.
NCC’s Statement
Consistent with international best practices and established regulatory procedures, the NCC ensures its regulatory activities are guided by regular cost-based and empirical studies to determine the appropriate cost (upper and floor price) within which service providers are allowed to charge their subscribers for services delivered.
“The Commission ensures that any cost determined, as an outcome of such transparent studies is fair enough to enhance healthy competition among operators, provide wider choices for the subscribers as well as ensure the sustainability of the Nigerian telecoms industry.
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“For the avoidance of any doubt, and contrary to MNOs’ agitation to increase tariffs for voice and Short Messaging Services (SMS) by a certain percentage, the Commission wishes to categorically inform telecoms subscribers and allay the fears of Nigerians that no tariff increase will be effected by the operators without due regulatory approval by the Commission.
“It is noteworthy that tariff regulations and determinations are made by the Commission in line with the provisions of Sections 4, 90, and 92 of the Nigerian Communications Act (NCA) 2003, which entrusts the Commission with the protection and promotion of the interests of subscribers against unfair practices including but not limited to; matters relating to tariffs and charges.
“The current tariff regime being administered by the service providers is a product of NCC’s determination both for voice and SMS in the past.
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“However, while there could be justifiable reasons for MNOs’ demand for tariff increase, it should be noted that they are not allowed to do such either individually or collectively without recourse to NCC, following the outcome of a cost study. This is not the case for now.
“Through NCC’s commitment to engendering healthy competition among the licensees, the cost of services has been democratized and become more and more affordable for Nigerian subscribers. The regulator is even more committed to this cause to ensure subscribers get greater value for money spent on telecom services”.NCC said in a release.
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