ABUJA: Nigerian telecom operators have begun implementing the long-anticipated 50% tariff increase following approval from the Nigerian Communications Commission (NCC), despite objections from lawmakers who are calling for the suspension of the rollout due to economic challenges.
On Tuesday, the House of Representatives directed the NCC and the Minister of Communications, Innovation, and Digital Economy to pause the tariff hike, arguing that higher telecom costs are unaffordable for Nigerians facing rising inflation and the removal of fuel subsidies.
While MTN, Nigeria’s largest telecom provider, began implementing the new rates on Tuesday, other major players, including Glo, Airtel, and 9mobile, had not yet announced their updated pricing structures. A senior MTN official confirmed the rollout, stating that the process is gradual, with some products yet to receive new pricing.
The tariff adjustment mainly impacts MTN’s data plans. For example, the 1.5GB monthly plan, previously priced at N1,000, is now replaced by a 1.8GB plan costing N1,500. Larger data bundles have seen even steeper increases, such as the 15GB plan rising from N4,500 to N6,500 and the 20GB plan increasing from N5,500 to N7,500. More substantial plans, like the 1.5 terabyte 90-day package, now costs N240,000, up from N150,000, while the 600GB 90-day plan has risen from N75,000 to N120,000.
A Globacom official confirmed that while the company hadn’t yet rolled out the new tariffs, an update could be expected soon. An Airtel executive stated that the tariff hike was an industry-wide decision, not made by individual operators.
The intervention by the House of Representatives followed a motion raised by Oboku Oforji, a member of the People’s Democratic Party (PDP) from Bayelsa State. Oforji’s motion sought to halt the increase, arguing that while telecom companies justified the hike by citing rising operational costs, the timing was problematic given the existing economic hardship. Inflation, which reached a record 34.6% in November 2024, and the removal of fuel subsidies had already placed a significant financial burden on Nigerians.
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Oforji also highlighted that the National Association of Telecoms Subscribers (NATCOMS) opposed the tariff increase, calling it insensitive and further burdensome for consumers already dealing with economic hardship and poor network services. He emphasized the negative impact the tariff hike would have on small businesses that rely on affordable telecom services for operations, marketing, and customer engagement.
Billy Osawaru, another lawmaker from Edo State, echoed concerns about service quality, urging telecom operators to improve their network services before implementing the price increase. He expressed frustration that Nigerians always bear the brunt of such price hikes, referencing previous increases in electricity tariffs.
Industry stakeholders, including the Association of Licensed Telecommunications Operators of Nigeria (ALTON), defended the tariff hike, stressing its importance for the long-term sustainability of the telecom sector. ALTON Chairman Gbenga Adebayo explained that underinvestment in the sector had made it difficult to recover costs, making the price adjustment necessary to keep the industry viable.
The NCC announced the tariff hike on January 20, 2025, citing rising operational costs and the need to ensure the long-term viability of the telecom sector. The commission emphasized that the adjustment was in line with its regulatory responsibilities under the Nigerian Communications Act, 2003. However, NATCOMS and the Nigeria Labour Congress (NLC) have opposed the increase, calling for a reduction or reversal of the hike. The NLC even threatened to protest against the increase, although the protest did not take place due to various interventions.
