Nigerians to pay more for telcom services as MTN, Airtel, Glo mull tariff hike

Nigerians should gear up to pay more for telecommunications services following move by telcom giants, MTN Nigeria Plc, Airtel Africa, Globacom, and other operators to hike tariff  for data and voice calls.

The Association of Licensed Telecom Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON) gave the hint yesterday in a statement.

The association cited the high cost of operation in Africa’s biggest economy induced by inflationary pressure.

The association had in the past contemplated price review but regulatory limitations prevented them from setting prices appropriately over the past 11 years.

The associations said, “ALTON and ATCON respectfully reiterate that telecommunications infrastructure development requires substantial investments in network expansion, maintenance, and technology upgrades.

“Despite the adverse economic headwinds, the telecommunications industry remains the only industry yet to review its general service pricing framework upward in the last (11) years, primarily due to regulatory constraints.

“For a fully liberalized and deregulated sector, the current price control mechanism, which is not aligned with economic realities, threatens the industry’s sustainability and can erode investors’ confidence.
“ATCON and ALTON call upon the government to facilitate a constructive dialogue with industry stakeholders to address pricing challenges and establish a framework that balances consumers’ affordability with operators’ financial viability.”

The operators decried telecommunications industry challenges like taxation, regulations, Right of Way (RoW), charges, inadequate power supply and infrastructure vandalism, and solicited government’s intervention.

The operators said, “Telecommunications infrastructure undisputedly plays a pivotal role in Nigeria’s national security and socioeconomic growth, especially as the country currently contends with multiple security challenges that require urgent and immediate actions in response to these threats.

“Attacks on cell towers, fibre optic cables, and other critical assets disrupt telecommunications services and result in significant financial losses for operators.”(Source: thewhistler.ng)