…..NCC Directs Telecom Operators to Simplify Tariff Plans for Better Consumer Understanding
In a move to enhance transparency and consumer protection, the Nigerian Communications Commission (NCC) has issued a directive to telecommunications operators to simplify their tariff plans, bundles, and promotional activities. This directive aims to provide subscribers with clear, easy-to-understand, and accurate information about the cost of voice, SMS, and data services.
Titled “Guidance on the Simplification of Tariffs in the Nigerian Communications Sector,” the directive, issued on July 29, 2024, mandates Mobile Network Operators (MNOs) to publish a comprehensive table detailing the features of their tariff plans and bundle offers. This table should include all necessary information for subscribers to make informed decisions, such as add-on details, prices, opt-in or opt-out procedures, terms and conditions for renewal, and rollover policies.
This guideline results from extensive consultations with industry stakeholders, including MNOs and Consumer Focus Groups, as well as data analysis on consumer preferences and expectations. The objectives are to reduce the complexity of tariff plans and bundles, ensure transparency and fairness, protect consumer interests, and promote fair competition among licensees by standardizing tariff structures.
Service providers are required to display all relevant information about their tariffs, such as the plan name, price, validity period, price-per-second for on or off-network and international calls, expected data speeds, and fair usage policies. The directive states, “Operators can maintain existing bonus-led tariff plans till 31st December 2024, within which period operators are expected to educate and migrate all subscribers to the simplified tariff plans.”
MNOs must communicate tariffs to subscribers in clear language and a user-friendly format, with full disclosure of a subscriber’s tariff plan via Unstructured Supplementary Service Data (USSD). Additionally, operators are required to offer stand-alone data bundles at fair prices, avoid tying consumers to unnecessary products, state bonuses on promotions in actual value, and eliminate access fees and asymmetric fee structures.
The NCC emphasized that while complying with these guidelines, operators must also meet the Key Performance Indicators (KPIs) standards set out in the Quality of Service (QoS) Regulations. This directive aims to protect consumers, ensure fair competition, and improve the overall telecommunications experience in Nigeria.