By …As telecom sector seeks government support for survival
The House of Representatives has asked the Nigerian Communications Commission (NCC) to introduce a Pay-As-You-Go (PAYG) policy for Internet Service Providers (ISPs) to prevent customers from paying for services they don’t receive.
The lawmakers also want the NCC and other agencies to set up a system that automatically refunds or compensates customers for long service outages or when services do not meet the promised quality.
This request came after Hon. Leke Abejide raised a motion at a plenary session, where he expressed concern over the poor service quality of many ISPs. He noted that these providers often escape accountability due to the lack of proper regulations.
Abejide pointed out that Nigerians face frequent internet disruptions, slow speeds, and unreliable connections, especially in a time when having good internet is essential. He said customers are sometimes left without internet for weeks and get no compensation.
The lawmaker further warned that this poor service hurts businesses and the economy and that regulatory bodies have not done enough to protect consumers.
The House has asked its Committee on Communications to look into the matter and report back in two weeks for further action.
**Experts Warn Telecom Sector’s Decline Could Hurt Economy**
At an event held at the Lagos Business School, experts discussed the importance of the telecom sector to Nigeria’s economy. They warned that if the sector continues to decline, it could have serious consequences for the country’s growth.
Bismarck Rewane, CEO of Financial Derivatives Company, emphasized that the telecom industry is crucial for driving innovation and productivity in other sectors. However, he highlighted several challenges facing the industry, such as high costs, inflation, and regulatory issues.
Rewane mentioned that MTN’s financial loss in 2023 was a sign of the sector’s struggles, warning that if the telecom sector fails, it could impact all other industries.
Other experts, including Prof. Ali Bongo, supported Rewane’s points and called for government support to help the sector grow. They noted that telecom has been growing faster than the GDP, showing its importance for national development.
