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The House of Representatives has urged the Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani, and the Nigerian Communications Commission (NCC) to suspend the proposed increase in telecommunications tariffs until there is a significant improvement in service quality.
The decision follows concerns over a pending tariff hike announced by the minister after a stakeholders’ meeting with Mobile Network Operators (MNOs) on January 8, 2025. While telecom companies had initially proposed a 100 percent increase, Tijani assured that the final adjustment would be lower, with the NCC expected to approve and announce the new rates soon.
Speaking on the matter, the minister said, “Consultations are ongoing as there have been agitations from some of these companies to increase tariffs to as high as 100 percent. However, it will not be a 100 percent increase.”
Telecom operators, through the Association of Licensed Telecom Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON), argue that the increase is necessary due to rising operational costs, record-high inflation of 34.6 percent in November 2024, and foreign exchange losses.p
However, the National Association of Telecom Subscribers and other consumer groups strongly oppose the hike, calling it insensitive at a time when Nigerians are already struggling with economic hardship and poor network services. The House of Representatives also expressed concerns over the broader impact on businesses and digital access.
The lawmakers warned that the increase could widen inequalities, making digital services unaffordable for low-income families. Small businesses that rely on telecommunications for operations and customer engagement could face up to a 7 percent drop in profitability, potentially forcing some to shut down. They also noted that critical sectors such as banking, education, healthcare, and agriculture, which depend on affordable digital connectivity, would suffer setbacks.
A lawmaker speaking during the session said, “Affordable connectivity is a must for progress in critical sectors like digital banking, education, healthcare, agriculture, and e-governance. Informal sector workers who depend on affordable mobile data to access gig work opportunities may find it harder to stay connected.”
In response, the House of Representatives called on the NCC and the Minister of Communications to halt the proposed tariff increase until telecom operators improve service delivery. They also mandated the House Committee on Telecommunications to ensure compliance with this resolution.
