Tuesday, October 14, 2025
24.1 C
Lagos

NCC Suspends Data Price Hike

Following the concerns that visited the directive to introduce price floor for data segment of the telecommunications sector beginning from December 1, 2016, the Nigerian Communications Commission (NCC) has suspended any further action in that direction.

The decision to suspend this directive was taken after due consultation with industry stakeholders and the general complaints by Consumers across the country.

The Commission has weighed all of this and consequently asked all operators to maintain the status quo until the conclusion of study to determine retail prices for broadband and data services in Nigeria.

Recall that the Commission wrote to the Mobile Network Operators (MNOs) on November 1, 2016 on the determination of an interim price floor for data services after the stakeholder’s consultative meeting of October 19, 2016.

The decision to have a price floor was primarily to promote a level playing field for all operators in the industry, encourage small operators and new entrants.

The price floor in 2014 was ₦3.11k/MB but was removed in 2015. The price floor that was supposed to flag off on December 1, 2016 was ₦0.90k/MB.

In taking that decision, the smaller operators were exempted from the new price regime, by virtue of their small market share. The decision on the price floor was taken in order to protect the consumers who are at the receiving end and save the smaller operators from predatory services that are likely to suffocate them and push them into extinction.

The price floor is not an increase in price but a regulatory safeguard put in place by the telecommunications regulator to check anti-competitive practices by dominant operators.

This statement clarifies the insinuation in some quarters that the regulator has fixed prices for data services. This is not true because the NCC does not fix prices but provides regulatory guidelines to protect the consumers, deepen investments and safeguard the industry from imminent collapse.

Before the new suspended price floor of ₦0.90k/MB, the industry average for dominant operators including MTN Nigeria Communications Limited, EMTS Limited (Etisalat) and Airtel Nigeria Limited was ₦0.53k/MB.

Etisalat offered (₦0.94k/MB), Airtel (₦0.52k/MB), MTN (₦0.45k/MB) and Globacom (₦0.21k/MB).

The smaller operators/ new entrants charge the following: Smile Communications – ₦0.84k/MB, Spectranet – ₦0.58k/MB and NATCOMS (NTEL) – ₦0.72k/MB.

The NCC as a responsive agency of government takes into consideration the feelings of the consumers and so decided to suspend the new price floor.

Signed

Tony Ojobo
DIRECTOR – PUBLIC AFFAIRS
NIGERIAN COMMUNICATIONS COMMISSION

spot_img
spot_img
spot_img

Hot this week

Stanbic IBTC Supports UAC on Acquisition of CHI with Investment Banking Solution

Stanbic IBTC Holdings Plc proudly supported UAC of Nigeria...

Heirs Insurance Group Announces Inaugural Travel Festival: A Call for Inclusive Travel Ecosystem for Africans

Heirs Insurance Group (HIG), Nigeria’s fastest-growing insurance group, has...

Unity Bank MD Celebrates Resilient Frontline Staff, Reaffirms Commitment to Customer Service Excellence

The Managing Director/Chief Executive Officer of Unity Bank Plc,...

Sovereign Trust Insurance Celebrates 2025 Customer Service Week

Sovereign Trust Insurance Plc has been actively involved in...

Stanbic IBTC Bank Hosts Strategic Forum to Arm Clients with Economic Clarity

Stanbic IBTC Bank has taken a significant step in...

Topics

‘Enhanced Pension for Programmed Withdrawal Retirees Leaves Life Annuity Retirees in Limbo’

  By Dr. Pius Apere (PhD/FCII) (Actuarial Scientist and Chartered Insurer) Chairman/CEO Achor Actuarial...

AFC: ‘Local Impact Champion’ at Africa CEO Forum 2023

Africa Finance Corporation (AFC), the leading infrastructure solutions provider...

Zoho Technologies, African Data Centres, Itel, Others Shine at Titans of Tech Awards

L-R: Engineer Ikechukwu Nnamani, President, ATCON, receiving the Telecom...

Effective Judicial System Will Assist Nigerian Economy – Amb. Rimi

AMCON MD/CEO, Ahmed Kuru (left); Nigerian Ambassador to Egypt,...

Why Shale Revolution is Not About to End

Doubts about the sustainability of the North American oil...

Fixit45 Reports Acquisition of Parkit, Unveils Subscription-based VIP Programme

  R-L: Gideon Adepoju, Manager, Growth and Innovation, Gerald Okonkwo,...

Nigeria Loses N2.5bn to Gas Flaring Yearly

BudgIT advises the Nigerian government against the effects of...

Embracing Insurance Ecosystems: Key to Thriving in Today’s Evolving Market

  By Emeka Akwiwu Executive Director Continental Reinsurance Plc At the recent 5th...
spot_img

Related Articles

Popular Categories

spot_imgspot_img