- Telecommunication subscribers have distanced from the Nigeria Labour Congress’ planned protest over the 50 per cent hike in tariff
- The subscribers’ association said exploring negotiations and legal measures remains the best approach
- The NLC threatened a nationwide protest and boycott of telecommunications services over the 50 per cent tariff hike
The National Association of Telecommunication Subscribers (NATCOMS) has distanced itself from the planned protest by the Nigeria Labour Congress (NLC) against the recently approved 50 per cent telecom tariff hike.
In a statement on Thursday, January 23, NATCOMS President, Deolu Ogunbanjo, said the proposed protest was unnecessary and that it could scare off investors.
Ogunbanjo added that instead of a protest as proposed by the NLC, NATCOMS would toe the path of negotiation and legal measures as the appropriate responses to the tariff hike.
He said NATCOMS is engaging with the NCC to find a resolution and is prepared to take legal action if consultations fail.
Ogunbanjo said, “We do not support the Nigerian Labour Congress’ call for industrial action. No, we don’t! NATCOMS is not in support.
“To investors and businesses, it is a wrong signal. Negotiation is still ongoing, and the tariff hike is scheduled for February. We still have eight days.”
NLC threatened a nationwide protest
The NLC President, Joe Ajaero, threatened a nationwide protest and boycott of telecommunications services by workers and the public to state displeasure over the 50 per cent tariff increase.
Ajaero also called on the NCC and the National Assembly to halt the implementation of the tariff hike, while exploring a more modest and humane increase.
He said, “NLC expresses its unequivocal condemnation of the federal government’s recent approval, through the NCC of a 50 percent increase in telecommunication tariffs.
“This decision, coming at a time when Nigerian workers and the masses are grappling with unprecedented economic hardship, is a clear assault on their welfare and an abandonment of the people to corporate fat cats.
“The NLC calls on all Nigerian workers and masses to reject this unjustifiable tariff hike. We urge citizens to prepare for collective action, including the possibility of a nationwide boycott of telecommunication services, to compel the reversal of this punitive increase.”
NCC approved a 50 per cent tariff hike
It will be recalled that the NCC approved a 50 per cent hike in tariff on Monday, January 20, after weeks of deliberations with telecom operators, in response to prevailing operational costs.
The Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) raised several concerns and asked the NCC to upwardly review tariffs.
The operators asked for a 100 per cent hike so they could meet up with rising capital and operational costs.
They also noted that proceeds from the tariff increase would be channelled toward infrastructural upgrades and enhancing service quality.
However, on January 16, the Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, said a hike in telecom tariffs would not exceed 60 per cent, saying that a 100 per cent increase would hurt Nigerians and hamper the country’s economic growth.
The 50 per cent tariff hike was met with rejection from telecommunication subscribers, as they threatened legal action against the NCC if the hike is not reviewed downward to between five and 10 per cent.
Explore capital market funding, not 100% tariff hike, subscribers urge telcos
Meanwhile, TheRadar earlier reported that telecommunications operators were urged to explore capital market funding as a sustainable option to address rising operational costs rather than implementing a proposed 100 per cent tariff hike.
President of the National Association of Telecommunications Subscribers (NATCOMS), Adeolu Ogunbanjo, said the proposed tariff hike would impose financial strain on consumers.