- Local telecom operators accused the Nigerian Communications Commission (NCC) of applying double standards by approving Starlink’s price hike request
- The NCC denied approving the price change and implemented pre-enforcement steps to ensure compliance with tariff guidelines
- Starlink suspended residential internet kit orders in Nigeria due to regulatory concerns over a proposed price hike
Orders for Elon Musk’s Starlink residential internet kits have been temporarily suspended in Nigeria while awaiting approval from the Nigerian Communications Commission (NCC) for a proposed price modification.
Customers noticed the suspension when they attempted to place orders on the company’s website on Wednesday, November 20.
In its statement on the suspension, the company explained that it is concentrating on enhancing internet service in Nigeria and pursuing regulatory clearance for the planned changes.
Starlink places new residential orders on hold
The company further said, “Until these changes are approved, we are placing new Residential orders on hold.”
While the ₦38,000 per month residential plan is temporarily suspended, customers have the option to subscribe to the ₦159,000 per month Business Plan from Starlink.
Recall that new orders were suspended in five major cities due to capacity constraints earlier in 2024, but the current suspension was applied nationwide and it was tied to regulatory concerns regarding the proposed price hike.
Starlink seeks 97% price increase, NCC denies approval
The issue centres on Starlink’s plan to increase its monthly subscription by 97%, from ₦38,000 to ₦75,000, and to hike the cost of its hardware kits by 34%, from ₦440,000 to ₦590,000.
The company linked the price hikes to "excessive inflation." However, the move faced criticism from local telecom operators, who alleged that the NCC was showing double standards by granting Starlink’s price increase, a request that Nigerian operators have long denied.
The NCC denied that it had approved the price hike, adding that Starlink's actions violated both the Nigerian Communications Act, 2003, particularly Sections 108 and 111, and the company’s licensing conditions.
Starlink suspends price hikes
Following this, the regulator implemented pre-enforcement steps, highlighting that any tariff adjustments must adhere to established guidelines.
In reaction to regulatory opposition, Starlink suspended the planned price increases, cautioning that its ability to maintain high-speed internet service in Nigeria depends on obtaining the required approvals.
“Without these approvals, our ability to continue delivering service is at risk,” Starlink stated.
NCC withdraws statement on sanctions against Elon Musk Starlink
Meanwhile, TheRadar earlier reported that the Nigerian Communications Commission has clarified its position on sanctions against Starlink, admitting it was made in error
The Nigerian Communications Commission further requested media organisations to withdraw its recently circulated press statement regarding the sanctions.