- The Federal Competition and Consumer Protection Commission (FCCPC) directive insisted tariff hikes must result in demonstrable service improvements
- Operators must disclose clear information about pricing, plan validity, and features
- Ongoing issues like network congestion and poor customer service must be addressed
The Federal Competition and Consumer Protection Commission (FCCPC) has issued a strong warning to Nigeria’s telecommunications companies, emphasising that the recent tariff hikes must result in significant improvements in service quality.
The FCCPC added that the Memorandum of Understanding (MoU) between the FCCPC and the Nigerian Communications Commission (NCC) ensured a coordinated approach to monitoring the implementation of the new tariffs, with a focus on safeguarding consumer interests.
This was disclosed by the FCCPC Director of Corporate Affairs Ondaje Ijagwu in a statement released on Wednesday, January 22
“The partnership ensures that the increase does not become a justification for exploitative practices but rather an opportunity to foster fairness, transparency, and accountability in the telecommunications sector,” Ijagwu stated.
FCCPC wants improved consumer welfare
While acknowledging the economic challenges faced by telecom operators, including rising operational costs, the FCCPC stressed that consumer welfare remains a top priority. The commission outlined new requirements for operators to provide clear, upfront information about their services.
The disclosures will include the cost, validity period, and specific features of each plan. Additionally, a mandatory disclosure table will be provided to consumers, allowing them to make informed choices without unexpected charges.
“The FCCPC acknowledges the intense pressure faced by the NCC over the years to approve tariff increases due to the rising operational costs experienced by telecom operators, which became more pronounced in recent times.
“We commend the NCC for adopting a deliberate and measured approach by rationalising the tariff adjustment and linking it to commensurate improvements in service quality while implementing measures to mitigate the impact on consumers.
“The NCC's approval of a 50% adjustment, which is lower than the over 100% increase initially proposed by operators, demonstrates a thoughtful effort to balance industry sustainability with consumer protection.
“We are also pleased with the NCC’s directive to operators to ensure that, henceforth, tariffs are clear, straightforward, and free of hidden charges or complexities,” the agency said.
FCCPC addresses consumer complaints
The FCCPC also addressed ongoing consumer complaints, noting that many Nigerians have called for improved service quality before any tariff increases.
Common issues cited include network congestion, dropped calls, fluctuating internet speeds, excessive data depletion, and subpar customer service.
“It is, therefore, crucial that tariff adjustments directly translate into demonstrable and tangible service enhancements for consumers.
“The Memorandum of Understanding (MoU) recently signed between the FCCPC and NCC highlights a shared commitment to ensuring robust consumer protection, fair competition, and the eradication of exploitative practices in the telecommunications sector.
“It reinforces the principle that any regulatory or pricing adjustment must balance the sustainability of the industry with the interests of consumers.”
The commission concluded by reiterating its expectation that telecom providers will address these concerns, particularly in terms of network reliability, speed, and accessibility, before further tariff increases are implemented.
It said, “It is non-negotiable that telecom operators must prioritise visible and measurable improvements in network reliability, speed, accessibility, and customer service as part of any tariff adjustment.
“The rationale for the increase must be reflected in better services for consumers who rely on telecommunications for both personal and business purposes.
“Operators are expected to allocate increased revenues responsibly, with an emphasis on infrastructure development and service delivery improvements. Clear mechanisms must be established to monitor how these funds are utilised, ensuring that consumers directly benefit from the adjustments,” the statement read.
Telecom tariff hike is not 100%, communications minister clarifies
Meanwhile, TheRadar earlier reported that the Minister of Communications Bosun Tijani said telecommunications tariff will be increased but not by 100 per cent as proposed by operators.
Executive Vice-Chairman (EVC) of the NCC, Dr Aminu Maida, said the stakeholders’ meeting is to ensure the telecoms sector’s sustainability.