Telecommunication operators in Nigeria have sought approval for new pricing for calls, data, and SMS Two prominent associations, ALTON and ATCON, maintained that the current pricing is not sustainable The telcos also lamented being burdened by huge multiple taxes and levies they pay across the country.
Telecom operators, represented by the Association of Licensed Telecom Companies of Nigeria (ALTON) and the Association of Telecom Companies of Nigeria (ATCON) have called for a tariff that reflects the actual cost of services. The call is subsequent to earlier calls by ALTON for the federal government through the regulatory agencies to consider tariff increases for calls and data.
According to The Nation, the groups released a joint statement appealing to the Federal Government to safeguard telecom infrastructure from deliberate vandalism and theft.
telecommunications companies operating in Nigeria include MTN, Airtel, Globacom Limited, Broad-Based Communications Limited, 9Mobile, Main One Service Company Limited, Fiberone Broadband Limited, and others.
As stated in the joint announcement, the associations emphasized that the development of telecommunications infrastructure necessitates significant investments in network expansion, maintenance, and technology upgrades.
The statement partly read:
βDespite the adverse economic headwinds, the telecommunications industry remains the only industry yet to review its general service pricing framework upward in the last 11 years, primarily due to regulatory constraints.
βFor a fully liberalised and deregulated sector, the current price control mechanism, which is not aligned with economic realities, threatens the industryβs sustainability and can erode investorsβ confidence.”
They, therefore, urged the government to initiate a constructive dialogue with industry stakeholders to tackle pricing challenges and create a framework that balances consumers’ affordability with operators’ financial sustainability.
Both associations expressed concerns over various challenges in the sector, such as multiple taxation and regulations, high Right of Way (RoW) charges, insufficient electricity supply, and vandalism of telecommunications infrastructure.
telecommunication companies spent about N429.43 billion buying diesel to fuel their communication base stations across the country in 2023.
It would be recalled earlier calls for tariff increase had been met with resistance from Nigerians through the National Association of Telecommunications Subscribers (NATCOMS).
Leave a Reply