Telecom Executives Express Confusion Over Unannounced 35% Tariff Reduction

An executive shared their confusion over the recent announcement regarding a 35 percent reduction in tariffs, stating, “We’re just as puzzled as you are! No one has informed us about this 35 percent cut in tariffs. We are hearing about it for the first time. We need an official notification from the NCC to confirm any changes, but we haven’t received anything yet. For now, we’re only hearing rumors, and no formal communication from the Federal Government has reached us.”

In discussing the potential effects of lowering the tariff from 50 percent to 35 percent, another executive, who also confirmed they hadn’t received any formal notice, explained, “Initially, we requested a 100 percent tariff adjustment, but we were only given 50 percent, which wasn’t enough. Considering the financial struggles many telecom companies are facing—some of us are experiencing continual losses, and we haven’t been able to upgrade our facilities for the last two years, let alone expand—cutting it to 35 percent is unrealistic. It’s important to remember these are private companies we’re talking about.”

The executive also highlighted the government’s stance on other sectors, noting, “While the NLC has been pushing to lower fuel prices to N450 per litre, the price is still close to N1,000 per litre and remains deregulated. The same situation applies to electricity tariffs, which are even expected to rise. There’s no protest from the NLC on these matters. But when it comes to private companies, the focus seems to be on reducing their revenues. However, we haven’t received any official directive from the NCC regarding this 35 percent tariff reduction. If that directive comes, as the regulator, we’ll have to comply with their authority.”

Efforts to reach the NCC for comment were unsuccessful, as Reuben Muoka, the Director of Public Affairs, did not respond to calls.