Industry Reform to Enhance Service Quality, Attract Investment, and Ensure Sustainability
Amidst ongoing debates over the recent 50% telecom tariff adjustment approved by the Nigerian Communications Commission (NCC), the Arewa Youth Assembly has expressed strong support for the move, describing it as a necessary step for industry sustainability, improved service quality, and long-term economic benefits.
Tariff Adjustment Crucial for Industry Growth
The Northern-based youth group emphasized that without appropriate tariff adjustments, the Nigerian telecom industry faces the risk of stagnation and possible collapse, which could have far-reaching consequences for sectors such as healthcare, education, business, and governance. According to the Assembly, the NCC’s decision will help telecom operators maintain quality service, invest in infrastructure, and attract fresh investments into the sector.
Speaking on the development, Mohammed Salihu Danlami, Speaker of the Assembly, stated that the telecom sector has been operating under immense economic pressure due to rising operational costs, including the high cost of diesel, power, foreign exchange fluctuations, and maintenance expenses.
“Despite these challenges, the industry has maintained its pricing structure for over a decade, making it difficult to sustain quality service delivery. The recent tariff adjustment will enable operators to enhance their network coverage, improve service quality, and drive innovation,” Danlami noted.
NCC Defends Tariff Adjustment, Ensures Consumer Protection
On January 13, 2025, the NCC approved the tariff hike, exercising its regulatory authority under Section 108 of the Nigerian Communications Act, 2003. The Commission stated that the adjustment—capped at a maximum of 50%—was significantly lower than the over 100% increase requested by some operators.
Reuben Muoka, NCC’s Director of Public Affairs, explained that the Commission carefully considered industry sustainability while ensuring that telecom consumers are not unduly burdened.
“Telecom tariffs have remained unchanged since 2013, despite increasing operational costs. This adjustment is designed to bridge the gap between costs and revenue while ensuring consumers continue to enjoy quality services,” Muoka stated.
He further assured that the tariff review adheres to the NCC’s 2024 Guidance on Tariff Simplification, with a transparent implementation process that prioritizes fairness to consumers.
Consumer Concerns Addressed: Transparency and Service Improvement Mandated
Acknowledging consumer concerns, the NCC has mandated Mobile Network Operators (MNOs) to implement the tariff adjustments transparently, ensuring public awareness of new rates and demonstrable improvements in service delivery.
Muoka added:
“The NCC remains committed to striking a balance between consumer protection and industry sustainability. Operators are required to reinvest additional revenue into infrastructure upgrades, network expansion, and enhanced customer experience.”
Arewa Youth Assembly Urges Calm, Trust in Industry Reforms
The Arewa Youth Assembly urged telecom consumers and industry stakeholders to remain patient, assuring them that the reforms will lead to long-term benefits, including job creation, better consumer protection, and a more competitive telecom sector.
“Those criticizing the tariff adjustments are often the same individuals who complain about poor service quality. The reality is that improving infrastructure requires significant investment, which cost-reflective pricing makes possible,” Danlami added.
The youth organization reaffirmed its commitment to supporting policies that drive economic growth while advocating for transparency, accountability, and fairness in Nigeria’s telecom sector.
With the new tariff structure set for implementation, industry stakeholders and consumers will be watching closely to see how telecom operators utilize the additional revenue to enhance service delivery and network reliability across Nigeria.