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FINALLY, FG SET TO JACK UP TARIFFS IN TELECOMS SECTOR

By Dele Ogbodo

The Minister of Communications, Innovation and Digital Economy, Dr. Bosun Tijani, has said that very soon telecommunications tariffs will soon be increased even as he assured that it will not be the 100%.

Players and CEO of Mobile Network Operators have canvassed that the increase in telecom telecommunications services is long overdue with variations coming from 40% to 100%.

At stakeholders meeting which held Wednesday convened at the instance of the Minister in Abuja, he, acknowledged that the Ministry is concluding its consultations and engagements on the percentage and suitability of the hike.

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He however said that the Nigerian Communications Commission (NCC), would approve the new tariffs and make it public to Nigerians at the appropriate time.

According to him, there have been agitations across stakeholders in the past weeks for increase tariff, adding: Some are even suggesting 100% tariff increase. 

He said: “But it will not be by 100%. We are still looking at that study and NCC will come up with a clear directive on how we will go about it.

“We want to strike the balance as a government to protect our people, but also protect and ensure that these companies can continue to invest significantly.

“We need to ensure that as a sector, we get our acts together, ensure that from the regulation side, we put the right regulations in place that can ensure the growth of this sector.”

While stressing the importance of infrastructure in driving the country’s digital economy, he said Federal Government would no longer leave investments in infrastructure in the sector to private hands alone.

He however admitted that government has left this investments in the hands of the private sector for too long, adding that the private sector would prefer to put their monies where they can see returns in the short to medium term.

The Minister, said: “We will not want this conversation to just be about tariff increase. I think what the world is talking about today is meaningful connectivity.

“You want to have access to very good quality service.

“A part of it that the consumers may not be aware of is the investment that needs to go into the infrastructure that is used to deliver these services,” he said. 

Speaking at the meeting, the Executive ViceChairman (EVC)/CEO, of the Nigerian Communications Commission (NCC), Dr. Aminu Maida, noted that the meeting was overarching as it touches on sustainability and stability of the industry.

He said: “We have looked at all of these factors, and that is why, like the Minister said, it is not likely that we are going to approve 100% tariff hike.

“I know that Nigerians are agitated to hear the exact percentage approved. There is still some stakeholder engagements that we are going through, but you will hear from us within a week or two.”

He said that the NCC had put a number of tools and instruments into place by revising its quality of service regulations for compliance service quality.

He said that the MNOs must comply simplified templates to show Nigerians charges per minute for voice calls, SMS and a megabyte of data.

According to Maida, the Commission will be well guided on the implication of where we are moving away from the regime where you will have a main rate, then you will now have a bonus which is at a different rate.

He added that it will makes it often complicated and difficult for Nigerians to actually understand what they are being charged for.

He said: “This is one of the things when we took a lot of time over the past year looking at data there is this agitation that the MNOs are stealing our data,” he said. Airtel CEO, Mr. Dinesh Balsingh, represented by his Spokesperson, Mr. Femi Adeniran, noted that for operators to continue to deliver superior connectivity and fostering digital inclusion, there is need for tariff increments, adding that the economic realities of rising operational and capital costs, necessitated the proposed tariff adjustments.

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