…Akinlosotu: We appeal to NLC to review its position on tariff hike
By Dele Ogbodo
The National Civil Society Council of Nigeria (NCSCN) with over 620 affiliates on Monday did a U-Turn on its formerly held position over the 50% hike in tariff in telecommunications service as approved by the Nigerian Communications Commission (NCC).
The umbrella body said the hike of 50% after several genuine consideration has become significantly understandable considering the percentage rise in forex, diesel and other variables, which is up to 700% in some cases under which the telecommunication companies are operating.
Addressing a cross section of stakeholders including the media in Jabi District of Abuja, Federal Capital territory (FCT), the National President of NCSCN, Mr. Blessing Akinlosotu, said its planned peaceful protest due to commence today Monday 3, of February at the headquarters of the Nigerian Communications Commission and the National Assembly over the 50% tariff hike approval in telecommunication service has to be turned down after a robust interactive session with NCC over the weekend.
“The National Civil Society Council of Nigeria has called off our Planned Protest, and would embark upon further consultations and sensitization on the facts and figures before us, considering the bitter realities on ground, from all sides.” He said.
He acknowledged that after a robust engagement, the council set up a 5-man technical committee to carefully study documents presented to it, while asking the committee to do clinical and forensic examination of available records of operational costs and annual profits margins of major telecom service providers with critical assessments of financial Statements.
“Our findings were very interesting and calls for serious review of position and planned line of action.
“Confirmed facts and figures by our technical committee:
“That there has not been any tariff adjustment by operators since 2013 despite rising inflation and unfavorable environments and economic realities
“Like every other local and international businesses depend on same enabling factors and variables as electricity, foreign exchange, secured environments etc to operate and do businesses profitably.”
According to Akinlosotu, the electricity tariffs and cost of diesel has skyrocketed on the telecom service providers, adding that insecurity and constant vandalization of facilities and cable lines have become a serious reoccurrence and threat to the continued operations and profitability of the telecom businesses in Nigeria
The NCSCN President, said: “That the 50% is simply an upper ceiling that must not be exceeded, operators may still be driven by competition to slightly adjust and not shoot up to the 50%.
“That as other factors as electricity, diesel, security improves, rates will naturally come down as has been the case in the industry for over 2 decades running whereby rates of calls and services have been in steady decline.
“That NCC has issued a detailed and comprehensive terms and condition for improvement in services nationwide and reformation in the industry in favour of consumers, necessitating structural and equipment upgrades by service providers, which will result in radical improvement in telecom services in Nigeria.
“That the Service providers are mandated to abide by the guidelines and term and condition before any upward adjustments in tariff.”
According to him, Nigeria still enjoys relatively one of the lowest tariffs globally, adding that…”Even the 50% adjustment.
While commending, NCC, he added that NCSCN leadership, having carefully done a forensic analysis of the facts and figures available on this burning national issue, sincerely sympathizes with the NCC in the dilemma they find themselves.
Akinlosotu, said the situation calls for more understanding on all sides, hence, the following advice: “That the NCC ensures that the terms and conditions reached with the telecom service providers are strictly adhered to without any compromise, with quality and spread of services improved remarkable, as a matter of urgency;
“That the NCC improve on monitoring mechanism to verify and checkmate actual Tariff Rates of various service providers, and causing all to do a periodic public statements on operations;
“That the telecom service providers show more patriotism and loyalty to customers by charging the most minimal Tariff Rates and not necessarily going for the upper sealing of 50%.
“Let them favour the Customers and Nigerian People in their individual adjustments of the Tariff.
“That all members of the NCSCN shields our swords for now, as we call off the planned Protest earlier scheduled to commence today Monday, January 3, 2025.
“Let us accept the painful and bitter realities being faced in the Operational Cost by Service Providers and allow for this understandable Tariff Adjustment;
He appealed to the Nigerian Labour Congress to review its position on this matter and find reasons to allow for this unavoidable tariff adjustment, to prevent systemic collapse of telecom services in Nigeria.
“We appeal to Nigerian to keep faith with the NCC Leadership as we in the NCSCN have seen relatively a very reasonable level of Patriotism and commitment to the well-being of the People, which is the reason the Tariff has been kept at a relatively low level, till date.
“The National Civil Society Council of Nigeria has called off our Planned Protest, and would embark upon further consultations and sensitization on the facts and figures before us, considering the bitter realities on ground, from all sides.
“We call on the Federal Government under President Bola Tinubu, to urgently declare a State of emergency in the energy Sector of our national economy and ensure further improvement in the security architecture, with equal attention to reducing the rate of forex in favour of the naira, which are the primary causes of high cost of productions and doing business in the country.
“Finally, we call on Nigerians to stretch a little more in patience and sacrifices towards revamping our ailing National Economy, which the current Government inherited, believing that thing would improve in not distant future.”
