Alleged pressure on Nigerian operators to raise mobile tariffs because of economic factors is continuing to inspire a lively debate between various factions over what sort of rise might be acceptable.
In recent days the CEO of Airtel Nigeria, Dinesh Balsingh, has suggested that an increase in tariffs by operators is inevitable because of the surge in their operational costs. These, he argued, have increased by 300% in the last 18 to 24 months alone despite tariffs that, he said, have remaining static for over ten years.
He added that to deliver greater capacity and improved service quality, especially given the rising demand for digital services, could mean regular network upgrades and that this would also require tariff increases.
However, he also noted that the tariff adjustments should be rolled out gradually given the low incomes of many customers.
However, according to news service the Nigerian Tribune, consumer group the National Association of Telecommunications Subscribers (NATCOMS) has said it is preparing to sue telecommunications companies over a proposed tariff hike that could double service costs nationwide.
Adeolu Ogunbanjo, the National President of NATCOMS, is threatening to file a class-action lawsuit if the operators go ahead with the hike without first exploring alternative revenue-generating methods. He wants the regulator, the Nigerian Communications Commission (NCC), to deny the operators’ request.
Ogunbanjo has, however, acknowledged the financial pressures faced by operators, including inflation and rising operational costs.
The Tribune says that, according to Karl Toriola, CEO, MTN Nigeria, operators have formally submitted requests to the NCC for a 100% tariff hike, though he added that he did not expect the entire amount to be granted.
