NCC Set For Talks With Subscribers As Labour Signals Protest Over 50% Telecom Tariff Hike

The recent 50 per cent hike in telecom tariffs has sparked heated debates across Nigeria, with stakeholders ranging from subscribers to labour unions and telcos presenting conflicting perspectives.

The National Association of Telecommunications Subscribers (NATCOMS) is set to engage with the Nigerian Communications Commission (NCC) today to advocate for a reduction of the hike to a 10 per cent adjustment.

Meanwhile, the Nigeria Labour Congress (NLC) is mobilising for possible nationwide protests.

Naijaonpoint reports that the Federal Government approved the increase after rejecting telecom operators’ initial request for a 100 per cent hike.

This is the first tariff adjustment in over a decade, introduced to address rising operational costs in an industry contributing approximately 14 per cent to Nigeria’s economy.

Despite its economic significance, the decision has drawn sharp criticism from subscribers, unions, and students.

NATCOMS Pushes for Legal Redress

In a conversation with The PUNCH on Thursday, President of the National Association of Telecommunications Subscribers (NATCOMS), Adeolu Ogunbanjo, advocated for legal action rather than boycotts in response to the recent telecom tariff increase.

NATCOMS President said, “Going to court is the civil way of doing things, not boycotting telecom services.”

Ogunbanjo cautioned that such protests could damage Nigeria’s image among potential investors, especially as the government seeks to attract foreign capital.

“We are not backing the NLC at all. It will send wrong signals to investors. These are private businesses, and President Bola Tinubu is trying hard to woo investors. So we can’t support that rascality,” he added.

Despite the tariff hike, the costs of voice calls and text messaging have remained steady. However, operators are grappling with inflation, currency fluctuations, and the significant investments required to keep up with rising consumer demand.

Ogunbanjo acknowledged these challenges, noting that they pose substantial financial risks to the telecommunications sector, which is a cornerstone of Nigeria’s digital economy.

Highlighting the sector’s success as a privatised industry, NATCOMS called on labour unions to adopt solutions that balance the needs of both consumers and telecom operators.

“Telcos are there to make a profit, and at the same time, consumers must not be exploited. We’ve been at this for quite a while,” Ogunbanjo said.

He urged operators to explore alternative financial strategies, such as raising capital through Initial Public Offerings (IPOs), which he believes would attract substantial interest from investors.

“They should go to the stock market. I know people will buy. That is the way to go. But boycotting businesses because telecom expenses take a percentage of salaries is not a solution. You can’t kill the business by protesting,” he added.

On the upcoming discussions with the Nigerian Communications Commission (NCC), Ogunbanjo assured that NATCOMS would maintain a diplomatic approach.

“We will engage them through correspondence and phone calls on Friday. This has been our approach for quite some time,” he concluded.

Labour’s Opposition

NLC President, Joe Ajaero, criticised the tariff hike, describing it as an added financial burden on Nigerians earning less than $50 monthly.

The union has warned of potential collective action, including service boycotts and protests, to pressure the government into reversing the decision.

NLC spokesperson Benson Upah urged citizens to resist the hike peacefully, advocating for boycotts and demonstrations as effective methods of dissent.

“The citizens have a right to protest against policies they are not comfortable with. It is up to the citizens to show a certain level of resentment peacefully instead of merely grumbling. You don’t need to be violent or aggressive to drive home your point,” Upah said.

Lagos State NLC Chairperson, Sessi Funmi, hinted that the union might organise mass protests, including occupying the offices of telecom service providers.

“The NLC will have recourse back to the National Executive Council, and the organs will take a decision; we are yet to take a final decision on the situation.

“I think that they will probably call out the workers and liaise with Nigerians to boycott, and the NLC might stage an action. Maybe we will go and occupy the head offices of the service providers. I don’t know yet, but that is what I think the union should do.

“The telcos should be prevented from exploiting and doing any business. Until a final decision is made by the NEC, NLC will know the next action to be taken,” Sessi told The PUNCH.

Students Voice Outrage

The National Association of Nigerian Students (NANS) has rejected the hike, labelling it “inconsiderate and unjustifiable.”

In a statement issued on Wednesday by the Clerk of the Senate at NANS National Headquarters, Oladimeji Uthman, the association warned that the tariff increase would widen the digital divide and hinder students’ access to education.

NANS issued a 72-hour ultimatum to the NCC and the Ministry of Communications and Digital Economy to reverse the decision or face protests.

“This decision is not only abnormal but also highly inconsiderate and unjustifiable, especially in the current socio-economic climate.

“Our protests will not only demand the reversal of the tariff increment but also advocate for broader consultations with stakeholders before implementing policies that affect the public.

“The future of Nigeria depends on the quality of education and opportunities available to its young people. We will not allow policies that threaten this future to prevail,” the student union noted.

Government Justifies Tariff Adjustment

Finance Minister Wale Edun defended the tariff hike, calling it essential to sustain the telecommunications sector amidst rising operational costs.

Speaking to Arise TV on Thursday at the ongoing 2025 World Economic Forum in Davos, Switzerland, Edun stressed that the adjustment was necessary to maintain the sector’s contributions to Nigeria’s economy while improving service delivery.

He assured Nigerians that the tariff hike would be reviewed periodically to ensure fairness.

The Minister said, “Inflation has increased, and it must be reflected in the business operations of telcos. While their prices are regulated, they cannot implement arbitrary tariffs. The rising cost of living must be considered, and I believe the 50 per cent tariff adjustment is just the starting point. It’s about compromise, timing, and sequencing these necessary changes.

“The government expects the tariff adjustment to result in better call termination, fewer dropped calls, and overall improved service quality.

“We want telcos operating efficiently, terminating calls seamlessly, and delivering high-quality services. At the same time, we want them to foster innovation, create jobs, and contribute to GDP.”

Telecom Operators Commit to Improved Services

The President of the Association of Telecommunications Companies of Nigeria, Gbenga Adebayor, has highlighted the need to upgrade outdated systems and optimise equipment within the telecom sector.

Speaking with The PUNCH, he stated, “We are actively working on improving the cost-mile experience significantly.

“Our goal is long-term sustainability—no telecom operator wants to provide poor service quality. Every minute of uptime contributes to revenue, and it’s crucial that we show tangible improvements in user experience and deliver something better to subscribers.”

Leading telecom providers in Nigeria, including MTN and Airtel, have emphasised their commitment to improving service quality through the recent tariff hike.

MTN, the largest operator in the country, described the adjustment as a pivotal move for ensuring the sector’s sustainability while empowering businesses, individuals, and the nation’s economic growth.

MTN Nigeria’s Chief Executive Officer, Karl Toriola, explained, “This tariff adjustment represents an important step towards addressing the impacts of the prevailing economic challenges on our business and industry.

“It will enable us to maintain the critical investments required to deliver reliable, high-quality services to Nigerians. We remain committed to supporting Nigeria’s digital transformation agenda and driving inclusive growth for all stakeholders.”

Similarly, Airtel Nigeria’s CEO, Dinesh Balsingh, supported the price adjustment, stating it is essential for the survival and growth of the industry while safeguarding consumer interests.

“The tariff adjustment reflects a balanced approach to ensuring the sustainability of the telecom sector while safeguarding the interests of consumers.

“The price increase, which was highly needed for the survival and continued growth of the industry, will enable us to continue investing in network infrastructure, expanding coverage, and delivering improved products and services that meet the evolving needs of our customers,” he said in a statement.

Balsingh also highlighted that the move aligns with the Nigerian Communications Commission’s (NCC) goal of fostering sustainability and promoting investment in the industry.

“We are confident that this development will pave the way for even greater advancements in telecommunications services across the country.

“Our focus remains on providing exceptional customer satisfaction while contributing to the long-term sustainability of the industry,” Balsingh added.