Reps demand suspension of Dstv subscription rates hike

The House of Representatives has directed Multichoice, owner of Pay TV options, DStv and GOtv, to halt the implementation of the hike in its subscription rate given the prevailing economic realities.

The entertainment company recently announced an upward review of its subscription rate, stating that from March 1, customers on the DStv premium bouquet will pay N44,500, up from N37,000, and those on Compact+ would pay N30,000, up from N25,000. Similarly, customers on compact bouquets will pay N19,000, up from N17,000.

The directive followed the adoption of a motion moved by a member of the All Progressives Congress from Edo State, Esosa lyawe.

He said, “The House notes that Multichoice, the owner of Pay TV options DStv and GOtv, recently announced an increase in the prices of all its packages in Nigeria, citing prevalent economic factors leading to increased operational costs as their reason for the proposed increase.

“The House also notes that the 20-25 per cent hike in subscription prices would be the second time in less than a year, as the last hike was in May 2024.

“We are concerned that the increase in May 2024 sparked a public outrage and many Nigerians who were already dealing with rising costs of living were forced to ditch their decoders even as they lamented the lack of competition in the pay-TV sector.

“We are concerned that due to the dominant position of Multichoice in pay-TV, price increases always have a widespread impact and put consumers under undue pressure.”

He further argued that “The recent hike has triggered widespread criticism from subscribers, many of whom have taken to social media to express their frustration over frequent price hikes without a corresponding improvement in service quality.”

With the adoption of the motion, the House called on Multichoice to suspend its proposed increase in subscription prices in Nigeria pending exhaustive investigations.

It further mandated its Committee on Commerce to investigate the arbitrary increase in subscription prices by Multichoice with a view to ensuring the implementation of cost-effective policies in the pay-TV sector for consumers in Nigeria.

The committee was given four weeks to submit its report.