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Senate Tells FG To Crash Cost Of Data Services, Says Reason For Increase Untenable

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The Senate has urged the federal government to quickly intervene and crash the high cost of data services from telecommunication companies.

Naijaonpoint reports that Senator Asuquo Ekpeyong, Cross River South, who moved the motion during Wednesday’s plenary, decried that Nigerians were placed under financial strain by the telecommunications companies.

Speaking on the motion, he noted that many Nigerians rely on the internet for their day-to-day business, stressing that the increase has a heavy burden on Nigerians.

It read: “The motion before us is the urgent need to address the increased cost of data services in Nigeria. The Senate notes that telecommunication providers in Nigeria have recently increased the cost of data services by as much as 200 percent, a move that has placed significant financial strain on millions of Nigerians, especially young people who rely on the internet for their livelihood.

“The Senate further notes that young Nigerians have embraced the digital economy, leveraging the internet for various income-generating activities, including freelancing and remote work, direct marketing and social media management, e-commerce, online trading, software development, web design, mobile app creation, content creation on various platforms, online education, etc.

“The Senate is concerned that fiber-optic internet services remain unaffordable for the average young Nigerians, leaving them heavily dependent on mobile telecommunications companies for Internet access, and that the sudden and substantial increase in data costs threatens their economic survival and limits access to critical digital services.

The Senate is further concerned that the reasons provided by telecom providers for the data price hike include high operational costs of favorable exchange rates are untenable and appears that instead of addressing the root causes of the high cost of doing business in Nigeria, the burden is being unfairly transferred to end users.

“The Senate is aware that the high cost of doing business in Nigeria is driven by multiple challenges, such as increased operational risk and insurance costs.

“The Senate believes that urgent government intervention is required to ensure that affordable Internet access remains available to all Nigerians, particularly the young Nigerians who are the backbone of Nigeria’s digital economy.”

The Prayers Of the Motion

Senator Ekpeyong said the world is in its fourth industrial revolution,”the Internet of things“.

He stated that a fast, reliable, and affordable internet is a precursor for Nigeria’s effective participation in this industrial revolution.

The Senate urged the federal government to engage with telecommunications providers to review the recent increase in data costs and ensure the pricing remains fair and affordable for all Nigerians.

It continued, “Call on the Federal Ministry of Communications, Innovation, and Digital Economy to develop a policy framework for affordable Internet access in Nigeria. 

“Encourage the federal government to establish and support technology and innovation hubs across the country, providing free and or subsidized internet access to young entrepreneurs, students, and innovators.

“Mandate the Senate Committee on Communications to conduct an investigation into the factors driving the high cost of data and profile solutions for a sustainable and business-friendly telecommunications sector.

“Call for immediate government action to address the challenges of doing business in Nigeria, particularly in the ICT and telecommunications sector, to prevent further cost increases that negatively impact the economic growth of our dear country.”

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