Telecoms tariff hike: Subscribers meet NCC today as Labour mobilises for showdown

•Labour officials talk tough, insist telcos must be prevented from exploiting Nigerians

The National Association of Telecommunications Subscribers will engage the Nigerian Communications Commission on Friday, seeking a possible reversal of the 50 per cent telecom tariff hike to 10 per cent, as the Nigeria Labour Congress signals readiness for protest.

The Federal Government approved a 50 per cent increase after operators initially requested a 100 per cent hike. However, subscribers are pushing for a 10 per cent adjustment, and if talks fail, they plan to file a lawsuit next week to challenge the decision.

The hike, the first in over a decade, is aimed at revitalising the struggling telecom sector, which contributes about 14 per cent to Nigeria’s economy, and has continued to spark widespread debates and controversies.

The labour union, led by Joseph Ajaero, criticised the increase on Wednesday, describing it as an added burden on Nigerian workers who earn less than $50 per month as minimum wage.

The union warned of potential collective action, including a nationwide boycott of telecom services, to compel the government and the NCC to reverse the decision.

Speaking with The PUNCH on the development on Thursday, NATCOMS President Adeolu Ogunbanjo said, “Going to court is the civil way of doing things, not boycotting telecom services.”

He expressed concern that such actions would harm investor confidence in the Nigerian market, especially as the government works to attract foreign investment.

“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.”

Tariff rates on phone calls and messages have remained unchanged, even as operators face rising costs fueled by inflation, exchange rate volatility, and substantial investments needed to meet increasing consumer demand.

These challenges have created significant financial strain, jeopardising the sustainability of the telecommunications sector—a vital pillar of Nigeria’s digital economy.

The subscriber association emphasised that the telecom sector is a model of successful privatisation in Nigeria, urging NLC to seek solutions that benefit both consumers and 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,” he said.

NATCOMS, however, reiterated its call for telecom operators to explore alternative funding options, such as Initial Public Offerings, to raise capital.

“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,” Ogunbanjo added.

Regarding planned engagements with the NCC, the subscribers’ president noted that discussions would remain constructive. “We will engage them through correspondence and phone calls on Friday. This has been our approach for quite some time,” he concluded.

NLC may lead protests

The NLC Public Relations Officer, Benson Upah, urged Nigerians to take decisive yet peaceful action against the 50 per cent telecoms tariff hike that is causing widespread discomfort.

He emphasised the importance of citizens’ participation in defending their rights through non-violent means.

“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 told one of our correspondents.

Upah underscored the need for organised and impactful resistance, urging citizens to explore options such as boycotting services and engaging in peaceful demonstrations.

He added that the NLC stands ready to provide leadership when necessary but noted that citizens, as the direct victims, must take the lead in voicing their dissatisfaction.

“There is an element of spontaneity in all of this. Clearly, everybody is complaining. Put this into an organised form, but peacefully,” Upah stated.

The Chairman of NLC, Lagos State chapter, Sessi Funmi, said even though the union had not taken a definite stand on the next step on the telcos 50 per cent tariff hike, several actions may be considered against the telcos.

“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,” Sessi explained to The PUNCH.

She added, “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.”

NANS ultimatum

The National Association of Nigerian Students rejected the tariff hike, calling 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 move would worsen the economic hardships faced by Nigerians, particularly students.

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

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

The association explained that affordable internet access is crucial for bridging the educational gap in Nigeria and warned that the tariff hike would further exclude millions of students from accessing quality education, deepening the digital divide.

While acknowledging the operational challenges faced by the telecommunications industry, including inflation and high costs, NANS insisted that the burden should not be transferred to students and the general public.

The association urged the NCC and the ministry to explore alternative solutions that prioritise affordability and accessibility.

“As stakeholders in the future of this nation, we call for immediate dialogue with the NCC, the Ministry of Communications and Digital Economy, and relevant stakeholders to discuss a fair and balanced approach that prioritises the welfare of Nigerian students and citizens,” NANS said.

NANS vowed that if the NCC failed to address their demands within 72 hours, it would organise a peaceful, nationwide protest involving student leaders, unions, and civil society organisations across Nigeria.

“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 statement added.

The association emphasised its commitment to peaceful advocacy and dialogue but warned that its patience has limits.

NANS called on all well-meaning Nigerians, civil society groups, and youth organisations to join the movement against policies that undermine the progress and well-being of young Nigerians.

“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,” Uthman stated

Finance minister reacts

Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, expressed support for the tariff hike, urging telcos to enhance service delivery in line with the price increase.

Speaking to Arise TV on Thursday at the ongoing 2025 World Economic Forum in Davos, Switzerland, Edu described the tariff adjustment as essential for sustaining the sector amid rising operational costs and inflation.

“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,” he said.

Edu further emphasised the critical role of the telecommunications sector in Nigeria’s economy, calling it essential to the country’s infrastructure and business environment.

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

“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.”

The finance minister assured Nigerians that the tariff adjustment would be reviewed periodically to ensure it remains balanced and fair for both consumers and operators.

He reaffirmed the government’s commitment to fostering a thriving telecommunications sector that supports innovation, economic growth, and job creation.

This came as the telcos promised that the implementation of the approved tariff hike, which is expected to kick off in February, will allow them to invest in infrastructure to improve service and quality.

President of the Association of Telecommunications Companies of Nigeria, Gbenga Adebayor, said that many systems within the telecom sector are outdated and equipment requires optimisation.

“We are actively working on improving the cost-mile experience significantly,” he told The PUNCH earlier.

“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.”

Nigeria’s biggest telecom operators, MTN and Airtel, said they are targeting better telecom services with the tariff hike.

MTN, the biggest operator, noted that the development is a significant milestone in ensuring the long-term sustainability of the telecom sector while empowering millions of people and businesses and contributing to the country’s overall economic development.

The Chief Executive Officer of MTN Nigeria, Karl Toriola, stated, “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.”

Airtel Nigeria’s Chief Executive Officer, Dinesh Balsingh, defended the tariff hike, describing it as a critical measure to ensure the survival and growth of the telecommunications sector while protecting consumer interests.

Balsingh noted that the development underscores the regulator’s commitment to fostering sustainability and enhancing investment in the telecommunications industry for superior service delivery.

“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.

The operator said it remains committed to its mission of bridging the digital divide by offering reliable and affordable telecommunications services.

With Nigeria’s vibrant economy and dynamic population, the company believes the decision by NCC creates an environment conducive to innovation and growth, benefiting consumers and the industry alike.

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

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