Telecom subscribers in Nigeria, under the National Association of Telecom Subscribers (NATCOMS), have threatened to take legal action against the Nigerian Communications Commission (NCC) over its approval of a 50% tariff hike for telecom operators.
While distancing themselves from the planned nationwide protest by the Nigerian Labour Congress (NLC) on February 4, 2025, NATCOMS argued that such demonstrations could discourage foreign investment in the telecom sector.
Speaking to Vanguard on Wednesday night, NATCOMS President, Chief Deolu Ogunbanjo, stated that the association had formally requested the NCC to reduce the tariff hike to 10%. He warned that if the regulator fails to respond positively by today, they would proceed with filing a lawsuit tomorrow.
In a letter co-signed by Ogunbanjo and NATCOMS’ legal counsel, Mr. Bayo Omotubora, the group strongly criticized the NCC’s decision, describing it as a betrayal of consumers. The letter read in part:
“The Nigerian Communications Commission’s (NCC) recent approval of a 50% tariff hike is an unjustifiable move that places the burden entirely on consumers. Instead of prioritizing consumer protection, the Commission appears to be enabling telecom operators’ relentless pursuit of profit at the expense of Nigerians.”
NATCOMS suggested that telecom companies explore alternative ways to raise capital, such as:
Pursuing aggressive debt recovery from defaulters
Settling intra-industry debts
Reinvesting past profits
Seeking loans from domestic or international financial institutions
The association argued that telecom operators had previously recorded massive profits and should not be allowed to shift financial burdens onto consumers.
“Rather than imposing a 50% hike, telecom operators should reinvest their past earnings to enhance service delivery. They can also seek funding through loans instead of overburdening already struggling Nigerians.”
NATCOMS also condemned what it described as a growing trend of government agencies introducing multiple levies on citizens, stating:
“If it’s not fuel price hikes, it’s electricity tariff increases, international passport fees, customs duties, or hidden taxes. Now, telecom subscribers are being subjected to another financial burden.”
The association warned that the tariff hike could have severe consequences, including:
Small businesses shutting down due to increased telecom costs
Disruption of academic activities for students reliant on data services
Isolation of senior citizens who depend on telecommunications to stay connected with loved ones
Increased operational costs for large businesses, which will eventually be passed on to consumers
NATCOMS urged the NCC to reconsider its decision and implement a more reasonable 10% increase instead.
“Even if a tariff adjustment is necessary, a 10% hike would be a fair compromise while exploring other funding options.”
With no positive response from the NCC yet, NATCOMS remains poised to challenge the decision in court.
