Telecom operators in Nigeria, under the Association of Licensed Telecommunications Operators of Nigeria (ALTON), have issued a stark warning about potential service disruptions in some regions next year if the Nigerian Communications Commission (NCC) does not approve a tariff review.
ALTON Chairman, Engr. Gbenga Adebayo, highlighted the dire state of the telecom sector in a statement on Monday, citing rising operational costs, soaring energy prices, inflation, and exchange rate volatility as factors pushing operators to the brink. He stressed that without tariff adjustments to reflect current economic realities, service availability could not be guaranteed.
Adebayo warned of severe consequences if the tariff review is delayed, including the risk of operators reducing service coverage and times, which could leave millions disconnected. He added that such disruptions could significantly impact key sectors such as security, healthcare, commerce, and education, which heavily rely on telecom infrastructure.
Despite persistent calls for a price review since last year, operators remain unable to adjust tariffs due to regulatory constraints. Telecom tariffs in Nigeria are regulated by the NCC, and any price changes require the Commission’s approval. While the NCC has indicated it is conducting a cost-based study to evaluate the need for price increases, operators argue that immediate action is needed to ensure the sector’s sustainability.
Adebayo lamented the stagnant tariff structure, which he said had trapped operators in a financial quagmire, leaving insufficient resources to maintain, expand, and modernize networks. He described the challenges facing the sector as a clarion call for decisive action to secure its future.
The ALTON Chairman expressed hope for a better 2025, provided immediate steps are taken to address the sector’s challenges.