NCC silences tariff hike rumours

Joy Agwunobi

The Nigerian Communications Commission (NCC) has denied granting permission to telecommunications giants such as MTN, Airtel, Glo and 9mobile for any increase in tariffs. This denial follows widespread concerns and complaints from subscribers about potential hikes in call and data prices.

The commission recently rolled out a comprehensive document aimed at regulating tariffs within the nation’s communications sector. This newly issued guidance, titled “Guidance on the Simplification of Tariffs in the Nigerian Communications Sector,” officially came into effect on July 29, 2024.

According to the NCC, the primary objective of this document is to streamline and simplify the tariff structures across the industry, ensuring greater transparency and fairness for consumers and to ensure that telecom operators provide clear and detailed information about their pricing structures.

The newly issued guidance requires Mobile Network Operators (MNOs) to publish detailed tables outlining the features of their tariff plans and bundle offers. These tables are expected to include comprehensive details such as add-on costs, opt-in and opt-out procedures, renewal terms, and rollover policies.

The commission explained that the guidelines are the result of extensive consultations with industry stakeholders, including MNOs and consumer focus groups, as well as a thorough analysis of consumer preferences. 

The document outlines several key requirements for operators, emphasising the need for clear communication regarding pricing details. This move comes in the wake of an April 2024 consideration by Association of Licensed Telecom Operators of Nigeria (ALTON) to raise prices, a proposal that was met with backlash from subscribers.

Under the new guidance, all operators are required to publish comprehensive information about their tariff plans on their websites including plan names, pricing, validity periods, price-per-second rates for calls, data speeds, and fair usage policies. The directive allows operators to continue offering existing bonus-led tariff plans until December 31, 2024, during which time they are expected to transition their subscribers to the new simplified plans.

The commission also noted that operators must present tariffs in clear and user-friendly language, and provide full disclosure of tariff plans via Unstructured Supplementary Service Data (USSD). 

Furthermore, the guidelines stipulate that operators must offer stand-alone data bundles at reasonable prices, avoid tying consumers to unnecessary products, and ensure that bonuses are stated in actual value. Other stipulations include eliminating access fees and asymmetric fee structures.

In addition,  when subscribers check their account balances via the USSD code *310#, they should receive detailed information about their current plan, including rates per second or minute, data rates, and SMS charges. 

The commission also noted that all promotional features must be separated from tariff plans and provided as distinct promotions. These promotions will require prior approval, adhere to specified time constraints, meet quality of service and capacity requirements, and comply with full disclosure standards.

The NCC also requires operators to adhere to the guidelines while also meeting the Key Performance Indicators (KPIs) established in the Quality of Service (QoS) Regulations.