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Home Sectors Legal & Regulations

SERAP urges FG, telcos to reverse 50% tariff hike within 48 hours, threatens court action 

Olalekan Adigun by Olalekan Adigun
January 21, 2025
in Legal & Regulations, Sectors, Tech News
Telecom
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The Socio-Economic Rights and Accountability Project (SERAP) has issued a 48-hour ultimatum to the Federal Government and telecommunications companies (telcos) to reverse the recent 50% hike in the cost of calls and data.

SERAP made this demand via a tweet on Tuesday, describing the tariff increase as “unlawful” and promising to take legal action if it is not rescinded within the stipulated timeframe.

The organization stated: “The Tinubu administration and telcos must immediately reverse the unlawful increase in calls and data costs. We’ll see in court if the 50% tariff hike is not reversed within 48 hours.” 

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SERAP emphasized that the hike contravenes the rights of Nigerians to affordable access to communication, as guaranteed under international human rights standards.

The tariff hike has sparked widespread concern among Nigerians, many of whom rely heavily on telecommunication services for business, education, and social connectivity.

The 50% hike in call and data tariffs adds to the already high cost of living, fueled by inflation and subsidy removal.

Many small and medium-scale enterprises (SMEs) that depend on affordable internet services could face operational challenges, potentially impacting productivity and revenue.

SERAP has called on the Nigerian Communications Commission (NCC) and relevant government agencies to provide a clear explanation for the increase, which it argues lacks transparency and public consultation. The group maintains that any decision affecting millions of Nigerians must align with constitutional and legal provisions.

Back story 

The NCC approved requests from network operators for tariff adjustments in response to rising operational costs, marking the first change in rates since 2013.

  • The decision, announced in a statement signed by the Director of Public Affairs, Reuben Muoka, on Monday, allows for a maximum adjustment of 50% to current tariffs, significantly less than the over 100% proposed by some operators.
  • In a statement signed by Muoka, the agency justified the 50% tariff adjustment as a necessary measure to address rising operational costs in the industry.

“The NCC has prioritised striking a balance between protecting telecoms consumers and ensuring the sustainability of the industry, including the thousands of indigenous vendors and suppliers who form a critical part of the telecommunications ecosystem,” the statement read.

  • The commission noted that while some operators had requested a 100% tariff increase, it approved a maximum adjustment of 50% after extensive consultations with stakeholders.

“The NCC recognises the financial pressures faced by Nigerian households and businesses and remains deeply empathetic to the impact of tariff adjustments. To this end, the commission has mandated that operators implement these adjustments transparently and in a manner that is fair to consumers,” the NCC stated.

What you should know 

With the 50% tariff hike, the minimum price for phone calls will increase from N6.40 to N9.60 per minute. On average, call rates will rise from N11 to N15.50 per minute.

For SMS, Nigerians will experience a 50% increase in the current cost of N4 per message, raising the price to N6 per SMS.

The 50% hike in data rates will result in an increase from an average of N350 per gigabyte to N525 per gigabyte, significantly impacting data affordability for users.


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Tags: SERAPtariff hikeTelcos
Olalekan Adigun

Olalekan Adigun

Olalekan Adigun is a seasoned political analyst and writer with extensive experience in crafting compelling narratives and executing strategic initiatives. Known for his insightful commentary on governance, policy, and socio-economic issues, he has contributed to various national and international platforms.

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