Telecommunications operators in Nigeria are working to enhance service quality in preparation for the three-month deadline set by the Nigerian Communications Commission (NCC) after the recent 50% tariff hike.
MTN Nigeria’s Chief Corporate Services and Sustainability Officer, Tobe Okigbo, said that operators had already begun investing in new equipment to increase network capacity during a recent meeting with telecom CEOs and the media. Okigbo stresses that operators strive to attain these improvements sooner rather than later, even if the NCC anticipates improvements in service quality within three months.
“The truth is, better quality means more investment. Every time a call drops or browsing fails, we lose money,” he says.
Okigbo points out that the tariff increase is just one part of addressing service issues. He mentions ongoing problems such as fiber cuts and the vandalism of telecom infrastructure, which complicate service delivery. At a recent meeting with the government, MTN’s Chief Technical Officer (CTO) shared that the company experiences 37 fiber cuts daily, while Airtel’s CTO reported an average of 44 cuts per day.
Engr. Gbenga Adebayo, Chairman of the Association of Licensed Telecommunications Companies of Nigeria (ALTON), stresses that although operators are committed to improving service quality, external factors, such as infrastructure vandalism, must be addressed for real progress. He warns that if these issues persist, the operators may need to reassess improvements in three months.
“If problems like fiber cuts and theft continue, we may need to revisit this conversation in three months,” Adebayo says.
Justifying the Tariff Hike
Telecom operators are asking customers to understand the recent tariff hike, explaining that it is necessary for the sustainability of the industry. Adebayo explains that the decision was driven by rising operational costs, including the price of diesel, and aims to ensure that the sector remains viable. He assures customers that the tariff increase will result in better services, clearer pricing, and stronger contributions to the economy.
Femi Adeniran, Director of Corporate Communications and CSR at Airtel Nigeria, adds that the operators’ request for a price increase is to ensure the continued availability of telecommunications services for millions of Nigerians. “We need to ensure we continue to serve over 100 million Nigerians, many of whom rely on telecommunications for essential services,” he says.
On January 20, the NCC approved a 50% tariff adjustment for telecom operators due to rising operational costs and the need to sustain the industry. This decision, according to NCC, follows its regulatory mandate under Section 108 of the Nigerian Communications Act, 2003.
The National Association of Telecommunications Subscribers (NATCOMS), however, has expressed displeasure over inadequate stakeholder input and has threatened to file a legal challenge to the pricing rise.