HomePoliticsPoliticsFG Plans Steep Increase In Telecom Tariffs, Up To 60%

FG Plans Steep Increase In Telecom Tariffs, Up To 60%

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The federal government has put forward a proposal to raise telecom tariffs by 30% to 60%, citing the need to bolster the telecommunications sector’s resilience. Officials stress that the adjustment is designed to sustain the industry while keeping services reasonably affordable for the average Nigerian.

Speaking on Channels Television yesterday, the Minister of Communications and Digital Economy, Dr. Bosun Tijani, confirmed that recommendations from independent consultants, notably KPMG, had been submitted. He highlighted that these expert analyses would play a pivotal role in guiding the government’s next steps in strengthening the telecommunications industry.

Dr. Bosun Tijani firmly dismissed calls by telecom operators for a 100% tariff hike, emphasizing that the government is exploring a more measured adjustment. He explained that the proposed increase seeks to strike a delicate balance between ensuring consumer affordability and safeguarding the sustainability and growth of the telecommunications industry.

He said: “The telecommunications sector contributes over 16 per cent to our GDP, employs thousands of Nigerians, and is essential to the nation’s digital economy. However, it is crucial to ensure that services remain accessible while maintaining the sector’s viability.”

Announcing key updates from the ministry, Dr. Tijani emphasized that the tariff review would prioritize consumer interests and sector sustainability.

He said the Nigerian Communications Commission, NCC, was overseeing the process, with recommendations based on data-driven analysis.

Read also: Telecom Tariff Hike Looms, Won’t Hit 100% – Minister

On rural connectivity investments, he said: “To address connectivity challenges in underserved areas, the government is deploying 90,000 kilometers of fiber-optic networks and building telecom towers in remote regions through Special Purpose Vehicles, SPVs.”

Dr. Tijani also addressed Nigeria’s leadership in global telecommunications infrastructure resilience, citing recent efforts to manage submarine cable disruptions.

He reiterated the government’s commitment to harmonizing taxes and declaring telecom infrastructure as critical national assets.

Assuring Nigerians of improved service delivery, the minister said operators would be held accountable for disruptions.

“We are implementing measures to ensure swift resolutions to service interruptions and better experiences for consumers.

“We are committed to ensuring meaningful connectivity for all Nigerians—25 Mbps in urban areas and 10 Mbps in rural areas—while fostering a sustainable environment for private and public investments,” he said.

The Eastern Updates 

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