Nigerians are in for very tough times as telecommunications companies operating in the country, namely Glo, MTN, Airtel, and 9Mobile have hinted of plans to raise their tariff.
The four have called on regulatory authorities in the sector to facilitate constructive dialogue with the federal government in that regard.
They expressed that the current price control mechanism is not in tune with the economic realities in Nigeria and hence the demand for government’s intervention in order to address pricing challenges.
The four telecommunications companies say they were the only ones that have not reviewed their prices, which threaten the industry’s sustainability and possibly erodes investors’ confidence.
They made this known in a joint statement by the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON) on Thursday.
According to the statement signed by ALTON Chairman, Mr Gbenga Adebayo, and ATCON President, Mr Tony Emoekpere, there has not been a general service pricing upward review in the past 11 years.
They attributed the non-increment to regulatory constraints despite the adverse operating environment and economic hardship.
They said: “For a fully liberalized and deregulated sector, the current price control mechanism, which is not aligned with economic realities, threatens the industry’s sustainability and can erode investors’ confidence.
“Despite the adverse economic headwinds, the telecommunications industry remains the only industry yet to review its general service pricing framework upward in the last 11 years, primarily due to regulatory constraints.
“Government needs to facilitate a constructive dialogue with industry stakeholders to address pricing challenges and establish a framework that balances consumers’ affordability with operators’ financial viability.”
They also expressed concerns on the worsening security challenges affecting the productivity of the services provided, urging the federal government erect measures to tackle the menace.
“Telecom infrastructure undisputedly plays a pivotal role in Nigeria’s national security and socioeconomic growth, especially as the country currently contends with multiple security challenges that require urgent and immediate actions in response to these threats.
“Attacks on cell towers, fibre optic cables, and other critical assets disrupt telecommunications services and result in significant financial losses for operators. We urge the government to prioritize the security of telecommunications infrastructure and collaborate with law enforcement agencies to enhance protection measures and combat vandalism and sabotage effectively.
“The industry also requires substantial investments in network expansion, maintenance, and technology upgrades,” they said.
