Telecommunications operators in Nigeria are considering jerking up the prices of voice calls, data, and other services.
The Association of Licenced Telecommunications Operators of Nigeria (ALTON) disclosed this recently during a visit to the Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani.
ALTON sought the approval of the Minister for a proposed telecom price review mechanism, blaming the increased cost of doing business and harsh economic realities for the price hike proposal.
According to ALTON chairman Gbenga Adebayo, other sectors of Nigeria’s economy, including insurance and power, have implemented different degrees of tariff increment in the last six years but there has been no increase in the telecoms sector.
“Consumer prices in other sectors have seen a steep rise over the last six years as they adjust to reflect macroeconomic realities. However, telco prices have remained flat and even declined. Contrary to the price trends in other sectors, telcos have had to adjust for the macroeconomic headwinds caused by an increasing erosion of margins. Other highly regulated sectors, such as power and insurance, have implemented price increases over the last year. Insurance prices have risen 200 per cent with power raising prices by over 40 per cent,” he stated.
In his response, the communication minister said he would look into all that ALTON had tabled, stressing that the challenges are not insurmountable.
