Telecom Operators Advocate for Cost-Reflective Tariffs Amid Economic Realities

Leading telecom operators in Nigeria, including MTN, Airtel, and Globacom, have urged the government to adopt cost-reflective tariffs in response to current economic challenges.

In a joint statement released by the Association of Licensed Telecom Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON) on Thursday, the telcos emphasized the need for decisive action to address the industry’s pressing issues.

ALTON’s Chairman, Gbenga Adebayo, and ATCON’s President, Tony Emoekpere, co-signed the statement, highlighting the substantial investments required for telecommunications infrastructure development.

They pointed out that despite the adverse economic conditions, the telecom industry has not adjusted its service pricing framework upward in the last 11 years, largely due to regulatory constraints.

The statement read, “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.

ATCON and ALTON call upon the government to facilitate a constructive dialogue with industry stakeholders to address pricing challenges and establish a framework that balances consumers’ affordability with operators’ financial viability.”

Additionally, the telcos stressed the importance of regulatory neutrality and independence for the Nigerian Communications Commission (NCC) to ensure a thriving telecommunications sector.

They emphasized that an impartial regulator is essential for maintaining public confidence in the objectivity and independence of regulatory decisions