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President Tinubu Removes Telecom Levy to Cut Costs for Nigerian Phone Users

President Bola Ahmed Tinubu has permanently scrapped the controversial five percent tax on phone and internet services, bringing much-needed relief to Nigeria’s 172 million telecom users. Dr. Aminu Maida, who leads the Nigerian Communications Commission (NCC), announced this welcome news during a press conference in Abuja on Tuesday. He explained that what started as a temporary suspension last year has now become a complete removal. “The five percent excise duty is gone for good,” Maida said. “The President initially suspended it, but now he’s gone further and removed it entirely. I was really happy to see he followed through on his promise.” The telecom tax was introduced in 2022 under former President Muhammadu Buhari, sparking widespread complaints from Nigerians who were already struggling with high costs of living. Many feared it would make phone calls, text messages, and internet services even more expensive. Recognizing the burden this placed on ordinary citizens, President Tinubu suspended the tax in July 2023 shortly after taking office. Now, its complete removal provides permanent relief for millions of families who rely on affordable communication services. This decision will directly benefit Nigeria’s massive telecom user base, which includes 141 million internet users and 105 million people with broadband access. Without this extra tax, subscribers should see lower bills for their phone and data services. Maida emphasized that removing this financial burden will also help the telecom industry grow, which is crucial for Nigeria’s expanding digital economy. Beyond removing the tax, the communications commission is implementing several changes to better serve Nigerian phone users: Better Transparency: Starting in September, the NCC will publish a public map showing how well different networks perform across the country. This will include real data on internet speeds and service quality, helping people make informed choices about their phone providers. Regular Updates: The commission will also release quarterly reports on network performance based on actual subscriber experiences. Solving Key Problems: The NCC has made progress on several long-standing issues, including resolving payment disputes between banks and telecom companies, completing the process of linking phone numbers to national ID numbers, and creating a system for reporting major service outages. Many Nigerians have complained that their data bundles seem to finish too quickly. To investigate these concerns, the NCC hired independent accounting firms to conduct thorough audits. The results showed no evidence of companies deliberately stealing data, but identified several reasons why data might deplete faster than expected. Common causes include phone settings that automatically update apps in the background, social media videos that play automatically, and confusing pricing plans that make it hard for users to track their usage. To help address these issues, the NCC is working with the Central Bank of Nigeria to create clearer, more standardized ways for people to buy and manage their data bundles. The NCC’s consumer affairs team offered practical advice for making data last longer: Turn off automatic video playback on social media apps Prevent apps from using data in the background when you’re not actively using them Use Wi-Fi whenever possible instead of mobile data Monitor which apps use the most data and adjust their settings  

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NCC Gives Telcos 90 Days to Refund Unused Airtime on Inactive Lines, Threatens Sanctions

The Nigerian Communications Commission (NCC) has directed telecom operators to comply within a 90-day period with the long-standing issue of unclaimed and unused subscriber recharges. The directive was issued at an announcement during a high-level virtual stakeholders’ forum on Tuesday to conclude new consumer protection regulations in Nigeria’s telecommunications sector. On behalf of the NCC Executive Vice Chairman, Dr. Aminu Maida, the Executive Commissioner of the Commission for Stakeholder Management, Rimini Makama, said the decision was made so that consumers do not lose their prepaid credit due to prolonged line inactivity. “With the exponential growth in mobile subscriptions and the dominance of prepaid plans, it has become necessary to safeguard consumer interests from being eroded by forfeiture of unused credit,” Dr. Maida stated. The Commission once again reminded subscribers that they can reclaim unused airtime within 12 months if they can establish ownership of the line. According to the current Quality of Service Business Rules, prepaid lines that are not subject to any revenue-generating activity for six months are deactivated and can be recycled after a further six months. Draft guidelines were read by Mrs. Chizua Whyte, Head of Legal and Regulatory Services in the NCC, compelling telecom operators to audit all the churned numbers and guarantee that subscribers are refunded through service alternatives. She warned that commercialisation of forfeited airtime will be strictly prohibited, and that any operator that fails to comply within the 90-day timeframe following the release of the final guidance will be liable to regulatory audit and sanctions. The NCC reaffirmed its commitment to a transparent, accountable, and consumer-centric regulatory ambience in Nigeria’s telecoms industry.

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House of Reps Opposes Telecom Tariff Hike, Demands Better Service First

The House of Representatives has called on the Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, and the Nigerian Communications Commission (NCC) to suspend the proposed increase in telecommunications tariffs until service quality improves. The resolution was passed during a plenary session on Tuesday, following a motion of urgent public importance moved by Rep. Obuku Offorji. Offorji recalled that after a January 8 stakeholders’ meeting, the minister acknowledged that telecom operators had been pushing for a tariff increase, with some proposing hikes as high as 100 percent. While Tijani assured the public that the increase wouldn’t reach that level, he confirmed that the NCC would approve and announce the new rates in due time. Telecom operators have cited rising investment costs, network improvements, and growing demand for digital services in critical sectors such as education, banking, and healthcare as reasons for the hike. However, Offorji pushed back, arguing that these companies have been advocating for tariff hikes for over a decade. He pointed out that groups like the Association of Licensed Telecom Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON) claim higher tariffs are necessary due to economic realities such as: Record inflation of 34.6% (as of November 2024). Losses caused by foreign exchange fluctuations. The National Association of Telecoms Subscribers has strongly opposed the increase, calling it “insensitive” and an additional burden on consumers already struggling with high living costs and poor service quality. Offorji echoed these concerns, stating: “It is imperative that telecom companies improve their service delivery—something Nigerians have been demanding—before considering any tariff increase.” Lawmakers warned that raising tariffs could: Worsen financial hardship for millions of Nigerians. Undermine efforts to leverage technology for economic recovery. Exacerbate poverty and deepen inequalities. Disrupt sectors like digital banking, healthcare, agriculture, and e-governance. Offorji emphasized that informal workers who rely on affordable mobile data to stay connected could be particularly affected.

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FG Launches Emergency Helpline 112 to Combat Rising Kidnappings

In a bid to tackle the growing threat of kidnapping in Nigeria, the Federal Government has introduced a toll-free emergency helpline, 112, for citizens to report abductions and other security concerns. The announcement was made by Major General Adamu Laka, National Coordinator of the National Counter Terrorism Centre (NCTC), during a press briefing in Abuja on Thursday. He explained that the Nigerian Communications Commission (NCC) facilitated the launch of the helpline to enhance emergency response efforts. “The NCTC calls on all Nigerians to report suspicious activities, crimes, and kidnappings by calling the toll-free number 112, along with the Multi-Agency Anti-Kidnap Fusion Cell’s designated numbers that will be provided to the public,” Laka stated. Acknowledging that kidnapping for ransom remains a critical national challenge, Laka emphasized the need for sustained commitment and innovative strategies to combat the menace. “While significant progress was achieved in 2024, we must intensify efforts in 2025 to further reduce kidnappings,” he added.

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NCC’s Deadline Spurs Banks to Settle USSD Debt, Four Yet to Comply

As the Nigerian Communications Commission’s (NCC) January 27 deadline expired, five of the nine indebted banks have begun settling their longstanding N160 billion debt over Unstructured Supplementary Service Data (USSD) infrastructure costs. This development signals progress in resolving a protracted dispute that has threatened mobile banking services in Nigeria. The NCC had earlier warned in a January 15 notice that defaulting banks would face disconnection from USSD services, a move that could disrupt financial transactions for millions of Nigerians reliant on the platform for essential banking activities. Among the banks affected are Fidelity Bank Plc, First City Monument Bank, Zenith Bank Plc, Wema Bank Plc, and United Bank for Africa Plc. According to an NCC source, most of the banks have started complying with the directive. “Only four or fewer banks are yet to pay. They have been responding since the announcement, and progress is being made,” the source said. Despite the recent payments, some industry insiders highlighted that several banks still have outstanding debts to clear. The USSD debt dispute, which began in 2019, arose from disagreements between banks and telecom operators over payment obligations for USSD infrastructure usage. Efforts to resolve the impasse intensified following the intervention of regulatory authorities, including the Central Bank of Nigeria (CBN) and the NCC. The resolution of this issue is critical for ensuring uninterrupted access to mobile banking services and maintaining trust in Nigeria’s financial and telecommunications sectors.

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Nigerian Telecom Operators Set to Implement 50% Tariff Hike, Labour Union Kicks

Telecommunication companies in Nigeria have announced plans to implement a 50% increase in call, data, and other service tariffs, following recent approval by the Nigerian Communications Commission (NCC). Gbenga Adebayo, Chairman of the Association of Telecommunication Companies of Nigeria (ATCON), confirmed in an interview with Daily Post that operators such as MTN, Airtel, and Glo are currently fulfilling regulatory requirements to roll out the tariff hike. While Adebayo did not provide a specific date for implementation, he assured that the process is progressing swiftly. “The 50% tariff hike will be implemented as soon as possible. We are currently fulfilling regulatory requirements for the telecoms tariff hike,” he said. “When the regulatory process is finalized, operators will start introducing the new tariff. I can’t confirm if this will happen by February 2025 or earlier, but it will begin as soon as the steps are completed,” Adebayo added. The Nigeria Labour Congress (NLC) has strongly opposed the tariff increase, describing it as a harsh and inconsiderate policy that will worsen the financial strain on Nigerians. In a statement on Wednesday, NLC President Joe Ajaero criticized the government for approving the hike, accusing it of prioritizing corporate profits over the well-being of its citizens. “This increase is another burden placed on Nigerians who are already struggling with rising costs of living. It shows a lack of concern for the welfare of the people,” Ajaero stated. The NLC urged the government to reverse the decision and focus on policies that protect citizens’ interests rather than further compounding their economic hardships.

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NATCOMS to Sue NCC Over 50% Telecom Tariff Hike Approval

The National Association of Telecoms Subscribers (NATCOMS) has announced its intention to sue the Nigerian Communications Commission (NCC) over its approval of a 50 percent tariff hike for telecom services. This increase follows requests from the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) for higher tariffs. NATCOMS President, Deolu Ogunbanjo, expressed concern that subscribers were not consulted in the decision and called the hike unacceptable. While acknowledging the challenges faced by telecom operators, Ogunbanjo suggested a moderate 5-10 percent increase as more reasonable. He criticized the 50 percent increase, arguing that it would significantly impact businesses and consumers.

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NCC Approves Tariff Increase for Telecom Operators to Address Rising Operational Costs

The Nigerian Communications Commission (NCC) has approved a request by telecommunications companies to adjust their tariff rates, citing the need to address rising operational costs and ensure industry sustainability. Reuben Mouka, the NCC’s spokesperson, disclosed this in a statement, explaining that the decision aligns with the Commission’s mandate under Section 108 of the Nigerian Communications Act, 2003, to regulate and approve tariffs for telecom operators. According to Mouka, the tariff adjustment, capped at a maximum of 50% of current rates, falls significantly below the over 100% increase proposed by some operators. He noted that the adjustment was carefully determined, considering ongoing reforms in the sector that are expected to enhance its sustainability. “These adjustments will remain within the tariff bands stipulated in the 2013 NCC Cost Study and will be reviewed on a case-by-case basis, as is the Commission’s standard practice for tariff reviews,” Mouka stated. He also emphasized that the changes will adhere strictly to the recently issued NCC Guidance on Tariff Simplification, 2024. Mouka explained that tariffs had remained static since 2013, despite the increasing cost of operations faced by telecom companies. The adjustment, he said, aims to bridge the gap between these operational costs and current tariffs without compromising the quality of service to consumers. The new rates, according to the NCC, will enable telecom operators to continue investing in infrastructure and innovation. This is expected to improve network quality, enhance customer service, and expand coverage, ultimately benefiting consumers. Mouka further noted that the Commission made this decision after extensive consultations with key stakeholders across the public and private sectors. “The NCC recognises the financial pressures faced by Nigerian households and businesses and remains empathetic to the potential impact of tariff adjustments,” he said. “Operators have been mandated to implement these adjustments transparently and fairly, while also educating the public about the changes and ensuring measurable improvements in service delivery.” He added that the NCC remains committed to fostering a resilient and inclusive telecommunications sector. Beyond protecting consumers, the tariff adjustments are designed to sustain the industry, support indigenous vendors and suppliers, and promote the growth of Nigeria’s digital economy. “The NCC will continue to engage stakeholders to ensure the telecommunications ecosystem remains viable, equitable, and accessible for all Nigerians,” Mouka concluded.

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