Calls for calm and understanding from Nigerians
The Arewa Youth Assembly has backed the move by the Nigeria Communications Commission’s (NCC) to approve requests by telecommunication companies for a 50% adjustments in their tariffs, describing it as a welcome development that will open up the sector for robust growth and investment.
This was contained in a statement signed and sent to media by the Speaker of the Arewa Youth Assembly, Mohammed Salihu Danlami.
The Arewa Youth Assembly stated that the increase in telecommunication tariffs is long over due and has become necessary.
“The telecommunication sector, which employs millions of Nigerians directly, and is responsible for powering other sectors of the country, is the only sector that has maintained status quo in terms of price of its services despite the skyrocketing of the prices of basic requirements for its operations, such as diesel, power, and even manpower costs.
“The industry was near the point of collapse. The global rise in inflation and rise in cost of its operation, coupled with foreign exchange high costs plus increased network maintenance expenses, was rendering telecommunication companies ineffective to deliver services to Nigerians.
“No serious regulator that understands the need for prices to be market reflective would have folded its arms to allow such a collapse,” Alhaji Danlami noted.
Speaking further, he explained that the tariff adjustment was a fundamental decision that had to be taken to preserve the industry and its impact on the wider economy, noting that “everything in Nigeria today depends on telecoms, whether it is healthcare, education, corporate businesses, and even the government.”
Alhaji Danlami stated that it was imperative for tariffs to be increased to ensure that the industry was made stronger and that service could be improved.
“Furthermore, this tariff adjustment will help the operators to purchase new equipment to enhance the country’s telecommunication infrastructure. It would also reenergise the sector in a way that would lead to a surge in investments. This will ultimately translate to improved network quality, expanded access and a better experience for consumers. We at the Arewa Youth Assembly are hopeful that the sector would grow beyond expectations, creating more opportunities for our people to get jobs in telecoms.
“It is ironical that those complaining of tariff increase are the same ones who are complaining of poor service delivery. They are unaware that the telecommunication companies cannot improve their infrastructure to meet growing demand without having cost reflective prices. To address Quality of Service problems, they have need a new injection of funds.”
The group stated that it was also an opportunity to for the sector’s regulator to insist on fairness, transparency, and accountability in the telecommunications sector.
The Arewa Youth Assembly also called on telecommunication operators to use the proceeds of the adjusted tariff prices to immediately invest in improving services, stating that the support of most Nigerians for the tariff adjustment was on the condition that service quality would be improved.
It also called for calm and understanding from Nigerians, noting that they expect improved growth in the telecom sector, greater protection of customers, improved efficiency of telecom services and ultimately the sustainability of Nigeria’s telecommunication sector.
Signed:
Mohammed Salihu Danlami
Speaker,
Arewa Youth Assembly.
23 January, 2025