Telecom companies have stated that the current prices of calls, data, and other telecommunication services are no longer sustainable.
According to Telcos, this is due to the current market realities such as increases in energy costs, inability to access foreign exchange, and more.
This concern was voiced by the Chairman, Association of Licensed Telecommunication Operators of Nigeria, ALTON Gbenga Adebayo, during his industry address speech on Wednesday, at the second edition of the Nigerian Communications Commission, NCC’s Nigerian Telecommunications Indigenous Content Expo in Lagos.
He explained that even though the conversation to review prices is hard, it must be had for the industry to continue to deliver communication service in the country.
Adebayo explained that the current pricing regime of the industry is not sustainable as Telcos are selling below cost.
He also noted that market forces must be allowed to determine prices.
Telcos have been insisting on increasing the prices of their services following the increase in the cost of operation caused by rises in the cost of diesel and the devaluation of the naira.
In his address, the ALTON chairman congratulated the new minister of communications, Bosun Tijani, on his appointment and wished him well.
He, however, noted that the independence of the NCC is sacrosanct to the success of the ICT sector in Nigeria.
Adebayo opined that the politicization of the industry has been responsible for most of the current issues as he explained that the USSD debt with banks would have been cleared if political agendas had not prevailed.
He urged that the NCC must be allowed to remain independent under the new administration.
Also at the event, the Executive Vice Chairman/ Chief Executive Officer, NCC, Prof. Umar Danbatta, stated that the sector is home to two of the most valuable listed companies in Nigeria with a collective market capitalization in excess of N10.45tn.
He also stated that the commission in 2021 and 2022, generated revenue in excess of $820m from the auction and grant of 3.5GHz Spectrum band licenses to three operators for the deployment of Fifth Generation (5G) services in the country.
