Telecom operators in Nigeria have again submitted that the tariffs for calls, data and other services must increase in 2025 in order to guarantee the survival of their business.
According to the operators, the current tariffs are no longer sustainable based on prevailing economic realities.
The declaration comes hours after reports emerged that operators are waiting for the Nigerian Communications Commission (NCC) approval to increase calls, SMS, and internet bundle rates.
The chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Engr Gbenga Adebayo, made the submission in a statement on Monday while speaking on Sunday at an end-of-the-year event of the industry stakeholders in Lagos.
He argued that the industry is in the final days of survival and may collapse, except there is an urgent intervention through the upward review of tariffs.
In his speech titled ‘Before the final call: Telecom as sector under siege,’ the ALTON chairman said it is not a time for delayed decisions as they can no longer guarantee service availability if they continue to operate based on current tariffs.
He said, “This is not a time for further deliberation or delayed decisions. The survival of the telecom sector demands immediate and bold reform for its sustainability. Our tariffs must be reviewed to reflect the economic realities of delivering telecom services at a minimum for industry sustainability. Without this, operators cannot continue to guarantee service availability.
“As we reflect on the ending of year 2024 there is a need to issue an urgent and critical call to action for the future of our telecommunications industry.
“I must say it again with even greater urgency that we are in the last days for the survival of this sector and if immediate and decisive action is not taken, the hope for a better 2025 will remain just that—a hope.”
Speaking further, Adebayo disclosed that some of the challenges facing the telecoms sector include rising operational costs, skyrocketing energy cost, the relentless pressure of inflation, volatile exchange rates, amongst others.
He said despite these challenges, tariffs had remained stagnant, leaving operators in a dire financial situation.
The ALTON chairman, however, said the time to act is now as the challenges of running the sector without intervention put the telecoms sector at grave risk.
“The time for action is now. Let us not wait until it is too late. ALTON stands ready to work with all stakeholders to ensure the survival and prosperity of this sector,” he said.