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Home » Why Telcos Proposed 100% Tariff Increase – Toriola

Why Telcos Proposed 100% Tariff Increase – Toriola

Staff Writer by Staff Writer
January 3, 2025
in Telecoms
1
NCC, Telcos, Tariffs and Banks
NCC and Tariffs

NCC and Tariffs

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Why Telcos Proposed 100% Tariff Increase – Toriola. relatedposts. hytera’s sa summit signals breakthrough in professional communication technologies in africa. may 21, 2025 mtn moves to recover n6bn from sleekchip, drags over 20 banks to court. may 20, 2025 telecommunications companies (telcos) in nigeria are proposing a 100 per cent hike in their tariffs, pending approval from the government. the proposal, which has been submitted to the nigerian communications commission, aims to address rising operational costs, including inflation and increased service delivery expenses. mr. karl toriola , the chief executive officer, mtn nigeria, made the disclosure during an interview on arise tv on thursday. however, the ceo expressed that it remains uncertain whether the nigerian communications commission (ncc) —the telecom regulator, will approve the proposal. according to toriola, the proposed tariff hike is necessary for the sustainability of the industry, which has been facing significant financial pressures due to rising operational costs. “we’ve put forward requests of approximately 100 per cent tariff increases to regulators. i doubt they’re going to approve that quantum of increases because they are very, very sensitive to the current economic situation in the country,” toriola said. despite the challenges, toriola expressed optimism that regulators would make the right decision, taking into account the realities of the sector. the ceo emphasised that the focus is on ensuring the long-term sustainability of the industry, rather than short-term profitability. “i believe we’re all on the same side, the policymakers, the regulators, our chairman of alton, gbenga adebayo, and the industry. we’re united because we share concerns about a few fundamental issues. first, human rights, are critical to driving any economy. without a sustainable industry, the broader economy and the well-being of the people will be negatively impacted.”. the proposal comes amid rising costs for telecom companies, driven by factors such as inflation, exchange rate fluctuations, and the increasing price of key operational inputs like diesel, power. toriola highlighted the pressure these rising costs have put on telecom businesses, making it difficult for many companies to maintain profitable operations. earlier, the operators under the umbrella of the association of licensed telecommunications operators of nigeria (atcon) issued a statement warning that service disruptions are imminent unless tariffs are adjusted to account for escalating operational costs. engineer gbenga adebayo, chairman of alton described the telecom sector as “under siege,” citing soaring operational costs driven by inflation, volatile exchange rates, and rising energy prices. he noted that despite these challenges, tariffs have remained unchanged, leaving operators struggling to maintain quality service and expand their networks. the telcom chief warned that without an immediate tariff adjustment, operators may resort to service shedding, leading to limited availability of telecom services in certain areas. the first call for a tariff adjustment was made in april 2024, but no significant progress has been achieved. in response to the growing financial strain, alton and the association of telecommunications companies of nigeria issued a joint statement urging the federal government to facilitate a constructive dialogue with industry stakeholders. the associations emphasised the need for a framework that balances consumer affordability with operators’ financial sustainability, following 11 years of tariff stability. with a shared commitment to preserving the sector’s future, operators are calling on all stakeholders to act before it’s too late, warning that failure to do so will risk the survival of one of nigeria’s most critical industries. 6 total views , 1 views today. advertisements 0shares tags: alton karl toriola ncc telcos tariffs
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Telecommunications companies (telcos) in Nigeria are proposing a 100 per cent hike in their tariffs, pending approval from the government.

The proposal, which has been submitted to the Nigerian Communications Commission, aims to address rising operational costs, including inflation and increased service delivery expenses.

Mr. Karl Toriola, the chief executive officer, MTN Nigeria, made the disclosure during an interview on Arise TV on Thursday.

However, the CEO expressed that it remains uncertain whether the Nigerian Communications Commission (NCC) —the telecom regulator, will approve the proposal.

According to Toriola, the proposed tariff hike is necessary for the sustainability of the industry, which has been facing significant financial pressures due to rising operational costs.

“We’ve put forward requests of approximately 100 per cent tariff increases to regulators. I doubt they’re going to approve that quantum of increases because they are very, very sensitive to the current economic situation in the country,” Toriola said.

Despite the challenges, Toriola expressed optimism that regulators would make the right decision, taking into account the realities of the sector.

The CEO emphasised that the focus is on ensuring the long-term sustainability of the industry, rather than short-term profitability.

“I believe we’re all on the same side, the policymakers, the regulators, our Chairman of ALTON, Gbenga Adebayo, and the industry. We’re united because we share concerns about a few fundamental issues. First, human rights, are critical to driving any economy. Without a sustainable industry, the broader economy and the well-being of the people will be negatively impacted.”

The proposal comes amid rising costs for telecom companies, driven by factors such as inflation, exchange rate fluctuations, and the increasing price of key operational inputs like diesel, power

Toriola highlighted the pressure these rising costs have put on telecom businesses, making it difficult for many companies to maintain profitable operations.

Earlier, the operators under the umbrella of the Association of Licensed Telecommunications Operators of Nigeria (ATCON) issued a statement warning that service disruptions are imminent unless tariffs are adjusted to account for escalating operational costs.

Engineer Gbenga Adebayo, chairman of ALTON described the telecom sector as “under siege,” citing soaring operational costs driven by inflation, volatile exchange rates, and rising energy prices.

He noted that despite these challenges, tariffs have remained unchanged, leaving operators struggling to maintain quality service and expand their networks.

The telcom chief warned that without an immediate tariff adjustment, operators may resort to service shedding, leading to limited availability of telecom services in certain areas.

The first call for a tariff adjustment was made in April 2024, but no significant progress has been achieved.

In response to the growing financial strain, ALTON and the Association of Telecommunications Companies of Nigeria issued a joint statement urging the Federal Government to facilitate a constructive dialogue with industry stakeholders.

The associations emphasised the need for a framework that balances consumer affordability with operators’ financial sustainability, following 11 years of tariff stability.

With a shared commitment to preserving the sector’s future, operators are calling on all stakeholders to act before it’s too late, warning that failure to do so will risk the survival of one of Nigeria’s most critical industries.

6 total views , 1 views today

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Why Telcos Proposed 100% Tariff Increase – Toriola. relatedposts. hytera’s sa summit signals breakthrough in professional communication technologies in africa. may 21, 2025 mtn moves to recover n6bn from sleekchip, drags over 20 banks to court. may 20, 2025 telecommunications companies (telcos) in nigeria are proposing a 100 per cent hike in their tariffs, pending approval from the government. the proposal, which has been submitted to the nigerian communications commission, aims to address rising operational costs, including inflation and increased service delivery expenses. mr. karl toriola , the chief executive officer, mtn nigeria, made the disclosure during an interview on arise tv on thursday. however, the ceo expressed that it remains uncertain whether the nigerian communications commission (ncc) —the telecom regulator, will approve the proposal. according to toriola, the proposed tariff hike is necessary for the sustainability of the industry, which has been facing significant financial pressures due to rising operational costs. “we’ve put forward requests of approximately 100 per cent tariff increases to regulators. i doubt they’re going to approve that quantum of increases because they are very, very sensitive to the current economic situation in the country,” toriola said. despite the challenges, toriola expressed optimism that regulators would make the right decision, taking into account the realities of the sector. the ceo emphasised that the focus is on ensuring the long-term sustainability of the industry, rather than short-term profitability. “i believe we’re all on the same side, the policymakers, the regulators, our chairman of alton, gbenga adebayo, and the industry. we’re united because we share concerns about a few fundamental issues. first, human rights, are critical to driving any economy. without a sustainable industry, the broader economy and the well-being of the people will be negatively impacted.”. the proposal comes amid rising costs for telecom companies, driven by factors such as inflation, exchange rate fluctuations, and the increasing price of key operational inputs like diesel, power. toriola highlighted the pressure these rising costs have put on telecom businesses, making it difficult for many companies to maintain profitable operations. earlier, the operators under the umbrella of the association of licensed telecommunications operators of nigeria (atcon) issued a statement warning that service disruptions are imminent unless tariffs are adjusted to account for escalating operational costs. engineer gbenga adebayo, chairman of alton described the telecom sector as “under siege,” citing soaring operational costs driven by inflation, volatile exchange rates, and rising energy prices. he noted that despite these challenges, tariffs have remained unchanged, leaving operators struggling to maintain quality service and expand their networks. the telcom chief warned that without an immediate tariff adjustment, operators may resort to service shedding, leading to limited availability of telecom services in certain areas. the first call for a tariff adjustment was made in april 2024, but no significant progress has been achieved. in response to the growing financial strain, alton and the association of telecommunications companies of nigeria issued a joint statement urging the federal government to facilitate a constructive dialogue with industry stakeholders. the associations emphasised the need for a framework that balances consumer affordability with operators’ financial sustainability, following 11 years of tariff stability. with a shared commitment to preserving the sector’s future, operators are calling on all stakeholders to act before it’s too late, warning that failure to do so will risk the survival of one of nigeria’s most critical industries. 6 total views , 1 views today. advertisements 0shares tags: alton karl toriola ncc telcos tariffs
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