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Telcos Propose 40 Per cent Tariff Hike for Data, Calls

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Association of Licensed Telecommunication Operators of Nigeria (ALTON), umbrella body of licensed telecoms operators has asked for a 40 per cent increase in the cost of calls, SMS and data due to rising operational costs in the country.

Telcos Propose 40 Per cent Tariff Hike for Data, Calls

ALTON in a letter to the Nigeria Communication Commission (NCC), titled ‘Impact of the Economic and Security Issues on the Telecommunications Sector,’ said the decision to hike charges was based on an increase in energy costs, which has raised their operating expenses by 35 per cent.

Their proposal means the price cap on phone calls will increase from N6.4 to N8.95, while SMS costs will also increase from N4 to N5.61.

Gbolahan Awonuga, head of operations, ATLON, said the increase in charges was long overdue.

“We depend on diesel as our main energy source to keep our power stations running because we don’t rely on the national grid. And diesel price was moved from N220 per litre to N750 per litre.

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“Since 2003, we have not increased our charges and this is nothing we can do except to start retrenching our staff to cut down costs.

“This is why we are appealing to the NCC to re-consider and make amends to the charges to reflect the prevailing realities,” he said.

The telecommunication industry is grappling with the impact of the economic recession in 2020, as well as the ongoing Ukraine/Russia crisis.

The recent introduction of five per cent excise duty on telecom services has also worsened the problem of multiple taxes and levies in the industry.

Parts of ALTON’s letter The letter to the NCC read, “As the Commission may be aware, the power sector under the supervision of its Nigerian Electricity Regulatory Commission of the power sector in November 2020 undertook a review of electricity tariffs to cater for the economic headwinds reported above.

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“In view of the foregoing, ALTON considers it expedient for the telecommunications sector to undergo periodic cost adjustments through the Commission’s intervention in order to minimise the impact of the challenging economic issues faced by our members. Details are hereunder:

“Upward review of the price determination for voice and data and SMS. Given the state of the economy and the circa 40 per cent increase in the cost of doing business, we wish to request an interim administrative review of the mobile (voice) termination rate for voice; administrative data floor price, and cost of SMS as reflected in extant instruments.

“With respect to voice and SMS cost, ALTON respectfully requests the Commission to consider a mark-up approach to address the upward price adjustment desirable for the industry.

“For data services, we wish to request that the Commission implements the recommendations in the August 2020 KPMG report on the determination of cost-based pricing for wholesale and retail broadband service in Nigeria.

“In implementing the said recommendations, however, we recommend that the 40 per cent increase in the cost of doing business be factored in to arrive at a cost price per GB in view of the current economic situation.”

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In the annexure one section of the letter, the telcos umbrella body requested an upward adjustment of the Mobile Termination Rate (MTR) by 40 per cent.

It said, “For large operators, new interim MTR of N5.46 from N3.90 reflecting 40 per cent increase in the cost of business.

“For small operators, new interim MTR of N6.58 from N4.70 reflecting 40 per cent increase in the cost of business.”

 

 

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Telecom

Telcos Seek Clear Regulatory Framework on Airtime Credit Services

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Telecommunications operators have called on the Federal Competition and Consumer Protection Commission (FCCPC) and the Nigerian Communications Commission (NCC) to establish a clear regulatory framework for airtime and data credit services, warning that millions of Nigerians could face fresh disruptions if the agencies fail to coordinate their responsibilities.

Telcos Seek Clear Regulatory Framework on Airtime Credit Services

Gbenga Adebayo, chairman, ALTON

This is coming on the heels of the Federal High Court judgment affirming the FCCPC’s authority to regulate consumer protection in the airtime and data credit market while preserving the NCC’s exclusive mandate over telecommunications licensing and technical regulation.

The ruling effectively clarified that both regulators have complementary roles rather than overlapping powers.

Association of Licensed Telecommunications Operators of Nigeria (ALTON), said the judgment should serve as the basis for stronger collaboration between the two regulators to avoid the regulatory uncertainty that earlier forced operators to suspend airtime and data credit services.

Gbenga Adebayo, chairman, ALTON, said the industry was not disputing the authority of either regulator but was seeking a clearly defined operational framework before any further regulatory actions are taken.

“The court has done something important. It has confirmed the FCCPC’s authority and, in the same breath, affirmed that the NCC’s role is preserved. Concurrency means coexistence. The industry now expects both regulators to establish the coordination framework that the court’s reasoning requires,” Adebayo said.

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He stressed that regulatory certainty had become critical because millions of Nigerians depend on airtime and data credit services for daily communication.

“Forty million Nigerians depend on these services. The court has made clear that both regulators have a role. The industry is asking them to define how that works before any action that could disrupt access again,” he stated.

Adebayo also urged both agencies to engage industry stakeholders before introducing measures capable of affecting consumer access to the services.

According to him, the Presidential Enabling Business Environment Council (PEBEC) directive requiring Regulatory Impact Assessments before major policy changes should be observed to minimise unintended consequences on businesses and consumers.

The renewed call comes months after major mobile network operators temporarily suspended airtime and data borrowing services following the implementation of the FCCPC’s Digital, Electronic, Online and Non-Traditional Consumer Lending (DEON) Regulations, a development that affected millions of subscribers nationwide.

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In its judgment, the Federal High Court held that while the FCCPC has powers over competition and consumer protection issues in the digital lending ecosystem, it cannot assume the NCC’s statutory responsibility for licensing telecommunications operators.

Justice Ambrose Lewis-Allagoa ruled that the two agencies must operate within their respective mandates, describing their relationship as one of “coexistence, not displacement.”

 

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MTN Warns Customers against Fake Promo

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MTN Nigeria has warned customers to disregard fraudulent online posts claiming the telecom operator is offering “1 Month Free Data for Old Subscribers,” describing the promotion as fake and unauthorised.

MTN Warns Customers against Fake Promo

In a statement shared on its X handle, the telco said the circulating promotion is not from MTN and is not affiliated with the company.

MTN urged customers not to click on the accompanying link in the online post or provide their phone numbers or personal information on any third-party website.

Customers are advised not to click on the link or provide their phone numbers or personal information on any third-party website.

“We will never require customers to submit their details on external platforms to claim data or any other reward,” MTN said.

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The company  added that all genuine promotions, products and services are announced only through its official communication channels.

“All authentic MTN promotions, products and services are communicated exclusively through our official channels, including www.mtn.ng, our verified social media pages and *180#,” the company said.

MTN also urged customers to remain vigilant against online scams designed to steal personal information, warning that fraudulent offers often impersonate trusted brands to deceive unsuspecting users.

“Don’t be the next victim!” the company said, reiterating that the purported “1 Month Free Data for Old Subscribers” offer is fake and not associated with MTN Nigeria.

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Court Dismisses Pan African Towers’ Bid to Halt Ex-CEO’s Suit, Awards ₦500,000 Costs

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National Industrial Court of Nigeria (NICN), sitting in Ikoyi, Lagos, has dismissed a Notice of Preliminary Objection filed by Pan African Towers Ltd. (PAT) in an employment dispute instituted by its former Managing Director and Chief Executive Officer, Mr. Azeez Amida.

Court Dismisses Pan African Towers' Bid to Halt Ex-CEO's Suit, Awards ₦500,000 Costs

The court also awarded ₦500,000 in costs against the company after holding that the application lacked merit.

Justice Essien, who delivered the ruling on July 21 in Suit No. NICN/LA/143/2025: Mr. Azeez Amida v. Pan African Towers Limited, held that the substantive case concerning Amida’s alleged outstanding contractual entitlements under a Mutual Separation Agreement should proceed to hearing.

The ruling effectively rejected the company’s attempt to terminate the proceedings on jurisdictional grounds.

Jurisdictional Challenge Rejected

Pan African Towers had argued that the National Industrial Court lacked jurisdiction to entertain the matter because the Mutual Separation Agreement executed between the parties required disputes to first pass through negotiation, mediation and arbitration before litigation could be initiated.

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The company maintained that Mr. Amida failed to exhaust those contractual dispute resolution mechanisms before approaching the court.

However, Justice Essien rejected the argument after examining evidence presented by the claimant showing that several attempts had been made to activate the agreed dispute resolution process before legal proceedings commenced.

According to the court, documentary evidence showed that Mr. Amida, through his solicitors, issued correspondence and formal demand letters aimed at resolving the dispute amicably in line with the terms of the agreement.

The court found that rather than engaging with those efforts, Pan African Towers failed to meaningfully participate in the process and later sought to rely on the same contractual provisions to challenge the court’s jurisdiction.

Evidence Considered by the Court

According to evidence presented by Mr. Amida’s legal team, the court considered correspondence involving senior officials of Pan African Towers and its investors.

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Among the documents relied upon was a letter allegedly written by the Chairman of the Board of Pan African Towers and Partner at Development Partners International (DPI), Mr. Adefolarin Ogunsanya, rejecting the demand made by Mr. Amida’s legal representatives for an amicable resolution before litigation.

The claimant’s legal team also tendered multiple email communications allegedly sent from January 2025 to Verod Capital Management’s in-house legal counsel, Mr. Dipo Okuribido.

According to the claimant, those emails did not receive any response before the commencement of the suit.

Based on the evidence before it, the court held that the conduct of Pan African Towers was inconsistent with reliance on the contractual dispute resolution provisions.

Justice Essien ruled that the company had effectively waived its right to insist on arbitration after frustrating the preliminary dispute resolution process contemplated by the parties’ agreement.

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The court consequently held that Pan African Towers could not rely on the arbitration clause to prevent the court from hearing the substantive claims.

Court Awards Costs

Having dismissed the Preliminary Objection, the National Industrial Court awarded costs of ₦500,000 against Pan African Towers.

The court described the objection as lacking merit.

Substantive Defence Yet to Be Filed

The ruling represents the first judicial determination in the employment dispute.

The claimant’s legal team noted that since the suit commenced, the principal response filed by Pan African Towers had been the Preliminary Objection challenging the jurisdiction of the National Industrial Court.

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According to the claimant, the company has yet to file a substantive defence addressing the merits of the claims relating to the alleged outstanding contractual entitlements.

With the dismissal of the jurisdictional challenge, the matter will now proceed to hearing on its merits.

The court adjourned the substantive suit until Jan. 12, 2027.

Background to the Dispute

The dispute arose following Mr. Amida’s departure from Pan African Towers after both parties executed a Mutual Separation Agreement.

According to the claimant, while the agreement governed the terms of his exit from the company, certain contractual entitlements remained unpaid.

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His legal representatives said they initially sought to resolve the dispute through the mechanisms provided under the agreement by engaging the company through correspondence and formal demand letters.

When those efforts failed to produce a resolution, they commenced proceedings before the National Industrial Court seeking payment of the outstanding contractual entitlements.

Rather than filing a substantive defence to the claims, Pan African Towers challenged the jurisdiction of the court, arguing that arbitration and other dispute resolution mechanisms had not been exhausted.

The National Industrial Court has now rejected that position.

Related Commercial Litigation

The employment proceedings are separate from ongoing commercial cases before the Federal High Court involving Mr. Amida, Development Partners International (DPI), Verod Capital Management and other parties.

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Those proceedings relate to issues concerning the ownership of Pan African Towers and remain pending before the courts.

The National Industrial Court noted that those matters would be determined independently based on their respective facts, evidence and applicable legal principles.

Legal Team Reacts

Reacting to the ruling, representatives of Mr. Amida’s legal team welcomed the decision.

“The Court has affirmed an important principle of contractual dispute resolution.

“A party cannot frustrate the agreed process and later seek to rely on that same process to prevent a claim from being heard.

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“We now look forward to presenting the substantive case before the Court,” the legal team said.

The lawyers acknowledged that Pan African Towers retained the right under Nigerian law to pursue any available appellate remedies but stated that they were fully prepared for the substantive hearing scheduled for January 2027.

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