Telecom
Angry Nigerians Reject New Tax on Phone Calls, Pay Tv
Nigerians have reacted angrily to the proposed communications service tax describing it as another way of exploiting the struggling consumers.
Nigeria CommunicationsWeek had earlier this month reported that communication service subscribers may pay additional tax if a new Bill now being introduced by the National Assembly is enacted into law.
The categories of communication services liable to the tax include voice calls, SMS, MMS, Data and Pay TV.
But ThisDay which spoke to a number of Nigerians reported the subscribers have vowed to reject the tax.
Abimbola Akanbi, a subscriber told the newspaper that the development was one which sought to stifle communications and impose further hardship on poor subscribers.
Akanbi who urged the government to seek other alternative ways to generate revenue said such bills if passed into law may bring about double taxation as the phone companies would hike their charges as a result of the cost they would incur in complying with the law and filing returns.
Another subscriber Chidi Obinna, said the government had indirectly chosen another way to revive the social media bill.
“The implication of this is that Nigerians will have to pay more for communications services including data bundle to access social media. Should we pay more for these services, then there will be limit to how we visit these platforms because of fear of exorbitant charges.”
Also reacting, The Association of Telecommunications Companies of Nigeria (ATCON) said the bill should not be made to stand considering the inconvenience it would foist on subscribers.
According to Ajibola Olude, executive secretary of ATCON, “Already, Nigerians are complaining of economy hardship, imposing another tax on them will add to their burden and in effect, reduce communications growth.
“As far as we acknowledge that it is a trying period for the economy, that is not to say that we should transfer the burden on consumers who are also strongly affected by the harsh economy status. Already, subscribers are already paying high for telecommunications services compared to what is obtainable in other countries. Asides this, telecommunication business will be largely affected because subscribers will reduce their interaction with telecommunications services and in turn affect the overall profits of service providers.” Olude noted.
Nigeria CommunicationsWeek had earlier reported a Bill, titled ‘Communication Service Tax Bill (“CST” or the “Bill”) 2015’, seeks to impose, charge and collect Communication Service Tax (CST) and will be levied on service fees payable by users of electronic communication services at 9% and will be borne by the customers.
The rate of the CST, which is proposed at 9 per cent of the service charge for the use of communication service charged by service providers, is seen by fiscal experts as amongst other taxes being imposed by government to shore up its revenue base as the whirlwinds in the international oil market continue its depreciative impact on accruable earnings by the country from crude oil exports.
According to a ‘Tax Alert’ publication by PricewaterHouseCoopers (PwC), Nigeria, if the Bill is enacted into law, it will mandate service providers to file monthly tax returns with the FIRS with strict penalties for non-compliance.
For instance, Section 2 of the Bill listed the chargeable services to include, Voice calls, SMS, MMS, Pay per View TV stations, data usage from telecommunication services providers and internet service providers.
While the Federal Inland Revenue Service (FIRS) will be responsible for the collection of the tax and its payment together with any interest and penalty into the Federation Account, the Federal Government will be responsible for the administration and management of the funds.
The Bill provided that all service providers are to file tax returns and pay the tax due not later than the last working day of the month immediately after the month to which the payment relates. Failure to comply with this provision will attract stiff financial penalties on erring entities
Nigeria’s telecom operators recorded 155, 397 fibre-cut incidents between April and May 2026, and these they blame on why internet or calls suddenly stop working.
Data from the Nigerian Communications Commission (NCC) showed fibre-cut incidents increased from 74 276 in April to a record 79 121 in May, bringing the two-month total to the highest level recorded by the industry.
This represents a 2 428% increase from the 5 934 incidents reported during the first quarter of 2026.
Vandalism remained the leading cause of fibre cuts, accounting for more than 54 000 incidents despite telecom infrastructure being designated as Critical National Information Infrastructure, a classification intended to strengthen protection of key digital assets.
Also road construction constantly damages fiber where iggers and machines tear up buried cables during road repairs or construction.
Even with all these, some state governments make it hard for companies to fix cables quickly across different areas with all manners of fees and levies.
The NCC designation provides for penalties of up to 10 years’ imprisonment for offenders, but operators continue to face widespread infrastructure damage.
Proposed solutions, including Nigeria’s Dig-Once policy and AI-powered fibre sensing technologies, have yet to achieve widespread adoption.
The NCC is developing a cost-based framework for shared underground duct infrastructure, while operators are exploring AI-powered fibre sensing technologies that can detect cable damage in real time and improve network resilience.
Nigeria is pursuing ambitious broadband targets under its National Broadband Plan and has expanded fibre deployment to about 35 000 kilometres.
However, infrastructure protection has not kept pace with network expansion, leaving subscribers vulnerable to unreliable connectivity despite continued operator investment.
Standard Bank has partnered with Helios Towers to provide a $29 million Social Documentary Credit Facility. According to the financial services company, this transaction marks Standard Bank’s first Documentary Credit Facility structured in a Sustainable Finance format.
It notes that the facility will support the procurement and importation of telecommunications infrastructure and related services across Africa.
It will also provide payment certainty to suppliers, while supporting Helios Towers’ working capital requirements and infrastructure expansion programme, the bank adds.
Structured in accordance with the Loan Market Association’s Social Loan Principles, the financing is designed to promote digital connectivity and telecommunications infrastructure development in underserved markets.
This will help Helios Towers further expand its footprint and enhance mobile network coverage and connectivity across the continent.
Helios Towers operates one of Africa’s independent telecommunications tower platforms, enabling mobile network operators to extend coverage across multiple markets.
Standard Bank notes that the facility supports the expansion of tower infrastructure and services, increased network densification and improved connectivity in underserved markets and remote regions across the African continent.
It will also drive digital inclusion and tackle the digital divide while supporting economic growth and socio-economic development.
“This transaction demonstrates the power of innovation in trade finance. By combining a first-to-market Social Documentary Credit Facility with a cross-border funding solution, Standard Bank has supported Helios Towers’ growth ambitions while helping extend digital connectivity to underserved communities across Africa,” says Benoit Samouilhan, global transaction banker at Standard Bank Corporate and Investment Banking.
According to the bank, this facility enables positive social impact by increasing and improving network coverage and connectivity in some of the world’s most remote regions.
“Reliable digital infrastructure is fundamental to Africa’s future growth and development,” says Alex Carter, group finance director at Helios Towers.
“This facility provides us with the flexibility and certainty needed to support our ongoing infrastructure investments while advancing our mission of expanding connectivity across the continent. We value our longstanding relationship with Standard Bank and look forward to building on this partnership.”
Nigerian Communications Commission (NCC) will on Thursday convene a stakeholders’ consultative forum to review the draft business rules for Mobile Virtual Network Operators (MVNOs) in Nigeria.
NCC
The forum, scheduled to hold at 10 a.m. at the NCC Annex Office, Mbora, Abuja, is expected to bring together telecommunications operators, industry associations and other stakeholders to provide input on the proposed regulatory framework before its finalisation.
The commission announced the event on its official social media platforms, inviting interested stakeholders to participate in the consultation process.
The engagement is part of the NCC’s efforts to strengthen the regulatory framework for MVNO operations and promote greater competition, innovation and consumer choice in Nigeria’s telecommunications sector.
Mobile Virtual Network Operators are telecommunications service providers that offer mobile services by leasing network capacity from licensed Mobile Network Operators (MNOs), rather than owning spectrum licences or telecommunications infrastructure.
The NCC has identified the MVNO licensing framework as one of its initiatives aimed at deepening competition, expanding access to telecommunications services and driving digital inclusion across the country.
The consultative forum is expected to provide stakeholders with the opportunity to review the draft business rules, make recommendations and contribute to the development of a robust operational framework for the emerging MVNO segment.
The commission is expected to issue further details on the outcome of the consultation after the meeting.
NBC Scraps Annual Digital Access Fee on DSO
Surge in Fibre Cuts Hobbles Service Provisioning
Why Bandits, Kidnappers are Hard to Trace despite NIN-SIM Linkage – FG
First Securities Brokers Empowers Nigerians to Trade in the Stock Market with the Launch of FirstInvest App
Quest Merchant Bank Hosts Great Place to Work® Nigeria Study Mission
NRC, Ponzi Scheme Collapses Resulting Loss of Billions of Naira
Nigeria Launches FreeTV Nationwide
NASENI Moves to Digitize CCB’s 5m Assets Declaration and Operations
Lebara Nigeria Launches Lebara Play, Africa’s First Telecom-Owned Micro-Drama Platform
CANAL+ Partners Samsung to Pre-Load DStv Stream on New Samsung TVs In Nigeria, Other African Countries
Telecom3 days agoMTN Nigeria Slashes Cost of Broadband Internet Router, Unwraps New Data Bundles for Low-Budget Users
E-Financial3 days agoNigerians Accumulate $59Bn in Cryptocurrency Assets —FDC
E-Financial3 days agoFlutterwave Partners Xoom on Transfers into Nigeria
General News3 days agoNearpays, Nigerian Fintech Becomes First African Startup to Win UN’s AI for Good Innovation Factory
News3 days agoDataPro Upgrades Dangote Cement’s Credit Rating to AA+
E-Business3 days agoTinubu Orders NIMC to Enrol Every Nigerian by End of this Year – DG
Telecom3 days agoNokia’s 14 Years of Mobile-Phone Supremacy Ended in an Afternoon
General News3 days agoFintech Brands Should Communicate Right in a VUCA Economy