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Telcos Reportedly Awaiting Nod to Hike Tariff

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More hard times await Nigerians should the federal government grant telecommunication companies’ request to hike tariff on calls and data, according to the Sun.

Telcos Reportedly Awaiting Nod to Hike Tariff

The citizens are already battling high energy costs, inability to access foreign exchange and other challenges; so a hike in tariff by telcos will hurt businesses and households.

Telcos are justifying the planned tariff hike on the premise that virtually all the prices of goods and services in the country have skyrocketed except for the cost of data and call tariff, even though they are also hurt by inflation.

However, telecommunications operators, though agreed that there was a need for an urgent increase in cost of their services but said it cannot happen without the approval of Nigeria Communication Commission (NCC).

Mr. Tony Izuagbe Emoekpere , pesident, Association of Telecommunications Companies of Nigeria (ATCON), told the Sun in telephone interview that though all the operators in the industry wish to increase their prices because of the current market realities but cannot go against the law (regulation).

Recall that operators are still waiting for the recommendation of a cost-based study by KPMG, the consultant hired by the NCC.

The study aims to recommend the most appropriate pricing structure for the industry, based on its findings considering the economic variables of the operating environment.

Emoekpere said the operators are waiting for the regulator’s decision on price review but the current prices of calls, data, and other telecommunication services are no longer sustainable because of the key increase in the Capital Expenditures (CAPEX) and Operating Expenditures (OPEX) of operators.

He argued that, since the operators cannot just increase the prices of their goods and services, some incentives should be considered to ease off some cost of production on them so as to sustain their businesses.

He said, “For instance, Diesel is a major requirement for operators, if there are some levies removed on that and some concession given for CAPEX expenses, the operators would be encouraged.”

To ease of the pressure on forex which is causing the inflation, he said it’s high time they look at their cost element.

“The major cost element is power in terms of operations and from the CAPEX investment standpoint the major element is that, 90 per cent of all we utilise to provide our services are imported. Infact, not only the equipment are imported but also services.”

The ATCON President therefore suggested that, the operators on their own part, should think of how to domesticate some of these services to strengthen the naira.

“Some of the services that are being done by international organisations should be done locally. Anything that can be done locally or denominated in naira should be encouraged, so that the effect on dollar would be removed”, he said.

Earlier, Gbenga Adebayo, chairman, Association of Licensed Telecommunication Operators of Nigeria (ALTON), had voiced his concern on the current prices of calls, data, and other telecommunication services stating they are no longer favourable to operators.

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 said, “We also must have one hard conversation, I know it is difficult, but it is one we must have. The current pricing regime of the industry is not sustainable. We are basically selling below cost. It is not easy to talk about, but we cannot continue like this. We must allow market forces to determine prices. On our end, we must look at a more realistic pricing offering because today’s pricing regime is not sustainable.”

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

 

Credit: The Sun

 

 

 

 

 

 

 

 

 

 

 


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Telecom

Airtel Nigeria Leads Telecom Market Surge

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In a recent revelation from the Nigerian Communications Commission (NCC), Airtel Nigeria has emerged as a standout performer in the country’s telecommunications sector, marking significant gains in market share over the past year.

According to the NCC data, by the end of March 2024, Airtel Nigeria has grown its market share over the last year into a remarkable 29%, solidifying its position as a leading telecom provider in the region.

In stark contrast, other mobile network operators such as MTN and 9mobile have faced considerable setbacks, with MTN witnessing a notable 3.19% decline in market share and 9mobile experiencing a 0.5% decrease.

Even Glo, a prominent player in the market, saw a decline, albeit less pronounced, with a 0.58% drop in its share of internet subscribers.

Airtel Nigeria’s success story goes beyond market share gains. The company has also witnessed a substantial surge in its share of internet subscribers, boasting an impressive 165% basis points increase.

This surge correlates with the launch of Airtel 5G, which the company began rolling out in June 2023 and underscores the telco’s continued push to grow its customer base nationwide.

Airtel Nigeria’s ascendancy in the telecom market comes at a pivotal moment when mobile network operators face challenges of rising operations cost and exchange rates volatility. The company’s recent results solidify its position as a frontrunner in Nigeria’s telecom landscape.

 


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Airtel Boosts NIPR Public Relations Week with Onsite Unlimited Data Connection

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Telecommunications service provider, Airtel Nigeria has collaborated with the Nigeria Institute of Public Relations (NIPR) to provide with unlimited internet access at the institute’s inaugural edition of the Nigeria Public Relations Week.

The trailblazing event themed ‘Leveraging Public Relations as a Critical Asset for Nigeria’s Economic and Reputation Renaissance’ is set to run from Monday, April 22nd to Friday, April 26th, 2024, and will welcome thousands of delegates across Nigeria to the prestigious June 12 Cultural Centre, nestled in the heart of Abeokuta, the Ogun State capital.

Speaking on the strategic collaboration, Femi Adeniran, Director, Corporate Communications and CSR, Airtel Nigeria, expressed enthusiasm about the partnership, stating, “Airtel is proud to support the Nigeria Institute of Public Relations in its endeavor to advance the field of public relations.

“The relevance of public relations practice in Nigeria cannot be overstated, as it plays a vital role in shaping perceptions, managing reputations, and influencing public opinion. Hence, our support is a demonstration of our commitment to empowering individuals and organizations with innovative solutions that drive progress and create an enabling society.”

According to NIPR, through the PRWeek Organizing \Committee Chairman, Mr Yomi Badejo Okusanya, the NPRW will gather over 2,000 experts in the fields of economics, PR, and nation-building to discuss strategies for effectively communicating government policies and initiatives to the public.

Other activities at the NPRW will include conferences, the annual general meeting, workshops, induction of new members, breakout sessions with students as well as traditional rulers and a tour of some legacy projects in Ogun state.

With Airtel’s provision of onsite unlimited data connection, attendees and participants can enjoy unparalleled access to online resources, real-time updates, and interactive engagements throughout the duration of the event. This will significantly support the exchange of ideas, foster networking opportunities, and elevate the overall experience for all stakeholders involved.

Airtel Nigeria remains committed to offering unwavering support for initiatives aimed at driving innovation, collaboration, and nation-building.


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World Earth Day: Kuda Partners with Wecyclers to Clean up Communities in Lagos

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In a landmark partnership aimed at promoting sustainable waste management practices, Kuda Microfinance Bank and Wecyclers collaborated to commemorate World Earth Day on April 22, 2024. The collaboration featured a series of impactful activities designed to raise awareness and foster environmental stewardship.

The activities on the day included a webinar session facilitated by renowned expert in environmental management and head of ESG at Wecyclers, Omobolanle Olowu, during which she shared startling data on plastic pollution in Nigeria. She also discussed the importance of proper waste management and its significance in preserving the planet for future generations, providing valuable insights and practical tips on reducing, reusing, and recycling waste.

In a published study on plastic pollution in Nigeria, the country ranked ninth globally for plastic pollution with an estimated 2.5 million tons of plastic waste generated annually and less than 12% of those waste materials recycled.

Also on the day, Kuda staff volunteered for an environmental cleanup exercise, during which they took to parts of Apapa Road, Ebute Metta to empty gutters and collect plastics and other recyclable materials for recycling.

In addition, volunteers from Kuda gained firsthand knowledge of innovative waste management solutions during a guided tour of Wecyclers’ facility in Ebute Metta. The tour showcased Wecyclers’ pioneering efforts in recycling and waste upcycling, demonstrating how technology can be leveraged to address environmental challenges effectively.

Speaking about the collaboration, Emmanuel Femi-Adejobi, Senior Brand Manager at Kuda, expressed enthusiasm for the partnership’s potential to drive positive change. “We [Kuda] are committed to promoting sustainability and environmental consciousness. We also believe that our responsibility is not only to our customers and other stakeholders but also the environment that we all share. Partnering with Wecyclers allows us to inspire communities to adopt eco-friendly practices,” he said.

“Our initiatives towards achieving a sustainable environment and achieving a green earth goes beyond just recycling. We aim to inspire a broader commitment to waste minimization, reusing materials and proper sustainable waste management. As we commemorate World Earth Day, we encourage our staff, customers and general public as a whole to embrace actions that promote a green, safe earth for all,” he added.

Likewise, Esther Chibueyin Fagbo, Head, Human Resources and Partnerships at Wecyclers, emphasised the importance of collective action in addressing environmental issues. “It is very important for organisations to collaborate on initiatives that help save the environment. We are excited about this partnership because such partnerships are crucial to creating awareness and educating people about the impact of plastic waste on the planet and how they can contribute to a change that we all deserve.”

Kuda’s collaboration with Wecyclers emphasises its commitment to sustainability and championing proactive efforts through education, engagement and action to create an environmentally conscious population and a sustainable tomorrow.


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