In
a statement released in Lagos on Thursday, Nigerians have been asked to
expect poor data services, just a day after the Nigerian Communications
Commission was compelled to suspend a planned data tariff raise.
File photo
The Association of Licensed Telecommunications Operators of Nigeria
(ALTON) on Thursday, told consumers to expect poor data services, a day
after the Nigerian Communications Commission was compelled by public
backlash to suspend a planned tariff raise.
The chairman of ALTON, Gbenga Adebayo, said in a statement in Lagos
that there was need for an upward review of the tariff, so as to offer
better data services to subscribers.
Adebayo said the operators fully understood the public sentiments
that greeted the announcement of a minimum data tariff being introduced
by the Nigerian Communications Commission (NCC).
He said the NCC intervened to set the data tariff floor in view of
its statutory responsibility to promote healthy competition, by
periodically reviewing voice and data tariffs in the industry.
According to him, the commission’s intervention was to ensure the
sustainability of the Nigerian telecommunications industry, adding that
the regulatory body had extensive consultation with the industry prior
to the finalisation of the data tariff floor.
“Further, the commission has since Wednesday suspended the implementation of its determination on the data tariff floor.
“ALTON notes that it is within the statutory remit of the NCC
for it to make decisive interventions to address the data price concerns
which had led to data prices falling to unreasonably low levels.
“This is with the effect that telecommunications operators were
unable to recover the cost of providing data services and reinvest in
capacity expansion to accommodate the increased usage arising from lower
tariffs.
“The situation has been compounded by the recent economic challenges characterised by the steep depreciation of the naira.
“It is characterised by the need to resort to the parallel
market and foreign exchange scarcity, which have considerably increased
the capital and operational cost of providing telecommunications
services.
“This has made current data tariffs unsustainable. This
situation, if left unaddressed, could result in a sustained
deterioration in the quality of data services across all networks and
the attendant poor quality of experience for users.
“In this regard, our members await the conclusion of NCC’s
market study, when the commission will be in a position to determine its
requisite intervention,” Adebayo said.
He said that NCC introduced the minimum price for data services to
help ensure cost recovery and drive the continued investment in the
telecommunications sector, adding that it was necessary for the
provision of world-class data services for the overall benefit of the
Nigerian subscriber and the Nigerian economy.
“It is our belief that interventions such as these are in
keeping with the NCC’s tradition of implementing customer-centric
regulatory initiatives such as the Do-Not-Disturb Service and the Mobile
Number Portability Scheme.
“These were introduced to enhance customer satisfaction with telecommunications services.
“ALTON also notes that price changes for data services across
all networks following any intervention by the NCC are not expected to
have a detrimental effect on broadband penetration contrary to some
sentiments being expressed in the media.
“ALTON wishes to emphasise that while it is imperative that
telecommunications operators continue to explore opportunities to
provide their subscribers with more value for their money, it is
important that prices be set at realistic levels.
“This will ensure that subscribers are not only able to afford
services, but that operators are also in a position to provide
first-rate Quality of Service to their subscribers,’’ he said.
-NAN
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