The Association of Licensed Telecom Operators in Nigeria (ALTON) has called on the Nigerian Labour Congress (NLC) to reconsider its planned nationwide protest slated for February 4, warning that such action could severely destabilize the already fragile telecommunications sector.
Speaking at a town hall meeting in Victoria Island on Saturday, ALTON Chairman, Gbenga Adebayo, painted a grim picture of the industry’s current struggles, likening the sector to a critically ill patient whose survival depends on urgent intervention. He cautioned that further disruptions could push the industry to the brink of collapse, with dire consequences for businesses, employees, and the economy at large.
“The coming week is crucial, and I trust that ongoing discussions at various levels will prevent an undesirable outcome,” Adebayo stated. “I sincerely hope no group will push the telecom sector toward collapse. If that happens, the consequences are clear—we will start heading downward, and once we do, recovery may become impossible.”
Mounting Challenges in the Sector
Adebayo highlighted several challenges confronting telecom operators, including rising operational costs, foreign exchange volatility, and infrastructure deficits. He revealed that operators had initially proposed a 100% tariff increase to offset these financial pressures but ultimately settled for the government’s 50% compromise as a temporary relief measure.
“Let me use an analogy to explain this situation,” he said. “During the COVID-19 pandemic, patients on ventilators needed oxygen to survive. Imagine the telecom industry as a patient that requires 100 liters of oxygen. The government initially offered 50 liters—just enough to sustain life and reassess later. But now, there is talk of reducing it further to just 10 liters. If a person who needs 100 liters is only given 10, we all know the inevitable outcome.”
He stressed that the 50% tariff adjustment was already a lifeline, helping operators sustain business operations, protect jobs, and continue contributing to economic growth. Any further disruption, he warned, could prove catastrophic.
A Call for Dialogue and Stability
Adebayo urged the NLC and other stakeholders to prioritize the survival of the telecom industry, given its critical role in Nigeria’s digital economy. He reminded stakeholders of the sector’s historical significance, cautioning against actions that could reverse decades of progress.
“Thirty years ago, we were in a similar situation, and we cannot afford to go back,” he said. “Our priority must be the survival of the industry and the broader economy.”
He appealed to labor unions, regulatory bodies, and policymakers to engage in constructive dialogue rather than taking actions that could jeopardize the sector’s sustainability.
The telecom industry remains one of Nigeria’s most vital economic pillars, providing millions of jobs and facilitating digital transformation across multiple sectors. As the February 4 protest date approaches, stakeholders will be closely watching to see if a compromise can be reached to avert a potential crisis.
