Telecom Subscribers Decry Soaring Tariffs, Urge Operators To Cut Costs

September 24, 2025
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 Eight months after the Federal Government approved a 50 percent hike in telecom tariffs, millions of subscribers across Nigeria say the increase is pushing them to the brink, draining household budgets, and threatening small businesses.

With no alternative to essential voice and data services, subscribers lament that the sharp rise in charges has further worsened their socio-economic conditions. 

Many are now calling on telecom operators to review the increment downward to between 10 and 35 percent, stressing that the 50 percent adjustment is unbearable.

Subscribers, NGOs Opposed Tariff Before Approval

Before the Nigerian Communications Commission (NCC) gave its nod, subscribers’ associations and civil society groups had opposed the proposal, warning that it would deepen economic hardship. 

Their fears were confirmed when the NCC eventually approved the hike, leaving many Nigerians unable to afford data and airtime for everyday communication.

The President of the National Association of Telecom Subscribers (NATCOMS), Deolu Ogubanjo, described the situation as alarming.

 He said that while subscribers were not against an upward review, they expected a considerate adjustment.

“We thought they would settle for a human-faced increase of between 10 and 35 percent. Instead, the NCC approved a whopping 50 percent, ignoring all stakeholder inputs. This is taking a huge toll on ordinary Nigerians and small businesses,” he said.

Ogubanjo also faulted operators for reducing incentives and bonuses. He cited MTN’s airtime promotion as an example, where a recharge of N1,000 that once attracted N6,000 worth of airtime bonuses has now dropped to N4,000.

He urged the Federal Government to monitor operators closely to prevent exploitation, while commending the recent removal of the five percent excise duty on telecom services. According to him, had the duty remained, subscribers would have been crushed further.

Nigerians Share Their Frustrations

For many ordinary users, the reality of the tariff increase has been devastating.

Benson Jatto, a Lagos-based small business owner, said the new rates have affected his ability to communicate with clients. “I recharge N2,000 and it vanishes almost instantly. Before, N500 could last the same period. It doesn’t feel like 50 percent, it feels like 150 percent,” he lamented.

Deborah Momodu, a teacher, explained that phone usage has now become as important as food. “If I have N1,000, I split it—half for food, half for airtime. Telecom services have become a necessity for survival, even for mental health. The government must intervene,” she pleaded.

Rising Costs Burden Households, Businesses

The hike means that some workers are now spending up to 15 percent of their minimum wage on phone calls and data. Businesses that rely heavily on internet services—such as e-commerce, fintech, education and healthcare providers—are also struggling under the weight of increased operating expenses.

Industry insiders say operators had initially demanded a 100 percent hike, citing skyrocketing energy costs, vandalism, multiple taxation, and a 12-year freeze on rate reviews.

Operators Justify Tariff Adjustment

 Chairman of the Association of Licensed Telecoms Operators of Nigeria (ALTON), Gbenga Adebayo defended the decision, saying the tariff adjustment was critical for the survival of the sector.

“The telecom industry is overstressed by economic pressures. Without a review, operators cannot sustain services. Government should not expect the industry to carry the burden while other sectors are subsidised,” Adebayo stated.

Similarly, President of the Association of Telecommunications Companies of Nigeria (ATCON), Tony Izuagbe Emoekpere, said the NCC’s approval of a 50 percent hike, though less than operators requested, was necessary to balance costs and revenues.

“It is a step towards enabling investment in infrastructure, expanding coverage, and improving service quality. Without it, the industry risks stagnation,” he argued.

Analysts Warn of Digital Divide

Experts, however, caution that while the hike may stabilize operators in the short term, it risks excluding millions of low-income Nigerians from digital access. They warn that the move could widen the digital divide, undermine financial inclusion, and slow down economic growth.

They stress that affordable communication is no longer a luxury but a necessity, linking communities to education, healthcare, business, and agriculture. Without urgent intervention, the tariff hike may prove counterproductive, leaving both consumers and operators worse off.

Daily independent 

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