By John Audu, Abuja.

The House of Representatives has called on the Minister of Communications, Innovation and Digital Economy, Bosun Tijani and the Nigerian Communications Commissions (NCC), to suspend the impending hike in telecommunications tariffs until their service improved.

The call followed the adoption of a motion of urgent public importance moved by Rep. Obuku Offorji at the plenary on Tuesday.

Presenting the motion, he recalled that the minister had, after a stakeholders meeting on Wednesday, 8th January, announced that telecommunications tariffs would soon be increased by the telecom operators in the country.

According to the minister, consultations are ongoing as there have been agitations from some of these companies to increase tariffs to as high as 100 percent.

He however said it would not be a 100 percent increase and that the NCC would approve the new tariffs and announce them in due course.

However the lawmaker faulted the arguments of the telecommunications companies for the hike which include, the cost of investment, better networks, increasing demand for digital services across sectors such as education, banking and healthcare.

Offorji said, “The telecommunications companies have been advocating for the hike for the last 11 years, according to the Association of Licensed Telecom Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON). They argued that the telcos need cost-reflective tariffs in the face of adverse economic reality like a record inflation of 34.6 percent in November 2024 and losses resulting from foreign exchange fluctuations.

“The National Association of Telecoms Subscribers has rejected the proposed increase in tariffs, describing it as insensitive and a further burden on consumers already grappling with economic hardship, and poor network service delivery.

“It is imperative that the telecommunications companies improve on their service delivery, which Nigerians have been yearning for, before embarking on the increase in their tariffs.

“The far reaching effects of these price hikes will deepen financial struggles for the average Nigerian, threaten the country’s vision of leveraging technology to drive economic revival, exacerbate poverty and widen existing inequalities, hitting lower income families the hardest.

“Affordable connectivity is a must for progress in critical sectors like digital banking, education, healthcare, agriculture and e- governance. Informal sector workers who depend on affordable mobile data to access gig work opportunities may find it harder to stay connected.”

By John Audu.

The Nigeria Labour Congress (NLC) has announced plans to hold a nationwide protest on Tuesday, February 4, to oppose the recent 50% increase in telecommunication tariffs approved by the Nigerian Communications Commission (NCC).

The decision was reached during the ongoing National Administrative Council (NAC) meeting of the NLC, to send a strong warning to the government that workers will resist policies that worsen economic hardship.

NLC President, Joe Ajaero, in a statement titled “50% Telecom Tariff Hike: Another Burden Too Harsh!”, condemned the move, calling it an “assault on workers’ welfare.”

He argued that the tariff increase comes at a time when Nigerians are already struggling with unprecedented economic challenges.

“Telecommunication services are essential for daily communication, work, and access to information. Yet, an average Nigerian worker already spends approximately 10% of their wages on telecom charges.

“With this hike, workers earning the N70,000 minimum wage will see their monthly telecom expenses rise from N7,000 to N10,500—an unsustainable burden,” Ajaero stated.

The protest, backed by other labour and civil society organizations, is expected to take place across major cities, with workers and citizens voicing their opposition to the hike.

Anastasia John E.

The Federal Government’s revenue from the Electronic Money Transfer Levy (EMTL) soared to an unprecedented N31.2 billion in December 2024, marking its highest monthly collection to date. This surge follows the incorporation of fintech platform transactions into the EMTL framework.

According to the latest data from the Federation Account Allocation Committee (FAAC), December’s EMTL revenue reflects a 107% increase from the N15.046 billion reported in November. The total revenue shared among the Federal, State, and Local governments for December 2024, which includes statutory revenue, Value Added Tax (VAT), and EMTL, amounted to N1.424 trillion.

Fintech companies such as PalmPay, OPay, and Moniepoint began EMTL deductions from transactions on December 1, 2024. This levy applies to transfers of N10,000 and above, marking a shift from the previously free transaction landscape offered by some platforms. OPay clarified to its users that the EMTL charges are remitted entirely to the Federal Government, without any profit retained by the company.

The expansion of EMTL to include fintech platforms is part of the government’s strategy to enhance its revenue streams, as evidenced by the significant growth in December’s figures.

Understanding EMTL

The Electronic Money Transfer Levy (EMTL) is a N50 charge applied to electronic money transfers or receipts within Nigerian banks or financial institutions, with specific exceptions:

• Transfers below N10,000
• Money deposited into one’s own account
• Transfers between accounts owned by the same person within the same bank

Introduced in the Finance Act 2020, the EMTL aims to promote electronic funds transfers in Nigeria, with its revenues distributed among the three tiers of government: 15% to the Federal Government, 50% to state governments, and 35% to local governments.

In December 2023, the Federal Inland Revenue Service (FIRS) mandated the deduction and remittance of EMTL on foreign currency transactions by banks, extending the levy beyond local currency transactions. This directive included deductions on past foreign currency transactions from 2021 to 2023, further bolstering government revenue.

By Anastasia John E.

Abuja, Nigeria – The Nigerian Communications Commission (NCC) has approved a 50% increase in call and data tariffs for telecommunications companies (telcos) in the country.
The decision, which is expected to be formally announced today, comes after months of pressure from telcos who cited rising operational costs, particularly the high cost of diesel, as the primary reason for the increase.
Industry sources revealed that telcos consume a substantial amount of diesel monthly to power their base stations, significantly impacting their operational expenses.
Furthermore, telcos have been investing heavily in software and hardware upgrades to maintain and improve service quality. The recent devaluation of the naira has also exacerbated financial challenges for the industry.
While telcos initially sought a significant tariff increase ranging from 100% to 300%, the NCC approved a 50% increase to ensure the financial viability of the sector.
“They have been running at losses,” an NCC official stated. “We have to do something so they do not collapse.”
The official emphasized the need for the increase to enable telcos to maintain and improve their services, stating that the industry relies heavily on sophisticated technology and faces significant financial pressures.
The NCC’s decision comes after years of relatively stable tariffs. The last major tariff review was conducted in 2013, establishing a range of N6.40 to N50 per minute for calls.
The exact new tariff rates are expected to be announced later today.