38.2 C
Asaba
Wednesday, January 22, 2025

Telecoms Tariff Hike: SMEs, Students, POS Operators Groan

BY KASE GREATNESS/ RITA OYIBOKA

AS the Nigerian Communications Commission (NCC) announced a significant increase in GSM tariffs, many business owners, institutions, students and others have expressed deep concerns over the implications in their business operations and life generally.

Speaking with The Pointer, yesterday, an Asaba-based photographer and Cyber Cafe owner, Daniel Nnamdi highlighted the essential role of internet services in his business operations and the effects the tariff hike would have.

“Our work relies heavily on online platforms for everything, from concept development to customer engagement. While most customers prefer digital copies, any increase in internet services could shift them back to hard copies,” he explained.

Nnamdi also expressed concerns about the rise in data tariffs, which will increase operational costs.

“This may force us to raise prices, impacting, not only my business and employees but also our customers, particularly those with lower disposable income. While higher data charges could limit their access to our services.”

Also, an Ibusa-based Photographer, Mr. Great Ego shared a similar plight. “I spend ₦36,000 every three months for 300GB of data, and it doesn’t even last. Sending videos of between 300MB to 500MB per file to clients often takes up much data. The subscription I made on January 9, 2025 for 300GB is already down to 114GB, and it’s only mid-January.

“In addition, I have assistants, whose 30GB subscriptions don’t last a week. This increase means I’ll spend and charge more,” he lamented.

The Pointer investigation showed that the situation is even more dire for students and small-scale entrepreneurs, who rely on affordable data for education and business growth.

A student of the Delta State Polytechnic Ogwashi-uku, Jessica Emegha, laments, “I use data to do research, assignments, download e-books and get school information. With this new hike, education will have an increased cost. I don’t know how I’ll cope,” she said.

On her part, Digital skills tutor, Miss Ada Okunwa shared, “This increase will hit everyone hard, especially those unable to absorb these costs.

“For individuals relying on affordable data for online teaching, this could create significant challenges. Many of my students struggle to afford their own mobile data or rely on their parents. So, the tariff hike will definitely cause a challenge,” she added.

In an immediate ripple effect, Point of Sales (POS) operators have indicated plans to increase their service charges in response to the tariff hike.

The National Spokesperson for the Association of Mobile Money & Bank Agents in Nigeria, Ogungbayi Ganiyu addressed these concerns in an interview on Monday, noting that, the 50% increase in telecom charges would significantly impact their members, whose services are primarily centred around telecom services, especially data. “The telecom tariff hike will affect our operations, and I fear it may lead to increased service charges. While we have yet to fully assess the situation, our members may choose to absorb some of the increased costs,” he said.

…Subscribers Association Threatens Court Action, Rejects Hike

Meanwhile, telecoms subscribers’ association has rejected the hike in tariffs which they described as unacceptable.

Recall that the Nigerian Communications Commission (NCC) had on Monday approved a 50 per cent tariff increase for telecom operators in the country following calls by the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) for an upward review of tariff.

But the National Association of Telecoms Subscribers (NATCOMS) has faulted the move and threatened to drag the Federal Government to court.

“It is not it at all. It is so much for subscribers to bear. Already, we are grappling with a lot of things that are surrounding the business climate here – fuel cost, electricity cost, and all that – you are now looking at telecos asking for 100 per cent and NCC now is granting them 50 per cent. It is a no-no,” NATCOMS President, Deolu Ogunbanjo said, yesterday, during a television programme.

“We are definitely not going to accept this,” the NATCOMS chief insisted.

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

1,200FansLike
123FollowersFollow
2,000SubscribersSubscribe
- Advertisement -spot_img

Latest Articles

×