Tariff Review: Nigerian Telecom Operators Warn of Service Shutdowns

Telecommunications operators in Nigeria, under the Association of Licensed Telecommunications Operators of Nigeria (ALTON), have warned of potential service shutdowns in certain regions if the Nigerian Communications Commission (NCC) does not approve a tariff review.

The operators, under the aegis of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), made this known in a statement signed by their Chairman, Engr. Gbenga Adebayo, and released on Monday.

According to Adebayo, the telecoms sector’s survival requires immediate and decisive reforms to ensure sustainability. He stressed that tariffs must be adjusted to reflect the economic realities of delivering telecom services at the minimum level needed to sustain the industry.

Potential Consequences

“If no action is taken, the new year could bring severe consequences, such as service shedding, where operators might be unable to provide services in certain areas or at specific times of the day, leaving millions disconnected,” Adebayo warned.

He added: “This would have a significant economic fallout, as businesses would suffer from a lack of connectivity, hindering growth and innovation. Key sectors such as security, commerce, healthcare, and education, which heavily rely on telecoms infrastructure, would face serious disruptions, leading to a national economic crisis.”

Also Read: NCC Launches Tariff Simplification Initiative to Boost Telecom Transparency

Rising Operational Pressures

Adebayo emphasised that, without a tariff review, operators can no longer guarantee service availability. While the challenges faced by telecom operators are not new, they have become increasingly severe over the past year.

He noted that rising operational costs, soaring energy expenses, persistent inflation, and volatile exchange rates have placed an unsustainable financial burden on network operators. Despite these pressures, tariffs have remained unchanged, trapping operators in a financial deadlock.

“These challenges have left operators without the resources necessary to maintain, expand, or modernise telecoms networks. Without intervention, the future of this sector is in grave jeopardy,” Adebayo stated.

Sustaining the Sector

The ALTON Chairman acknowledged the efforts of stakeholders over the years to uphold the values and importance of telecommunications in society.

“However, it is not enough to have kept the sector afloat; we must now focus on securing its future. The sustainability challenges we face today are not merely a passing storm—they are a clarion call for decisive action to ensure the longevity of this industry.”

Despite the warnings, Adebayo expressed optimism about 2025, provided immediate steps are taken. “Let this be the moment we come together, recognise the urgency of the situation, and commit to safeguarding this sector,” he concluded.