The Nigerian Communications Commission (NCC) through its Guidance on the Simplification of Tariffs in the Nigerian Communications Sector has announced a reduction in the number of tariff plans telecom operators offer.
The tariffs were reduced from 368 to 7 tariff plans and 100 bundles per operator to enhance transparency and protect consumers’ right to make an informed decision.
NCC’s announcement aligns with India’s Telecom Regulatory Authority (TRAI) 2004 strategy, which restricted telecom operators’ tariff plans to 25.
With the newly adopted strategy, the NCC aims to ease the confusion caused by too many tariffs by mandating operators to ensure clear advertising of bonus allowances (voice, data, and SMS) in specific terms, such as Naira, minutes/seconds, or gigabytes/megabytes.
It was found that unclear advertisements, discrepancies between promotional and regular tariff rates, and operators applying varying effective tariffs to bonus accounts without notifying consumers resulted in uninformed decision-making.
Speaking about the importance of reducing tariff plans, the Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Gbenga Adebayo, emphasized the benefit of simpler and more transparent data plans. He stated, “With simplified tariffs, consumers can make more informed choices about which data packages best suit their needs, budgets, and usage patterns, empowering them to take control of their data experience.”
“To address tariff complexity, NCC issued a Guidance on Tariff Simplification, requiring operators to provide clear, accessible information on data plans and pricing. This transparency will empower consumers to make better-informed decisions about their data usage and billing,” Maida explained.
One NCC official also stated, “What happens is that someone subscribes to a promo that promises them three times more. But what they don’t know is that the promo is charged at a higher rate than their normal billing rate, making it confusing when the airtime finishes quickly.”
To protect consumers, the NCC has mandated that operators must notify customers of any changes to their tariff plans at least 30 days in advance and offer alternative options.
In addition to its tariff simplification agenda, the commission wants telcos to adhere to Key Performance Indicators (KPIs) outlined in its Quality of Service (QoS) regulations. Any degradation in service quality due to tariff changes or promotions must be addressed immediately.”
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