Nigerian Communications Commission (NCC) has revealed plans to sanction Elon Musk’s Starlink for increasing its subscription fees in Nigeria without obtaining the necessary approval from the regulator.

Dr. Reuben Muoka, the NCC’s Director of Public Affairs, confirmed this, explaining that the price hike was not authorized by the Commission.

According to Muoka, Starlink’s actions are in breach of key provisions of the Nigerian Communications Act of 2003, specifically Sections 108 and 111, as well as conditions outlined in its operating license regarding pricing.

“We were surprised that the company announced price changes after submitting a request to the Commission for a price adjustment, which had yet to receive a decision,” Muoka stated.

“The unilateral decision by Starlink to increase their subscription packages is in contravention of the Act and its license conditions.”

He went on to stress that the NCC is prepared to enforce penalties against any licensee whose actions undermine the regulatory framework of the telecommunications sector.

Reports indicate that Starlink raised its subscription costs in Nigeria by 97%, hiking monthly fees from N38,000 to N75,000.

Additionally, the cost of its hardware kits for new users increased by 34%, rising from N440,000 to N590,000.

The company cited “excessive inflation” as the primary reason for these price adjustments.

Meanwhile, local telecom operators, represented by the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON), have been advocating for a review of tariffs in response to inflationary pressures.

They argue that the telecom sector is one of the few industries yet to adjust prices to cope with rising inflation and other economic challenges.

However, both the NCC and the Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani, have opposed these calls, urging operators to focus on innovative solutions to combat the impacts of inflation and increased operational costs.

Section 108 of the Nigerian Communications Act gives the NCC the authority to regulate telecom tariffs, specifying that no operator can implement charges without its approval.

Additionally, Section 111 empowers the Commission to impose fines on any operator exceeding approved tariff rates.

– Purchasing Managers’ Index (PMI) reintroduced

– Business Expectation Survey (BES) and Inflation Expectation Report revived

– Reports to be released periodically on CBN’s website

The Central Bank of Nigeria (CBN) has announced the reintroduction of key economic reports, demonstrating its commitment to transparency and accountability.

This move is part of the CBN’s ongoing data enhancement initiative, aimed at providing stakeholders with timely and accurate insights into Nigeria’s economic performance.

The revived reports include the PMI, which evaluates the health of various sectors, and the business and household expectations reports, offering valuable insights into perceptions and outlooks. These reports are essential tools for understanding the country’s economic climate and fostering informed decision-making.

According to Sidi Ali, Acting Director of Corporate Communications at CBN, “This initiative is part of the Bank’s broader efforts to enhance transparency, promote informed decision-making, and support economic growth.” The reports will be accessible to the public, policymakers, and the business community on the CBN’s website.

The CBN encourages economists, analysts, investors, and the media to utilize these reports to gain a deeper understanding of Nigeria’s economic dynamics. This will foster a more inclusive economic discourse and promote economic growth.