Nigerians will now pay N16.5 per minute for calls and N431.25 to subscribe to 1GB of data following a 50% tariff hike by the Nigerian Communications Commission (NCC) on Monday.
Intel Region reports that Minister of Communications and Digital Economy, Bosun Tijani, had hinted that telecom tariffs will go up by either 30 or 50 percent.
His position came from a fallout of a meeting between him and operators who had proposed a 100 percent tariff increase.
The latest telecom tariff hike approval comes 13 years after NCC announced price template in 2013.
Meanwhile, with the latest tariff hike approval, it means that upon implementation, Nigerians may be paying N16.5 per minute for calls from N11, the cost of SMS to N6 from N4, and the cost of 1 gigabit of data – N431.25.
“The adjustment, capped at a maximum of 50 percent of current tariffs, though lower than the over 100 percent requested by some network operators, was arrived at taking into account ongoing industry reforms that will positively influence sustainability,” the NCC said in a statement signed by its director of Public Affairs, Reuben Muoka.
It was gathered that telcos may rank in N6.7 trillion annually in revenue from calls only with the new tariff regime; this is because 2023 national telephone traffic data showed that total outgoing telephone traffic was 205.3 billion minutes, while incoming traffic stood at 203.2 billion minutes.
An analysis of data from the latest 2023 Subscriber/Network Performance Report by the NCC showed that in 2023, total outgoing telephone traffic was 205.3 billion minutes, while incoming traffic stood at 203.2 billion minutes.
The report read, “As of December 2023 total outgoing Local and National Traffic was 205,298,114,995.11 minutes while Total incoming Local and National Traffic was 203,187,588,876.00 minutes. MTN had the highest total outgoing and incoming Traffic of 122,667,600,437.00 and 123,762,501,615.00 minutes respectively in 2023.”
This implies that Nigerians spent about 408.5 billion minutes making local calls in 2023.
Since there was no fresh data yet for 2024, the analysis was based on the available data for 2023, which might vary for 2025.
Since there was no fresh data yet for 2024, the analysis was based on the available data for 2023, which might vary for 2025.
This analysis also excluded international calls, although Nigerians spent 1.5 billion minutes on international calls in 2023, according to the NCC.
Further analysis showed that MTN led the market, recording 122.7 billion minutes of outgoing traffic and 123.8 billion minutes of incoming traffic.
At the new rate of N16.5 per minute, MTN’s combined revenue from outgoing and incoming calls is projected to exceed N4tn, making it the primary beneficiary of the tariff adjustment and accounting for over 60 per cent of the market’s total revenue.
Airtel is expected to follow with a projected revenue of approximately N1.78tn, reflecting its strong share of both outgoing and incoming traffic.
Glo, the third-largest operator, is estimated to generate N536.2bn.
Smaller players, including Smile and Ntel, are expected to earn N5.7bn and N13.1bn respectively, affirming their minimal market influence.
9mobile (EMTS) is likely to generate about N105.6bn from its traffic volumes
