The Association of Licensed Telecom Operators of Nigeria (ALTON) has defended the recent 50% increase in telecom tariffs, explaining that the adjustment was necessary to address rising economic challenges and ensure the industry’s sustainability.
Gbenga Adebayo, ALTON Chairman, stated during a press briefing in Lagos on Tuesday that the decision was not made lightly but was prompted by escalating operational costs.
“The telecom industry has been facing rising expenses, including diesel, energy, and inflation, without a tariff adjustment for the past 12 years. These increasing costs have made operations unsustainable, leaving telecom operators with no choice but to seek a tariff review to maintain service quality,” he said.
Adebayo noted that the tariff increase was approved by regulatory authorities following a detailed review of economic indicators and was consistent with the provisions of the Communications Act. He dismissed claims that the adjustment was unconstitutional, emphasizing that due regulatory processes were followed.
He assured consumers that the tariff revision would benefit them in the long run, as it would enable telecom operators to improve service quality, optimize networks, and attract investments.
Addressing the impact of foreign exchange volatility, Adebayo pointed out that many telecom agreements were signed at lower exchange rates, but operators now face significantly higher rates to fulfill their obligations. He called for greater stability in the foreign exchange market to support industry growth and underscored the importance of a robust telecom sector for overall economic stability.