Starlink recently raised its monthly subscription fees in Nigeria by 97%, increasing the standard residential plan from ₦38,000 to ₦75,000.
The Nigerian Communications Commission (NCC) has reversed its decision to sanction Starlink for the price hike, which was implemented without regulatory approval. In a statement, the NCC acknowledged that its earlier announcement was an error.
This reversal follows complaints from local telecom operators, who criticized the NCC for allowing Starlink to raise its rates by 97% while restricting local providers from adjusting their tariffs. Starlink attributed the price increase to “excessive inflation.”
Initially, the NCC condemned Starlink’s price hike, stating it had not been approved and raised concerns over Starlink’s compliance with local laws. Dr. Reuben Muoka, NCC’s Director of Public Affairs, noted that Starlink’s actions breached Sections 108 and 111 of the Nigerian Communications Act, 2003, which give the Commission authority over telecom tariffs.
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“We were surprised that the company unilaterally adjusted its prices after submitting a request for approval, which the Commission was yet to decide on,” said Muoka.
The NCC’s initial decision to penalize Starlink highlighted its commitment to enforcing telecom regulations. However, the reversal of the sanction has led to uncertainty regarding the Commission’s stance and its implications for other telecom operators seeking tariff adjustments.
This controversy comes amid local telecom operators’ push for a tariff review. Both the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) have been advocating for increased tariffs to cope with rising inflation and operational costs.
In August 2024, the NCC issued a directive requiring telecom companies to provide detailed information to subscribers about their tariffs, including all components and conditions.
