Business Briefs
TELECOMMUNICATION operators in Nigeria have resolved to comply fully with the recent directive given them by the regulator, the Nigerian Communications Commission, NCC, on data rollover but on one condition. The telcos said they have agreed to fully comply with the regulatory directive on data rollover on the condition that NCC must revisit the suspended data price floor, which seeks to increase data tariff.
Data price floor in technical parlance is one of the regulatory safeguards normally put in place by the telecommunications regulator to check anti-competitive practices particularly by the dominant operators. It is a minimum price on data services as stipulated by government or the regulator. The NCC had recently directed all telecoms operators to henceforth give 14-day window to subscribers after the expiration of their monthly data subscription to enable them exhaust their unused data bundle before rolling over.
The directive is sequel to the myriad of complaints received by NCC from telecoms subscribers that their respective service providers do not give them enough time to exhaust their monthly data subscription plan before they were either disconnected or forced to roll over the excess data bundle to the next month after purchasing another monthly data plan. The decision by NCC to address subscribers’ complaints may not be unconnected with its resolve to always protect the interest of telecoms consumers after declaring 2017 as the year of telecoms consumers.
Although the directive may likely affect the revenue stream of telecoms operators, especially the smaller operators, but the operators said they would comply rather than flex muscles with the regulator, since it is a regulatory directive. Looking at the implication of the directive on data rollover and the 14-day window, Gbenga Adebayo, chairman, Association of Licensed Telecoms Operators of Nigeria, ALTON, said the telecoms service providers have to comply with the directive, since it is a regulatory directive. He, however, raised the issue of the suspended data floor price, which in his views, must be addressed by the NCC in order to protect the operators from running at a loss in their telecoms business, just the same way the NCC is protecting telecoms consumers.
Directive of this nature will underscore the importance of the data floor price that was suspended by NCC, following complaints from the same telecoms subscribers that the NCC is protecting. In protecting the telecoms consumers, NCC must also balance the situation by revisiting the suspended data floor price, which seeks to fix a new price cap for data services across networks.”
Adebayo said if NCC must enforce the 14-day window on data rollover, it must also consider the reintroduction of the suspended data floor price in order to cushion the effect of the loss of revenue that operators would face based on the directive.
Oct 12, 2017 @ 11:12 GMT /
Tags: NCC Nigerian Communications Commission Telcos give NCC Condition for Compliance with Data Rollover
