The Nigerian Communications Commission (NCC) has raised the alarm over an unauthorized price hike by Elon Musk’s satellite internet service, Starlink, which increased its data tariffs in Nigeria without the requisite approval.
In a strongly worded statement released in Abuja on Tuesday, Dr. Reuben Muoka, Director of Public Affairs for the NCC, expressed concern over the unilateral decision by Starlink to implement substantial price increases, violating the established regulatory framework under the Nigerian Communications Act (NCA) 2003.
The new subscription prices, which saw a 97% increase in monthly fees from N38,000 (GHC 371.53/$ 23.20 ) to N75,000 (GHC 734.41/ $45.98) along with a 34% hike in hardware costs from N440,000 to N590,000, came as a shock to Nigerian consumers. These changes were made despite the company having submitted a request to the NCC for approval of price adjustments.
According to Dr. Muoka, the commission had yet to communicate its decision when Starlink jumped the gun, an action that violated both Section 108 and Section 111 of the NCA, which govern the regulation of tariffs in Nigeria’s telecommunications sector
The NCC views this breach as a serious threat to the regulatory stability that it strives to maintain in the telecommunications industry. The commission emphasized that such actions erode public trust and disrupt market fairness.
Dr. Muoka made it clear that the regulatory body would take appropriate enforcement measures against any licensee that undermines these principles. These measures may include sanctions and financial penalties, as outlined in the NCA.
In his statement, Muoka said, “We were surprised that the company announced price changes even after filing a request to the Commission seeking approval for price adjustments, for which a decision was yet to be communicated.”
He further indicated that Starlink’s actions are not only a contravention of regulatory rules but also a disregard for the standard practices that ensure fairness in the market.
The commission has reiterated its dedication to enforcing regulations that protect consumers from arbitrary and excessive price hikes while maintaining a level playing field for all operators.
