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The Nigerian Communications Commission (NCC) has said it will impose appropriate sanction on internet service provider, Starlink, for increasing its subscription packages without approval.
NCC said this in a statement on Tuesday morning while denying claims that the upwards review in tarrif and subscription packages by Starlink has its approval.
“We were surprised that the company jumped the gun by announcing price changes after filing a request to the Commission seeking approval for price adjustment for which the Commission was yet to communicate a decision,” the NCC said in a statement by Reuben Mouka, its spokesperson on Tuesday morning.
The Commission described the action of the company as violation of the NNC Act and its license.
“The action of the company appears to be a contravention of Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003, and Starlink’s Licence Conditions regarding tariffs.
“The Commission will, therefore, take appropriate enforcement measures against any action by a licensee that is capable of eroding the regulatory stability of the telecommunications industry.
Starlink had last week announced the increase in the monthly subscription for its internet service in Nigeria from N38,000 to N75,00 and the cost of its hardware for new subscribers from N440,000 to N590,000.
The company cited “excessive inflation” as the reason for the increment.
However, telecom operators in the country under the aegis of the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) accused the NCC of regulatory discrimination for approving the bid by Starlink to increase its tarrif.
The two associations have been clamoring for tariff review which the NCC has refused to approve.
The associations said the telecom industry is the only sector that has not reviewed its prices in response to the rising inflation in the country, devaluation of the naira and other factors.
They blamed for preventing them from pricing appropriately despite the rising operating costs.
