NCC tasks telcos on tariff transparency

The Nigerian Communications Commission (NCC) has directed telecommunications operators to simplify their tariff plans, bundles, and promotional activities.

According to the NCC, this move aims to provide clear, easy-to-understand, and accurate information about the cost of voice, short messaging service (SMS), and data services to subscribers.

The directive, titled “Guidance on the Simplification of Tariffs in the Nigerian Communications Sector,” was issued on July 29, 2024. It mandates Mobile Network Operators (MNOs) to publish a comprehensive table showing the features of their tariff plans and bundle offers.

A statement issued by the Director of Public Affairs of the NCC, Reuben Muoka, stated that the table should contain all necessary information for subscribers to make informed decisions, including details on add-ons, their prices, how consumers can opt-in or opt-out, terms and conditions for renewal, and rollover policies.

“The guideline is the outcome of consultations with industry stakeholders, including MNOs and Consumer Focus Groups, and extensive data analysis on consumer preferences and expectations.”

“The objectives of the simplification guidelines are to reduce the complexity of tariff plans and bundles, ensure transparency and fairness of promotional elements of tariff plans, protect consumers’ interests by providing clear and understandable tariff information so that they make informed decisions, and promote fair competition among licensees by standardizing tariff structures,” the statement said.

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The NCC also stated that service providers are required to display all relevant information about their tariffs, such as the name of the plan, price, validity period, price-per-second for on- or off-network and international calls, expected data speeds, and fair usage policies.

“Operators can maintain existing bonus-led tariff plans until December 31, 2024, within which period operators are expected to educate and migrate all subscribers to the simplified tariff plans,” the directive stated.

The guidelines further mandate that MNOs must communicate tariffs to subscribers in “clear language and a user-friendly format,” with full disclosure of a subscriber’s tariff plan via Unstructured Supplementary Service Data (USSD).

Additionally, “operators must offer stand-alone data bundles at fair prices to avoid tying consumers with products they do not need; bonuses on promotions must be stated in actual value; access fees and asymmetric fee structures must be eliminated,” the directive added.

The NCC also emphasized that while complying with these guidelines, operators must also meet the Key Performance Indicators (KPIs) standards set out in the Quality of Service (QoS) Regulations.