NCC Introduces New Quality of Service KPIs for Nigerian Telecoms, Imposing Fines for Non-Compliance

The Nigerian Communications Commission (NCC) has unveiled a new set of key performance indicators (KPIs) aimed at enhancing the quality of service (QoS) for telecommunications companies across the nation. The recently released QoS Regulations 2024 outlines specific benchmarks for various network segments, including 2G, 3G, and 4G, focusing on metrics such as Drop Call Rates, Call Setup Success Rate, and Traffic Congestion.

Under the new regulations, telecommunications operators that fail to meet these parameters will incur a fine of ₦5 million, with an additional penalty of ₦500,000 for each day the violation continues. The NCC requires these companies to submit monthly QoS reports and will assess compliance through methods such as drive tests, consumer feedback, and data gathered from their Network Operating Centres (NOCs).

The introduction of these regulations appears to be a response to the recent 50% telecom service target set by the Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani. The NCC aims to achieve this target by the end of the year. Other goals outlined in Tijani’s Strategic Agenda 2023 include increasing Nigeria’s broadband penetration to 70% by 2025, achieving data download speeds of 25 Mbps in urban areas and 10 Mbps in rural areas, and extending service coverage to at least 80% of the population, particularly underserved regions, by 2026.

To ensure the target is met, the NCC has shifted from a broad national assessment to a more localized approach, collecting detailed data from operators to analyze quality of service at smaller community levels. This strategy is designed to enhance the consumer experience beyond just technical evaluations.

The new regulations signal a renewed commitment from the NCC to enforce quality standards, having previously remained silent on the issue despite ongoing consumer complaints. The last significant fine imposed by the Commission was in 2020, when Airtel was fined ₦2.3 billion for disconnecting Exchange Telecommunications Limited without the necessary regulatory approval. In 2019, the NCC levied fines totaling ₦2.97 billion against major operators, including MTN, Airtel, Glo, and 9mobile, for various QoS violations.

The release of these QoS regulations comes at a challenging time for telecom operators, who are grappling with the effects of Naira devaluation and rising inflation. These economic pressures have led companies to reduce operational expenditures, adversely affecting network quality. The operators have suggested that the only viable solution to improve service quality is to adjust tariffs.