NCC Mandates Telecom Operators to Simplify Tariff Plans and Improve Transparency

In a move to enhance consumer experience and promote fair competition, the Nigerian Communications Commission (NCC) has issued a directive to telecommunications operators in the country to simplify their tariff plans, bundles, and promotional activities.

The directive, titled “Guidance on the Simplification of Tariffs in the Nigerian Communications Sector,” was released on July 29, 2024, and requires Mobile Network Operators (MNOs) to publish comprehensive tables detailing the features of their tariff plans and bundle offers.

According to the NCC, the objective of this simplification exercise is to reduce the complexity of tariff plans, ensure transparency and fairness of promotional elements, protect consumers’ interests by providing clear and understandable tariff information, and promote fair competition among licensees by standardizing tariff structures.

The directive mandates that the tariff tables should contain all necessary information for subscribers to make informed decisions, including details on add-ons, their prices, how consumers can opt-in or out, terms and conditions for renewal, and rollover policies.

Additionally, 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.

The NCC has given operators until December 31, 2024, to educate and migrate all subscribers to the simplified tariff plans. The guidelines also require MNOs to 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).

Furthermore, the directive mandates that operators must offer stand-alone data bundles at fair prices, ensure that bonuses on promotions are stated in actual value, and eliminate access fees and asymmetric fee structures.

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

This directive is the outcome of consultations with industry stakeholders, including MNOs and Consumer Focus Groups, as well as extensive data analysis on consumer preferences and expectations.