NIGERIAN COMMUNICATION COMMISSION SET TO UNVEIL TARRIFS

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The Nigerian Communications Commission (NCC), on Monday, said arrangement had been concluded to unveil new pricing cost for wholesale fix transmission service providers in the telecommunication industry. The Commission expressed optimism that the new pricing will accelerate the broadband penetration through making transmission links competitive and affordable to end users across the country. With the new pricing model, NCC said consumers will be able to afford data in the long run, adding that there is need for a level playing field for all operators in the segment. Speaking at a stakeholders’ forum in Abuja, the Executive Vice Chairman of NCC, Prof. Umar Danbatta, said, research carried out by KPMG in conjunction with telecommunication operators revealed that the old wholesale fixed pricing has been excessively discriminatory and arbitrary among industry operators and users. Danbatta also explained that investigation carried out by a project team constituted by NCC, which included MTN, Glo, Airtel, MainOne, Phase3Telecom and market operators, revealed that there was excessive pricing of fixed transmission link which has raised a lot of concern in the sector. ALSO READ We Will Sponsor Education of Dead Soldiers’ Children - Army He said:
 “The study revealed that wholesale and retail customers in the transmission market capacity in the country were excessively high and not reflective of cost. “Specific examples were situation in which bandwidth prices for route between Lagos and London was lower that between Lagos and Kano or Port Harcourt. Another issue that was identified was the issue of discriminatory prices of transmission links. It was observed that pricing was not based on cost, distance or any particular formula.”
According to him, statistical report by the International telecommunications Union (ITU), indicated that broadband penetration between 2014 and 2015 is still low, adding that modalities had been put in place to increase the penetration rate by 30 percent before 2018. The NCC boss said: “ KPMG was hired to conduct and develop a comprehensive cost model using data collated from operators in the transmission cable market and draw inferences on the cost of providing transmission services in Nigeria and the transparency and competitiveness of pricing in the transmission markets.”
He said the study on the determination of cost based pricing of fixed transmission services will set the pace for effective competition in the wholesale leased lines transmission capacity market in the telecommunications industry. In a remark, the Chief Marketing Officer of Broadbased Communications, Mr. Chidi Disu, argued that new pricing model did not take into consideration current situation in foreign exchange rate market and the depreciating value of the Naira, adding that implementing the new model by NCC will force lastmile operators out of business. According to him, the different prices on the Right of Way, by the different states is also not helping operators, adding that the Federal Capital Territory (FCT), for example has increased the cost of RoW by 35 percent.


The Nigerian Communications Commission (NCC), on Monday, said arrangement had been concluded to unveil new pricing cost for wholesale fix transmission service providers in the telecommunication industry. The Commission expressed optimism that the new pricing will accelerate the broadband penetration through making transmission links competitive and affordable to end users across the country. With the new pricing model, NCC said consumers will be able to afford data in the long run, adding that there is need for a level playing field for all operators in the segment. Speaking at a stakeholders’ forum in Abuja, the Executive Vice Chairman of NCC, Prof. Umar Danbatta, said, research carried out by KPMG in conjunction with telecommunication operators revealed that the old wholesale fixed pricing has been excessively discriminatory and arbitrary among industry operators and users. Danbatta also explained that investigation carried out by a project team constituted by NCC, which included MTN, Glo, Airtel, MainOne, Phase3Telecom and market operators, revealed that there was excessive pricing of fixed transmission link which has raised a lot of concern in the sector. ALSO READ We Will Sponsor Education of Dead Soldiers’ Children - Army He said: “The study revealed that wholesale and retail customers in the transmission market capacity in the country were excessively high and not reflective of cost. “Specific examples were situation in which bandwidth prices for route between Lagos and London was lower that between Lagos and Kano or Port Harcourt. Another issue that was identified was the issue of discriminatory prices of transmission links. It was observed that pricing was not based on cost, distance or any particular formula.” According to him, statistical report by the International telecommunications Union (ITU), indicated that broadband penetration between 2014 and 2015 is still low, adding that modalities had been put in place to increase the penetration rate by 30 percent before 2018. The NCC boss said: “ KPMG was hired to conduct and develop a comprehensive cost model using data collated from operators in the transmission cable market and draw inferences on the cost of providing transmission services in Nigeria and the transparency and competitiveness of pricing in the transmission markets.” ALSO READ Where Were You When Jonathan was Nigeria's President ? – Buhari Blasts Critics He said the study on the determination of cost based pricing of fixed transmission services will set the pace for effective competition in the wholesale leased lines transmission capacity market in the telecommunications industry. In a remark, the Chief Marketing Officer of Broadbased Communications, Mr. Chidi Disu, argued that new pricing model did not take into consideration current situation in foreign exchange rate market and the depreciating value of the Naira, adding that implementing the new model by NCC will force lastmile operators out of business. According to him, the different prices on the Right of Way, by the different states is also not helping operators, adding that the Federal Capital Territory (FCT), for example has increased the cost of RoW by 35 percent. Recommended Articles Mother Loses Her Belly Fat with This New Cutting-Edge Pill Mother Loses Her Belly Fat with This New Cutting-Edge Pill Hurry Before This Video Gets Banned Hurry Before This Video Gets Banned You'll Probably Quit Your Job After Watching This Video You'll Probably Quit Your Job After Watching This Video How Learning 11 Languages Taught Me 11 Crucial Lessons How Learning 11 Languages Taught Me 11 Crucial Lessons Best Breakfast Recipes - Providing Ideas About Food Best Breakfast Recipes - Providing Ideas About Food How to Stop Snoring and Improve Your Health How to Stop Snoring and Improve Your Health These Ancient Demons May Kill You These Ancient Demons May Kill You This Is What Will Happen When You Eat Avocados Every Day This Is What Will Happen When You Eat Avocados Every Day New Military Flashlight Every Patriot Needs to Know About New Military Flashlight Every Patriot Needs to Know About ? Posted in News Bookmark the permalink. Post navigation ← Previous Next → Leave a Reply Your email address will not be published. Required fields are marked * Comment Name * Email * Website Find us on Facebook Recent Posts APC Member Buried Alive In Rivers State NCC Moves to Reduce Cost of Internet Data Subscription If Buhari Doesn’t Keep All His Campiagn Promises, Stone Us – Tony Momoh It Gets Worse: NNPC Loses N5.7Billion To Inefficient Refineries Why Can’t Christians Who Complain, Go And Fight Boko Haram? – Buhari APC Suspends 3 Senators for Not Paying Party Dues They Want To Abduct Nnamdi Kanu In Court – DSS Corruption Takes Over Buhari’s Govrt As His SGF Demands BRIBE To Make One DG DSS After My Life, Want Me To Hands Off From Kanu Case – Nnamdi Kanu’s Lawyer No One is Replacing Saraki Even if He is Guilty, Senators back Saraki

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