Biting realities and daunting future of Nigeria’s telecommunication sector has elicited renewed cry by telecommunication service providers, under the aegis of the Association of Licenced Telecommunications Operators of Nigeria (ALTON), on the need for urgent review of tariff in the sector.
In a special end-of-year speech, the Chairman of ALTON, Engr. Gbenga Adebayo, disclosed that telecom service providers have come to their wits end in their bid to align the current economic realities to the operational expenditure by the companies.
In the message, which he titled “Before The Final Call – Telecom – As Sector Under Siege”, Engr. Adebayo noted that as the industry reflects on the ending of year 2024, there is a need to issue an urgent and critical call to action for the future of our telecommunications industry.
“This is not a time for further deliberation or delayed decisions. The survival of the telecom sector demands immediate and bold reform for its sustainability, our tariffs must be reviewed to reflect the economic realities of delivering telecom services at a minimum for industry sustainability. Without this, operators cannot continue to guarantee service availability,” he lamented.
The ALTON Chairman, who referred to the period as “the last days for the survival of this sector”, noted that if immediate and decisive action is not taken, “the hope for a better 2025 will remain just that—a hope”.
He observed that although the current challenges being faced by operators are not new, they have however become more acute and more threatening with this passing year. “Rising operational costs, skyrocketing energy cost, the relentless pressure of inflation, volatile exchange rates, amongst other have all placed an unsustainable burden on network operators. Despite these mounting pressures, tariffs have remained stagnant, leaving operators trapped in a financial quagmire. The resources needed to maintain, expand, and modernise our networks are simply no longer available. Without intervention, the future of this sector is at grave risk.”
He expressed fears that if nothing is done, the sector might begin see in the new year, grim consequences unfolding, such as Service Shedding; Operators not being able to provide services in some areas and at some times of the day leaving millions disconnected. “There will be significant economic Fallout, because businesses will suffer from a lack of connectivity, stalling growth and innovation. There will also be National Economic Disruption where Key sectors like security, commerce, healthcare, and education which rely heavily on telecom infrastructure, will face serious disruptions.”
While pointing out the possibility of a better 2025 if the call for tariff review is heeded, Engr. Adebayo emphasised: “However, let me be clear: our work is far from over. It is not enough to have kept the sector afloat; we must now focus on securing its future. The sustainability challenges we face today are not just a passing storm—they are a clarion call for decisive action to ensure that this industry thrives for generations to come.
If we fail to act, history will record that we had countless warnings, yet we allowed inaction to jeopardize one of the most critical pillars of Nigeria’s development. But if we succeed, 2025 can be the year we turned things around—a year of hope, resilience, and sustainability for the telecom industry.”
He assured that ALTON stands ready to work with all stakeholders to ensure the survival and prosperity of this sector, but the call for action must not wait until it is too late.
