Nigeria’s telecoms regulator, the Nigerian Communications Commission (NCC), has warned of a new guideline that mandates telecommunications operators to publish details of subscribers’ tariff plans and billings in a bid to enable consumers make informed decisions on their data usage, and promote transparency. The Guideline, which has been issued, will take effect in coming month.
Speaking at the 93rd Telecoms Consumer Parliament, themed “Optimizing Data Experience: Empowering Consumers through Awareness and Transparency in a Consumer-Centric Telecom Industry” in Abuja on Thursday, the NCC Executive Vice Chairman and CEO, Dr. Aminu Maida noted that the move will help address tariff complexities leading to a clearer understanding of data consumption and reducing misconceptions about data depletion.
“To address tariff complexity, NCC issued a ‘Guidance on Tariff Simplification’, requiring operators to provide clear, accessible information on data plans and pricing. This transparency will empower consumers to make better-informed decisions about their data usage and billing.
In the coming months, operators will implement this guidance, presenting consumers with tables detailing their tariff plans, billing rates on each plan, and all terms and conditions related to the tariff plans they are on.”
This directive follows series of complaints by subscribers accusing mobile network operators of fraudulent data depletion across all networks.
The EVC explained why NCC had to take action: “Earlier this year, NCC analyzed consumer complaints, revealing data depletion and billing issues as top concerns. In response, we directed Mobile Network Operators and ISPs to conduct audits of their billing systems, which reported no major issues.”
According to Dr. Maida, information about data usage and tariff are important to establish and instill consumer confidence. “The Commission believes that an informed consumer is a better-equipped consumer, leading to a clearer understanding of data consumption and reducing misconceptions about data depletion.
“Smartphones, even when idle, often run background applications like automatic updates and location services, which consume data. Additionally, high-definition streaming services like Netflix consume substantial data— about three gigabytes per hour in high definition, or seven gigabytes in ultra-high definition,” he explained.
He further noted that consumer perception has been distorted due to lack of information on salient contributors to tariff usage, including the impact of high-resolution devices and improved technologies on data use, and the complexity of operator tariffs.
The EVC explained that with the advent of 4G and 5G, as well as devices with ultra-high-definition screens, data consumption has naturally increased. “For example, while viewing a photo on Instagram might have required only 100 kilobytes of data five years ago, today, with advanced camera resolutions, a photo can consume between two to four megabytes when opened on Instagram. According to Tech Advisor, an online resource that offers tech reviews, spending an hour on Instagram can set you off an average of 600 Megabytes of your data, while streaming platforms like YouTube would set you off by about 3.5 to 5.4 Gigabytes per hour.”
He also noted that improved technologies go beyond their purchase cost to pockets, but also come at a cost to data. “Because they have better screen resolutions, they consume higher quality media that consumes more data. This is the same for our increasing digital habits: according to DataReportal, the world’s internet users are spending less time watching television; the average daily television viewing has fallen by over 8% in the past one year. These viewers are now spending more time on their telephones, tablets, and smart TVs streaming programmes that they would previously have watched on broadcast television.”
Also, as a means of curbing the data challenges, the Commission, in collaboration with major operators, had launched a Joint Industry Campaign on Consumer Awareness on Smarter Data Usage. This media campaign, spanning radio, television, newspapers, and mobile networks’ SMS, aims to educate consumers on effective data management. Such messages as those that highlight the use of an individual’s smartphone devices to track data usage and set limits on the amount of data they want to use daily.
