..Lauds NCC On Regulatory Initiative
The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has described the regulatory initiative of the Nigerian Communications Commission (NCC) on the review of the nation’s Mobile Termination Rates (MTR) as desirable in view of its potential to improve the telecoms industry’s contribution to the nation’s Gross Domestic Product (GDP) in the years ahead.
The chairman of the association, Engr. Gbenga Adebayo, who made this remark during the NCC Stakeholders’ Consultative Forum on the review of the MTR held on Tuesday in Lagos, specifically maintained that the exercise remained critical to the industry’s sustainability and long-term investment.
The industry expert promised that members of the association would cooperate with NCC and its consultants through data collection and stakeholder engagement.
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He assured: “We are aware that the next phase of the exercise will involve data collection and information gathering. On behalf of our members, I assure the Commission that operators will provide all the necessary information to facilitate the work.”
Noting that MTR remains fundamental to the telecoms ecosystem because it directly affects industry sustainability, competition, and investment, the ALTON chairman commended NCC for approving a tariff adjustment for operators, saying it provided relief as companies grappled with rising operating costs.
While recalling that in 2024, stakeholders warned the sector’s weak financial position could cause service disruptions without urgent intervention, Adebayo noted that the tariff review helped stabilise the industry and unlocked renewed investment.
He enthused: “The positive impact of the tariff adjustment is already evident across the sector. From concerns about the health of the industry, we have moved to a position where operators are making substantial investments in network infrastructure and service improvement.”
According to him, ALTON operators and other industry players invested about N2.18 trillion in capital expenditure in 2025 and an additional N1.8 trillion is projected for 2026 to facilitate network expansion, 5G upgrades, cybersecurity, energy infrastructure, rural connectivity, and other projects to support Nigeria’s digital economy.
While noting that the tariff review is crucial to the sustainable growth the industry and the broader economy, Adebayo maintained the sector needed more than periodic adjustments and urged NCC to establish a predictable and transparent pricing framework that reflects actual service delivery costs.
He advocated: “It is essential that the industry periodically reviews these benchmarks to ensure that regulatory decisions remain aligned with current economic conditions and the actual cost of providing services.”
The ALTON chief said the ongoing MTR review offered an opportunity to entrench a cost-oriented regulatory regime that aligns with today’s economic realities in the country, adding that regulatory interventions in the industry should be proactive and data-driven and not initiated when challenges become severe.
Adebayo expressed optimism that the MTR review would ensure regulatory certainty, promote fair competition, and support long-term sustainability.
On telecoms industry’s strategic role in the current drive to achieve $1 trillion digital economy by year 2030, the ALTON chairman said: “Today, telecommunications remains one of the most critical sectors of the economy. Financial services, healthcare, transportation, energy, innovation and many other sectors rely on communications networks to function effectively.”
It would be recalled that the NCC commenced the comprehensive MTR exercise early this week to review mobile and international termination rates, assess interconnection arrangements, and develop a cost-reflective framework that reflects market realities, as part of its regulatory moves to sustain the industry’s growing contribution to the nation’s GDP, among other objectives.
