• Nigerian Communications Commission (NCC) may impose sanctions on Elon Musk’s Starlink
• The decision concerns alleged violations of local telecommunications regulations for the announcement of a price increase.
• Although the increase has been reversed, a new report claims that the NCC could still move forward and fine Starlink for the move.

Legitime.ng Journalist Dave Ibemere has over a decade of experience in business journalism and has in-depth knowledge of the Nigerian industry. economyactions and general market trends.

The Nigerian Communications Commission (NCC) has reportedly found Starlink guilty of violating part of the Nigerian Communications Act (NCA) 2003.

This is due to the company’s decision to increase its subscription prices without regulatory approval.

Legitime.ng had reported that Elon Musk-owned Starlinks has announced an almost 100% increase in its subscription fees from N38,000 to N75,000.

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Furthermore, the company increased the Standard (Residential) plan to N75,000 per month, while regional mobile roaming was pegged at N167,000 and global roaming at N717,000.

Part of Starlink’s statement, which was removed, reads:

“As a current customer, the monthly price of your service will increase in 1 month, starting October 31, 2024. For new customers, the price increase takes effect immediately.”

“If you do not wish to continue your service, you can cancel it at any time.”

The company attributed the increase to inflationary pressures, but reversed the increase after reaction and warnings of the NCC. Punching reports.

The NCC responds

Leadership reports that immediately after Starlink’s announcement, NCC issued a statement which was also later withdrawn, stating that no approval had been given.

Part of the withdrawn statement reads:

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“We were surprised that the company took the plunge to announce price changes after having filed an application with the Commission seeking approval of a price adjustment for which the Commission had not yet communicated decision.”

BusinessDay reports that NCC has concluded plans to send a letter this week detailing sanctions against Starlink.

Alton debunks any approval allowing telcos to raise prices

In the same spirit, the Association of Authorized Telecommunications Operators of Nigeria (ALTON), has denied reports that the NCC has approved tariff increases for telecom and internet companies.

Legitime.ng spoke to ALTON President Gbenga Adebayo on the new directive to increase tariffs, and he provided clarifications.

Source: Legit.ng