The Nigerian Communications Commission (NCC) has vowed to take enforcement measures against Elon Musk’s satellite internet service, Starlink, for increasing its subscription prices in Nigeria without regulatory approval.
The price hike, which affects both existing and new customers, saw the monthly subscription fee jump by 97% from N38,000 to N75,000, while new users will now have to pay N590,000 for the Starlink kit, a 34% increase from the previous price of N440,000.
According to Reuben Muoka, NCC’s Director of Public Affairs, “The decision by Starlink to unilaterally review its subscription packages upwards did not receive the approval of the Nigerian Communications Commission”. Muoka expressed surprise at Starlink’s actions, given that the company had filed a request with the NCC for a price adjustment, which was still pending approval.
Starlink cited “excessive inflation” as the reason for the price increase. However, the NCC considers this move a contravention of Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003, and Starlink’s Licence Conditions regarding tariffs.
The NCC has warned that it will take appropriate enforcement measures against any action by a licensee that undermines the regulatory stability of the telecommunications industry. Section 108 of the NCA 2003 empowers the NCC to regulate telecom tariffs, while Section 111 allows the commission to impose financial penalties on licensees that exceed approved tariffs.
This development has sparked reactions from stakeholders, with some accusing the NCC of applying double standards, allowing Starlink’s price hike while denying local telecom operators the same privilege. The NCC’s move is seen as a significant step in regulating the telecommunications industry and protecting consumers’ interests.
