The Association of Licensed Telecoms Operators of Nigeria (ALTON) has called for the urgent resolution of the regulatory dispute disrupting Nigeria’s airtime credit market, cautioning that the standoff could undermine consumer welfare, investor confidence, and the stability of the telecom sector.

ALTON Chairman, Gbenga Adebayo, made the appeal amid mounting concerns over persistent service disruptions despite existing court orders intended to preserve operations.

Adebayo described the situation as more than a routine regulatory disagreement, noting that it reflects deeper issues around institutional coordination and compliance with judicial directives. He urged regulators, telecom operators, and the Federal Government to work together to restore clarity and stability in the market.

“What is happening in the airtime credit space goes beyond a dispute between agencies; it is a reflection of how well the systems that support business confidence are functioning,” he said.

He stressed that while court orders remain valid and operators hold legitimate licences, consumers continue to experience interruptions—highlighting the urgency of resolving the impasse.

ALTON noted that Nigeria’s airtime credit ecosystem—estimated to be worth between N300 billion and N400 billion annually—serves as a vital informal credit system. Millions of Nigerians, particularly small traders, artisans, and low-income earners, depend on airtime advances to manage daily financial needs in the absence of accessible formal credit.

The association warned that prolonged uncertainty could negatively impact not only telecom services but also broader economic activities tied to the sector.

The crisis stems from a jurisdictional conflict between the Federal Competition and Consumer Protection Commission (FCCPC) and the Nigerian Communications Commission (NCC) over oversight of airtime credit services and Value Added Service (VAS) providers.

ALTON insists that the NCC, under the Nigerian Communications Act, has clear statutory authority over telecom operations, including VAS providers. It warned that overlapping regulatory claims have created uncertainty and disrupted business activities.

The association added that it had flagged potential risks to the NCC as early as August 2025, cautioning that inconsistencies arising from FCCPC regulations and inter-agency arrangements could destabilise the sector.

ALTON further noted that interim injunctions issued by Federal High Courts in Lagos and Abuja had restrained interference in the operations of licensed VAS providers. However, operators such as Nairtime Nigeria Limited and members of the Wireless Application Service Providers Association of Nigeria (WASPA) are still experiencing disruptions.

The association warned that continued interference despite court rulings raises serious concerns about regulatory coordination and adherence to the rule of law.

In response, the FCCPC denied claims that it had banned airtime borrowing and data advance services. Instead, it attributed the temporary suspension to non-compliance by some service providers.

According to the Commission’s Director of Corporate Affairs, Ondaje Ijagwu, operators were required to align their services with Nigerian law under a new regulatory framework introduced in July 2025.

He said a 90-day compliance window was provided to allow operators to regularise their operations, but some providers failed to take advantage of the grace period, particularly within the telecom sector.

The dispute has triggered widespread uncertainty across the telecom ecosystem, with major operators such as Airtel Nigeria and MTN Nigeria Communications Plc previously announcing temporary suspensions of airtime and data credit services in response to regulatory directives.

Industry stakeholders warn that unless swiftly addressed, the standoff could erode confidence in Nigeria’s regulatory environment and disrupt a market that plays a crucial role in supporting everyday financial transactions for millions of Nigerians.

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The Nigerian Communications Commission (NCC) has announced steps to tap into the 6GHz spectrum, aiming to boost internet speed and address growing demand for high-speed connectivity across the country.

This was disclosed by the Executive Vice Chairman of the NCC, Dr. Aminu Maida, during a Stakeholders’ Consultative Forum on Emerging Technologies held in Lagos on Thursday.

Maida, represented by the Executive Commissioner of Technical Services, Abraham Oshadami, highlighted the need for the upgrade as the existing 2.4GHz and 5GHz bands face capacity limitations.

“The deployment of the 6GHz spectrum has become necessary to enhance data rates and transmission speeds,” Maida said.

He added that Nigeria would join other nations already utilizing the 6GHz band, particularly for Wi-Fi 6 applications, which offer higher data throughput and lower latency.

The 6GHz spectrum, spanning from 5925 MHz to 7125 MHz, is expected to significantly increase the available bandwidth, crucial for supporting the demand for high-speed internet and emerging technologies.

Maida noted that Wi-Fi remains essential for distributing broadband connectivity in homes, businesses, and public spaces.

Similarly, Atiku Lawal, Head of Spectrum Administration at NCC, emphasized the importance of opening the 6GHz spectrum, citing that over 70 countries have already moved to adopt it for unlicensed Wi-Fi use.

Lawal explained that this move would support the implementation of Wi-Fi 6, which will accommodate advanced use cases such as high-definition video and extended reality (XR).

“The NCC’s decision will revolutionize broadband connectivity in Nigeria, offering faster, more reliable internet services and relieving capacity constraints on existing networks,” Lawal remarked.

The initiative has been welcomed by industry stakeholders, with the Chairman of the Association of Licensed Telecoms Operators of Nigeria (ALTON), Gbenga Adebayo, urging the federal government to support telecom operators in upgrading their infrastructure to utilize the new spectrum.

As mobile data usage continues to rise globally, the 6GHz spectrum is seen as key to unlocking faster speeds and enabling 5G advancements, positioning Nigeria for future digital transformation.

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Telecommunications companies in Nigeria, including Glo, MTN, Airtel, and 9Mobile, are urging the federal government to facilitate discussions on pricing adjustments within the industry.

In a joint statement by the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunication Companies of Nigeria (ATCON), the telcos emphasized that the current pricing mechanism is not aligned with economic realities.

According to Mr. Gbenga Adebayo, Chairman of ALTON, and Mr. Tony Emoekpere, President of ATCON, the telecommunications giants are facing sustainability challenges due to their reluctance to review prices over the past 11 years.

They attribute this stagnation to regulatory constraints, despite economic hardships.

The telcos argue that, as a fully liberalized and deregulated sector, the current price controls threaten both industry sustainability and investor confidence.

They emphasize the need for a dialogue with government stakeholders to establish a pricing framework that balances consumer affordability with operator viability.

Additionally, the telcos expressed concerns about security challenges affecting service productivity.

They called for urgent government action to safeguard telecom infrastructure from vandalism and sabotage, emphasizing its crucial role in national security and socioeconomic growth.

As the industry seeks substantial investments in network expansion, maintenance, and technology upgrades, the call for tariff adjustments underscores the complex landscape of Nigeria’s telecommunications sector amid economic uncertainties and security threats

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Critical stakeholders in the Information and Communication Technology(ICT) industry converge in Lagos, at the maiden edition of the West Africa Telecoms Infrastructure Summit and Exhibition (WATISE) designed to tackle the challenges of telecoms infrastructure which is affecting the growth of the region’s digital economy.

Expected at the event is the minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani, executive vice chairman, Nigerian Communications Commission (NCC), Prof. Umar Garba Danbatta, the director general of Nigerian Information and Technology Development Agency (NITDA), Mr Kashifu Inuwa, the chairman of the Association of Licensed Telecommunications Companies of Nigeria (ALTON), Engr Gbenga Adebayo and other stakeholders.

The event, which already has registered participants from Tunisia, Egypt, Republic of Benin, will explore the abundant investment opportunities in the tech sector with the aim of attracting more investors into the sector.

Holding from 3rd to 4th of October, 2023 in Lagos, has as its theme: ‘The Future of Infrastructure, Connectivity and Services: A New Interdependent Ecosystem of Partners’, and it will bring together leading industry telecoms companies and ICT players to learn, share, shape the industry and provide business networking opportunities.

Discussions will also x-ray market relevant digital transformation trends and development related with the telecom infrastructure such as Submarine, Connectivity, Security, Data centre landscape Internet Xchange and Wholesale Digital Transformation.

Predominantly, there will be focus on infrastructure and content and convene more than 200+ global companies in segments such as: Data/ Capacity, Submarine, Content Providers, Technology Providers, Internet Exchanges (IX), Security, Data Centers, Cloud, and other related segments.

Making the announcement of the upcoming event in Lagos, Country editor, TechnologyMirror, Isaiah Erhiawarien, said the sub-regional forum will create opportunities for establishing strategic alliances and partnerships amongst local and foreign investors for the purpose of expanding ICT networks in Nigeria and West Africa.

According to him, “WATISE 2023 is expected to provide a platform for organisations to showcase emerging innovative products and solutions. Specifically, the forum will bring together ICT stakeholders, government, and foreign missions to x-ray and chart a new course for the future of Africa’s digital economy.

“Also, through this event, stakeholders are expected to actively engage the government and other relevant agencies to the widespread deployment of digital technology innovations across the continent.”

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He highlighted that the event is an exclusive wholesale telecom operator and service provider gathering that will offer them opportunity to meet more than 300+ industry players from regional and international telecom operators, network with peers and eco partners in a private, relaxed, and exclusive community environment and join knowledge sharing executive panel sessions.

Key industry players expected as participants at the summit are top and middle-level managers from Telecom operators; 4G service/solution providers; Telecom tower manufacturers; Policymakers and regulators; Power solution providers; 5G technology providers; Legal and management consultants; Civil contractors; Financial institutions; Renewable energy companies, etc.

WATISE, which already has the support of the telecoms regulator, the NCC, is being organised by TechX Innovation Hub, a well-equipped Tech hub in Nigeria and TechnologyMirror, a leading technology news and information website and winner of the Best Startups Supportive Online Media, 2022.

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TECHDIGEST – Mobile Network Operators (MNOs) in Nigeria are once again urging for an immediate review of the existing pricing structure within the industry.

The Association of Licensed Telecommunication Operators of Nigeria (ALTON), representing the MNOs, asserts that the current pricing system is no longer viable.

During the Nigerian Telecommunications Indigenous Content Expo (NTICE 2023) held in Lagos and organized by the Nigerian Communications Commission (NCC), Engineer Gbenga Adebayo, Chairman of ALTON, highlighted that the industry’s difficulties are exacerbated by regulatory interventions.

It’s worth noting that ALTON had previously requested a 40% increase in call, SMS, and data costs from the Nigerian Communications Commission (NCC) last year.

“The present pricing structure in the industry is unsustainable.

“Our services are essentially being offered at a loss.

“While this is a challenging decision, allowing market forces to dictate pricing seems essential,” Adebayo commented.

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TECHDIGEST – The telecommunications landscape is bracing for possible adjustments in service costs due to mounting energy expenses.

The cost of fueling communication networks is projected to surge to N38 billion in August, prompted by a spike in diesel prices to N950 per liter.

Recent reports from oil marketers indicate that the cost of Automotive Gas Oil (diesel) will escalate to a range of N900 to N950 due to ongoing foreign exchange challenges and the recent imposition of a 7.5 percent Value Added Tax (VAT) on the commodity.

Before the introduction of VAT on diesel, it was sold at N650 per liter, according to the Natural Oil and Gas Suppliers Association of Nigeria.

Benneth Korie, President of NOGASA, voiced concerns over the diesel price surge, stating, “Diesel prices are now approaching N900 to N950 per liter, depending on the source.

This increase is attributed to the scarcity of dollars. It’s imperative for authorities to address this issue, as it poses potential negative impacts.

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“The telecom industry, reliant on numerous base stations, is a significant diesel consumer in the nation, utilizing approximately 40 million liters per month to power its communication sites.

“At the close of 2022, the Nigerian Communications Commission reported 127,294 base stations across Nigeria. Industry experts reveal that each station operates two diesel-powered generators.

“The diesel price rise to N900–N950 per liter implies that operational expenses for operators will surge to between N36 billion and N38 billion monthly, which may influence telecom service costs.”

Operators have repeatedly expressed concerns about diesel’s high cost affecting their services.In the recent ‘State of the Industry’ report, the Nigerian Communications Commission unveiled a 21.64 percent surge in telecom operators’ operational costs in 2022, reaching N2.09 trillion from N1.72 trillion in 2021.

In 2022, the Association of Licensed Telecommunications Operators of Nigeria requested a tariff increase from the NCC due to a 40 percent rise in business expenses. Energy costs played a pivotal role, contributing to a 35 percent growth in operating expenses.

By April 2023, Gbolahan Awonuga, Head of Operations at ÀLTON, affirmed that the rising diesel expenses were affecting telecom operations.

He emphasized, “Power is a critical factor that influences every aspect. While other economic factors have driven up costs, telecom tariffs remain unchanged.

“This creates challenges as revenue drops and input prices shift, yet tariffs remain static.

“Telecom experts continue to voice concerns that soaring input costs jeopardize the sector’s sustainability.”

Gbenga Adebayo, President of ALTON, explained, “To ensure the viability of our industry, prices must reflect production costs. It’s logical that we revise rates after consulting stakeholders, considering the current input costs.”

Adebayo emphasized the link between input cost fluctuations and price adjustments, underscoring the need for sustainable pricing in line with production realities.

He noted that regulators are being kept informed of essential details to facilitate informed decisions.

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TECHDIGEST – Telecommunications operators have called on the Federal Government not to only suspend the five per cent excise tax on telecoms sector but to remove it completely from the Finance Act.

Speaking under the aegis of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), the Chairman, Gbenga Adebayo, said the body welcomed the development and thanked President Bola Tinubu for the suspension, however, reminded the public that the immediate past Minister of Communications and Digital Economy, Prof. Isa Pantami, had made a case to ex-President Muhammadu Buhari for the exemption of telecoms sector from the tax.

“We have on record that approval was granted in that regard. The sector was exempted from that tax. But when the new administration came in, we started hearing about it again. So, the Executive Order President Tinubu signed was to uphold the waiver that was granted to the sector,” he stated.

With that in mind, Adebayo, while speaking on Channels TV, said the body has mentioned before that the burden of the collection of the five per cent tax will be on the telecoms operators, while the weight of the tax itself would be on the subscribers because currently, there is a 7.5 per cent value-added tax (VAT) on every service offered by operators, “if another five per cent is added, it will go to 12.5 per cent and that would have grave implications on the cost of services to end users.

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“So, as an industry, we welcomed it, but truly, it would have been a burden on the subscribers and we also think that it will increase the cost of services and further deny access to many more people. But in this regard, we feel the suspension is good, but we feel a total abolition of it would be in the best interest of the industry and subscribers.”

This, according to Adebayo is because the telecoms sector currently faces over 39 different taxes and levies across the country. He said, while some are captured in several statues and others not in any, quite a number of them are repeated at Federal and State levels and subsequently decrease the cost of providing services to end users.

According to him, when issues of passing the cost of services to end-users emanate, some of these issues arose from the cases of multiple taxation.

“So, while we welcome suspension, we are calling for total abolition of the five per cent exercise duty from the Finance Act. Also, we appeal that there is a need to address cases of multiple taxation the industry is facing. We think it is not sustainable and contrary to the wheel of progress. As President has promised to look at all issues of multiple taxation, we think that the telecoms sector, where issues of the taxes we pay, over 39 of them across the country, should be addressed urgently.”

Speaking on having a working structure that would prevent issues of multiple taxation in the sector, Adebayo said there is a structure, stressing that issues of taxes that are listed in the constitution and regulation are not the problem, but those not under any tax header, such as effluent tax, discharge levy, Right of Way renewal levy, environmental sanitation levy, Diesel Storage Levy and a host of others. He said these sets of taxes have no relationship with the telecoms sector at all and in most cases are enforced at state and local government levels.

The ALTON boss said the behavior of tax collectors at the Local Government level is completely at variance with the will of progress.

Citing instances, he said times LG tax collectors go to lock up telephone sites; to telecoms offices, seize their tools, harass and arrest the workers, do all sorts, “which at the end of the day, such moves make operations very difficult.”

According to him, the problem is not in the taxes and levies that are clearly defined and listed either in the licenses or regulations or in the laws of the federation, but the problems are those ones, states often had to generate in the name of internally generate revenue (IGR).

Largely, he said FG should look at telecoms sector as national economic support infrastructure and provide it with the required requirements such as the Critical National Infrastructure protection.

“There are situations, where you even bring an approval from the Federal Government to state and the officials will tell you, I don’t report to Abuja, it is not applicable in my state. Some taxes at the federal level, the states would still want to collect same. For example, Environmental Impact Assessment, knowing full well that a telecoms site is telecoms site everywhere.

According to him, there must be synergy between the federal and state governments in terms of hamonisation of these taxes, stressing that they shouldn’t be at variance. He said the Federal Government should be firm in whatever directive it is handing out

“What we are seeing in the telecoms sector is very concerning. Concerning in the sense that the sector is seen as an extractive industry, where everybody wants something from the sector. So many things are disjointed, as far as tax administration is concerned in the country. So, the FG needs to be firm in whatever order is given out and ensure is implemented across the board. The sector needs more protection than what we currently have.

With the September date still in focus for the implementation of the Finance Act, where the five per cent telecoms tax is domiciled, Adebayo insisted that the position of the telecoms sector is for the total abolition of the telecoms tax, saying it is strange and alien to the sector because the industry offers services and not hardware.

He posited that telecoms support the lives of people, saying that government should not taxed subscribers to the brim, especially for the sake of the digital economy; this tax should be abolished completely.

According to him, if the tax is brought back in the future, “we are going to pass it to the subscribers. We shall act as revenue agent, where we collect on behalf of the Federal Government, then remit to them. As said earlier, the burden of collection will be on us, but the weight of the tax itself would be on subscribers and I am sure FG won’t want to impose more tax burdens on Nigerians.”

The Guardian

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TECHDIGEST – The number of unused SIM lines fell by 12.28 per cent to 95.16 per cent year-on-year in January 2023, the Nigerian Communications Commission’s data has shown.

This is an indication of a growing reliance on telecommunication services in Nigeria as the number of unused lines fell from 108.47 million as of January 2022 to 95.16 million as of January 2023.

This is despite a 5.04 per cent overall increase in the number of SIM lines from 305.62 million to 321.04 million.

While there has been a steady increase in the total number of SIMs in circulation, it has yet to rise past its August 2021 peak of 328.12 million.

The fall of unused lines also coincided with the rise in the number of mobile active subscriptions, hitting 225.88 million in January 2023.

This was a 14.57 per cent year-on-year increase from the 197.15 million active subscriptions that the country had in the corresponding period of 2022.

According to GSMA, increasing mobile connectivity is the predominant form of connectivity in Nigeria.

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Explaining the growth of telecom services recently, the Chief Operating Officer, Association of Telecommunications Companies of Nigeria, Ajibola Olude, said, “One is the continuous adoption and utilisation of telecom services.

“There is also the emergence of the Internet of things in the nation. Smart homes need SIMS for every gadget in them, which is also contributing to the growth in the active subscriber base.”

In an earlier interview, the Chairman of the Association of Licensed Telecoms Operators of Nigeria, Gbenga Adebayo, explained that unused SIM lines were lines that had owners, and have been registered, but are not in use.

According to him, they are lines that are not contributing to the growth of the national network. He stated, “It is a combination of many things. It could be people having multiple lines that they do not use.

“Traditionally, a lot of people carry more than one phone. Some have an office line; some have private lines but use one more often than the other. Some are in the diaspora, who though they hold Nigerian SIM cards, are not residents here.

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TECHDIGEST – Telecommunication operators have reached out to the Nigerian Communications Commission (NCC) for approval to phase out the Unstructured Supplementary Service Data offered to banks due to over N80bn.

The Chairman, Association of Licensed Telecoms Operators of Nigeria, Gbenga Adebayo, have reportedly said that the operators had sought regulatory approval to implement partial removal of the USSD services on Thursday.

“We have sought regulatory approval to pursue partial removal. We would start disconnecting those who owe us in batches, a highest debtor scenario.

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“We don’t know as regards the timing because we are required to get approval before acting. But we would certainly commence the process once it is approved. The amount is over N80bn, it is not yet up to N90bn, but it is up to that.” he stated.

Recall that Deposit Money Banks and telecom operators have been at odds since 2019 over non-remittance of USSD fees.

In 2019, telcos said they could no longer provide the services for free and proposed to take a cut of N4.50k per 20 seconds from the charges paid by customers to the banks.

However, the banks kicked against it, alleging that it would raise costs by 450 percent.

On March 12, 2021, telecom operators announced that they would suspend USSD service due to N42 billion in bank debt.

The Minister of Communications and Digital Economy, Professor Isa Pantami had written to CBN Governor, Mr. Godwin Emefiele, highlighting the impending danger of the disagreement and highlighting the importance of banks paying the accumulated interest.

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By Umar Farouk Ahmad

TECHDIGEST – Nigeria is currently selling diesel at N850/liter ($1.616) which is above the average price of diesel per liter ($1.4) sold across the world.

Despite Nigeria being the 14th country in the world with the highest crude oil production, it’s so unfortunate that the country is 109th in selling diesel at a cheaper price.

This is alarming because if diesel price continues to hike, many businesses in the country will crash and crumble including the telecommunication industry of Nigeria.

An increase in petrol majorly affects the transport commodity only. But in contrast to diesel, the increase affects both the transport and cost of production of commodities. The reason is that most of the trucks used for transporting commodities use diesel vehicles to operate. Likewise, the industries, and companies, among others for the production of the commodity are powered by diesel generators.

Hence, diesel rise can make products increase by triple or quadruple their initial cost.

A study performed among Nigerian firms by Leadership Newspaper a few months back revealed that many businesses in Nigeria are struggling for survival. Concurrently, some have suspended operations as a result of surging diesel prices.

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Analysts have attributed the current surge in diesel prices to the rise in the price of crude oil in the international market as a result of the Russia-Ukraine crisis. Russia is an oil-producing country, while refined petroleum products come from Ukraine and other Western European countries.

This has unquestionably impacted the price of petroleum products in Nigeria. The invasion of Ukraine by Russia has distorted global financial and energy markets, causing oil prices to climb above $100 per barrel, the highest since 2014.

Therefore, the Nigerian Government should keep a close eye on the diesel price increase and make sure the price is subsidized to the barest minimum to its citizens for the betterment of the country.

In the telecommunication sector, Telecom sites are being powered by diesel generators 24/7 to maintain a consistent power supply. The absence of power supply even for a second in a telecom site would lead bad network because the antennas used for sending and receiving radio waves use electricity to operate. Also, the antennas can as well not be able to produce the network in our mobile devices which we use to make calls, connect to the internet, and many more.

This is the reason why telecom sites can not depend on grid electricity due to its inconsistency of power supply.

As the diesel price crisis worsens, Nigerian telecom operators’ operational costs may increase further, as the industry reportedly consumes an average of 40 million liters of diesel each month to power and run their telecom sites.

According to the Nigerian Communication Commission (NCC), the operational expenditures of Nigerian telecommunication companies increased by ₦265.25 billion from ₦1.4 trillion in 2020 to ₦1.66 trillion in 2021.

In 2022, the cost of diesel rose from ₦225 in January to over ₦800 in July, sending the yearly cost of powering telecom services to almost ₦400 billion, or ₦33 billion per month.

Based on market analysis, the price might surge in the coming weeks as 1 liter of diesel would cost over ₦1,000.

Gbenga Adebayo, the president of the Association of Licensed Telecoms Operators of Nigeria (ALTON) warned that the price rise and large operational costs, would hurt telecom operators and that ALTON would meet with the government to seek some kind of intervention to ameliorate the effect of these events on the industry.

Punch Newspaper reported that the cost of powering telecommunication services could hit ₦60 billion per month and ₦720 billion in one year if the cost of diesel attains ₦1,500/liter as mentioned by marketers of the product.

Now, the cost of diesel to run network towers, base stations, and offices increased from ₦225 per liter to ₦850 per liter as of July 2022.

With the price of diesel rising to ₦1,000/₦1,500, ALTON may push further for the possible 40 percent increase in tariffs or even go higher to 50 percent.

This implies that call rates may drift between ₦6 to ₦9, while the SMS price cap may drift between ₦5 and ₦7; or more.

Also, with an inflation rate of 18.6 percent in July, and a decreasing purchasing power, customers are in for an addition to their current troubles.

According to the writer’s thoughts, the best solution to curb this issue of diesel rise and national grid failure on telecom sites is for the telecom industry to embrace solar power energy. As was written in my previous article that was published in Vanguard Newspaper, titled ‘Solar power: The portent solution to Nigeria’s energy  crisis .

I explained judiciously how solar power is the best and the cheapest source of generating electricity, especially in a country like Nigeria which has a huge amount of sunlight.

Farouk, a graduate of Electrical Engineering, wrote from Wuye, Abuja, via: slimumar14@gmail.com

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