ALTON: We Will Not Embark on Industrial Action over Telecom Tariff

Emma Okonji

The Association of Licensed Telecom Operators of Nigeria (ALTON) at weekend stated that it would not embark on industrial action for upward review of telecoms’ tariff across networks.

Chairman of ALTON, Gbenga Adebayo, stated this yesterday when a trade union, known as Private Telecommunications and Communications Senior Staff Association of Nigeria (PTECSSAN), suggested an industrial action during a visit to ALTON’s office located in Lekki, Lagos.

The PTECSSAN team, led by its General Secretary, Okonu Abdullahi, had suggested that ALTON should resort to the use of industrial action to compel the federal government to accept its proposed tariff hike for voice calls and data services.

ALTON had in April 2022, written to the telecoms industry regulator, the Nigerian Communications Commission (NCC), asking for a 40 per cent hike in voice and data tariff, to enable telecoms operators cope with the high cost of delivering telecoms services across the country, but ALTON is yet to receive the NCC’s nod.   

Disturbed by the delay in approving tariff hike for telecoms operators, the trade union wrote ALTON, requesting a visit and possible collaboration with ALTON to help telecoms operators achieve their desire for tariff hike.

While making the recommendation to ALTON during the visit, Abdullahi said: “As a critical stakeholder in the private telecommunication sector, we are concerned about the economic challenges in the country that is threatening the existence of the telecoms sector and the refusal of the government to agree to the call by the network providers for increment in tariff on all telecommunications services in the country. 

“Since ALTON is at the forefront of this call for an increment in tariff, we deemed it necessary to meet with you to deliberate on likely alternatives that can be placed before the government.

“Government cannot say no to an increase in telecoms tariff because the cost of offering telecoms services has skyrocketed. If the government refuses to accept an increase in telecoms tariff, then the government should be ready to supply diesel directly to telecoms operators at a discounted rate, offer favourable forex rate to telecoms operators and give tax waiver to telecoms operators,” Abdullahi explained.    

But Adebayo who expressed deep appreciation for the visit, however, said ALTON would not accept the use of industrial action to address the issue of tariff hike. According to him, ALTON was already in talks with industry stakeholders and the industry regulator, and would not be confrontational over the issue. 

“At this point, I would like to caution; when it comes to any form of industrial action.  We all know that telecommunications is a critical infrastructure for the economy. Any disruption of services due to strikes or industrial action could have serious consequences not only for the sector but also for the entire economy. “Businesses, hospitals, security services, and financial institutions all depend on uninterrupted telecoms services,” Adebayo said.