The Nigerian Communications Commission (NCC) has announced plans to take enforcement action against Elon Musk’s satellite internet service, Starlink, for raising its subscription prices in Nigeria without the regulator’s approval.
This was revealed in a statement issued on Tuesday by Reuben Muoka, the NCC’s Director of Public Affairs.
Last week, Starlink informed its customers about the price increase, which will affect both existing and new users. The monthly subscription fee was raised by 97%, jumping from N38,000 to N75,000.
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Additionally, the cost of the Starlink kit, required for installation, has risen by 34%, from N440,000 to N590,000.
However, the NCC clarified that it had not approved these price hikes.
“The decision by Starlink to unilaterally review its subscription packages upwards did not receive the approval of the Nigerian Communications Commission,” Muoka said.
He explained that the commission was “surprised” when the company announced the price changes, despite having filed a request with the NCC for a price adjustment, which the regulator had yet to approve.
He added, “The action of the company appears to be a contravention of Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003, and Starlink’s Licence Conditions regarding tariffs.
“The commission will, therefore, take appropriate enforcement measures against any action by a licensee that is capable of eroding the regulatory stability of the telecommunications industry.”
Section 108 of the Nigerian Communications Act (NCA) 2003 grants the Nigerian Communications Commission (NCC) the authority to regulate telecommunications tariffs, stipulating that no licensee may impose charges for services without first obtaining the commission’s approval.
Furthermore, Section 111 empowers the NCC to impose financial penalties on any licensee that exceeds the approved tariffs, regardless of any other legal provisions.
“Notwithstanding any other provision of this Act, the commission shall prescribe and enforce appropriate financial penalties upon any holder of an individual licence who exceeds the tariff rates duly approved by the commission for the provision of any of its services,” the Act read.
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