Senate Set To Probe The Rising Cost of Data Prices

Senate Set To Probe The Rising Cost of Data Prices

The Nigerian Senate has taken a firm stance against the rising cost of mobile data, mandating an investigation into the issue and calling on the federal government to intervene. The move comes amid growing concerns that expensive internet services are placing a financial strain on millions of Nigerians, particularly young people who rely on digital platforms for their livelihoods.

During Wednesday’s plenary, Senator Asuquo Ekpenyong of Cross River South sponsored a motion that led to the decision. Telecom companies had initially proposed a 100% increase in tariffs, citing rising operational costs and a worsening exchange rate. While the Nigerian Communications Commission (NCC) approved a 50% adjustment, users have already felt the squeeze. Many Nigerians have taken to social media, venting frustration over how quickly their data depletes despite high costs.

Ekpenyong pointed out that instead of tackling the root causes of high business costs, telecom operators are shifting the financial burden onto consumers.

He highlighted that the recent spike in data prices by over 200% in some cases has made it increasingly difficult for Nigerians to access affordable internet. Many citizens depend on the internet for work, education, and business, yet they are now struggling to stay connected due to the cost burden.

The Senate expressed deep concern that the price hike has disproportionately affected young Nigerians who engage in remote work, digital marketing, content creation, e-commerce, and other online-based economic activities. Rising operational costs, unfavorable exchange rates, high import duties on ICT equipment, unreliable power supply, and excessive regulatory charges were cited as key factors driving up data costs. In other news, iNaijanow recently shared a post on Cameroon’s alleged annexation of Nigerian mangrove islands.

The lawmakers criticized telecom companies for seeking a 100% increase in tariffs earlier this year. Although the Nigerian Communications Commission (NCC) approved a 50% adjustment instead, the impact on consumers has been significant. Many senators supported the motion, emphasizing that the cost of telecommunications services affects not just young people but all Nigerians. Senator Victor Umeh of Anambra Central noted that inflation has impacted multiple sectors, with rising costs in electricity, cable television, and mobile services making daily life increasingly expensive. Senator Sadiq Umar of Kwara North stressed that data is an essential service, not a luxury, and that its affordability should be a national priority.

The Senate has now tasked its Committee on Communications with investigating the circumstances behind the price hike and proposing sustainable solutions. Additionally, the lawmakers urged the Federal Ministry of Communications, Innovation, and Digital Economy to engage telecom providers in discussions aimed at ensuring fair and affordable pricing. They also called for broader government intervention to tackle challenges in the ICT sector, such as multiple taxation, high energy costs, and bureaucratic bottlenecks that slow down business operations.

Beyond pricing concerns, the Senate also passed a bill mandating compulsory citizen registration, aiming to streamline Nigeria’s identity management system. If signed into law, the bill will establish a centralized database and a commission responsible for issuing identity cards, a move lawmakers believe will enhance data accuracy and promote inclusion.

As the investigation into the data price hike begins, Nigerians are hopeful that concrete measures will be taken to ensure affordable internet access. For many, connectivity is not just about convenience, it is a necessity for economic survival in an increasingly digital world.

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