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NCC orders telcos to compensate subscribers over poor service

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The Nigerian Communications Commission, NCC, has directed Mobile Network Operators, MNOs, to compensate subscribers who experience poor network quality of service in areas where operators fail to meet prescribed standards.

The Commission stated that the directive is aimed at ensuring that consumers are not made to bear the burden of service failures caused by operators.

According to the statement made available by NCC yesterday, “Mobile Network Operators must compensate subscribers whose Quality of Service experience falls below the Commission’s specified targets within identified locations.”

The Commission added that “subscribers should not be made to bear the full burden of service disruptions where operators fail to meet prescribed standards of service delivery.”

It further explained that “erring operators will be required to compensate affected users directly for breaches of Quality of Service Key Performance Indicators within specified timeframes.”

Giving details of the compensation framework, the NCC said: “Compensation shall be provided in the form of airtime credits, calculated based on subscribers’ average spending patterns and their presence within Local Government Areas where service failures occur.”

The Commission emphasised that the move is part of its consumer-centric regulatory approach, noting that telecommunications services play a critical role in Nigeria’s economy and social life.
According to the NCC,

“telecommunications services underpin economic activity, social interaction, and access to digital opportunities, and when service quality is poor, the consequences affect productivity, commercial activities, and public confidence in the communications system.”

While noting that regulatory fines have traditionally been used to deter poor service delivery, the Commission said it is now shifting towards a more consumer-focused model.

“While regulatory fines have traditionally served as a deterrent, the Commission is adopting a more consumer-focused approach that strengthens accountability within the industry,” it stated.
The NCC added that the directive is designed to complement existing efforts to improve service quality monitoring and enforcement across the sector.

In addition, the Commission disclosed that it has extended its regulatory focus to Tower Companies responsible for telecom infrastructure.

According to the NCC, “Tower Companies that own critical infrastructure for Quality of Service delivery, such as masts, are mandated to invest in infrastructure with measurable outcomes, including the utilisation of fines imposed on them and other financial penalties as may be determined by the Commission.”

The Commission reiterated its commitment to ensuring sustained investment in telecom infrastructure, noting that operators must prioritise network resilience and capacity expansion.

“The Commission will continue to reinforce the obligation of operators to invest consistently in network resilience, capacity expansion, and infrastructure upgrades to meet growing demand,” it said.

It added that “regulatory tools will be deployed to promote fairness, transparency, and accountability across the sector, ensuring that every subscriber receives the quality of service they deserve while sustaining a telecommunications industry capable of powering Nigeria’s digital future.”

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