The Nigerian Communications Commission (NCC) has said its recent decision to return to market-driven pricing has already attracted over $1 billion in fresh infrastructure investments in 2025, just months after the move took effect.
Executive Vice Chairman of the NCC, Aminu Maida, revealed this on Friday during an interactive session with journalists in Lagos.
According to him, the policy introduced in January and February gave mobile network operators (MNOs) the green light to adjust tariffs by up to 50% after nearly a decade of stagnant pricing.
“This act alone, has allowed investments to flow in. We will be revealing more specific figures in the coming weeks after verification, but we are talking about over a billion dollars’ worth of investment in 2025 alone,” he said.
Restoring investor confidence
Maida explained that the new pricing regime has reversed years of under-investment that slowed network expansion and weakened service quality. He pointed out that before now, the value chain was lopsided—tower companies could adjust prices annually for inflation and FX rates, but MNOs were stuck with fixed tariffs.
“This is an industry that requires continuous investment. The world is moving ahead, and if we do not create the right conditions, we will be left behind,” he warned.
The decision, he added, aligns with the guiding principles of the 2000 Telecom Policy and the 2003 Communications Act, which favour market-driven pricing while ensuring healthy competition and consumer protection.
New equipment already landing
According to Maida, the benefits of the policy are already visible. Equipment ordered by operators has been arriving since June, with network expansion and upgrade works in progress nationwide.
“We are closely tracking the rollout. We hold weekly calls with operators to monitor site builds, upgrades, and to step in when they face challenges with authorities,” he said.
- The NCC boss believes these investments will help boost capacity, improve service quality, and keep Nigeria competitive in the global telecom arena.
- While the investment news is positive, Maida didn’t shy away from highlighting the operational cost pressures confronting operators.
- He said the sector burns through over 40 million litres of diesel monthly, most of it imported, to power base stations.
- On top of that, the industry is heavily dependent on FX for all network hardware and software imports, as there’s no local manufacturing of major telecom equipment.
“There is nothing you need to build or upgrade a network today in Nigeria that you can buy locally,” Maida lamented.
Protecting critical telecom infrastructure
On the security front, the NCC is collaborating with the Office of the National Security Adviser (ONSA) to design region-specific rapid response frameworks for telecom infrastructure.
- Maida noted that coastal areas may require more community engagement, while high-risk zones need stronger civil defence presence.
- The protection strategy, he stressed, goes beyond force. It targets structural issues that make sites vulnerable, including poor security, generator theft, and community disputes.