Elon Musk’s internet service provider, Starlink, has announced another price hike, increasing the monthly subscription for its Residential Plan to ₦75,000 from the current ₦38,000.
This development follows Starlink’s suspension of a previous price increase in September after the Nigerian Communications Commission (NCC) refuted claims of regulatory approval for the adjustment, citing a violation of its tariff rules.
The Latest Announcement
It remains unclear whether the NCC approved this new increment. When contacted, the Commission’s Director of Public Affairs, Dr. Reuben Mouka, stated that he had not been briefed on the matter.
In a message to its customers, Starlink justified the increase by emphasizing its commitment to improving network reliability and service quality across Nigeria.
“To continue enhancing the Starlink network and delivering reliable, high-quality service across Nigeria, we are adjusting our monthly subscription prices.
“These changes reflect our commitment to investing in the infrastructure needed to support and improve your experience with Starlink,” Starlink stated.
The changes affect all subscription plans:
– Residential: ₦75,000/month
– Regional Roaming: ₦167,000/month
– Global Roaming: ₦717,000/month
Implications
While the NCC has not officially confirmed approving the new rates, it is unlikely that Starlink would implement another price hike without regulatory clearance.
However, this move could reignite tensions in the telecom industry. Local operators have been lobbying for higher tariffs for data and voice services, a request that has yet to gain NCC approval.
In September, the first announcement of a price hike led to accusations that the NCC was treating Starlink with preferential leniency.
In response, the Commission issued a statement clarifying that Starlink had not secured the required tariff approval and was in violation of Sections 108 and 111 of the Nigerian Communications Act, 2003.
What the Law Says
Under Section 108 of the Nigerian Communications Act, license holders must seek NCC approval for any tariff adjustments.
“Holders of individual licences shall not impose any tariff or charges for the provision of any service until the Commission has approved such tariff rates and charges except as otherwise provided in this Part,” the Act stated.
Section 111 further empowers the NCC to impose penalties on license holders who exceed approved tariff rates.
What You Should Know
This latest development could lead to further scrutiny of Starlink’s compliance with NCC regulations.
With the telecom industry closely watching the situation, the NCC’s next steps will likely determine how this price adjustment impacts Starlink’s operations in Nigeria.