The Nigerian Communications Commission (NCC) has announced its intent to take enforcement action against Elon Musk’s satellite internet service, Starlink, for implementing a price hike without obtaining necessary regulatory approval.
The commission revealed that Starlink had submitted a request to the NCC seeking a tariff adjustment, but proceeded to announce the changes before receiving approval. This action, according to the NCC, violates sections of Nigeria’s telecommunications regulations.
In a recent statement, the NCC expressed surprise at Starlink’s decision to increase prices without waiting for the regulatory process to be completed. “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 NCC official stated.
Section 108 of the NCA 2003 grants the NCC the authority to regulate tariffs within the telecommunications industry. According to the Act, no telecom company or licensee is permitted to alter the charges for its services without first obtaining the commission’s approval. This measure is put in place to ensure that customers are not unfairly charged and that price changes are thoroughly reviewed and justified.
In addition to regulating tariffs, Section 111 of the Act empowers the NCC to impose financial penalties on any telecom provider that violates approved tariff rates. The section specifically states that “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 NCC warned that Starlink’s unauthorized price increase undermines regulatory stability within the Nigerian telecoms sector. The commission emphasized that it will take appropriate steps to ensure compliance with the law and protect the interests of consumers. The commission’s enforcement actions could potentially include financial penalties or other regulatory measures aimed at maintaining the integrity of the sector.
