October 08, (THEWILL) – The Nigerian Communications Commission (NCC) has recanted its threat to sanction Starlink, Elon Musk’s satellite internet company, for increasing its subscription price in Nigeria without approval from the regulator.
NCC’s Director of Public Affairs, Dr Reuben Muoka, who shared the Commission’s position with Nairametrics earlier, said the response to the media outlet’s inquiry was an error.
“Please ignore my response above. My statement was an error of assertion”, he stated in his message to Nairametrics.
The NCC had earlier, in response to the increase in monthly subscription of Starlink internet service, threatened to sanction the company.
THEWILL reports that Starlink had last week increased its monthly internet subscription from N38,000 to N75,000. For new users, the company also increased the Starlink kits (hardware) by 34% from N440,000 to N590,000.
In a message to its customers in Nigeria, the company cited “excessive inflation” for the price hike.
Responding to the price hike in a statement, Muoka had told Nairametrics that Starlink did not receive regulatory approval for its new pricing. He noted that the company’s actions violated Sections 108 and 111 of the Nigerian Communications Act of 2003, which governs tariff regulation for telecom services.
Section 108 of the Nigerian Communications Act 2003 empowers the commission to oversee telecom tariffs, while Section 111 enables NCC to impose penalties on licence holders who exceed approved rates.
“The decision by Starlink to unilaterally review their subscription packages upwards did not receive the approval of the Nigerian Communications Commission.
“We were surprised that the company jumped the gun by announcing price changes after filing a request to the Commission seeking approval for price adjustment for which the Commission was yet to communicate a decision.
“The action of the company appears to be a contravention of Sections 108 and 111 of the Nigerian Communications Act, 2003, and Starlink’s License Conditions regarding tariffs.
“The Commission will, therefore, take appropriate enforcement measures against any action by a licencee that is capable of eroding the regulatory stability of the telecommunications industry”, Muoka added.
