Multichoice Nigeria Raises Prices Despite Court Order
Written by Jerry Alomatu on May 1, 2024
Multichoice Nigeria, a leading Pay TV provider, has decided to go ahead with price increases for its DStv and GOtv subscribers, despite a recent court ruling prohibiting such hikes.
Although the Federal Competition & Consumer Protection Tribunal (FCCPT) had issued an interim order restraining the company from implementing the tariff increase following an ex-parte motion, Multichoice announced its decision to raise prices effective from May 1.
Investigations by Nairametrics revealed that Multichoice Nigeria has proceeded with the tariff adjustments, displaying and enforcing new prices on its official website.
For instance, DStv Premium subscribers now face an increase from N29,500 to N37,000, while Compact Plus subscribers witness an increase from N19,800 to N25,000. Similar price hikes ranging from 20% to 25% have been implemented for Compact, Confam, and Yanga subscribers.
GOtv subscribers are also affected by significant increases across various subscription packages.
Despite legal constraints, Multichoice Nigeria’s decision indicates a determined stance amidst ongoing legal battles.
Adamu Abdullahi, Acting Chairman of the Federal Competition & Consumer Protection Commission (FCCPC), disclosed that Multichoice provided a detailed explanation for the price adjustments in a four-page letter to the commission. The company cited factors such as foreign exchange fluctuations, high electricity tariffs, and operational costs as drivers behind the rate revisions.
Abdullahi emphasized that the FCCPC would closely scrutinize Multichoice’s justifications for the price hike, collaborating with regulatory bodies like the National Broadcasting Commission (NBC) and the Nigerian Communications Commission (NCC) to ensure adherence to market regulations.
The decision to proceed with the tariff increase has raised concerns among consumer rights advocates, who question Multichoice’s compliance with legal directives. Critics argue that subscribers should not bear the burden of economic challenges beyond their control, despite the company’s rationale for the price adjustment.
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Author: Jerry Alomatu
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