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Dispute Erupts as NCC Orders Telcos to Compensate Users for Poor Service

Telecom operators challenge NCC’s compensation model as regulator insists subscribers must not bear the cost of service disruptions.

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A dispute has emerged between the Nigerian Communications Commission (NCC) and telecom operators over the process used to determine compensation for subscribers affected by poor network service.

The regulator recently directed mobile network operators to compensate customers whose service quality falls below required standards in certain locations. The move followed complaints about substandard service delivery.

While operators say they are willing to comply, they have questioned how the NCC identified the alleged infractions.

Speaking on behalf of the Association of Licensed Telecom Operators of Nigeria, its president Gbenga Adebayo said:
“Some of my members affected are confused about how the commission arrived at such decisions… we are engaging them.”

He noted that discussions are ongoing and expressed hope for a resolution within the timeline set by the regulator.

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The NCC, however, defended its position, insisting that consumers deserve protection from poor service.

In a statement by Nnenna Ukoha, the Commission said:
“Subscribers should not be made to bear the full burden of service disruptions where operators fail to meet prescribed standards.”

The directive requires operators to compensate affected users with airtime credits, determined by their spending patterns and location during service outages.

The Commission described the move as part of a broader shift toward consumer protection, noting that telecom services are critical to economic and social activities.

It also revealed plans to compel tower companies to channel fines into infrastructure upgrades, aimed at improving service quality.

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According to the NCC, the initiative is designed to boost accountability, strengthen service monitoring, and ensure subscribers receive reliable telecom services while sustaining industry growth.

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