NCC To Sanction Starlink For Increasing Subscription Fee Without Approval

Posted by Thandiubani on Tue 08th Oct, 2024 - tori.ng

Muoka said the action of Starlink contradicts Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003, and the NCC would take appropriate measures against the organization.

The Nigerian Communications Commission (NCC) has revealed it will sanction Starlink for increasing the price of its subscription packages without approval.

NCC made the revelation in a statement on Tuesday.

The NCC Director of Public Affairs, Reuben Muoka, said the organization filed a request seeking approval for the upward increase in its subscription price but the commission was yet to respond before Starlink announced the increase.

Muoka said the action of Starlink contradicts Sections 108 and 111 of the Nigerian Communications Act (NCA) 2003, and the NCC would take appropriate measures against the organization.

“The decision by Starlink to unilaterally review its subscription packages upwards did not receive the approval of the Nigerian Communications Commission (NCC).

“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 (NCA) 2003, and Starlink’s Licence Conditions regarding tariffs.

“The Commission will, therefore, take appropriate enforcement measures against any action by a licensee that is capable of eroding the regulatory stability of the telecommunications industry,” the NCC statement reads.

Recall that about a week ago, Starlink, the satellite internet service owned by Elon Musk’s SpaceX, announced a significant price increase for Nigerian users, citing rising inflation.

The monthly subscription fee rose by 97 per cent, from ₦38,000 to ₦75,000, effective immediately for new customers, the service provider posted on its website.

It also announced that new users will also face a higher cost for the Starlink kit (hardware for installation), which will now be priced at ₦590,000, a 34 per cent increase from the previous price of ₦440,000.