A CONCERNING issue to Nigerians - the arbitrary
increase of prices of essential goods and services - does not interest the
Federal Competition and Consumer Protection Commission, FCCPC, which is engaged
in a ceaseless legal tussle with MultiChoice, which provides digital television
signals, a non-essential service.
FCCPC sees something to regulate in MultiChoice's
business. FCCPC cannot miss an opportunity to oversight MultiChoice though it
ignores how other businesses in the sector operate. The intentionality is
obvious.
Once MultiChoice announces a proposed increase, FCCPC,
mostly silent in other areas that affect our lives would wake up quickly to
issue one threat or the other before returning to its disturbed slumber.
Momentary wakefulness marks FCCPC's regulatory
activities steeped in photo opportunities and over ventilation of issues the
courts have settled. Exactly what does FCCPC regulate?
The partiality to MultiChoice is too evident that it
would appear that FCCPC benefits from the irritations it has become. How does
Nigeria benefit from a government agencies demonisation of an organisation that
turns in billions into government coffers as taxes, employs thousands of
Nigerians and provides services its willing clients patronise?
On 8 May 2025 FCCPC went into over drive in its
celebration of a minute point in its case with MultiChoice. What was there to
make a dance of as FCCPC did?
Justice James Omotosho of the Federal High Court Abuja
in dismissing a suit MultiChoice Nigeria filed, challenging FCCPC's
intervention in its recent subscription price hike ruled that the suit was an
abuse of court process as similar proceedings were going on in Lagos State.
Justice Omotoso's other pronouncements:
.While FCCPC has investigative powers under its
establishing Act, it lacks the authority to fix or suspend prices unless the
President directs it through a gazetted instrument.
.No such delegation was presented to the court.
.Nigeria operates a free market system, and service
providers like MultiChoice retain the right to set their prices, with consumers
free to accept or reject them.
.FCCPC’s actions, including directing MultiChoice to
suspend its price increase, breached the company’s right to fair hearing and
appeared selectively targeted.
.FCCPC’s claim that MultiChoice held a dominant market
position, calling the argument untenable.
.Use of services like those provided by MultiChoice is
discretionary and not essential, as Nigerians can do without it.
.Warned that attempts to fix prices by regulatory
bodies could scare off investors and harm the economy.
.FCCPC may investigate market practices, it cannot
impose price controls without proper legal backing.
.While FCCPC is an agency of the Federal Government of
Nigeria, it must act within its powers in line with relevant laws.
.FCCPC has power to declare market dominance and
discriminatory prices against an entity; it must make pronouncement after
carrying out investigation against such company.
.From the fact before the court, investigation had yet
to begin before the FCCPC issued the suspension directive to the MultiChoice.
.FCCPC acted beyond its power by the directive it
issued against MultiChoice price increase.
.Nigeria operates a free market economy, where only
the President of Nigeria has the exclusive powers to regulate prices.
FCCPC only has an advisory role on the issue of price
fixing.
.Powers of the President to regulate prices cannot be
exercised by any other person or agency or body.
.If the President decides to fix prices, it must cover
an entire industry and not just a single player.
.FCCPC has powers to make rules in respect of
anti-competition, anti-consumer protection, among others, except the issue of
fixing prices.
In 2022, the Competition and Consumer Protection
Tribunal, had ruled that MultiChoice had the right to increase its price while
Nigerians had a choice to opt for other pay TV platforms.
.FCCPC appears to be targeting MultiChoice unfairly
while ignoring the pricing of other pay TVs and online TVs like YouTube in
Nigeria.
Let FCCPC look up a bit and occupied itself with the
activities of government agencies like the Joint Tax Board which has just
announced an increase in vehicle number plates and driver's licences.
Here are some details:
Standard private and commercial number plates formerly
?18,750, now ?30,000.
Fancy number plates move from ?200,000 to ?400,000.
Motorcycle number plates from ?5,000 to ?12,000.
Articulated number plates will be ?90,000, from
?30,000.
Out-of-series number plates from ?50,000 to ?150,000.
These increases and other vehicle-rated taxes will be
effected on 8 June 2025, after a public notice of less than 30 days.
And they are coming barely six months after the same
JTB jacked up prices of its in December 2024. By February 2024, licences cost
between N6,000 and N10,000.
The public had no alternative than to pay the new
prices. The licences are essential government's monopoly and their use is
compulsory. Nobody is concerned whether their users can afford them.
Why the increase in the prices of the licences and
vehicle number plates? The Joint Tax Board, which issues the routine orders,
said, "The new rates would provide enhanced security features, improving
identification processes for both drivers and vehicles across the
country". JTB gave the same excuse in November 2024.
FCCPC is dumb. A possibility is that FCCPC is not
aware of the price increase, "adjustments", as JTB called them. After
all, FCCPC’s time is dedicated to regulating MultiChoice.
While government agencies can increase prices when and
how they like, FCCPC would not allow MultiChoice adjust prices for a service
that is not essential, which has alternatives, within the bouquets that
MultiChoice or its competitors provide.
Digital television is not compulsory like the vehicle
licences that will affect lives of millions of Nigerians, directly and
indirectly. Transporters will pass the costs to consumers of their services.
Foods, already very expensive, and other goods that depend on road
transportation will witness a hike on their prices.
Vehicle owners would be wise enough to save for the
next "adjustment" in price of licences once JTB decides to given them
"enhanced security features". It may not be many months down the way.
These tormenting increases in charges ranging from
water rates, electricity tariffs, bills (even in government hospitals and
schools) deserve FCCPC’s intervention.
The National Identity Management Commission hiked date
of birthday corrections fee to N28,574 from N16,340.
All these charges affect more millions of Nigerians.
They are essential services without alternatives.
FCCPC should leave MultiChoice and its clients to make
their decisions. And Justice Omotosho noted FCCPC’s fixation with MultiChoice.
Will FCCPC listen to Justice Omotosho? Or spare some
thoughts for hapless Nigerians who government monopolies are crushing?
FCCPC still has a chance to be relevant in the lives of Nigeria by advising government and its agencies to care about the impact of price increases of compulsory services that only government provides on ordinary Nigerians.
Finally...
MORE profound investigation is required to know what
happened with the 2025 UTME that witnessed mass low performance, swiftly blamed
on "human error". There may be need to cancel the entire exams or
give all candidates who want to re-write the opportunity to do so. One
candidate in Lagos reportedly committed suicide over the low marks JAMB awarded
her - another avoidable death.
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