“At a glance, we saw things like the cost of electricity, running generators, the cost of dollars for spare parts and so on. We’ll go through these items individually and find out how they have affected their operations,” Abdullahi said.
FCCPC to probe price hike
Speaking further, he said the commission would review the reasons identified by Multichoice, noting that the agency could involve regulatory bodies such as the National Broadcasting Commission (NBC) and the Nigerian Communications Commission (NCC) in the process.
According to Abdullahi, the commission will not hesitate to sanction the firm if it discovers that their prices are arbitrary or it is in any way manipulating the market.
“What we need to do is to bring in NCC and maybe NBC and Multichoice, sit down and look at all these variables that they claim caused the rise in prices.
“By and large, that’s the claim of what they are doing because they are a dominant player in this market. People have no choice but to go to them for cable television, so that’s why they are doing what they are doing.
“If by any chance we find out or we can confirm that that’s what they are doing, again we go back to the law and do what we are supposed to do,” the acting chairman of FCCPC added.
Backstory
Earlier, Nairemetrics had reported that Multichoice Nigeria, a Pay-TV operator, announced a price increase for its DStv and GOtv packages by at least 25%.
This marks the third increment since last year, following the initial adjustment implemented on May 1, 2023.
Multichoice stated that the latest increase will take effect from Wednesday, May 1, 2024.
While last year’s increment ranged between 19% and 20% depending on the bouquet, the company is now announcing a 25% to 26% increase across its packages.
The new subscription fees were communicated to customers via an email titled “Price Adjustment on DStv and GOtv Packages” on Wednesday, April 24, 2024.
Culled from Nairametrics
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