CSOs Oppose Bill To Enable NBC Fix Tariff For Satellite TV

Some civil society organizations (CSOs) have kicked against an
amendment bill seeking to grant the National Broadcasting
Commission (NBC) power to fix tariffs for digital satellite
television services.

The bill aims to empower NBC to “regulate and review, through
its broadcasting code, the tariff being charged by the Digital
Satellite Television Services and other broadcasting outfits in
Nigeria and other subscription policy for subscribers”.

However, some media stakeholders opposed the amendment at a
public hearing organized by the house of representatives committee
on information, national orientation, ethics and values on
Wednesday.

In their joint submission, the International Press Centre (IPC)
and the Centre for Media Law and Advocacy argued that giving NBC
power to fix tariffs will usurp the functions of Federal
Competition and Consumer Protection Commission (FCCPC).

Speaking on behalf of the groups, Lanre Arogundade, executive
director of IPC, said the FCCPC act has “adequate provisions to
deal with the often contentious issue of competition and pricing in
Nigeria”.

Arogundade also said the FCCPC is “technically equipped to
handle the kind of matters being dabbled into here, being a
specialised agency established for specific purposes”.

“Fixing tariffs arbitrarily could lead to excessive pricing that
has the potential of discouraging investment in the sector and the
attendant job losses,” he said.

“Giving the NBC the sole right over tariff issues which cannot
be interfered with could be interpreted as an ouster clause that
arrogates to it arbitrary powers that cannot be challenged even in
the court of law.

“The two sub-sections highlighted above should be removed from
the proposed amendment bill of the NBC Act.”

In his presentation, Emmanuel Ataguba of Ataguba and Ataguba
solicitors said price regulation would not be of benefit to
consumers, except where government subsidies are involved.

“We submit that the amendment goes against the objective of the
Federal Competition and Consumer Protection Act to ‘protect and
promote the interests and welfare of consumers by providing
consumers with wider variety of quality products (and services) at
competitive prices,” he said.

“Even though the Federal Competition and Consumer Protection Act
does not define “competitive prices”, it is trite to say that
competitive prices are prices determined by market forces in
today’s open and free market regime.”

Nigerians have often complained about the subscription rates for
pay-TV, with some claiming the country has the highest rates in
Africa.

However, a fact check by TheCable proved this as false.

Compared DStv subscription rates in Nigeria, Ghana, Kenya,
Botswana and Multichoice’s home country, South Africa, and found
that the subscription is cheaper in Nigeria than most of its peers
across Africa.

Some civil society organizations (CSOs) have kicked against an
amendment bill seeking to grant the National Broadcasting
Commission (NBC) power to fix tariffs for digital satellite
television services.

The bill aims to empower NBC to “regulate and review, through
its broadcasting code, the tariff being charged by the Digital
Satellite Television Services and other broadcasting outfits in
Nigeria and other subscription policy for subscribers”.

However, some media stakeholders opposed the amendment at a
public hearing organized by the house of representatives committee
on information, national orientation, ethics and values on
Wednesday.

In their joint submission, the International Press Centre (IPC)
and the Centre for Media Law and Advocacy argued that giving NBC
power to fix tariffs will usurp the functions of Federal
Competition and Consumer Protection Commission (FCCPC).

Speaking on behalf of the groups, Lanre Arogundade, executive
director of IPC, said the FCCPC act has “adequate provisions to
deal with the often contentious issue of competition and pricing in
Nigeria”.

Arogundade also said the FCCPC is “technically equipped to
handle the kind of matters being dabbled into here, being a
specialised agency established for specific purposes”.

“Fixing tariffs arbitrarily could lead to excessive pricing that
has the potential of discouraging investment in the sector and the
attendant job losses,” he said.

“Giving the NBC the sole right over tariff issues which cannot
be interfered with could be interpreted as an ouster clause that
arrogates to it arbitrary powers that cannot be challenged even in
the court of law.

“The two sub-sections highlighted above should be removed from
the proposed amendment bill of the NBC Act.”

In his presentation, Emmanuel Ataguba of Ataguba and Ataguba
solicitors said price regulation would not be of benefit to
consumers, except where government subsidies are involved.

“We submit that the amendment goes against the objective of the
Federal Competition and Consumer Protection Act to ‘protect and
promote the interests and welfare of consumers by providing
consumers with wider variety of quality products (and services) at
competitive prices,” he said.

“Even though the Federal Competition and Consumer Protection Act
does not define “competitive prices”, it is trite to say that
competitive prices are prices determined by market forces in
today’s open and free market regime.”

Nigerians have often complained about the subscription rates for
pay-TV, with some claiming the country has the highest rates in
Africa.

However, a fact check by TheCable proved this as false.

Compared DStv subscription rates in Nigeria, Ghana, Kenya,
Botswana and Multichoice’s home country, South Africa, and found
that the subscription is cheaper in Nigeria than most of its peers
across Africa.