Dr. Adamu Abdullahi, Acting Executive Vice Chairman of the Federal Competition and Consumer Protection Commission (FCCPC), stated that Multichoice provided a four-page explanation for raising the subscription fees for DStv and GOtv packages.
The FCCPC oversees market competition and promotes consumer protection.
In a recent interview with Channels TV, Abdullahi mentioned that Multichoice attributed the price hikes to several factors, including electricity costs, generator fuel expenses, and limited access to foreign currency.
Abdullahi explained that the FCCPC will carefully examine the reasons given by Multichoice and will involve other regulatory bodies such as the National Broadcasting Commission (NBC) and the Nigerian Communications Commission (NCC) to ensure fairness.
He indicated that the FCCPC will not hesitate to take action against Multichoice if it finds evidence of arbitrary pricing or market manipulation.
“We received a four-page document from Multichoice explaining why they raised prices. The next step is to bring in the NCC, maybe NBC, and Multichoice to review these factors. They mentioned the cost of electricity, running generators, and dollar conversion for spare parts, among others. We will go through these details to assess their impact on operations.
“Since they dominate the cable television market, most consumers rely on them for service. If we discover they are manipulating prices or abusing their market position, we will take legal action,” Abdullahi said.
Recently, Multichoice Nigeria announced a price increase of at least 25% for DStv and GOtv packages, the second hike in five months. The new rates took effect on May 1.
