NCC orders telcos to compensate subscribers for poor service

The Nigerian Communications Commission has directed mobile network operators to automatically compensate subscribers affected by prolonged or repeated network failures, under a new framework that took effect in April 2026.

The commission said the directive is aimed at strengthening accountability in the telecommunications sector. Under the new regime, operators are required to proactively identify affected subscribers and credit them directly — without waiting for individual complaints.

Subscribers in impacted local government areas will receive automatic airtime credits covering failures in voice calls, SMS, and data services. Both individual and corporate customers are eligible.

“To be eligible, you must have experienced poor network service in an affected local government area, and you made at least one outgoing revenue-generating event — a billed call, SMS, or data session — during the relevant period,” the NCC stated on its website on Tuesday.

Affected subscribers will be notified via SMS once airtime credits are applied, with details of the amount and its purpose. For subscribers holding multiple SIMs, only lines with billed activity in affected LGAs will be credited. Subscribers who switch operators during or after an outage will not be eligible for compensation from their previous provider.

The directive comes against a backdrop of persistent network disruptions. In the first quarter of 2026, telcos recorded 577 outages, 361 of which were caused by fibre cuts — with MTN and Backbone Connectivity accounting for roughly 70 per cent of the incidents.

Airtime credits issued under the framework carry no restrictions and can be used for calls, USSD, and data subscriptions. The NCC clarified that the mechanism complements, rather than replaces, existing consumer protection frameworks, including the Consumer Code of Practice Regulations 2024 and the Quality of Service Regulations 2024.

The framework applies exclusively to Nigerian mobile network operators. Foreign SIMs roaming in Nigeria are excluded, though subscribers on national roaming may qualify depending on the host network’s assessment. Internet service providers operate under a separate, existing framework.

Only prolonged or repeated failures falling below regulatory thresholds will attract compensation. Short or quickly-resolved outages are excluded, as are incidents predating November 2025. Cases involving fibre cuts, vandalism, theft, or natural disasters will be reviewed individually before compensation is granted.

Operators who fail to comply may face regulatory fines on top of compensation obligations for severe or repeated service failures. The commission said it would monitor compliance and could engage independent audit firms to conduct checks.

“This framework is a significant step in ensuring that subscribers receive value for services paid for and that operators are held accountable for maintaining acceptable quality of service across the country,” the NCC said.