*The Centre for Information Technology and Development, in Nigeria, says the proposal is unacceptable as it will not only create more hardship to Nigerians but also undermine the economic recovery of the West African country

Isola Moses | 绿帽献妻

The Centre for Information Technology and Development (CITAD) has frowned on the proposed increase in telecoms excise duty in Nigeria.

绿帽献妻 reports Y. Z. Ya鈥檜, Executive Director of CITAD, who decried the planned hike of excise duty on telecoms services, said the increase would create more hardship for Nigerian consumers.

Ya鈥檜 noted the organisation’s reaction to the development when addressing the reporters Wednesday, in Kano, Kano State.

He stated: 鈥淭he Minister of Finance (Mrs. Zainab Shamsuna Ahmed) has in the last two weeks (made) it known to all the intention of her ministry to increase excise duty on telecommunications services from the current 5.5 percent to 12.5 percent, adding, her action is driven by the need for revenue.

Ya’u also said: 鈥淲e find this unacceptable to as it will not only create more hardship to Nigerians but also more fundamentally undermine the economic recovery of the country.

鈥淭he effect of the proposed increase is to make calls and data more costly in the context in which already Nigerans are paying heavily for this. Nigeria is one of the countries with low affordability index as calculated by the Alliance for Affordable Internet.”

According to CITAD, currently, only less than 45 percent of Nigerians can access and afford to use full spectrum of telecommunications services in the digital ecosystem.

By implication, more than half of Nigerians are not able to do so for several reasons, it stated.

The Centre said chiefly among these factors is consumers’ inability to afford both the cost of access and cost of use of the telecoms services.

Besides, Nigeria does not manufacture telecommunications equipment and devices, so it can hardly bring the cost of access and ownership down.

The organisation, however, noted that the country could control the cost of use.

Ya’u also said: 鈥淚f you increase cost of data and call, more people cannot use it.

“This means that the economic benefits of telecommunication would atrophy in the country.

“The multiplier effect will be lost since that can only accrue to the country when people freely use data for economic activities.”

He as well stated that “in the end, the economy will suffer, and her ambition of higher revenue will collapse as less people will use telecommunications services, and therefore, less revenue to come while more people are excluded from digital technology in a context and time.

According to him, even the United Nations (UN) has demanded that no one should be left behind.

鈥淪o, instead of promoting policies and initiatives that will lift more Nigerians out of the depth of digital marginalisation, Madam Minister is acting to bring down more Nigerians, and increase the digital divide which the Ministry of Communications and Digital Economy has been working to bridge, stated he.

The CITAD Executive Director further stressed 鈥渨e also oppose her plan because it will frustrate the attainment of the goals of the country鈥檚 digital economic transformation agenda.

鈥淭his agenda which was endorsed by the president himself requires that the country increase Broadband penetration to 95% by 2030 and to achieve 95% digital literacy by 2025.”

Ya’u noted: 鈥淭he act of making data more costly would undermine these lofty goals.

“Because people cannot afford telecommunications services, telecommunications companies will have no incentive to invest more and expand their infrastructure, a condition that is needed to achieve the 95% Broadband penetration, and once these goals cannot be realised, the objectives of the digital transformation agenda will fail.

鈥淥n a more immediate and concrete level, our education system will suffer.”

He also stated: “Currently, more services are migrating online. Students must sit and pass the computer-based examination that is online.

鈥淭hey must use this data in an economy in which more 70 percent of Nigerians are living below poverty level, this means many more people cannot afford education services. “And a country where people cannot access education services is doomed.

鈥淏oth the telecommunications companies and the Minister of communication and Digital Economy (Prof. Isa Ali Pantami) have spoken against the proposed increase.”

“The Minister, in fact, stated that he was never consulted for such a matter which is his responsibility and oversight.

鈥淲e agree with the minister and the body telecommunication companies that such a move will push the burden on the ordinary users and is counterproductive.

鈥淲hile commending the Minister of Digital Economy for being bold to object that such a measure is not in the interest of the country, we condemn the Minister of Finance and her blind pursue of revenue for its sake and on driving the economy to make meaning of the lives of citizens.

鈥淲e call on the President to immediately call her to order and jettison the proposed increase.

Instead, we call on the president to quickly set up in motion the processes of developing a National Policy on Community Networks so that communities can on their own address infrastructure and other access gaps in the country.鈥�

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