News

Nigerian Court Upholds Regulator's Authority to Investigate MultiChoice Pricing

Nigerian Court Upholds Regulator's Authority to Investigate MultiChoice Pricing
Friday, 16 May 2025 13:56
  • Abuja Federal High Court rejects MultiChoice’s suit to block investigation into recent subscription hikes

  • The ruling confirms FCCPC’s power to oversee pricing practices under the 2018 Competition Act

  • The case highlights tension between corporate pricing strategies and consumer protection in Nigeria

Last March, MultiChoice increased its rates, ignoring warnings from the Competition Commission. Facing pressure from the regulator, the cable distributor took legal action. On Thursday, May 15, the Abuja Federal High Court dismissed a lawsuit filed by MultiChoice Nigeria Limited, which aimed to prevent the Federal Competition and Consumer Protection Commission (FCCPC) from investigating its recent DStv and GOtv subscription price increases.

Judge James Omotosho characterised MultiChoice’s lawsuit as an abuse of legal procedure, considering the course of action redundant and inappropriate given the existence of a similar case already underway in another court. As such, the court dismissed the request in its entirety.

The dispute between MultiChoice and the FCCPC originated from the cable distributor’s refusal to justify new price hikes in February, only eight months after a similar increase. Instead of responding to the regulator’s request for information and suspending the hikes, MultiChoice filed a lawsuit to block the FCCPC’s investigation.

The court reaffirmed provisions of the 2018 Federal Competition and Consumer Protection Act (FCCPA) regarding price regulation and the scope of the Commission’s mandate. It also recognized the Nigerian president’s power to regulate prices when needed and to delegate that authority to bodies such as the FCCPC. The judge confirmed the Commission’s authority to investigate abusive pricing practices and report its findings to the president.

Responding to the verdict, FCCPC Executive Vice President and Director Tunji Bello described the decision as a victory for the rule of law, stating it sends a clear message that “regulatory agencies will not be hindered by procedural roadblocks when exercising their lawful mandate to ensure fairness, transparency, and accountability in the marketplace”.

MultiChoice has justified its price increases by citing prevailing economic factors, including inflation and naira depreciation, but faces growing consumer dissatisfaction. The group has reportedly lost 3.7 million subscribers outside of South Africa over the past two years, partly due to rising prices and increased competition from streaming platforms.

The dismissal of this lawsuit reinforces the Nigerian authorities’ ability to investigate pricing practices by multinationals, in a context where corporate economic imperatives increasingly collide with consumer protection concerns.

On the same topic
Senegal plans to revoke 71 mining and quarry licenses as part of a sector cleanup. The move follows similar reforms in Guinea, Mali and...
Côte d’Ivoire ranks 81st globally in StartupBlink innovation business index Country leads West Africa in access to capital and financial...
Morocco expects agricultural sector growth of 15% in 2026 Improved rainfall boosts crops after seven years of drought Cereal production forecast above...
After reaching a historic peak in 2024, cocoa prices have fallen sharply, signaling a possible shift in the global market cycle. The downturn is putting...
Most Read
01

Togo parliament adopts WAEMU law against currency counterfeiting Bill defines offences including ...

Togo Passes Law to Criminalize Counterfeiting of West African CFA Franc
02

Since its 2019 IPO, Airtel Africa paid Deloitte over $37 million in audit and non-audit fees,...

Airtel Africa and Deloitte: A Seven-Year Relationship, $37 Million in Fees and a Planned Handover
03

CCR-UEMOA presents mid-term review of private sector competitiveness efforts Reforms, AfCFTA trai...

Strengthening the Business Climate in WAEMU Countries: CCR-UEMOA Reviews Its Midterm Record
04

World Bank announces $137 million to boost West Africa digital economy Program expands broad...

Benin, Liberia and Sierra Leone Receive $137M to Expand Digital Access for 5.2 Million People
05

Tilenga oil project required land from 4,954 households in Uganda Over 99% of affected households...

Report details land compensation for nearly 5,000 households in Uganda’s Tilenga oil project
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.