The House of Representatives has ordered the immediate suspension of the recently announced subscription price hike by Multichoice Nigeria, the owners of DStv and GOtv.
The Green Chamber also mandated an investigation into the frequent price increases imposed by the pay-TV giant.
Adopting a motion of urgent public importance raised by the lawmaker representing Oredo Federal Constituency, Hon. Esosa Iyawe, at the plenary session on Tuesday, the House decried the move by Multichoice to raise subscription rates by 20%-25%, barely a year after a similar hike in May 2024.
Last week, it announced an increase in the cost of subscriptions for its DStv and GOtv packages.
The hike comes less than a year after the company last raised its subscription rates. In an email to customers, the pay-TV provider stated that the new prices would take effect from March 1.
Multichoice attributed the price increase to rising operational costs.
“Due to prevailing economic conditions leading to increased business expenses, we have unavoidably had to adjust the prices of our DStv and GOtv subscription packages,” the company said.
“We understand the impact this change may have on our valued customers, and this decision was made only after careful consideration and thorough analysis. Our mission remains to provide the best entertainment to our esteemed viewers, and we remain committed to delivering high-quality content and exceptional service across Nigeria.”
However, Iyawe expressed concerns that a similar increase in May 2024 sparked public outrage, saying many Nigerians who were already dealing with the rising costs of living were forced to ditch their decoders even as they lamented the lack of competition in the pay-TV sector.
According to him, due to the dominant position of Multichoice in pay-TV, price increases always have a widespread impact and put consumers under undue pressure.
He said the most recent hike in subscription prices has triggered widespread criticism from subscribers, many of whom have taken to social media to express their frustration over frequent price hikes without a corresponding improvement in service quality and the seeming aloof stance of the government towards the situation.
Adopting the motion, the House called on Multichoice Nigeria to suspend its proposed increase in subscription prices pending exhaustive investigations.
It also mandated its Committee on Commerce to investigate the arbitrary increase in subscription prices by Multichoice with a view to ensuring the implementation of cost-effective policies in the pay-TV sector for consumers in Nigeria.
The committee is expected to report back within four weeks for further legislative action.
