By Our Correspondent
As the Senate ad-hoc committee on pay-TV tariff hikes holds a one-day investigative public hearing on Thursday, Senator Yusuf Yusuf (Taraba Central) has questioned the Multichoice stand on Pay-TV Hikes and demand for pay-per-view subscription model.
Multichoice Nigeria, being the dominant service provider in Nigeria disagreed with the proposed plan of the Senate on reduction of the tariffs being paid by viewers.
In its submission to the Committee, the service provider defended its stand and cited challenges in the communication industry as reasons there should be price hike, particularly the lack of power and insecurity rocking the nation.
Chief Executive Officer (CEO), Multichoice Nigeria, John Ugbe, said the pay-per-view will hurt the economy, insisting that for the past 27 years of their operations, the model being planned by the legislators would not augur well despite Nigeria’s free market economy.
He urged the parliament to allow service providers to determine what Nigerians pay.But, other service providers who presented their positions before Senator Sabi Abdullahi ad-hoc committee were of the view that the pay-per-view model was sustainable in as much as viewers would subscribe and pay for only channel of their choice, instead of the monthly subscription which costs them move.
However, Senator Yusuf who was physically seen not comfortable with the position of Multichoice Nigeria suggested that if the market would not be favourable to them, they can as well relocate to other countries, adding that after 27 years of the service provider they should be able to lead the way for tariff reduction for subscribers and not the other way round.
According to Senator Yusuf, “if you said Nigerians do not have to complain for the service you are providing, that you should be allow to determine the price yourself, why are you in Nigeria.”
Senator Yusuf questions Multichoice stands on Pay-TV Tarriff Hikes
