FG Scraps 5% Telecom Tax On Voice, Data Services – Independent Newspaper Nigeria

FG Scraps 5% Telecom Tax On Voice, Data Services – Independent Newspaper Nigeria


…Unveils Plan To Power Healthcare Facilities With Reliable Electricity

The Federal Government has scrapped the 5% tax previously imposed on telecommunications services, including voice calls and data usage.

The National Orientation Agency made this known in a post via its official X (formerly Twitter) page on Thursday.

The post said the Executive Vice Chairman of the Nigerian Communications Commission, Dr. Aminu Maida, disclosed that President Bola Tinubu ordered the removal of the tax during dis­cussions on the recently passed Finance Act.

The NCC boss noted that the move is expected to ease cost pressures for millions of mobile service users in the country.

Maida added that the presi­dent’s intervention was aimed at preventing additional financial strain on citizens while support­ing the digital economy.

“The development is expected to bring relief to over 171 million active telecom users across the country, many of whom have faced a 50% tariff increase implemented earlier this year,” he added.

The tax, which applies to both voice calls and data subscriptions, was introduced under the admin­istration of the late former Presi­dent Muhammadu Buhari.

The 5% excise duty, which was first announced in 2022, had faced widespread criticism from both telecom operators and consum­er rights groups, who warned it would worsen the financial bur­den on Nigerians amid rising living costs.

The government’s justifica­tion then was part of its effort to boost revenue generation amid dwindling oil earnings.

The Ministry of Finance at the time argued that the levy was in line with global taxation practices.

Telecom operators, under the umbrella of the Association of Licensed Telecom Operators of Nigeria (ALTON), however, warned that the policy would be counterproductive.

ALTON noted that Nigeria already had one of the highest tax burdens on the telecommu­nications sector in sub-Saharan Africa.

FG Unveils Plan To Power Healthcare Facilities With Reliable Electricity

Meanwhile, in a move to bridge the critical gap between energy and healthcare, the Feder­al Government has inaugurated the First National Stakeholders’ Dialogue on Power in the Health Sector, declaring a new era of col­laboration to ensure no hospital or health centre in Nigeria is left in the dark.

The Minister of Power, Chief Adebayo Adelabu, delivering the keynote address, stated that the dialogue marks a fundamental shift away from working in silos and towards an integrated ap­proach to national development.

He emphasised that reliable electricity is not a luxury but a prerequisite for a functional health system, which in turn is essential for economic growth and productivity.

“Without reliable power, health systems cannot function effectively. Without a healthy pop­ulation, productivity and econom­ic growth cannot be achieved,” the minister said. “This partner­ship is how we turn policies into real impact for our people.”

The initiative is a direct im­plementation of President Bola Ahmed Tinubu’s Renewed Hope Agenda, which prioritises both infrastructure renewal and ac­cess to quality healthcare.

The minister outlined a comprehensive plan to leverage renewable energy and new pol­icies to create a “reliable power backbone” for the health sector.

He pointed to the work of the Rural Electrification Agency (REA) as a proven model for suc­cess. During the COVID-19 pan­demic, the REA deployed solar mini-grids to 100 healthcare facili­ties to ensure uninterrupted pow­er. Furthermore, through its En­ergising Education Programme, teaching hospitals are already benefiting from large-scale solar systems, including a 12MW plant at the University of Maiduguri Teaching Hospital and a 7MW system at the University of Cal­abar Teaching Hospital.

“These interventions are al­ready yielding tangible results: vaccine storage is now functional in remote communities, mater­nal and child health services are improving as midwives can con­duct night deliveries with reliable light, and essential medicines can be stored in off-grid locations.

“These are not abstract achievements,” Adelabu stressed. “They represent real lives being saved, communities being em­powered, and healthcare being brought closer to the people.”

The government plans to scale up these pilot projects nation­wide using a mix of solar hybrid mini-grids, standalone systems, and grid expansion. A key focus will be on attracting private in­vestment and blending public funding with donor support to make the projects sustainable and scalable.

The minister described the signing of the 2023 Electricity Act as a major move that opened up the sector and further galvanised development in the Nigeria Elec­tricity Supply Industry (NESI).

“The signing of the Act al­lowed for the decentralisation, liberalisation and participation of the subnational government in the sector. The Act also mandated the Federal Government, through the Ministry of Power, to develop the Nigerian Integrated Electrici­ty Policy and Strategic Implemen­tation Plan (NIEP-SIP). In fulfil­ment of the statutory mandate, the Federal Ministry of Power developed the National Integrated Electricity Policy (NIEP)”.

He noted that the transforma­tive frameworks set a clear road­map for delivering a resilient, cost-effective, and sustainable power sector.

“The NIEP-SIP serves as a guiding blueprint for Nigeria’s energy development, addressing areas such as rural electrification, public-private partnerships for universal electricity access, pow­er-source specific policies, bulk power purchase, and manage­ment of local distribution in ru­ral areas, among other pertinent aspects as directed by the Fed­eral Government”, adding that the NIEP aligns with Nigeria’s Energy Transition Plan, which he described as a bold roadmap to achieve net-zero by 2060, expand renewables and ensure universal energy access.

The minister thanked the Coordinating Minister of Health and Social Welfare, Prof. Muham­mad Ali Pate, and the Minister of State, Dr. Iziaq Adekunle Salako, for their cooperation, calling it a model for inter-ministerial collab­oration.

The event concluded with a call to action for all stakeholders to move from ideas to implemen­tation, ensuring that every health facility in Nigeria, no matter how remote, has the electricity it needs to deliver life-saving services and power the nation’s future.

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Source: Independent

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