back to top

Price hike: Court dismisses Multichoice suit against FCCPC

A FEDERAL High Court (FHC) in Abuja has dismissed the suit filed by Multichoice against the Federal Competition and Consumer Protection Commission (FCCPC) for preventing it from implementing a price increase.

The judge, James Omotosho, in a ruling on Thursday, May 8, maintained that the suit constituted an abuse of the process of the court, having been filed after a similar suit was filed on the issue by one Festus Onifade, with Multichoice and FCCPC as parties in the suit.

The judge held that an earlier suit filed by Onifade before the same court in Abuja, in which Multichoice is a party, was still pending before Multichoice decided to file another separate suit.

Omotosho said MultiChoice could escalate the issues in the suit filed by Onifade by simply filing a counterclaim rather than filing a separate suit.

The judge went ahead to deny jurisdiction and dismissed the suit.

However, the judge proceeded to determine the case on merit and held that since Nigeria runs a free market economy, the FCCPC lacked the power to meddle in the decisions of private companies to fix their prices.

Omotosho stated that under Section 88 of the FCCPC Act, it is only the president of Nigeria who can regulate prices in a regulated industry and for essential goods, not the kind of services being offered by Multichoice, where consumers have choices.

Omotosho maintained that the FCCPC has no business questioning how companies fix their prices in a free market economy.

The judge further dismissed the FCCPC’s claim that MultiChoice held a dominant market position, calling the argument untenable.

The ICIR reported in February 2025 that the FCCPC directed MultiChoice Nigeria to maintain the current prices of its subscription packages until the ongoing investigation into its proposed price hike is concluded.

Read Also:

The commission said in a statement on Thursday, February 27, by its director of corporate affairs, Ondaje Ijagwu.



“Maintaining the status quo on pricing is essential to prevent any potential consumer harm during this period,” Ijagwu stated.

The directive followed MultiChoice Nigeria’s request for an extension concerning its scheduled appearance before the commission, which it granted.




     

     

    Multichoice Nigeria, the parent company of DStv and GOtv, has revealed plans to increase the prices of its packages effective March 1, 2025.  The ICIR also reported.

    It made the known in a message to its customers on Monday, February 24, titled ‘Price Adjustment on DStv and GOtv packages.’

    The pay television blamed the price increase on the Nigerian macroeconomic conditions.

    It said this includes increasing operating costs, currency depreciation, and high inflation.

     

    Bankole Abe

    A reporter with the ICIR
    A Journalist with a niche for quality and a promoter of good governance

    Join the ICIR WhatsApp channel for in-depth reports on the economy, politics and governance, and investigative reports.

    Support the ICIR

    We invite you to support us to continue the work we do.

    Your support will strengthen journalism in Nigeria and help sustain our democracy.

    If you or someone you know has a lead, tip or personal experience about this report, our WhatsApp line is open and confidential for a conversation

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here


    This site uses Akismet to reduce spam. Learn how your comment data is processed.

    Support the ICIR

    We need your support to produce excellent journalism at all times.

    -Advertisement-

    Recent

    - Advertisement