The House of Representatives has given StarTimes Cable Television Network two weeks’ ultimatum to review its subscription fees to reflect the 7.5per cent Value Added Tax (VAT) increase.
This was the resolution of the House Adhoc Committee investigating the Non- Implementation of Pay as You Go tariff hike by broadcast satellite providers in the country.
Chairman of the Committee, Hon Uyime Idem, said the decision was to give the company liberty to review the tariff while taking consideration of some variables including exchange rate, in the interest of the citizens.
The committee, despite its resolution expressed displeasure over the hike in subscription of Star Times subscription to its customers, especially when Nigerians were groaning under serious economic hardship caused by the coronavirus pandemic.
Star had increased its subscription fees by 30 per cent on the premise that increase in VAT and number of channels provided as reasons.
Star Times partnered NTA to provide the satellite broadcast service, on a 60-40 per cent agreement.
However, DSTV and other broadcast satellite providers failed to appear before the committee.
But the management of StarTimes explained the recent hike by 10 and 30 per cent respectively across board.
Its Chief Operating Officer, Mr. Tunde Aina, said: “The organisation is currently operating the pay as you watch tariff to meet the aspirations of a section of the Nigerian society who are sparsely at home all day, all week all month and all year round.”
According to him, the increment was to enable it offset some extra cost incurred in the cost of its operations occasioned by high exchange rate in acquiring equipment abroad as well in power generation to run its equipment.
While the committee insisted on return to status quo by reverting to the old rate for the benefit of the people whom the organisation is serving, Aina sought the cooperation and collaboration between StarTimes and the National Assembly to arrive at strategies to improve services to the Nigerian people.
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