Court Restrains FCCPC from Sanctioning MultiChoice Over Subscription Price Hike

Tolulope Ayileka
3 Min Read

The Federal High Court in Abuja has barred the Federal Competition and Consumer Protection Commission (FCCPC) from taking any punitive actions against MultiChoice Nigeria Limited following its recent increase in subscription rates for DStv and GOtv.

Justice James Omotosho granted the interim order on Wednesday after hearing an ex-parte motion filed by MultiChoice’s legal counsel, Moyosore Onigbanjo, SAN.

The motion, marked FHC/ABJ/CS/379/2025, sought to prevent the FCCPC from implementing any administrative measures against the pay-TV provider pending further court proceedings.

The News Agency of Nigeria (NAN) reported that the FCCPC had summoned MultiChoice Nigeria to explain its March 1 price adjustment.

The commission also mandated the company’s CEO to appear for an investigative hearing on February 27, citing concerns over frequent price hikes, potential market dominance, and anti-competitive practices within the pay-TV industry.

FCCPC warned that failure to provide justification for the price increase or comply with fair market regulations would result in regulatory sanctions.

However, MultiChoice, in its court filing, argued that Nigeria operates a free-market economy where prices of goods and services are not subject to government regulation.

“An order of interim injunction restraining the FCCPC, its agents, servants, or privies from sanctioning or penalizing MultiChoice (the applicant) in any manner whatsoever in relation to its price increase pending the hearing and determination of the motion for an interlocutory injunction,” the court order read.

Onigbanjo contended that the FCCPC Act and other relevant laws do not grant the commission the power to regulate prices or require businesses to seek approval before making adjustments.

He noted that MultiChoice had informed the FCCPC of its planned price increase through a letter dated February 21. However, the commission, in a letter dated February 27, directed the company to suspend the adjustment.

Following the directive, MultiChoice proceeded with its price hike and subsequently filed a lawsuit on March 3, challenging the FCCPC’s authority to regulate prices.

Despite the pending case, the FCCPC, in another letter dated March 3, warned MultiChoice of possible prosecution if it failed to justify the increase.

In an affidavit, Gozie Onumonu, Head of Regulatory Affairs and Government Relations at MultiChoice, argued that the company’s subscription rates in Nigeria are the lowest among all countries where it operates.

“For instance, the cost of the Premium package in Nigeria is equivalent to $29.81, while the same package costs $85.11 in Kenya,” Onumonu stated, emphasizing MultiChoice’s legal right to adjust its pricing structure.

After hearing the application, Justice Omotosho restrained the FCCPC from taking any action against MultiChoice and ordered an accelerated hearing on the case. The matter has been adjourned until March 27 for further proceedings.

 

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