Price hike: Nigerian Consumer Protection Commission sues MultiChoice, CEO

Nigeria’s Federal Competition and Consumer Protection Commission (FCCPC) has filed a legal suit against MultiChoice Nigeria Limited and its CEO, John Ugbe. The commission, in a press release, noted that the charges follow the pay TV company’s unilateral increase of subscription prices for DStv and GOtv packages in defiance of clear directives to do otherwise.

The press release reads:

“The Federal Competition and Consumer Protection Commission (FCCPC) has charged MultiChoice Nigeria Limited and its Chief Executive Officer, John Ugbe, with contravention of regulatory directives, obstruction of an ongoing investigation and being in conduct amounting to contraventions of the provisions of the Federal Competition and Consumer Protection Act (FCCPA) 2018.”

Recall that MultiChoice announced an increase in subscription prices on March 1, 2025. The DStv Compact bouquet rose from N15,700 to N19,000, a 21% hike its first change in nearly a year. The company blamed the increase in price on Nigeria’s economic crisis, including a weak naira, high energy costs, and an inflation rate of 24.48% as of January 2025. 

Other Dstv plans that increased include the premium bouquet, now at N44,500. The Family bouquet went up from N9,300 to N11,000, while the Access bouquet now costs N6,000. GOtv viewers experienced a price rise, with the Value bouquet increasing from N3,600 to N3,900 and the Plus package increasing from N4,850 to N5,800

The last time Multichoice increased its bouquet prices was in May 2024, when it raised subscription rates by over 25%.

MultiChoice has justified its action by blaming outside economic pressures, from inflation to operational costs. The hikes have, however, been a source of irritation for Nigerian subscribers, the majority of whom are pressed by the rising costs in other important aspects of daily living.

The hike signals an additional economic burden in times of increasing cost of living for many Nigerians as other major brands have increased the cost of their services owing to the cost of running the business.

Subsequently, FCCPC issued a stay-action directive against Multichoice but the media brand disregarded it. As public pressure grew and the media became more sensitive to price increases in the media sector, the commission warned MultiChoice:

“MultiChoice Nigeria had been specifically instructed by the FCCPC on February 27, to keep its existing pricing regimen for DStv and GOtv pending the completion of a review of its intended price increment. But against this instruction, the company went ahead with the increase in its price on March 1, 2025, in clear violation of the directive of the Commission”, the commission said.

Following the illegal price hike, the commission moved swiftly to bring the company to book. The legal document states specific allegations that MultiChoice’s action was not an isolated error but a repeated pattern of disobedience.

“Following this blatant disregard for regulatory oversight, the FCCPC has filed charges against MultiChoice Nigeria and John Ugbe at the Federal High Court, Lagos Judicial Division, on three counts of offences under the FCCPA 2018, specifically for willfully obstructing the Commission’s inquiry by implementing a price hike contrary to directives (Section 33(4)), impeding the ongoing investigation by ignoring instructions to suspend the hike (Section 110), and attempting to mislead the Commission by proceeding with the increase without objection (Section 159(2), punishable under Section 159(4)(a) and (b)).” The commission stated.

Noting that the commission felt shunned by MultiChoice’s actions, the press release explained that the FCCPC “views MultiChoice’s actions as a deliberate and calculated attempt to undermine regulatory authority, disrupt market fairness, and deny Nigerian consumers the protection afforded under the law”.

“By disregarding the FCCPC’s directive and implementing the price hike before appearing before the Commission’s investigative hearing on March 6, 2025, MultiChoice has not only flouted regulatory processes but also demonstrated a pattern of conduct that undermines consumer rights and fair competition”, the statement concluded.