Owners of the DStv, MultiChoice Nigeria Limited has explained that the recent hikes in its subscription tariffs were due to the increment of Valued Added Tax, VAT, increment in fuel pump price, and poor power supply.
Reacting to allegations that the company did not give palliatives to its subscribers, the Managing Director and Chief Executive Officer of the company, Mr. John Ugbe said the DStv supported the Federal Government with N1bn to fight the COVID-19 pandemic.
While speaking before the House of Representatives’ Ad Hoc Committee, Ugbe stated that MultiChoice was also facing economic hardships like the average Nigerians.
It was gathered that the House had set up the panel on March 17 to investigate DSTV and other cable television service providers in Nigeria while it had also on June 2 passed another resolution mandating the panel to invite DStv to explain its tariff increment on June 1.
In his opening remarks, the Chairman of the committee, Mr. Unyime Idem, said the probe was based on protests by Nigerians against DStv’s tariff hikes.
Explaining the ‘Pay Per View’ option, Ugbe, who said, “Telecommunication companies can offer a ‘Pay As You Go’ however, noted that is not the model in the broadcast industry.
Meanwhile, members of the committee disagreed with the DStv Boss. While some of them faulted the timing of the increment, others accused the company of pushing the pressure it was facing back to its subscribers, as the committee adjourned indefinitely.
