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Tariff hike: Senate’s pro-people efforts and the probe of MultiChoice

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By Dr. Ezrel TABIOWO

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Last week, Wednesday, to be precise, the Senate in plenary, considered a motion kicking against the tariff increase by MultiChoice Nigeria, a leading PayTV company operating in the country with business interests across Africa.

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The chamber, in its resolutions, demanded a probe into the hike in tariff amid a call for the downward review of bouquet prices.

Accordingly, a seven-man ad-hoc panel was constituted by the Senate President, Dr. Ahmad Lawan, to investigate the circumstances surrounding the sudden price increment, particularly at a time when the country is faced with stifling economic realities.

The investigating panel, Chaired by the Deputy Whip of the Senate, Senator Aliyu Sabi Abdullahi, has six other lawmakers as members.

Senator Sabi Abdullahi, a versed and highly experienced legislator, is a veterinarian and researcher by profession, who also served as spokesman of the Eighth Senate.

The ad-hoc committee under his leadership was given a one-month deadline to submit its findings and recommendations in a report to be debated during plenary for adoption by the chamber.

Reactions Trailing Senate’s Action

Whilst a lot of Nigerians applaud the pro-people effort by the Senate to halt the plan by MultiChoice to effect tariff increase, one Opeyemi Maiyegun, authored what clearly was an article maliciously intended to denigrate and blackmail the upper chamber for its responsiveness.

He described the action by the Nigerian Senate in response to the hike in tariff by MultiChoice as a “faux concern for the masses”, and called on it to probe other issues of importance such as the Kaduna train attack. How ridiculous!

To be honest, the writer displayed a high level of ignorance concentrated in crass assumptions about the posture and accomplishments of the Ninth Assembly on matters of security, otherwise, how could he not know that the Senate had a day earlier, on Tuesday, March 29, 2022, debated the train attack by terrorists? What a way to goof!

I strongly believe there are a litany of questions begging for answers. Is he (Maiyegun) not aware of the numerous motions and point of orders raised by lawmakers at different times on the deteriorating security situation across the country? How does he explain the fact that he lacks knowledge of the robust and passion-driven contributions of lawmakers who had severally criticised the federal government and security agencies over their inability to tackle insecurity, but was able to follow the motion on tariff increment by MultiChoice?

Was he oblivious to the fact that the Senate in its resolutions at three different sittings in 2020 – January, July and December – requested the President to sack the Service Chiefs as a result of the lingering insecurity? Was he also not aware that it was the resolutions of the chamber on the Senator Kashim Shettima motion, considered on December 1, 2020, that prompted the eventual removal of the Service Chiefs seven weeks later on 26th January, 2021? How much more pro-people can a Parliament get!

What I can possibly infer from Maiyegun’s hypocrisy and lack of knowledge on these events is that not only is he not informed at all, he is, in fact, far from being the patriotic individual which he wants us to believe that he is.

How The Nigerian Market Sustains MultiChoice

It is no longer news that the Nigerian market spins the highest earnings for MultiChoice on the continent of Africa. This, apparently, seems to be a major reason behind the persistent clamour by the National Assembly and Nigerian subscribers for reduced prices on packages and the demand for Pay-As-You-View regime (PAYV) as mode of subscription as against same being Pre-Paid.

About six years ago in 2016, DStv said its total subscriber base in Africa was about 10.4 million across 50 states, with Nigeria alone having about 1.5 million subscribers. This, of course, excludes GOtv subscribers.

A report by Digital TV Research, a UK analysis firm, projected that by 2027, MultiChoice subscription base will double by hitting 20.8 million subscribers across its DStv and GOtv platforms in Africa. It is expected that DStv subscribers will double to 3 million in Nigeria alone, excluding GOtv subscribers.

The report further shows that Pay-Tv subscriptions in Africa which stood at 39 million as at 2021 will grow exponentially to 57 million by 2027. Therefore, MultiChoice alone would account for 36.8 percent (20.8m) of the total number of subscriptions in Africa.

In addition, out of the $6.46 (USD) billion projected revenues for Pay-Tv subscriptions in 2027, DStv will rake-in about $2.4 (USD) billion from Africa, with about 15 percent of the total amount which is a staggering figure coming from Nigeria alone.

Now, let us assume that the new increase by DStv which ranges between N450 and N550 for each subscriber is nothing to complain about, when the average amount of N500 is multiplied by 1.5 million users, which is the number of subscribers six years ago – and by the way isn’t the figure in 2022, it means DStv will generate an additional N750 million excluding the total revenue it makes on subscriptions every month depending on the package. For a year, that comes to N9 billion naira.

In my considered view, that is an outrageous amount to be raked by a non-Nigerian entity on a differential price increase alone. The news of this would be likened by Nigerians to a white collar heist orchestrated by MultiChoice under their very nose. Had Maiyegun restrained his itchy fingers and maintained décorum without getting biased with the Senate, perhaps, the lid of DStv’s pandora box may have been kept tightly shut, but no thanks to him. He may, however, wish to weigh his chances carefully in the future before attempting a similar endeavor.

The Nigerian People vs MultiChoice

Several entreaties by the National Assembly for MultiChoice to introduce the Pay-As-You-View (PAYV) subscription regime or implement a reduction to prices have always met a brick wall.

An attempt by the South African company to effect an increase to subscription rates in September 2020, was halted by the Federal Government when it explained that doing so would be “hostile to Nigerians who are currently going through harsh economic conditions” as a result of the coronavirus pandemic at the time.

The move by MultiChoice to effect a price change caused both chambers of the National Assembly to intervene promptly by calling for the Pay-As-You-View regime as it obtains in some African countries.

It wouldn’t be the first time that the National Assembly and Nigerian subscribers have made such demand. Both chambers had before 2019 requested the PayTV service provider to replace its Pre-Paid monthly service with PAYV.

Responding to the request on January 11, 2019, the Chief Customer Officer of MultiChoice, Martin Mabutho, in an interview he granted in Lagos, without any consideration to the demand of Nigerians, was emphatic and final in his response.

Mabutho stated categorically that the company would not operate the Pay-As-You-View subscription mode.

The reason he advanced was that the contract entered into with their suppliers was on a monthly basis, hence, there was no going back on same.

His exact words, “We are NOT going to introduce pay as you view system. Our contract with our suppliers is on month to month basis.”

“The issue of NOT introducing pay as you view remains. NOTHING will change it.

“We are NOT going to do it. Our contract with our suppliers are month to month basis. The channels do not belong to MultiChoice”, he added.

At another instance, the Chief Executive Officer of MultiChoice Nigeria, John Ugbe, while appearing before the House of Representatives Ad-hoc Committee investigating the non-implementation of the PAYG subscription model by satellite TV operators on October 13, 2020, explained that they do not have the technology to help them render the PAYG billing model as requested by most Nigerian subscribers.

According to him, the PAYG model being implemented by telcos is not compliant with satellite TV.

Unearthing Facts About MultiChoice’s Digital Satellite Subscription

In an attempt to unravel the claims made by the CEO of MultiChoice that the PAYG or PAYV is not complaint with satellite TV, I decided to read through the “Terms and conditions of subscription to MultiChoice’s digital satellite subscription broadcasting service for Commercial Use” found below:

https://www.multichoice.com/media/2136/dstv-subscription-terms-and-conditions-for-commercial-subscribers.pdf

Contrary to claims made by the CEO, MultiChoice, in fact, offers different services in the various countries where it operates.

The MultiChoice subscriber agreement on page 34, 1.3 attests to this: “MultiChoice cannot guarantee that the MultiChoice Service, or aspects thereof, in whole or in part, will be available at all places within a particular country or in every country in which MultiChoice provides the MultiChoice Service.”

It goes further to state that, “Equipment acquired or used in one country or in the Coverage Area of a particular satellite might not also be used to receive the MultiChoice Service, or aspects thereof, in another country or in the Coverage Area of another satellite.”

Against the backdrop of the provisions of the MultiChoice Agreement, the Senate probe panel would have to determine if, indeed, DStv has the capability to provide Pay-As-You-View service since it claims to have different equipments that render different services in the various coverage areas where it operates.

The ad-hoc committee also has the responsibility to unearth all MultiChoice Service, or aspects thereof, in whole or in part, that are available at all places in every country in which MultiChoice provides Service.

Where the ad-hoc committee finds that MultiChoice, indeed, has the equipment and capability to offer the PAYV of PAYG service, it must make a recommendation to the upper chamber for adoption, directing the PayTV company to introduce the service immediately for the benefit and satisfaction of Nigerian subscribers.

Dr. Tabiowo is the Special Assistant (Press) to the President of the Senate and writes from Abuja.

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Opinion

Between Jigawa state government and drop in grain prices

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By Adamu Muhd Usman.

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“If you can think of it, you can plan it; if you can plan it, you can dream it; if you can dream it, you can achieve it.”

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—Unknown author

Farming and livestock are Jigawa’s main occupations. The Jigawa people and its government are always interested in farming. So talking about farming, farmers, commodities and livestock prices are interesting issues for Jigawa people.

The prices of cash crops, grains, etc., are recording a steady drop in Jigawa State occasioned by the yearning and interest of the people of the state and also some state government commitment for both farming of animals and farm produce.

A check and investigations by yours sincerely showed and proved that the prices of many things had dropped by 20-30 per cent in the last four weeks and thereabouts in Jigawa state.

A 10 kg local rice farm (produced) in Jigawa State was sold at ₦9,000 as against the previous price of almost ₦12,000. Millet, sorghum, beans, wheat, Benny seeds, etc., indicated a similar price decrease.

People are of the opinion that the situation of a high supply of the produce from farms in Jigawa State has committed itself to producing a large quantity of farm produce and livestock to meet the demand in the region or the country at large. Surely, the increase in the supply of the produce from the farms or farmers had forced prices down in the recent past.

Others still attributed this price drop to the fear of Allah instilled in the hearts of hoarders because the clerics kept preaching against hoarding, which is seriously frown upon by God Almighty.

While some political critics viewed it as the bad economic policies of the President Tinubu administration, in which Allah used it to bring relief to the common man.

Quite obviously, Jigawa is amongst the three states in the federation that produce and supply the nation and some neighbouring counties with grains, livestock, fish and frogs. Jigawa state is also first in Hibiscus, sesame, gum Arabic, datefarm and also Jigawa is not left behind in the farming of cotton and Siemens. —-Jigawa is blessed.

But at the overround investigations, findings and outcomes, it was largely concluded that all these results and achievements were attributed to the people’s interest and passion for farming, but it is mostly because of the government’s commitments to assist, promote and enhance agricultural production in the state to make it a priority in Jigawa as a means of livelihood, occupation and income for the Jigawa populace and to be a source of internally generated revenue (IGR) for the state and also make the state feed the nation formula. Thank God, the airport (cargo) built by the former governor, Dr Sule Lamido, will now be very functional and useful.

The big question now is, can the state government sustain its support for the agricultural sector and continue to pay more attention and also sustain the package and gesture?

We hope that farmers in the state will continue to enjoy maximum support in crop production, including the use of mechanised farming. This will encourage livestock farming, which will go a long way to reduce or stop farmers’/herders’ clashes.

Also, the issue of soil erosion should be given due attention, and more roads should be constructed across the state in order to facilitate bringing out farm produce from villages and rural areas to urban areas.

As the saying goes, Success is getting what you want, and happiness is wanting what you get.

Adamu writes from Kafin-Hausa, Jigawa State.

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Opinion

Power, privilege and governance

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President Bola Tinubu

By Abiodun KOMOLAFE

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The concepts of power, privilege and governance are complex and multifaceted. Power refers to the ability to influence others, while privilege denotes unearned advantages.

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Governance encompasses institutions, structures and processes that regulate these dynamics. Together, these concepts raise fundamental questions about justice, equality and resource distribution.

It emphasizes the importance of considering marginalized groups’ experiences and perspectives. The main problem in Nigeria today is its political economy, which is rooted in rent-seeking and fosters a mindset that prioritizes patronage over production.

The country’s politics are characterized by a patron-client relationship, where everything revolves around government handouts rather than effective governance. This has led to a situation where “politics” in Nigeria is essentially a scramble for resources in a country with severely limited opportunities for self-improvement.

When French agronomist René Dumont wrote ‘False Starts in Africa’ in 1962, he inadvertently described Nigeria’s current state in 2025. Nigeria’s missteps have magnified themselves in the theatre of the absurd, such as the construction of a new vice presidential residence and Governor Chukwuemeka Soludo’s boasts about the lavish official residence for the governor of Anambra State, currently under construction.

It is to be noted in contradistinction that the newly sworn-in Prime Minister of Canada, Mark Carney, is looking for somewhere to live. The official residence of the prime minister, 24 Sussex Drive, the Canadian equivalent of 10 Downing Street, is in disrepair and uninhabitable. No Canadian government can dare ask the parliament to appropriate the $40m needed to refurbish the residence.

Canada’s Gross Domestic Product (GDP) exceeds $2 trillion, while Nigeria’s GDP is less than $400 billion. Still, Nigeria claims to be a giant! With an electricity generation capacity of less than 6,000 megawatts, Nigeria’s proclamation seems absurd, especially when compared to cities like Johannesburg, Singapore, Hong Kong and Mumbai. Even Lagos State alone should be generating, transmitting and distributing at least 15,000 megawatts, which would be a basic expectation rather than an achievement.

Nigeria today needs a comprehensive overhaul of its governance crisis to build a new political economy and social services that are fit for purpose. Although the government is on the right path in some ways, a root-and-branch transformation is still necessary.

A notable breakthrough is the decision to recapitalize development finance institutions, such as the Bank of Industry and, crucially, the Bank of Agriculture. This move is significant in a rent-seeking state, as it addresses the need for long-term capital – a prerequisite for achieving meaningful progress.

The development finance institutions require annual recapitalization of at least N500 billion, ideally N1 trillion. Achieving this necessitates a thorough cost evaluation of the government’s machinery, starting with the full implementation of the Oronsaye Committee’s recommendations.

The resulting cost savings can then be redirected to development finance institutions and essential social services like primary healthcare. Furthermore, the government should be bolder, if it can afford to be so, especially since there’s no discernible opposition on offer At the moment, the Nigerian political establishment across the board appears to be enamored by the position put forward by the leader of the Russian revolution, Vladimir Lenin, after the failed putsch. Lenin wrote the classic, ‘What is to be done?’

His observation is that revolutions do not take place at times of grinding poverty. They do so during periods of relatively rising prosperity. Significant sections of the Nigerian establishment believe that relatively rising prosperity could trigger off social discontent.

In their own interest, they had better be right. The caveat is that Lenin wrote ‘What’s to be Done’ in 1905. The world has moved on and changed since the conditions that led to the failure of the attempted takeover of government in Russia in 1905. Therefore, the Nigerian political establishment, for reasons of self-preservation, had better put on its thinking cap. Addressing power and privilege in governance requires collective action, institutional reforms and a commitment to promoting social justice. Nigeria currently lacks a leadership recruitment process, which can only be established if political parties are willing to develop a cadre. Unfortunately, the country is dealing with Special Purpose Vehicles (SPVs) instead. It’s rare to find leadership in Nigeria operating political boot camps to recruit and groom youths for future leadership roles.

This might be why many young people have a misguided understanding of politics, viewing it as merely a means of sharing the nation’s commonwealth. Mhairi Black was elected to the British House of Commons at 20 years old.

However, the key point is that Black had started becoming involved in politics at a young age. By the time she was elected, she had already gained significant experience, effectively becoming a veteran in the field. In Nigeria, politics is often seen as one of the few avenues for self-fulfillment. However, the economy is stagnant, with few jobs created in the public sector and limited investment opportunities.

This is a far cry from the 1950s and 1960s, when political parties were more substantial. Today, it’s worth asking how many Nigerian political parties have functional Research Departments. Besides, what socialization into any philosophy or ideology do our politicians have? Similarly to former Governor Rotimi Amaechi, many of those who currently hold power are motivated to stay in politics due to concerns about economic stability.

Of course, that’s why the Lagos State House of Assembly has had to revert itself. It is the same challenge that has reduced the traditional institution to victims of Nigeria’s ever-changing political temperature. It is the reason an Ogbomoso indigene is not interested in what happened between Obafemi Awolowo and Ladoke Akintola.

It is also the reason an Ijebuman sees an Ogbomoso man as his enemy without bothering to dig up the bitter politics that ultimately succeeded in putting the two families on the path of permanent acrimony. Of course, that’s why we have crises all over the place! May the Lamb of God, who takes away the sin of the world, grant us peace in Nigeria!

KOMOLAFE wrote from Ijebu-Jesa, Osun State, Nigeria (ijebujesa@yahoo.co.uk; 08033614419)

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Opinion

Rivers of emergency dilemma!

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Governor of Rivers State Siminalayi Fubara

Byabiodun KOMOLAFE

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Rivers State is now under emergency rule, and it’s likely to remain so for the next six months, unless a drastic change occurs.

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If not managed carefully, this could mark the beginning of a prolonged crisis.

In situations like this, opinions tend to be divergent. For instance, some people hold the notion that the security situation and the need to protect the law and public order justified President Bola Tinubu’s proclamation of a state of emergency in, and the appointment of a sole administrator for Rivers State.

However, others view this act as ‘unconstitutional’, ‘reckless’, ‘an affront on democracy’, and ‘a political tool to intimidate the opposition’. When we criticize governments for unmet expectations, we often rely on our own perspectives and biases.

Our individual identities and prejudices shape our criticism. However, it’s essential to recognize that not all criticism is equal. Protesting within the law is fundamentally different from protests that descend into illegality. Once illegality creeps in, the legitimacy of the protest is lost.

As John Donne wrote in ‘Devotions Upon Emergent Occasions’, “Never send to know for whom the bell tolls.” A protest is legitimate when it aligns with societal norms, values and laws. But when protests are marred by violence or sabotage, they lose credibility. Without credibility, protests become ineffective.

Regarding the validity or otherwise of the emergency rule in Rivers State, it is imperative that the Peoples Democratic Party (PDP) governors approach the Supreme Court immediately. They should seek a definitive clarification on whether the proclamation is ultra vires or constitutional.

For whatever it’s worth, they owe Nigerians that responsibility!May the Lamb of God, who takes away the sin of the world, grant us peace in Nigeria!

Abiodun KOMOLAFE,ijebujesa@yahoo.co.uk; 08033614419 – SMS only.

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