A non-governmental organization, Association for the Defense of the Nigerian Economy (ADNE), has dismissed claims that the recent price adjustments by pay television company, MultiChoice, were discriminatory against Nigerians.
ADNE made its views known in a statement issued in Lagos on Monday in response to media reports quoting a civil society organization, Save the Consumers, as saying that MultiChoice increased prices by 21 per cent in Nigeria, while reducing it by 38 per cent in South Africa.
Signed by Jacob Agunbiade, its Executive Director, the statement described claims of discrimination as products of laziness and illiteracy in economic matters
“What Save the Consumer was aimed at misleading the consumer. It was lazy and dishonest. Otherwise, they would have checked on the Internet what it costs to be a DStv customer in both countries. That is the way to make an informed contribution,” the statement said.
ADNE said its research team discovered that Nigerian DStv subscribers pay lower than their South African counterparts. It noted that the recent MultiChoice price adjustments were a response to high inflation, rising operational costs, and volatility in foreign exchange rates.
ADNE noted that in South Africa subscribers will be affected by new pricing, effective April 1. With the new rates, DStv Premium subscribers in South Africa will pay ZAR 979, equivalent to $53.82 at the current exchange rate of 18.19 ZAR to 1 USD. The current rate, which will soon be obsolete, ADNE said, is 18.97 ZAR to the dollar.
The group equally noted that in 2023 and 2024, when South African DStv subscribers paid 879 ZAR, the prices converted to $48.22 and $46.34, respectively. The exchange rates for those two years were 18.23 ZAR and 18.97 ZAR.
“The new price for the DStv Premium bouquet in Nigeria is N44,500, which is approximately $29.81 based on an exchange rate of N1492.73 to the dollar. Before the new pricing took effect, the cost was N37,000, translating to about $26.55 at an exchange rate of N1393.51/$1. In 2023, the price was N29,500, which amounted to $29.80 at an exchange rate of N990/$1,” noted ADNE.
The organization also said it discovered that the differences in the cost to subscribers in both countries extend to DStv Compact Plus and Compact bouquets.
While Nigerian Compact Plus customers currently pay N30,000 monthly ($20.10 at N1492.73/$1), ADNE stated, South Africans will, from 1 April, pay 659 ZAR ($36.23 at 18.19ZAR/$1). In 2024, according to ADNE, when the ZAR to dollar rate was 18.197ZAR/$1, the price was 579 ZAR, the equivalent of $30.52.
It noted that the same year, Nigerian subscribers paid N25,000 ($17.94 at the rate of N1393.51/$1).
ADNE added that in 2023, with an exchange rate of N990/$1, Nigerians paid N19,800, the equivalent of $20. The same year, South African Compact customers were paying 579 ZAR, which amounted to $31.76 at 18.23 ZAR/$1.
The three-year comparison of what DStv Compact subscribers pay in both countries, ADNE noted, follows the pattern of the two other bouquets.
“Currently, Compact costs N19,000 in Nigeria. This amounts to $12.73 at the exchange rate of N1492.73/$1.
From next month, South African Compact customers will pay 479 ZAR ($26.33 at 18.77 ZAR/$1). Last year, they paid 449 ZAR ($23.67 at 18.97 ZAR/$1). At the time, those in Nigeria were paying N15,700 ($11.27 at N1393.51/$1).
“When in 2023, Nigerian Compact customers paid N12,500 ($12.63 at N990/$1), the corresponding cost in South Africa was 449 ZAR ($24.63 at 18.23ZAR/$1),” ADNE stated.
While admitting that the economic situation is harsh on Nigerians, it stated that businesses are not faring better, especially with soaring operational costs and foreign exchange instability.
“What is clear is that local currency value, which affects input costs, has a big say in local economic dynamics and pricing. This is what Save the Consumer pretends not to know.
Comments credited to the group have the objective of inciting Nigerians against MultiChoice. No responsible organization should do that, not at a time companies are exiting the country,” said ADNE.
