As part of efforts to develop solutions to protect customers’ rights, the Nigerian Communications Commission (NCC) has proposed a 12-month window for subscribers to reclaim unused airtime on deactivated lines.
The NCC announced the proposal, titled ‘Draft Guidance on Unutilised and Unclaimed Recharges,’ during a virtual stakeholder engagement forum in Abuja on Tuesday, April 8.
The NCC’s Executive Vice Chairman/Chief Executive Officer (EVC/CEO), Dr Aminu Maida, said the initiative is part of efforts to ensure a balance between consumer rights and operational realities in the telecommunications sector.
Maida, represented by the Executive Commissioner for Stakeholder Management, Rimini Makama, noted that the prevalence of mobile services and the flexibility offered by prepaid plans have benefited millions of Nigerians.
Maida, however, noted that the evolving landscape has necessitated measures to address emerging challenges that could undermine consumer rights.
NCC’s proposal to address unclaimed recharges for inactive accounts
Maida further noted that the proposed framework seeks to address the issue of unclaimed recharges when accounts become inactive.
He stated that the Quality-of-Service Business Rules 2024 stipulate that a prepaid line without a revenue-generating event for six months must be deactivated, and if the inactivity continues for another six months, the line may be recycled.
The NCC helmsman stated that under the new framework, telecoms subscribers whose lines have been churned would have a one-year window to claim their unused airtime, provided they can verify ownership.
“With the widespread reliance on mobile services, prepaid plans have provided millions of Nigerians with flexibility and affordability.
“However, as the sector evolves, and in line with our commitment to ensuring quality of experience for telecom consumers, we must address emerging challenges, especially those that may compromise consumer rights.
“One of such is the fate of prepaid balances when accounts become inactive.
“Striking the right balance between safeguarding consumer rights, ensuring effective regulatory oversight, and maintaining industry sustainability requires a collective effort, and this forum presents an opportunity to explore practical solutions on this subject.
“The Quality-of-Service Business Rules 2024 stipulates that a prepaid line without a revenue-generating event for six months must be deactivated, and if inactivity persists for another six months, the line may be recycled.
“Subscribers have the right to reclaim their unused credit within one year, provided they can demonstrate ownership.
“It has become critical to ensure that consumer interests are not eroded through forfeiture of unused credit.
“The debate remains whether operators should be required to refund unused airtime or whether the principle of ‘use it or lose it’ should prevail.
“Our goal is to establish a framework that protects consumers while ensuring the continued efficiency and competitiveness of the industry,” he said.
NCC wants operators to conduct audits, offer alternative compensations
The Head of Legal and Regulatory Services at the NCC, Mrs Chizua Whyte, said the draft is critical to fulfilling the commission’s mandate of developing regulatory instruments that foster a vibrant communications market.
She added that apart from the 12-month window, the draft provides that operators conduct comprehensive audits of all churned numbers and offer service-based alternatives to affected customers in lieu of unused airtimes.
Whyte said, “Firstly, establishing a 12-month window during which affected subscribers can claim unutilised recharges after their lines have been churned, provided they can verify ownership. This balances consumer rights with operational practicality.
“Secondly, operators are required to conduct comprehensive audits of all churned numbers and submit detailed documentation of all unclaimed and unutilised recharges, ensuring transparency and accountability in the process.
“Thirdly, directing that unclaimed recharges cannot be monetised but must be made available through service options to the affected subscribers, including voice offerings, data plans, and value-added services on the primary network.”
Unutilised, unclaimed recharges a consumer’s right and regulatory opportunity
Whyte noted that the issue of unutilised and unclaimed recharges on churned subscriber lines touches on consumer protection challenges and a regulatory opportunity.
“The issue of unutilised and unclaimed recharges on churned subscriber lines represents both a consumer protection challenge and a regulatory opportunity.
“When subscribers are disconnected after extended periods of inactivity as defined by our quality of service regulations, many leave behind unused credits.
“This draft guidance seeks to establish clear, fair, and transparent procedures for managing these funds, ensuring that subscribers maintain rightful access to their purchased credits while providing operators with regulatory clarity.”
According to NCC, the draft guidance entails that operators notify subscribers of the plan to allow service options for dumed subscribers
“All unclaimed and unutilised recharges cannot be monetised, but affected subscribers may be given service options, which include voice offerings, data plans, and value-added services using the unutilised recharges after chumming by the primary network and cannot be transferred across networks.
“Operators must implement consumer education campaigns to inform subscribers about the new approach to managing unclaimed and unutilised recharges,” it added.
Whyte further stated that the commission expects full compliance from operators within 90 days of the issuance of the guidance, and the NCC will review all audit reports of unutilised recharges within 10 working days.
She said that the commission will conduct periodic audits and inspections to ensure compliance with this guidance, adding that non-compliance will result in penalties, including fines, other regulatory actions as set out in the Act.
READ ALSO: BREAKING: Nigerian lawmakers order NCC to block porn websites
