DSTV, GOTv Price Increases: FCCPC Lacks Power To Fix Prices – Court

A Federal High Court sitting in Abuja, on Thursday, May 8, 2025, held that while the Federal Competitive and Consumer Protection Commission (FCCPC), can investigate market practices, it however cannot impose price controls without proper legal backing.

The Court which gave this ruling while dismissing a suit filed by MultiChoice Nigeria, challenging the FCCPC’s intervention in its recent subscription price hike in the subscription of DStv and GOtv, declared that attempts to fix prices by regulatory bodies could scare off investors and harm the economy.

The Court presided over by Justice James Omotosho, declared that the suit constituted an abuse of court process as similar proceedings were already pending elsewhere.

The trial judge, Justice Omotosho declared that the plaintiff should have pursued its arguments in that court, which has rendered the current filing procedurally inappropriate.

Justice Omotoso also held that while the FCCPC has investigative powers under its establishing Act, it however, lacks the authority to fix or suspend prices unless specifically delegated by the President through a gazetted instrument. The court held; “No such delegation was presented to the court. The power to fix prices is exclusively that of the President. Any decision taken without such delegation is a nullity.”.

The Court noted that Nigeria operates a free market system, and declared that service providers such as MultiChoice retain the right to set their prices, while consumers are free to accept or reject them.

Justice Omotosho also held that the FCCPC’s actions, including directing MultiChoice to suspend its price increase, breached the company’s right to fair hearing and appeared selectively targeted and therefore dismissed the FCCPC’s claim that MultiChoice held a dominant market position, stressing that the argument is untenable.

In the words of Justice Omotosho; “The use of services like those provided by the plaintiff is discretionary and not essential. Nigeria can do without it”.

MultiChoice had increased subscription rates by 25% on March 1, 2025, citing inflation and operational cost pressures which the FCCPC objected to and threatened to sanction the company.