Telecom subscribers to forfeit unused credit after inactivity
Nigerian phone users may lose unused airtime expiry Nigeria after prolonged inactivity, according to a proposed NCC framework discussed with stakeholders.
Nigerian phone users may lose unused airtime expiry Nigeria after prolonged inactivity, according to a proposed NCC framework discussed with stakeholders
Mobile telephone subscribers in Nigeria will likely forfeit any unused credit on their lines following an extended period of inactivity, according to a proposed framework that was the subject of discussions at a stakeholders’ forum yesterday.
At the virtual ‘Stakeholders Engagement Forum on Unclaimed Recharges’, organised by the Nigerian Communications Commission (NCC), it was proposed that general unused prepaid credit would be lost after a prolonged period without any activity on the line.
Stakeholders present at the forum also asserted that airtime is non-refundable and should not be treated as equivalent to cash.
They further noted that the proposed framework aligns with international best practices observed in countries such as the United States, the European Union, and India, prioritising transparency and the provision of service alternatives over cash refunds.
Checks conducted by The Guardian newspaper indicate that while mobile network operators have connected approximately 316 million telephone lines since the liberalisation of the telecoms sector over two decades ago, industry data as of January 2025 shows that only 141.6 million of these lines were active.
It is important to note that the recently concluded NIN-SIM linkage audit also played a role in improving the integrity of subscriber data within the sector.
The draft framework outlines expectations for operators to inform users about these forfeiture policies and to offer service alternatives, such as data or voice plans, instead of providing cash refunds.
Furthermore, it mandates comprehensive consumer education campaigns and awareness initiatives. Communications service providers will have 90 days to implement these new rules, with non-compliance potentially leading to fines and audits. The NCC will then review audit reports within a 10-day timeframe.
Dr Aminu Maida, the Executive Vice Chairman of the NCC, in his opening address, highlighted the pivotal role of the telecommunications industry in driving economic growth, financial inclusion, and digital transformation.
He noted that the widespread adoption of mobile services has provided millions of Nigerians with flexible and affordable prepaid plans.
Dr Maida, who was represented by the Executive Commissioner, Stakeholder Management, Rimini Makama, acknowledged that as the sector continues to evolve, and in line with the commitment to ensuring a high Quality of Experience for telecoms consumers, it is crucial to address emerging challenges, particularly those that could potentially infringe upon consumer rights. He specifically pointed to the issue of prepaid balances on inactive accounts as one such challenge.
According to Dr Maida, achieving the right balance between protecting consumer rights, ensuring effective regulatory oversight, and maintaining the sustainability of the industry requires a collaborative effort from all stakeholders.
He referenced the Quality-of-Service Business Rules 2024, which stipulate that a prepaid line without any revenue-generating activity for a period of six months must be deactivated.
If this inactivity persists for an additional six months, the line may then be recycled. Dr Maida clarified that subscribers retain the right to reclaim their unused credit within a one-year window, provided they can adequately demonstrate ownership of the line.
Providing further clarity at the forum, the Head of Legal and Regulatory Services at the NCC, Chizua Whyte, stated that the issue of unutilised and unclaimed recharges on disconnected subscriber lines presents both a challenge for consumer protection and an opportunity for regulatory improvement.
She explained that when subscribers are disconnected after extended periods of inactivity, as defined by the NCC’s quality-of-service regulations, many leave behind unused credit balances.
Ms Whyte disclosed that the Draft Guidance aims to establish clear, fair, and transparent procedures for managing these funds, ensuring that subscribers can maintain rightful access to their purchased credits while also providing operators with necessary regulatory clarity.
Referring to the draft framework, Ms Whyte outlined key provisions: “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, requiring operators 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.”
She further stated that the Commission has set clear timelines for implementation, with operators expected to achieve full compliance within 90 days of the framework’s issuance, alongside the implementation of comprehensive consumer education and notification requirements.
Ms Whyte emphasised that in today’s digital age, where telecommunications services form the bedrock of economic and social interactions, the proper management of consumer credits is increasingly critical.
She asserted that the proposed Guidance aligns with the NCC’s broader commitment to consumer protection while also acknowledging the operational realities faced by licensed service providers.
“This Draft Guidance represents another step forward in creating an environment of regulatory excellence that protects consumer interests while providing clarity to service providers.
Your input and comments during this session will be vital in refining this Guidance. We value your expertise, experience, and insights as we work to ensure the final framework serves the needs of all stakeholders,” she concluded.
Fresh concerns have emerged over compliance with a court order issued by the High Court of Kano State on April 8, 2026, restraining key parties—including the Honourable Minister of Education, the Kano State Ministry of Land and Physical Planning, the Kano State Urban Development Authority, and Pluck Global Company Limited—from further actions pending the determination of the matter before the court.
Findings indicate that while all parties—except the concessionaire, Pluck Global Company Limited—were duly served within two days of the order, significant challenges were encountered in effecting service on the company, raising troubling questions about its corporate traceability and regulatory vetting.
A review of the company’s records filed with the Corporate Affairs Commission (CAC) revealed addresses that could not be verified as functional business locations. Notably, documentation submitted to Federal Government College (FGC), Kano, dated June 20, 2024, listed two addresses: 8B, Lalupon Street, off Keffi Street, off Awolowo Road, Ikoyi, Lagos, as its head office, and 3 Bargery Road, Bompai, Kano, as its branch office.
However, a physical visit to the Ikoyi address revealed that the entire property is occupied by a company identified as Golden Alchemy, whose staff категорically denied any knowledge of, or shared occupancy with, Pluck Global Company Limited.
Efforts to trace the Kano address yielded even more unsettling findings. The location—a locked duplex—showed no visible signs of commercial activity. Neighbours, while reluctant to speak on record, alluded to irregular movements at odd hours, casting further doubt on the legitimacy of the premises as a corporate office.
In a twist, after multiple attempts to establish contact, an individual purportedly representing the company surfaced in Kano and agreed to receive and acknowledge the court order on April 11, 2026, at approximately 6:00 pm. Curiously, the Ikoyi address—already discredited—was again listed as the company’s official address in the acknowledgment.
These developments raise critical questions regarding due diligence and Know Your Customer (KYC) protocols on the part of the Federal Ministry of Education. They also cast a spotlight on the Infrastructure Concession Regulatory Commission (ICRC), should a concession agreement indeed have been executed with the company. Stakeholders say it would be instructive to review the addresses contained in all official correspondences and contractual documents linked to the transaction.
Meanwhile, a visit to the premises of Federal Government College, Kano, revealed ongoing construction activity, with workers observed excavating foundations. When approached, the workers declined to disclose the authority under which they were operating—despite the subsistence of a court order restraining further action.
Notably, a previously installed project billboard bearing the insignia of the school authorities and the Federal Ministry of Education had been removed. Sources within the institution suggest that the directive for its removal may have emanated from the Ministry following receipt of the court order.
The unfolding situation presents a complex mix of legal, regulatory, and accountability issues—raising the spectre of possible non-compliance with judicial directives, as well as deeper concerns about transparency in public-private concession arrangements.
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