Court Rules FCCPC Lacks Power to Fix Prices in MultiChoice Subscription Dispute

Court Rules FCCPC Lacks Power to Fix Prices in MultiChoice Subscription Dispute

Abuja, May 8, 2025 — The Federal High Court in Abuja has ruled that only the President of Nigeria has the legal authority to fix or suspend prices in the country, declaring actions taken by the Federal Competition and Consumer Protection Commission (FCCPC) against MultiChoice Nigeria as beyond its powers.

The court’s decision followed a legal dispute between the FCCPC and MultiChoice Nigeria, owners of DStv and GOtv, over a recent increase in subscription fees. MultiChoice had announced a price hike effective March 1, 2025, citing inflation and rising operational costs. The increase affected all packages, with some prices rising by as much as 25%.

Delivering judgment on Thursday, Justice James Omotosho ruled that the FCCPC acted outside its statutory limits by directing MultiChoice to suspend the price hike. The judge said while the FCCPC has powers to investigate market activities, it does not have the authority to regulate prices unless such powers are explicitly delegated by the President through a gazetted instrument—a condition not met in this case.

“The power to fix prices is exclusively that of the President. Any decision taken without such delegation is a nullity,” Justice Omotosho held.

The court also dismissed MultiChoice’s suit as an abuse of court process, noting that similar proceedings were already ongoing in another court. Justice Omotosho said the company should have pursued its arguments in that existing case rather than initiating fresh litigation.

On the FCCPC’s claim that MultiChoice held a dominant market position, the court rejected the assertion, arguing that the services offered by MultiChoice are discretionary and not essential to the public.

“Nigeria can do without it,” the judge remarked, warning that arbitrary price controls by regulatory bodies could deter foreign investment and harm the nation’s economy.

The ruling affirms the country’s commitment to a free market economy, where service providers are permitted to set prices independently, while consumers retain the right to accept or reject services.

The judgment is a significant clarification of regulatory boundaries and is expected to have broader implications for consumer protection and business regulation in Nigeria.

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