CAMA laments over Airtel’s data bundle tariff increase Airtel’s when Malawians were expecting reduction

* 44% price reduction on data pay as you go

* Up to 31% reduction in headline voice tariff

* Average of 20% increase on MoFaya bundles

* An average of 20% increase on voice bundles

* Average of 26% increase in SMS bundles and removal of SMS bonus

By Duncan Mlanjira

Following the increase of data bundle tariffs by Airtel Malawi Plc, Consumer Association lament the upward adjustment, saying it has come at a wrong time when Malawians were expecting them to be reduced — as was promised by President Lazarus Chakwera and his Minister of Information, Gospel Kazako.

In a statement issued on Wednesday (November 9, CAMA Executive Director, John Kapito further accuses Airtel that “within this year have had many unjustified tariff increases but with no improvement on their services”.

However, a public notice issued last week, Airtel Malawi said some of its products and services would be revised effective this Wednesday as follows:

* 44% price reduction on data pay as you go

* Up to 31% reduction in headline voice tariff

* Average of 20% increase on MoFaya bundles

* An average of 20% increase on voice bundles

* Average of 26% increase in SMS bundles and removal of SMS bonus.

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The company explained that the revision was necessitated “largely on the back of soaring cost of doing business following the 25% devaluation of Malawi kwacha in May 2022, rising energy costs and their domino effects.

“As can be noted the effective price change is below 25%. While Airtel has absorbed the ensuing pressure from these headwinds for more than 5 months, the value dilution has become unsustainable.

“It is prudent to revise accordingly to protect Airtel’s broad stake holder base interests as well as guard its capability to continue to deliver quality of services to customers.

“Furthermore, some of Airtel’s products will be discontinued in order to streamline and simplify the product portfolio for customer convenience.

“The price revision is being implemented following requisite regulatory approvals and the following are the detailed price and product changes.

However, Kapito pushed it on the promises that both Chakwera and Kazako pledged recently that data bundle tariffs would drastically be reduced and asked both of them “to explain to Malawians why we are witnessing high bundle tariff increases”.

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CAMA is aware that the interest of Airtel is driven by greed and profit even when the quality of their services are poor and we are surprised that the regulatory authorities reward the poor services with such huge tariff increases and at no time are they punished when they offer poor services.

“When the State President was informing consumers of reduced bundle tariffs, it was understood that he will stand by what he said and it created an expectation among consumers considering the outcry against these ever high mobile bundle tariff increases.

“Malawians are still expecting lower tariff bundles as a tool to facilitate the ever growing demand for mobile money market and communication.”

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Kapito further disclosed that Malawi happens to have the lowest usage of mobile phones and is one country in Southern Africa Development Community (SADC) “with the highest internet charges”, adding the consumers’ hope was that the promises that were made by the President and Kazako “would be implemented for the good and growth of financial inclusion and internet services in the country”.

He implored on the President that “to make this promise come true and if not we are asking you and your Ministers to stop making any more promises to consumers.

“You have made so many promises and you don’t even remember them, can you from now stop lying to poor Malawians — that’s cheap leadership.

“We are no longer interested in your lies, why should you find comfort in lying about everything and especially those things that matter to Malawians who are struggling for the very basics in life.”

Kapito concluded by saying: “Where is your credibility and integrity in what you say?”

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