Why Pay-As-You-Go May Not Apply In Pay TV Industry – FCCPC Boss Irukera

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Nigerians expecting Pay-As-You-Go billing mode used in telecommunications service to apply in the Pay-TV industry are being unrealistic, the Chief Executive of the Federal Competition and Consumer Protection Commission (FCCPC), Mr. Babatunde Irukera, said.

He said that this was so because broadcast content must have been paid for and customers only pay for access unlike in telecommunications where the subscriber only pays when the timer starts.

Irukera, who is a lawyer, gave the explanation Friday in an appearance on Channel Television‘s programme, Sunrise Daily.

The FCCPC boss said that subscribers demanding pay-as-you go billing mode for pay television were acting based on an erroneous premise.

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He revealed that the commission had been getting requests from pay-TV subscribers urging it to compel the service providers to adopt Pay-As-You-Go billing.

Irukera said this was outside the FCCPC’s purview.

“Our role is to make sure that consumers get the best possible from a consumer protection standpoint; from the competition standpoint, to make that the playing field is level. And we don’t impose business models on operators. They choose what they want to do and the price is something that is negotiated between consumers and sellers. But if we see that there is a business model that is more profitable, beneficial to consumers, we will certainly advance that.
“My challenge with what sometimes is the discussion around pay-as-you-go in pay TV is that there is a disconnection and we’ve been through this.

“We have conducted some investigations and we have done some surveys in different parts of the world.

“The pay-as-you-go model in telecommunications is not necessarily applicable and so we confuse it sometimes with pay-per-view.

“Pay-per-view is not that you pay for what you view from the point of when you turn your television on.

“It is primarily that there are certain programmes, maybe a boxing match, a soccer match or some movies that are still in the cinemas that some of the pay TV operators have bought and you can literally request instead of going to a stadium or going to a cinema to watch, you can watch it in your home and pay for that view.

“That is pay-per-view, but we confuse it with pay-as-you-go.

“What people are asking for in pay-as-you-go is when you turn on your television and you are watching, you pay. When you turn off your television and you are not watching, you don’t pay.

“It is difficult because the content has been created, what you are paying for is access.

“How you use the access is entirely discretionary and up to you.

“Unlike the telephone where the clock starts and the airtime goes down, you have paid for content,” Irukera said.

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