Telcos agree to USSD End-User Billing system, commence migration today
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- Telcos agree to USSD End-User Billing system, commence migration today
By Upfrontdigital News
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By Favour Unukaso
TELECOMMUNICATIONS operators have agreed to commence the End-User Billing (EUB) model for Unstructured Supplementary Service Data (USSD) services, and it takes effect from today, Wednesday, June 18, 2025.
The telcos under the Association of Licensed Telecom Operators of Nigeria (ALTON) made this known yesterday in a statement signed by the Chairman and Publicity Secretary, Gbenga Adebayo and Damian Udeh respectively.
Recall that there was a brouhaha a few weeks back when the Deposit Money Banks (DMBs) suddenly informed subscribers that USSD charges will now be from their airtime directly. The telcos had kicked against that on the ground that the migration would only commence with banks that met the stipulated agreement between both parties, especially on the modalities.
As it is, with the telcos announcing the commencement of migration, it means there has been an agreement from both parties.
Indeed, ALTON noted that this transition marks a significant milestone in the evolution of Nigeria’s digital financial ecosystem and is being implemented per the Determination of USSD Pricing and Services issued by the Nigerian Communications Commission (NCC).
The telecom body informed that the Determination was developed in collaboration with the Central Bank of Nigeria (CBN) and other key stakeholders to ensure a sustainable, transparent, and customer-friendly framework for USSD service delivery.
It explained that USSD services play a vital role in expanding access to financial services, particularly for unbanked and underbanked populations.
“However, the previous corporate billing model—where banks were billed by telecom operators—led to prolonged disputes over unpaid charges, service interruptions, and uncertainty for customers,” it stated.
To address these challenges, ALTON said the NCC’s 2025 Determination introduced the End-User Billing model, which allows mobile network operators to charge customers directly for USSD sessions.
According to the telcos, to achieve the implementation of the EUB model, the CBN and NCC have stipulated that only banks that meet certain regulatory and operational conditions are permitted to migrate.
ALTON noted that one of which is the notification to customers of the billing change in advance, and to ensure that customers are fully aware of the new airtime-based charges and how they will be applied. Accordingly, under the new billing model, USSD charges will be deducted directly from the customer’s airtime balance, not from their bank account, and each USSD session will attract a charge of ₦6.98 per 120 seconds.
To enjoy the service, ALTON said customers will receive a prompt to opt in and approve the charge before any deduction is made, and there will be no double billing as billing will only occur for successful sessions via airtime deductions. ALTON wishes to reiterate that this change does not affect the availability or functionality of USSD banking services, as customers can continue to use their bank’s USSD codes as usual, provided they have sufficient airtime.
Adebayo, ALTON boss
To ensure a smooth transition, ALTON advises customers to follow these support guidelines, including, “For access issues (e.g., inability to dial USSD codes), contact your mobile network operator; for transaction-related issues (e.g., failed transfers or service errors), contact your bank’s customer service; both banks and mobile network operators are required to provide responsive support and ensure that customers can access and use USSD services without disruption.
According to the telcos, alternative digital banking channels such as mobile apps, Internet banking, and ATMs remain fully operational and available for customer convenience.
ALTON reiterates its commitment to working closely with the NCC, CBN, financial institutions, and other stakeholders to ensure that this transition is seamless, equitable, and beneficial to all parties, especially the end users.
“We remain dedicated to promoting transparency, operational efficiency, and consumer protection across Nigeria’s telecommunications and digital finance sectors,” it stated.