In March 2025, MultiChoice Ghana, the operator of DSTV, raised its subscription costs, triggering public backlash. Quickly after, the Ghanaian cedi appreciated considerably in opposition to the US greenback, gaining roughly a 3rd of its worth. Regardless of the change in change price, DSTV didn’t modify its costs downward. From primary economics, a agency with no aggressive strain has little incentive to scale back costs, even when market situations change.
On July 4, 2025, the Minister for Communications, Digital Know-how and Innovation, Hon. Samuel Nartey George, met with MultiChoice and demanded a 30 p.c value discount to mirror the cedi’s appreciation. Whereas commendable, this intervention highlights the underlying subject of Ghana’s lack of a complete competitors legislation that may maintain dominant corporations accountable and guarantee honest market conduct.
Market Energy and Pay-TV Monopoly
Market energy refers to a agency’s skill to affect costs or output with out being constrained by aggressive forces. MultiChoice, although not formally designated a big market energy (SMP) by regulators, wields clear dominance. By means of unique rights to premium content material just like the English Premier League (EPL) and UEFA Champions League, DSTV enjoys a singular place in Ghana’s pay-TV market. These content material exclusivities create a bottleneck monopoly, the place different gamers can not compete successfully with out entry to the identical content material. Even when the sector is liberalized, no rival can match DSTV’s enchantment with out such programming rights.
This content material lock-in restricts competitors, reduces shopper alternative, and entrenches market dominance. It additionally permits MultiChoice to set excessive costs with out concern of dropping subscribers to viable alternate options. That is the place MultiChoice’s market energy begins.
The Limits of Regulatory Interventions
The Minister’s name for a 30 p.c value reduce might convey momentary aid, however it’s a short-term repair. In a deregulated market, costs are presupposed to be decided by provide and demand, not authorities directives. Aggressive and market forces are the drivers of costs and enhance service high quality. When corporations lack competitors, they will preserve inflated costs with little accountability.
Furthermore, frequent regulatory interventions in liberalized sectors create uncertainty. Traders might view such actions as arbitrary, doubtlessly deterring funding within the telecom and media markets. The extra sustainable strategy is to construct a aggressive atmosphere that compels corporations to decrease costs and enhance companies voluntarily.
The Position of Competitors Regulation
A sound competitors legislation is required to handle abuse of dominance, value exploitation, and anti-competitive conduct. Competitors legislation and regulatory instruments have been used globally to problem and reasonable the results of unique licensing of premium soccer content material. Instances like Murphy v. Media Safety, interventions in Germany, and scrutiny in South Africa present that regulators can compel fairer market outcomes. In Germany, the Federal Cartel Workplace required the German Bundesliga to promote broadcast rights in a manner that ensures no single purchaser will get all rights.
This led to a no-single-buyer rule, making certain extra competitors within the broadcasting of soccer in Germany. This prevents content material from getting used to entrench monopoly energy.
Ghana’s long-pending Competitors and Honest Commerce Practices Invoice, 2019, supplies a complete authorized framework to manage anti-competitive conduct. If enacted, it might deal with market energy and unique licensing agreements between MultiChoice and its upstream content material suppliers. This would cut back entry limitations, encourage extra service suppliers, enhance shopper alternative, and drive costs down via wholesome competitors.
The legislation would additionally deal with dangerous practices comparable to unique contracts, refusal to deal, predatory pricing, and market foreclosures, making certain a stage taking part in area.
Systemic Options Past Quick-Time period Fixes
Whereas the Minister’s directive might serve shopper pursuits within the quick time period, it doesn’t resolve the structural challenges within the pay-TV sector. The Digital Communications Act, 2008 (Act 775), offers some regulatory energy to the Nationwide Communications Authority (NCA), however its provisions are restricted in scope and weak in addressing competitors issues.
The delay in passing the competitors invoice, almost twenty years after Ghana started creating it, has left the market uncovered to monopolistic conduct. Encouragingly, each the 2024 NDC Manifesto and the 2025 Finances Assertion (Paragraph 553) state that “the Commerce Ministry may also undertake a complete evaluation of the Made-in-Ghana Merchandise Coverage, advocate for the passage of the Client Safety and Competitors and Enterprise Regulatory Reforms Fee Invoice.”
Past DSTV, competitors legislation is crucial for different sectors in Ghana’s economic system. It might promote transparency, stimulate innovation, and improve market effectivity. It additionally aligns with the federal government’s 24-Hour Economic system initiative by creating fairer enterprise environments.
Multichoice would possibly argue that pricing choices are taken at a regional or continental stage, however that doesn’t absolve it of duty to Ghanaian shoppers. If forex appreciation lowers operational prices, that profit ought to mirror in native pricing. Solely a correct competitors regime can implement this accountability in a constant and honest method.
The Approach Ahead: Passing the Competitors Regulation
Ghana urgently must cross the Competitors and Honest Commerce Practices Invoice. A coordinated effort between the Ministry of Communications and the Ministry of Commerce and Trade might fast-track the method. Enacting this legislation would empower regulators to watch dominant corporations, implement honest licensing, and encourage aggressive conduct throughout sectors.
A sturdy competitors regime would defend shoppers, appeal to funding, and guarantee costs mirror market situations and never monopoly dictates. It might additionally help the expansion of native content material and entrepreneurship within the media and telecom industries.
Conclusion
In conclusion, regulatory directives, whereas helpful in particular moments, aren’t any substitute for complete authorized and institutional frameworks. Passing the competitors invoice is not only well timed, it’s obligatory for making a balanced, environment friendly, and consumer-friendly economic system. Article 12 (3) of the AfCFTA Protocol on Competitors Coverage mandates “State Events with out competitors legislation and enforcement our bodies to enact competitors legal guidelines and set up competitors enforcement our bodies upon entry into drive of this Protocol or their accession to the AfCFTA Settlement.” Ghana can’t be an efficient participant within the single African market with out aligning with these requirements.
NB: The author is a lawyer and a contest economist, and a shopper safety advocate. He’s the West Africa Regional Director of CUTS Worldwide. He might be contacted by way of electronic mail: apa@cuts.org or www.cuts-accra.org or 0302-254-5652.
DISCLAIMER: The Views, Feedback, Opinions, Contributions and Statements made by Readers and Contributors on this platform don’t essentially symbolize the views or coverage of Multimedia Group Restricted.
DISCLAIMER: The Views, Feedback, Opinions, Contributions and Statements made by Readers and Contributors on this platform don’t essentially symbolize the views or coverage of Multimedia Group Restricted.
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