DIGICEL PNG has confirmed a 5 percent increase in its postpaid services prices, according to a leaked letter that has circulated on various forums. The letter, which was shared with customers, cites three consecutive years of rising consumer price index (CPI) as the primary reason for the price adjustment.
The increase will affect a range of postpaid services, including Mobile Data, Voice, SMS, M2M (Machine to Machine), and Fixed Voice services, which are predominantly used by corporate clients. This adjustment marks the first price hike since March 2022.
In the letter, DIGICEL PNG acknowledges the significance of affordability for its customers but emphasizes the necessity of investing in network infrastructure to support the growing demand for connectivity. The company states, “We understand the importance of affordability for our customers; however, it is essential that we continue to invest in our networks to support your growing businesses’ growth and dependence on connectivity.”
The company also highlights that the cost of providing these services has risen substantially over the past two years, reflecting broader economic trends in Papua New Guinea. The letter points out that inflationary pressures and the depreciation of the Kina have contributed to increased business costs.
This price adjustment follows similar moves by other businesses in PNG. In May, Ramu Agri Industries Ltd announced a price increase effective June 1, 2024. SP Brewery also informed its customers of upcoming price hikes across its domestic product range. Recently, Air Niugini indicated potential adjustments to airfares, although the airline later announced that these changes were on hold.
Port Moresby Chamber of Commerce and Industry President Rio Fiocco noted that many of the chamber’s members have raised their prices over the past year due to the ongoing economic pressures.
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