Just like rents, food and everything else; Portugal has been victim to a 1.7% increase in telecom charges over the past 12 months, a stark contrast to the rest of the European Union, which saw a mere 0.1% rise. This disparity raises concerns for Portuguese citizens and residents, who already contend with some of the lowest pay levels in the EU. Let’s examine the factors that have contributed to the nation’s soaring telecom prices.
Shocking Spike in Telecom Prices in Portugal in February
Telecom prices in Portugal went up by 4.8% in February 2023, marking the highest increase in 27 years. This unexpected hike was fueled by rising costs of materials and energy, resulting in prices unseen since January 1996. Major operators MEO, Vodafone, and NOS all raised their charges in response to these growing expenses, citing inflation as the main driver.
Comparing Telecom Price Trends in Portugal and the EU
From February 2022 to February 2023, telecom prices in Portugal rose by 3.9%, the largest positive change since December 2016. A broader analysis comparing the period between the end of 2009 and February 2023 reveals that telecom prices in Portugal have risen by 13.2%. In contrast, the European Union experienced an 8.8% decrease in telecom prices during the same time frame.
ANACOM President's Warning on Abusive Practices
João Cadete, the president of Portugal’s telecom regulatory authority (ANACOM), has identified abusive practices within the sector and alerted Members of Parliament. However, telecom giants seem to have a strained relationship with Cadete, as evidenced by their calls for his dismissal just a few months ago during the contentious 5G auction process.
Addressing the Telecom Price Disparity in Portugal
The significant increase in telecom prices in Portugal, outpacing the rest of the EU, is a concerning trend for the nation’s citizens. With influential figures like João Cadete pointing to potential abusive practices within the industry, it is crucial to examine the factors contributing to these soaring costs and seek solutions that prioritize the well-being of Portuguese consumers.
Real Life Example Of Telecom Prices in Portugal
Here are a few samples of what I have paid for my internet, mobile, cable, and landline in Lisbon.
2017
2018
2019
2020
2021
2022
2023
€86,54
€112,15
€106,17
€105,11
€104,94
€111.18
€112.74
A few notes:
- We have 2 cells, the fastest internet available, cable with premium channels, and a landline (came with the plan).
- From 2017 to 2019, we increased to the fastest available internet, so that explains the hike in price there.
- We may not feel the pinch, but locals do. The minimum wage is €760.00, when you consider the cost vs salary, it’s quite rough.
Overall, I have not noticed a huge change in our bills. I’m wondering if the rest of you are seeing the same in your bills? I’ve seen a huge increase in Electric and a bit of an increase in water…but def not telecom. Leave a comment and let me know how your telecom bills have been over the past few years.