[kictanet] CCK to renew Safaricom's licence

[Ali Hussein]

Wambua

I figured. :-)

Thanks for the response. I'm still curious about the USF. Why is it taking
so long to get off the ground?

Regards

*Ali Hussein*

*CEO, 3mice interactive media ltd*

*Partner, Telemedia Africa Ltd
*



Tel: +254713601113

Twitter: @AliHKassim

Skype: abu-jomo

LinkedIn: http://ke.linkedin.com/in/alihkassim<http://ke.linkedin.com/in/alihkassim>

Blog: www.alyhussein.com


Any information of a personal nature expressed in this email are purely
mine and do not necessarily reflect the official positions of the
organizations that I work with.


On Tue, Jul 30, 2013 at 8:06 AM, Wambua, Christopher <Wambua at cck.go.ke>wrote:

>  Ali,****
>
> ** **
>
> I missed it, and thanks for the reminder.****
>
> ** **
>
> As you may appreciate, I have no competence to speak on behalf of the
> National Treasury.  However, my assumption is that that the money goes to
> big kitty.  This may not necessarily be bad for the sector as the same
> money could be used to develop infrastructure i.e. roads, electricity etc.
> which are crucial for deployment of ICT infrastructure. Infrastructure is
> also important in supporting productive activities without which
> consumption of ICT services would be a challenge.****
>
> ** **
>
> The renewal of Airtel is due in February 2014, Essar in 2018, and Orange
> in December 2022.   It is not expected that shareholders would fail to pay
> as they have many options of raising the money. If they fail to meet the
> renewal requirements, the Commission would *consider* a number of options
> including auctioning the spectrum. ****
>
> ** **
>
> In respect to the Fund, the Commission is currently consolidating licensee
> comments/input on the USF framework. The framework is meant to inform the
> public and all stakeholders about the key aspects, considerations, and
> principles that the Commission shall uphold in administering the Fund (the
> framework is available at
> http://www.cck.go.ke/links/consultations/current_consultations/USF-Framework.pdf)
> . Once this exercise is completed, the Commission shall embark on the
> process of invoicing licensees for the levy with a view to bringing the
> Fund into operation. ****
>
> ** **
>
> Best regards,****
>
> ** **
>
> *Christopher Wambua*
>
> *Manager – Communications*
>
> *Consumer and Public Affairs Department*
>
> *Communications Commission of Kenya*
>
> *P.O. Box 14448 NAIROBI 00800*
>
> *Tel: +254 20 4242209*
>
> *info at cck.go.ke*
>
> *www.cck.go.ke*
>
> * *
>
> ** **
>
> ** **
>
> *From:* Ali Hussein [mailto:ali at hussein.me.ke]
> *Sent:* Tuesday, July 30, 2013 3:52 AM
>
> *To:* Wambua, Christopher
> *Cc:* Consumer and Public Affairs; KICTAnet ICT Policy Discussions
> *Subject:* Re: [kictanet] CCK to renew Safaricom's licence****
>
>  ** **
>
> Bwana Wambua****
>
> ** **
>
> I'm assuming you missed this:-****
>
> ** **
>
> Wambua****
>
>
>
> ****
>
> Thanks for sharing. That's quite abit of change there! :) may I ask a few
> questions?****
>
>
>
> ****
>
> 1. How does the exchequer spend this money? Is this plowed back into the
> sector or does it go into the big kitty and used up among the other monies
> in the treasury?****
>
>
>
> ****
>
> 2. When are the other telcos licenses coming up for renewal? I'm asking
> this as I feel its pertinent and linked to the continued vibrancy and
> competitiveness in the sector. I'm very curious whether the other Telcos -
> Orange, Yu and Airtel have the local balance sheets to afford this new fee
> unless their mother companies bail them out. The case of Orange is obvious.
> They are already asking Telcom France and the Kenyan Government to pump in
> several billion shillings in a rescue package. So my question is
> this:- When these licenses come up for renewal and these companies fail to
> pay up what's the plan? Will we yank their licenses? ****
>
>
>
> ****
>
> 3. Lastly Wambua, I have asked this question severally. Where are we at on
> the issue of the Universal Access Fund? Based on the presentation by Madame
> Susan Mochache-Wekesa it is very obvious that the country requires to
> double up on the rollout of the NOFBI to ensure universal broadband access.
> We know that the members are now in place and its been several months. Can
> we have a status report on the activities so far and their 5 year Strategic
> Plan?****
>
> ** **
>
> ** **
>
> Ali Hussein****
>
> CEO | 3mice interactive media Ltd****
>
> Principal | Telemedia Africa Ltd****
>
> ** **
>
> +254 713 601113/ 0770 906375****
>
>
>
> ****
>
> "The future belongs to him who knows how to wait." - Russian Proverb****
>
> ** **
>
> Sent from my iPad****
>
>
> On Jul 29, 2013, at 5:38 PM, "Wambua, Christopher" <Wambua at cck.go.ke>
> wrote:****
>
>  Edith/Listers****
>
>  ****
>
> One of the responsibilities of CCK is to protect the interests of
> consumers, including against poor quality of service. To this end, CCK
> independently monitors the QoS on annual basis to determine whether
> licensees meet the minimum set parameters or standards.  Each year, we
> publish the performance of the four mobile operators in respect to QoS to
> empower consumers make informed choices in the market.  We also levy
> penalties on non-compliant licensees (i.e. those that do not meet the set
> standards).  The penalties stipulated in the Kenya Information and
> Communications Act, CAP 411A of Kshs500,000, are however too low and do not
> serve as an adequate deterrent. To address this, the penalties have been
> enhanced in the proposed Kenya Information and Communications (Amendment)
> Bill. CCK is also enhancing its monitoring  capabilities to be able to
> process and publish the performance results more frequently for public
> information and as a way of encouraging service providers to provide
> quality services. ****
>
>  ****
>
> The monitoring results also assist licensees to identify areas of
> non-compliance for purposes of improvement.  Arising from our concern over
> QoS performance, CCK has requested non-compliant licensees to submit action
> plans on how they intend to improve on QoS. ****
>
>  ****
>
> Let me also add that QoS is a major consideration in the renewal of
>  licences for the mobile operators and other service providers.  The
> renewal of the Safaricom licence is due in June 2014.  CCK is looking
> forward to enhancing the licence conditions in respect to QoS to make
> ensure that consumers get value for their money. ****
>
>  ****
>
> Best regards,****
>
>  ****
>
> *Christopher Wambua*****
>
> *Manager – Communications*****
>
> *Consumer and Public Affairs Department*****
>
> *Communications Commission of Kenya*****
>
> *P.O. Box 14448 NAIROBI 00800*****
>
> *Tel: +254 20 4242209*****
>
> *info at cck.go.ke*****
>
> *www.cck.go.ke*****
>
> * *****
>
>  ****
>
>  ****
>
> *From:* Edith Adera [mailto:eadera at idrc.ca <eadera at idrc.ca>]
> *Sent:* Monday, July 29, 2013 4:43 PM
> *To:* Wambua, Christopher
> *Cc:* Consumer and Public Affairs; KICTAnet ICT Policy Discussions
> *Subject:* RE: [kictanet] CCK to renew Safaricom's licence****
>
>  ****
>
> Dear Wambua,****
>
>  ****
>
> Thanks for bringing this issue to our attention. Actually, 2 weeks ago an
> email I had composed for the list got deleted before I could deliver
> it…then I got swamped!****
>
>  ****
>
> The email was about the “poor quality of service”  from Safaricom – too
> many dropped calls, uncompleted calls, undelivered sms”, hanging sms” etc.
> and asking the BIG QUESTION: “WHAT IS CCK DOING ABOUT THIS UNACCEPTABLY
> LOW QUALITY OF SERVICE?”****
>
>  ****
>
> I see you have suggested that renewal of license is subject to “
> …..meeting set minimum quality of service standards by June 2014.”****
>
>  ****
>
> Why by June 2014?****
>
>  ****
>
> We want good service NOW!****
>
>  ****
>
> Can CCK address this *now* and get back to us telling us what will be
> done *now* and NOT June 2014?****
>
>  ****
>
> Concerned Edith****
>
>  ****
>
>  ****
>
> *From:* kictanet
> [mailto:kictanet-bounces+eadera=idrc.ca at lists.kictanet.or.ke] *On Behalf
> Of *Wambua, Christopher
> *Sent:* July 26, 2013 4:48 PM
> *To:* Edith Adera
> *Cc:* Consumer and Public Affairs; KICTAnet ICT Policy Discussions
> *Subject:* [kictanet] CCK to renew Safaricom's licence
> *Importance:* High****
>
>  ****
>
> Listers, ****
>
>  ****
>
> *CCK to renew Safaricom’s licence *****
>
>  ****
>
> Kenya’s largest mobile operator – Safaricom – will pay Kshs2.36billion
> (US$27million) for renewal of its operating licence for a further term of
> 10 years.****
>
>  ****
>
> CCK today announced that the renewal of Safaricom’s licence would depend
> on the operator paying the renewal fee upfront and meeting the set minimum
> quality of service standards by June 2014. Safaricom’s initial licence term
> of 15 years is set to expire on 30th June 2014 but has a provision for a
> possible renewal for a further term of 10 years. ****
>
>  ****
>
> Addressing the media at the CCK offices, CCK Director General Mr. Francis
> Wangusi said the renewed Safaricom licence would come with a set of new
> licence terms and conditions negotiated between the regulator and the
> mobile operator. ****
>
>  ****
>
> The licence renewal fee of US$27 million is based on the bid price offered
> for the third GSM mobile licence by the latest entrant to the mobile
> telecoms market in Kenya -Econet Wireless Kenya Ltd (now Essar Telecom
> Kenya Ltd).  ****
>
>  ****
>
> The Director General said that whereas Safaricom has significantly
> contributed to the economy, developed innovative products and services and
> met most its licence obligations, the mobile operator needs to up its game
> in regard to meeting the set quality of service standards. ****
>
>  ****
>
> ‘‘We have  considered the fact that whereas Safaricom has met most of its
> licence obligations, its continued failure to meet the set Quality of
> Service standards remains a concern that needs to be addressed,’’ said Mr.
> Wangusi.****
>
>  ****
>
> Mr. Wangusi further said the three other mobile operators would pay the
> same amount for renewal of their licences for a further term of 10 year to
> ensure parity and a level playing ground for all service providers in the
> sector. ****
>
>  ****
>
> At the sametime, the Director General said the spectrum assigned to the
> four mobile operators will be subjected to an auction after the expiry of
> the 10-year renewal term. , ****
>
> The full statement of the Director General is available on the CCK website
> at
> http://www.cck.go.ke/news/speeches/2013/Press_statement__Safaricom_licence.pdf
> ****
>
>  ****
>
> *Wambua*****
>
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> The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform
> for people and institutions interested and involved in ICT policy and
> regulation. The network aims to act as a catalyst for reform in the ICT
> sector in support of the national aim of ICT enabled growth and development.
>
> KICTANetiquette : Adhere to the same standards of acceptable behaviors
> online that you follow in real life: respect people's times and bandwidth,
> share knowledge, don't flame or abuse or personalize, respect privacy, do
> not spam, do not market your wares or qualifications.
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