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<p class="MsoNormal"><span style="color:#1F497D">Wambua,<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">This is a very “generic” response!<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Am I right in reading from your email that NOTHING much is done for poor QoS until licenses are up for renewal? What SPECIFIC actions have been taken to-date? When should we expect better QoS before June 2014?<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">OR are we dealing with a case of “regulatory capture”?<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Edith<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span lang="EN-US" style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span lang="EN-US" style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> Wambua, Christopher [mailto:Wambua@cck.go.ke]
<br>
<b>Sent:</b> July 29, 2013 5:39 PM<br>
<b>To:</b> Edith Adera<br>
<b>Cc:</b> Consumer and Public Affairs; KICTAnet ICT Policy Discussions<br>
<b>Subject:</b> RE: [kictanet] CCK to renew Safaricom's licence<br>
<b>Importance:</b> High<o:p></o:p></span></p>
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</div>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D">Edith/Listers<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D">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. <o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D">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. <o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D">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.
<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D">Best regards,<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></p>
<div>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D">Christopher Wambua<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D">Manager – Communications<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D">Consumer and Public Affairs Department<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D">Communications Commission of Kenya<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D">P.O. Box 14448 NAIROBI 00800<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D">Tel: +254 20 4242209<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D"><a href="mailto:info@cck.go.ke"><span style="color:#1F497D">info@cck.go.ke</span></a><o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D"><a href="http://www.cck.go.ke"><span style="color:#1F497D">www.cck.go.ke</span></a><o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-US" style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span lang="EN-US" style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span lang="EN-US" style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> Edith Adera
<a href="mailto:[mailto:eadera@idrc.ca]">[mailto:eadera@idrc.ca]</a> <br>
<b>Sent:</b> Monday, July 29, 2013 4:43 PM<br>
<b>To:</b> Wambua, Christopher<br>
<b>Cc:</b> Consumer and Public Affairs; KICTAnet ICT Policy Discussions<br>
<b>Subject:</b> RE: [kictanet] CCK to renew Safaricom's licence<o:p></o:p></span></p>
</div>
</div>
<p class="MsoNormal"><span lang="EN-US"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Dear Wambua,<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">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!<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">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
<span style="color:red">BIG QUESTION: “WHAT IS CCK DOING ABOUT THIS UNACCEPTABLY LOW QUALITY OF SERVICE?”<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">I see you have suggested that renewal of license is subject to “ …..meeting
</span><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB">set minimum quality of service standards by June 2014.”<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB">Why by June 2014?<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB">We want good service NOW!<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB">Can CCK address this
<u>now</u> and get back to us telling us what will be done <u>now</u> and NOT June 2014?<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;mso-fareast-language:EN-GB">Concerned Edith<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span lang="EN-US" style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span lang="EN-US" style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> kictanet
<a href="mailto:[mailto:kictanet-bounces+eadera=idrc.ca@lists.kictanet.or.ke]">[mailto:kictanet-bounces+eadera=idrc.ca@lists.kictanet.or.ke]</a>
<b>On Behalf Of </b>Wambua, Christopher<br>
<b>Sent:</b> July 26, 2013 4:48 PM<br>
<b>To:</b> Edith Adera<br>
<b>Cc:</b> Consumer and Public Affairs; KICTAnet ICT Policy Discussions<br>
<b>Subject:</b> [kictanet] CCK to renew Safaricom's licence<br>
<b>Importance:</b> High<o:p></o:p></span></p>
</div>
</div>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span lang="EN-US">Listers, <o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><b><u><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">CCK to renew Safaricom’s licence
<o:p></o:p></span></u></b></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";color:#002060;mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">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.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:7.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">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.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:7.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">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.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:7.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">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).
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:7.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">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.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:7.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">‘‘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.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:7.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">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.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:7.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">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. , <o:p>
</o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif";mso-fareast-language:EN-GB">The full statement of the Director General is available on the CCK website at
<a href="http://www.cck.go.ke/news/speeches/2013/Press_statement__Safaricom_licence.pdf">
http://www.cck.go.ke/news/speeches/2013/Press_statement__Safaricom_licence.pdf</a> <o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-US" style="font-size:12.0pt;font-family:"Trebuchet MS","sans-serif""><o:p> </o:p></span></p>
<p class="MsoNormal"><b><span lang="EN-US" style="font-family:"Trebuchet MS","sans-serif"">Wambua<o:p></o:p></span></b></p>
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