This archive report was first published on 6 January 2022.
On January 6, 2022, the Communications Authority of Kenya (CA-K) announced a significant reduction in the Mobile Termination Rate (MTR) from Ksh0.99 to Ksh0.12, a move that has been met with support from Airtel Kenya, Telkom, and the Consumers Federation of Kenya (Cofek).
The decision, which was made by CA Director-General Ezra Chiloba, has been challenged by Safaricom, the country's largest telco, which argued that the regulator should have adopted a cost modelling approach to determine termination rates.
According to Safaricom, public participation was not properly undertaken, and stakeholders, including the company, were not given a chance to voice their concerns.
However, Airtel Kenya and Telkom have joined the case, backing CA's position that the move will bring charges down across networks and reduce the need for consumers to own multiple SIM cards.
As stated by Mugo Kibati, CEO of Telkom Kenya, the reduction of the MTR will help ensure a level playing field in the industry, protecting smaller operators.
The tribunal, chaired by Rosemary Kuria, has suspended the implementation of CA's decision on the MTRs until the appeal is heard and determined.