The Communications Authority of Kenya (CA) plans to raise Ksh 40.04 billion from telecommunication service providers to enhance connectivity in underserved areas across Kenya.
Through the Universal Service Fund (USF) where telcos contribute 0.05pc of their gross profit to improve access in underserved areas, CA says the funds will be use to provide access to at least 1.5 million people across the country.
“Now we are going to implement phase four in about 311 sub locations so that telephone communication in those areas can be at least at par with our urban areas. The private sector prefers deploying infrastructure where they will recoup profit. Our main aim as CA is to enable these telecos reach areas where they cannot use a lot of resource. We provide infrastructure and they come and provide the services,” said David Muganyi, Director General.
Through the five year Universal Service Fund Strategy 2023-2027, increase of broadband coverage and usage in underserved and underserved communities has been allocated the largest share of Ksh 29.05 billion equivalent to 73pc of the entire funding projection.
According to CA, the access gap study conducted in 2021revealed coverage of 96.4pc with the new strategy now targeting to increase access to 100pc within the next five year.
Mugonyi says CA is now working with security agencies to ensure the infrastructure has been secured especially in high risk areas which have faced vandalism and destruction.
“We have areas where we have a little penetration of Al-Shaabab who do not want to see any telecommunication infrastructure in those areas because they know with good infrastructure the people can inform security agencies of their presence. So they try as much as possible to undermine the construction of such infrastructure but we are working very well with the military and the police to ensure such infrastructure is well protected,” added Mugonyi.
Under the strategy, Ksh 865 million has been earmarked for increasing digital terrestrial television and radio population coverage in the identified areas, Ksh 3.1 billion for expansion of postal and courier services while Ksh 4.57 billion has been earmarked for digital empowerment for youths, women, elderly, persons with disabilities and vulnerable groups.
“Considering the scarcity of resources required to cover the costs of the proposed initiatives under the Strategy, the Authority has laid out an elaborate plan to mobilize resources from partnering agencies, licensees and other development partners to deliver the vision of Digital Access for All,” said Mary Mungai, CA Chair.
CA has also allocated Ksh 453 million to improve institutional performance in order to improve absorption rate and performance of the fund.
“The Universal Service Fund is more than a financial tool; it is a beacon of equity, and a symbol of our shared commitment to bridge the digital divide and ensure that no one is left behind on this journey of transformation,” added James Ongwae, Universal Service Advisory Council (USAC) Chairperson.
CA says it has also embarked on market review structure on the contribution currently being made to the fund by licensees.
