Following ICASA's recent announcement, South African telecom operators such as MTN, Vodacom, and Cell C are set to face a 4.4% fee increase starting April 2025.
ICASA's New Fees
According to a notice by the Communications Regulator Chairperson, Mothibi Ramusi, ICASA will implement new fee increases affecting various services, including licensing, radio frequency management, and license renewals. For instance, the cost for amending and transferring licenses for electronic communication and broadcasting services will rise from R78,650 to R82,111.
Impact on Operators and Subscribers
The fee increase set by ICASA means additional costs for operators, potentially leading to higher tariffs for consumers. This is due to the need to cover the increased operational expenses, which could negatively impact company profitability and hinder network expansion and service improvements.
Relief for South African Subscribers
Amid the fee hike, the South African government plans to make smartphones more affordable for low-income citizens by removing the excise duty on devices priced under 2,500 rand.
ICASA's new fee implementation will bring significant changes for South African telecom companies and users, while the government's plan to ease smartphone costs aims to mitigate these impacts.
