Telcos, broadcasters to lose idle spectrum frequencies

Telecommunication operators like Safaricom, Airtel and Telkom Kenya and broadcasters including radio and TV stations face loss of idle frequency spectrum as the regulator moves to clamp down on hoarding of the assets.

New guidelines on the use of frequency spectrum published by the Communications Authority of Kenya (CA) have introduced a “use or lose it” policy.

This will see the regulator repossess unused spectrum. CA said the guidelines are meant to prevent hoarding of spectrum, a practice that industry insiders say has resulted in the emergence of a speculative black market for spectrum to the detriment of prospective operators.

“The Communications Authority will repossess any spectrum that has not been put into use following expiry of the period stipulated for the licensee,” said the CA.

“This will be implemented in accordance with the stipulated conditions of frequency assignment or license.”

CA could not immediately be reached to confirm whether any operator(s) in the various telecoms are hoarding or hogging unused spectrum.

The regulator, however, said in the notice that the guidelines are aimed at establishing “efficient and effective management of radio frequency spectrum that will contribute to national development, socio-economic growth, employment and public welfare.”

Analysts have often called for transparency in the allocation of spectrum to enhance competition.

Audit firm Deloitte in 2012 urged CA to repossess idle spectrum within the custody of some broadcasters.

The withdrawal of the idle frequencies, the firm said then, would “facilitate the registration of more players and spur competition.”

In 2015, Kenya kicked off a switchover from analogue to digital television, freeing up 700MHz and 800MHz spectrum bands, otherwise known as the digital dividend.

Last September, telecoms firm Safaricom called for a level playground in spectrum allocation among telecoms firms, one of the key assets in the telecommunications sector.