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Network Facility Provider Licence (Tier 1) Fees / Charges

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  • Author Nairobi Online
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Network Facility Provider Licence (Tier 1) Fees / Charges
A Network Facilities Provider (NFP) Tier 1 Licence, issued by the Communications Authority of Kenya (CA), authorises a company to build and commercially operate telecommunications infrastructure across the entire country, with guaranteed national spectrum reservation. This is the licence category held by Kenya's three major mobile network operators.

CA Fee Schedule for NFP Tier 1

Charge Amount
Licence Application Fee KES 5,000
Initial Operating Licence Fee KES 15,000,000
Annual Operating Fee 0.4% of annual gross turnover or KES 4,000,000, whichever is higher
Licence Period 15 years
In addition, NFP Tier 1 operators must pay for frequency spectrum access separately, calculated through a bid or assessed price for exclusive countrywide frequency utilisation, plus annual spectrum reservation and utilisation fees based on bandwidth and coverage.

Who Needs This Licence?

Tier 1 status is reserved for operators deploying infrastructure nationally and seeking guaranteed access to spectrum on a countrywide basis — currently held by Safaricom, Airtel Networks Kenya, and Telkom Kenya.

Requirements

  • Strong financial backing to fund nationwide infrastructure rollout
  • Technical and operational plans covering the entire country
  • Compliance with CA's network rollout obligations and timelines
  • Spectrum efficiency and interference-avoidance commitments

Application Process

  1. Submit application with national rollout and technical plans to CA
  2. Pay the KES 5,000 application fee
  3. CA reviews technical, financial, and spectrum availability factors
  4. Pay the KES 15,000,000 initial operating licence fee upon approval
  5. Pay annual operating fees (0.4% of turnover or KES 4 million, whichever is higher) plus applicable spectrum fees thereafter

The KES 15 million initial operating fee positions Tier 1 NFP licensing firmly in the domain of well-capitalised national operators, distinguishing it sharply from the lighter-touch Tier 3 county-level licence available to smaller infrastructure players.

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