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Government Launches Public Wi-Fi Service in Kericho Town, Aims to Connect 25,000 Hotspots by 2027

Tuvuti Editorial Team
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Government Launches Public Wi-Fi Service in Kericho Town, Aims to Connect 25,000 Hotspots by 2027

Kenya’s government has taken a significant step towards connecting the country’s remote and underserved areas by launching a public Wi-Fi service in Moi Gardens, Kericho Town. The launch, which was led by ICT Cabinet Secretary Eliud Owalo, adds to 17 other hotspots that have already been launched countrywide in Nairobi, Nyeri, Bondo, Ahero, and Kapsabet.

The government’s ambitious goal is to roll out a total of 25,000 hotspots by 2027, targeting people in markets, schools, and various value chains within the Kenyan economy. They are collaborating with Google and local telco providers to commission the hotspots and are also rolling out 100,000 kilometers of fiber-optic cable to ensure all parts of the country are ICT enabled. Free internet connectivity is expected to spur social and economic activities and contribute to national economic advancement.

The government’s initiative is expected to bring about a digital revolution in Kenya, particularly in rural areas. With access to the internet, residents will now be able to market, promote, and sell their goods and services online with ease. This will not only benefit individuals but also the entire country as it will boost the economy by enabling small businesses to expand their reach and access new markets.

CS Owalo also urged the youth to take advantage of the government’s digital initiative by tapping into the available platforms that offer jobs online. This, he said, will transform their lives by earning decent wages through online writing, transcription, affiliate marketing, and product reviewing jobs among others.

“Every year in the next five years the government will be launching 5,000 Wi-Fi hotspots in all counties and we are confident that we will meet our targets for the benefit of all Kenyans,” CS Owalo said.

To ensure that Kenyan citizens can access services anywhere, anytime, the government is also digitizing all government services and records, starting with the Ministry of Lands. This move is aimed at making the country efficient, paperless, and user-friendly.

Government Launches New Wi-Fi Hotspot in Kapsabet Free Air Market to Promote Digital Access and Job Opportunities

Tuvuti Editorial Team
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Government Launches New Wi-Fi Hotspot in Kapsabet Free Air Market to Promote Digital Access and Job Opportunities

On Thursday, the Cabinet Secretary for Information, Communications, and the Digital Economy, Eliud Owalo, launched a new Wi-Fi hotspot in Kapsabet free air market in Nandi County, Kenya. The launch is part of the government’s ongoing efforts to provide free internet access to the youth and small business owners in the country.

“Our government is committed to providing free internet access to the youth and small business owners in the country, and this latest launch of a Wi-Fi hotspot in Kapsabet free air market is a testament to that commitment,” said Owalo.

The Kenya Kwanza government has set an ambitious goal of launching 5,000 free public Wi-Fi hotspots across the country by December 2023. Owalo stated that by 2027, the administration of President William Ruto aims to roll out 25,000 free Wi-Fi hotspots across the country. He believes that the digital infrastructure initiative will create job opportunities for at least 1.5 to 2 million people.

“We have seen that by providing free Wi-Fi hotspots in public places, we have been able to steer the youth away from idle activities and towards digital job opportunities,” said Owalo.

The launch of these WiFi programs will also help bridge the digital divide and provide access to the internet for marginalized communities who may not be able to afford the high cost of data. This is expected to create job opportunities for local youth and help them capitalize on the digital economy.

Leaders including Nandi Governor Stephen Sang, Nandi Deputy Governor Yulita Cheruiyot, and Uasin Gishu Senator Jackson Mandago were present at the launch.

The launch of this free Wi-Fi hotspot in Kapsabet free air market is a significant step towards the government’s goal of providing free internet access to the youth and small business owners in the country. The initiative to establish 5,000 free public Wi-Fi hotspots by December 2023, with a target of 25,000 by 2027, is expected to create jobs and bridge the digital divide, ultimately transforming Kenya into a globally competitive economy.

Safaricom Reverses Decision to Introduce Expiry Date for Bonga Points Loyalty Program

Tuvuti Editorial Team
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Safaricom Reverses Decision to Introduce Expiry Date for Bonga Points Loyalty Program

Safaricom, one of Kenya’s leading telecommunications companies, has reversed its plans to introduce an expiry date for its popular Bonga Points loyalty program. This move comes after the company announced earlier that points accumulated before 2019 would have been rendered useless if the implementation had begun on January 1, 2023. However, Safaricom disputes this claim and states that it never announced that Bonga points were expiring.

Bonga Points is a clever loyalty scheme program that rewards Safaricom customers with points everytime they consume services on its network. Safaricom services that are eligible for Bonga Points include making calls, sending text messages, and using data. They can be redeemed for a wide range of products and services, including airtime, data bundles, and even cash. Recently, the program has extended to include shopping at various outlets in the country.

The company had accumulated a liability of Sh4.5 billion by March 2022, which may have been one of the reasons behind the decision to introduce an expiry date for the points. However, after receiving feedback from its customers, Safaricom has decided to reverse this decision and customers will still be able to redeem their Bonga Points without any expiration date.
In 2020, Safaricom customers redeemed over 1 billion Bonga points through the Bonga for Good Initiative, which ended on June 4th 2020.

The Bonga for Good initiative, launched by Safaricom, aimed to support Kenyans affected by the economic fallout of the COVID-19 pandemic. Through this program, over 600,000 customers were able to donate points, equivalent to over Sh330 million, to over 40,000 merchants across the country. The majority of these points were redeemed for essential items such as food and household necessities, solar lighting solutions and entertainment. Additionally, many Kenyans also transferred their points as a sign of generosity, with more than Sh150 million being redeemed from this type of transfer.

Safaricom’s decision to reverse the expiry date for Bonga Points is a positive move for its customers, as it allows them to continue to accumulate and redeem their points without any limitations. This move will also help to maintain the loyalty of Safaricom’s customers, and will likely increase customer satisfaction and retention.

High Court Halts Reintroduction of Mobile Money Charges Pending Determination of Consumer Rights Suit

Tuvuti Editorial Team
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High Court Halts Reintroduction of Mobile Money Charges Pending Determination of Consumer Rights Suit

A High Court in Kenya has stopped the reintroduction of fees on transactions made between mobile money wallets and lenders, until a legal case involving consumer rights activist is resolved. This decision was taken after Moses Wafula, filed a complaint against the reintroduction of charges that were suspended in 2020 as a result of the COVID-19 pandemic.

Moses Wafula who filed the application believes that the charges that were scheduled to take effect on January 1, 2023 should not be passed to consumers. He argues that the directive issued by the Central Bank of Kenya (CBK) and Safaricom, Kenya’s largest mobile network operator, had violated his rights and the rights of other Kenyans.

In his application, Mr. Wafula states that should the court find that the M-Pesa charges are illegal, more funds from members of the public will have been lost, and it may be difficult to ask banks to refund the same. He contends that engagement between Safaricom and its Mpesa Paybill clients, such as banks, government agencies, Kenya Power, DSTV, betting companies, mobile money companies, and other institutions, is a bipartite business engagement between Safaricom as the M-Pesa paybill service provider and their M-Pesa paybill primary clients being the service recipients.

The Central Bank had announced the reinstatement of the charges in December 2020, in a move that would have offered relief for commercial banks that have decried the regulator’s reluctance to reinstate the fees. However, the regulator said the new charges would be lower than the previous charges that were applied before the waiver. The CBK stated that maximum charges for transfers from bank accounts to mobile money wallets would be reduced by up to 61%, and mobile money wallet to bank account by up to 47%.

The charges were suspended on March 16, 2020, as a part of the emergency measures put in place to make it easier for people to use mobile money during the peak of the Covid-19 pandemic. The outcome of the case, which is scheduled to be discussed on January 23, 2023, will determine whether or not the charges will be passed on to consumers.

Kenya Revenue Authority Implements Real-Time Tax Collection for Betting Sector to Increase Compliance and Government Revenue

Tuvuti Editorial Team
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Kenya Revenue Authority Implements Real-Time Tax Collection for Betting Sector to Increase Compliance and Government Revenue

The Kenyan government has taken steps to tame rogue entities in the betting sector by implementing far-reaching changes to the way taxes are collected. Through the Kenya Revenue Authority (KRA), the state has completed a pilot program that interlinks its tax system with the betting sector allowing for real-time computation of taxes on betting, gaming, and lottery as well as on winnings collected from punters every day.

The development is part of KRA’s digital strategy aimed at enhancing tax compliance and to capture a significant share of the billions generated from the gambling industry. The KRA has integrated its systems with around seven sports gaming firms, with the objective of eliminating the tax leakages that were intensified by the 30-day time lag..

Previously, all taxes were paid after 30 days, but as of now, betting companies are required to remit taxes they collect every day by 1am when many Kenyans stop betting. SportPesa, one of the sports gaming companies that piloted the interlink, confirmed that they are already paying taxes and that the KRA can see the transactions because the systems are interlinked.

Following the pilot, KRA sought to connect its systems to an additional seven firms, with the consequence of shutdown for those who did not comply. It ganered Sh5.67 billion in withholding tax from winning bets during the period, indicating a 19% decrease from the previous year’s Sh7.09 billion. This decline can be explained by either a decrease in winnings or a reduction in the amount of bets placed.

The government has also reintroduced a 7.5% tax on every betting stake, meaning that for every Sh100 staked, the government takes Sh7.5. Data from KRA shows that tax on gross gaming revenue increased by 13% to Sh3.294 billion in the year ending June, compared to Sh2.907 billion the previous year. The KRA estimated it would collect Sh15 billion from betting, lottery and gaming.

Gambling is very popular among Kenyan youths, with some using easy-to-access digital loans to fund their betting addiction. The unemployed have also turned to gambling as a means of potentially striking it rich and paying their daily bills. Safaricom’s data revealed that in the year ending March, Sh169 billion was transacted via M-Pesa for betting purposes, which translates to Sh469 million per day. This highlights the scale of the gambling habit that led to stricter regulations and increased taxation.

The tax agency is transitioning traders to a new register that has capabilities to capture and sends all transactions, particularly invoices, to the taxman in real time as a new strategy to detect tax evaders. The authority exceeded its target for the Financial Year 2021/22 and has been facing pressure from the new administration of President William Ruto to improve its collections in the current and subsequent fiscal years.

Kenya’s Energy Regulator Proposes to Expand Appliance Regulations to Include Televisions, Computers, and Monitors

Tuvuti Editorial Team
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Kenya’s Energy Regulator Proposes to Expand Appliance Regulations to Include Televisions, Computers, and Monitors

Kenya’s Energy and Petroleum Regulatory Authority (EPRA) is proposing to expand the number of appliances it regulates to include televisions, computers, and computer monitors. The move is aimed at ensuring that these appliances conform to strict energy-saving rules.

As of now, EPRA regulates refrigerators, non-ducted air conditioners, three-phase cage induction motors, self-ballasted lamps, double-capped fluorescent lamps, and ballasts for fluorescent lamps. The Energy (Appliances Energy Labelling and Performance) Regulations, 2016, enforce Minimum Energy Performance Standards (MEPS) for these appliances and mandate EPRA to vet them to check their minimum energy performance in a bid to enhance national energy savings.

When classifying these equipment, EPRA employs a five-star labeling scheme which tags the highest performing appliance with five stars, while the lowest with one star, giving consumers reliable information to decide on what they want to buy.

In doing so, the energy regulator hopes that televisions, computers, and computer monitors will be able to help consumers reduce their energy consumption and ultimately save money. Electricity prices remain high in the country and if EPRA goes a head to include more equipment on their radar will ultimately help consumers make economic concious decisions.

Additionally, EPRA is evaluating the effectiveness of the MEPS program by measuring the energy savings that have been achieved thus far. The agency stated that this evaluation will help determine the economic, social, environmental, and cultural advantages stemming from the program that was implemented in 2016. It will also simulate the potential advantages that could be gained from including televisions, computer monitors, and computers within the current regulations.

As of now, EPRA charges application fees of Sh150,000 for models of lamps and ballasts, Sh250,000 for refrigerators, and Sh500,000 for motors and air conditioners. Given that energy efficiency and conservation are considered crucial in reducing Kenya’s financial, environmental, social, and cultural cost of production, it is probable that the law will be amended to encompass more commonly used appliances under the purview of EPRA.

Safaricom introduces “Store Number” to tame wrong agent number MPESA withdrawals

Tuvuti Editorial Team
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Safaricom introduces “Store Number” to tame wrong agent number MPESA withdrawals

In today’s digital world, mobile money services like M-PESA have become an integral part of daily life for many people in Kenya. They allow customers to transfer money, pay bills, and make purchases with ease and convenience. However, as with any financial service, there are certain risks and challenges that ought to be addressed in order to ensure a smooth and secure experience for customers. One such challenge is the issue of incorrect withdrawals from agent outlets.

In the past, customers would sometimes enter the wrong agent number when making a withdrawal, which would result in the funds being reflected on the incorrect agent. This would mean that the customer would not have access to that cash, and would need to contact Safaricom customer service to reverse the funds, which could take time and may not be timely in emergency situations.

To eliminate this problem, Safaricom has introduced a new feature to the agent withdrawal process called the “store number“. Its an additional layer that aims to prevent incorrect agent withdrawals. Customers and merchants are now required to enter both the Agent Number as well as the Store Number when withdrawing funds at an agent outlet. it guarantees that the store number and agent number match before the withdrawal process can be completed. It’s a feature that helps reduce the risk of errors and ensure that customers are able to access their funds quickly and easily.

Cooperative Bank of Kenya removes charges on airtime purchases in response to public backlash

Tuvuti Editorial Team
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Cooperative Bank of Kenya removes charges on airtime purchases in response to public backlash

The Cooperative Bank of Kenya (CBK) has removed charges on airtime purchases through the bank’s mobile app Mcoop Cash in an effort to provide relief to thousands of customers who were previously charged bank fees and excise duty on airtime purchases. This move comes after widespread public backlash, particularly in light of a struggling economy caused by the COVID-19 pandemic.

The new policy means that all airtime purchases below Sh100 will now be free to from transaction charges, offering a reprieve to customers who were paying more than half the value of the airtime in additional charges. Airtime purchases between Sh101-150 will still incure a Sh5 charge, while purchases above Sh501 will incure a Sh40 charge. This representing a significant reduction in charges for customers who were previously paying Sh10 in bank fees and Sh2 in excise duty for a Sh10 airtime purchase.

Removal of transaction fees when buying airtime through the Mcoop Cash app, comes shortly after the government increased excise duty on the same to 20 percent from initial 15 percent. From that decision alone, the government is expected to earn Sh8 billion from mobile operators.

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