The Independent Communications Authority of South Africa (ICASA) said it is close to publishing a discussion document on licensing new network operators and Internet service providers.
ICASA chairman Mothibi Ramusi and councillor Charley Lewis told MyBroadband the document should be published before the end of October 2026. After that, the next round of public consultation could begin.
“We could issue service licences at our own discretion, but there isn’t much point unless that network tier is opened up as well,” Lewis said.
The process started when communications minister Solly Malatsi issued a final policy direction in August 2025. ICASA then opened an inquiry through a questionnaire in November 2025.
The inquiry looks at whether new national licences should be issued. It covers two types of licences, known as I-ECNS and I-ECS licences.
An ECNS licence allows the holder to build and run physical network infrastructure. These are often called network licences. An ECS licence allows the holder to offer communication services over a network, and is known as a service licence.
Individual licences are for companies that operate across the whole country. Class licences are the regional version.
ICASA can issue regional and national service licences when it chooses. But it needs a policy direction from the minister before it can invite applications for national network licences.
Dominic Cull, regulatory advisor to the Internet Service Providers’ Association (ISPA), said the current system created artificial barriers for new players.
Cull said small businesses that want to grow have no choice but to buy a licence from an existing holder. They must then apply to ICASA for the licence to be transferred.
He said this generally costs more than R1 million. He added that the ICASA application process takes at least five to eight months.
According to MyBroadband, these prices are not always a problem for large companies. But they are out of reach for many small businesses and entrepreneurs.
“We’ve engaged in a thorough review process. The questionnaire specifically included the secondary trading market, people buying and selling licences,” Lewis told MyBroadband.
Lewis said ICASA had received many responses and had been working through them to draft the discussion document. He said the regulator wants to move quickly because new licensing is closely linked to the coming spectrum assignment process.
That process refers to the release of radio frequency spectrum for 4G, 5G and future 6G networks. Because operators value this spectrum highly, ICASA may auction at least part of the frequencies set aside.
ICASA’s last spectrum auction raised R14.19 billion for the national fiscus. Vodacom bid R5.381 billion for 110 MHz of extra spectrum, while MTN bid R5.152 billion for 100 MHz.
Once the discussion document appears in the Government Gazette, the public will have 45 days to comment. ICASA may then hold public hearings and will publish a final findings document 90 days after those hearings.
Source: this article is based on reporting by MyBroadband. Image: MyBroadband. Written with the help of AI and published by the Tzaneen Voice Business desk. See our Editorial Standards.
Anelisa Nkuna covers business and money news for Tzaneen Voice. Anelisa reports on the rand, fuel prices, interest rates, jobs, Eskom, Transnet, farming and company results. The aim is simple: explain what the numbers mean for household budgets, small businesses and workers in South Africa.