Electronic Communications Act: Ministerial Directive on I-ECNS Licensing Inquiry

Posted 21 May 2025 Written by Acts Online
Category Communications & Digital Technologies

Brought to you by SA Legal Academy: The Minister of Communications and Digital Technologies has issued a final policy directive to the Independent Communications Authority of South Africa (ICASA) to investigate the impact of individual electronic communications network services (I-ECNS) licensing on competition and universal access.

In terms of section 5(6) of the Electronic Communications Act, No. 36 of 2005, the Minister published the directive in Government Gazette No. 53214, Notice 6542 on 22 August 2025. Under this section, ICASA is prohibited from inviting, accepting, or considering applications for individual electronic communications network service licences unless the Minister has issued a specific policy directive to that effect.

The directive mandates ICASA to undertake a formal inquiry into the contribution made by new I-ECNS licensees toward improving competition and achieving universal access. This regulatory intervention stems from the Competition Commission’s 2019 data services market inquiry report, which attributed high data prices and limited internet penetration to inadequate competition and the market power of dominant firms.

The inquiry process is expected to evaluate:

  • The current state of competition within the electronic communications network services market.
  • The effectiveness of existing I-ECNS licensees in meeting universal service and access obligations.
  • The regulatory necessity of issuing additional individual licences to address market concentration.

Click here to download the Final Directive (Notice 6542).

What this means for you, your business, or your clients

  • For yourself: Professional advisors in the regulatory space must monitor the ICASA inquiry timeline to provide informed guidance on the evolving telecommunications licensing framework.
  • For your business: ICT firms and infrastructure providers should prepare for a potential shift in the competitive landscape and evaluate how new licensing windows might affect their market positioning.
  • For your clients: Clients seeking to enter the network services market should begin preparing the technical and financial documentation required for I-ECNS applications, as this inquiry is the statutory precursor to ICASA inviting new licence applications.

Originally published at https://legalacademy.co.za/news/read/electronic-communications-individual-network-service-licensing-inquiry

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