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ISP & WISP Business · 6 min read

Network Facilities Provider (NFP) Licence in Kenya: Tier 1, 2 and 3 Fees Explained (2026)

By the ECA Networks technical desk · Last updated 21 September 2026

Coverage tier decides both what you are allowed to build and what CAK charges you for the privilege. Here is the fee structure by tier and what should actually drive the decision.

Short answer

Kenya's Network Facilities Provider (NFP) licence is split into three tiers by geographic coverage, and the fees rise sharply at each level. A Tier 3 (single-county) licence costs a fraction of Tier 1 (national), which is exactly why most new WISPs should not apply for national coverage on day one.

Fee structure by tier

Fees are reviewed periodically by CAK. Confirm current figures on the Communications Authority of Kenya's licensing page or application form TL-3.7 before budgeting.

TierCoverageApplication feeInitial licence feeAnnual operating fee
Tier 3Single countyKES 5,000KES 200,0000.4% of turnover or KES 160,000, whichever is higher
Tier 2Regional, multi-countyKES 5,000KES 15,000,0000.4% of turnover or KES 800,000, whichever is higher
Tier 1NationalKES 5,000KES 15,000,0000.4% of turnover or KES 4,000,000, whichever is higher

Why the jump from Tier 3 to Tier 2 is so steep

The initial licence fee jumps 75 times between Tier 3 and Tier 2. There is no middle ground. This is the single biggest reason a new WISP should start at Tier 3, prove the model in one county, and only move up once revenue justifies it, rather than licensing for regional coverage speculatively.

What CAK asks for, across all tiers

  • A cover letter on company letterhead
  • The completed CAK application form
  • A sworn affidavit
  • Certificate of Incorporation and CR12
  • Director and shareholder ID documents
  • Tax compliance evidence
  • A business and rollout plan
  • Premises details

How long approval takes

Applications are processed first-come-first-served and typically take up to roughly 135 days once your documentation is complete. Plan your launch date around that, not around an optimistic best case.

Source: Communications Authority of Kenya — figures are set by third parties and reviewed periodically; confirm current numbers before relying on them.

Frequently asked questions

Do I need both an NFP and an ASP licence?+

Most WISPs need both. NFP covers the infrastructure you build, ASP covers selling access to customers.

Can I upgrade from Tier 3 to Tier 2 later?+

Yes. This is the normal path once you have proven demand beyond one county.

What happens if I operate above my licensed tier?+

You are operating outside your licence terms, which risks enforcement action. Apply for the tier that matches where you actually operate.

Where do I submit an NFP application?+

Directly through CAK's licensing portal. See the official licensing procedures page for the current process.

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