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News19 June 2026 - 17:13

NTSA freezes licensing of new matatu saccos for 24 months in sweeping sector shake-up

It has also stopped the addition of new routes and extensions of existing routes for 12 months.

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by STAR REPORTER
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National Transport and Safety Authority (NTSA) vehicles/Handout



The National Transport and Safety Authority (NTSA) has imposed a temporary moratorium on the licensing of new public service transport operators in Kenya, citing safety, compliance and system reforms in the sector.

In a public notice issued on 19 June 2026, the Authority said it is acting under the NTSA Act, 2012 and the NTSA (Operation of Public Service Vehicles) Regulations, 2014.

The moratorium affects three key areas. The Authority has suspended the licensing of new public transport operators, including Saccos and companies, for 24 months.

It has also stopped the addition of new routes and extensions of existing routes for 12 months, except where new roads are commissioned.

In addition, modification or reconfiguration of existing routes, including changes to pick and drop points, has been frozen for 12 months.

NTSA said the decision has been driven by "Persistent non-compliance and road safety concerns within the sector", as well as "The proliferation of illegal operators who undercut regulated players by creating significant road safety risks, enabling insecurity, and engaging in unfair competition against licensed operators."

The Authority further cited the Authority's plan to strengthen oversight, enhance the transport management systems, and implement broader sector reforms, and concerns over modification of routes that has resulted in inconsistency and unreliable public transport services.

During the moratorium period, NTSA said it will work with county governments and stakeholders to conduct a comprehensive audit of road safety compliance and traffic management.

It will also support existing operators to improve service standards and help redefine consistent and profitable routes.

The notice states that "No new applications for PSV Operator Licenses will be accepted or processed during this period".

It adds that "This decision applies to all prospective operators intending to be licensed by the Authority" while existing operators will continue operating subject to compliance with safety, licensing and operational standards.

The Authority has also invited investors and operators to submit proposals aimed at improving road safety and public transport management during the review period.

The moratorium takes effect from 19 June 2026. NTSA can be contacted via [email protected] or through its offices nationwide.

NTSA said stakeholders should use the period to engage the Authority on reforms aimed at improving safety and efficiency in public transport across the country in Kenya during this period.

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