NTSA suspends issuance of new PSV operator licences for two years
By Faith Lagat, June 19, 2026The National Transport and Safety Authority (NTSA) has announced a two-year temporary moratorium on the licensing of new Public Service Vehicle (PSV) operators across Kenya.
In a public notice issued on Friday, June 19, 2026, the Authority stated that it will not issue new licences to Saccos or companies for 24 months. The moratorium also halts the addition of new routes and extensions of existing ones for 12 months, subject to review if a new road is commissioned.
Modifications or reconfigurations of existing licensed routes, including changes to pick-up and drop-off points, have also been frozen for 12 months.
The decision was signed by the Director General under the NTSA Act, 2012 and the NTSA (Operation of Public Service Vehicles) Regulations, 2014.
“The Authority, in exercising its mandate under the NTSA Act, 2012 and the NTSA (Operation of Public Service Vehicles) Regulations, 2014, hereby issues a temporary moratorium on: The licensing of new public transport operators (Saccos and Companies) for a period of 24 months,” read the statement in part.
Reasons behind the transport sector freeze
NTSA cited persistent non-compliance and road safety concerns within the public transport sector as key reasons for the moratorium. The Authority also pointed to the proliferation of illegal operators who undercut licensed players, creating safety risks, insecurity concerns, and unfair competition.
The regulator further said inconsistent route modifications had contributed to unreliable public transport services. It added that the freeze is part of broader reforms aimed at strengthening oversight and improving transport management systems.
During the moratorium period, NTSA will work with county governments and stakeholders to conduct a nationwide audit of road safety compliance and traffic management.
The Authority will also support existing operators in improving service standards and help redefine consistent and profitable routes.
Key implications for operators and ongoing NTSA reforms
The Authority confirmed that no new applications for PSV operator licences will be accepted or processed during the two-year period. The directive applies to all prospective operators seeking entry into the sector.
Existing licensed operators will continue to operate provided they comply with safety, licensing, and operational requirements. NTSA also encouraged prospective investors to submit memorandums and proposals aimed at improving road safety and transport management.
The announcement comes shortly after NTSA addressed delays in issuing vehicle number plates. On June 15, 2026, Director General Nashon Kondiwa reported a backlog of more than 30,000 paid but unprinted plates, adding that 5,000 had already been processed since he took office.
Motorists have been advised to track application status through the NTSA portal while the Authority works to clear the remaining backlog and improve service delivery.