Editor's Review

The moratorium announced takes effect from Friday, June 19, 2026.

The National Transport and Safety Authority (NTSA) has announced a moratorium on the licensing of new public transport Saccos and companies for 24 months.

In a public notice dated Friday, June 19, NTSA explained that the decision was necessitated by the persistent non-compliance and road safety concerns within the transport sector.

The Authority further froze the addition of new routes or the extension of existing routes by public transport operators.

"NTSA hereby issues a moratorium on the addition of new routes and existing route extension for a period of 12 months. However, this may be reconsidered in the event a new road is commissioned," the notice read in part.

Public transport operators have also been barred from changing pick-up and drop-off points for a period of 12 months.

A file photo of matatus in Nairobi.

The Authority explained that the decision was also caused by wayward practices by some operators, creating an unfair competition in the transport sector.

"The measure is necessitated by 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 statement continued.

NTSA added that the moratorium will allow it to strengthen oversight, strengthen transport management systems and implement boader sector reforms.

The embargo will allow room for consultation with stakeholders, county governments and existing operators to redefine consistent and profitable routes. 

Consequently, no new applications for PSV Operator Licenses will be accepted or processed during this period. The decision applies to all prospective operators intending to be licensed by the Authority.

Furthermore, NTSA stated that existing licensed operators should continue to operate subject to full compliance with safety, licensing, and operational standards.

The Authority invited prospective investors and operators to submit to the Authority memorandums/proposals to promote road safety and enhance effective management of public transport in Kenya.

The moratorium announced takes effect from Friday, June 19, 2026.