NTSA suspends registration of new matatu Saccos, route expansion

The National Transport and Safety Authority (NTSA) has imposed a temporary moratorium on the licensing of new Public Service Vehicle (PSV) operators and the expansion of existing routes as it seeks to streamline the sector and address road safety concerns.

In a public notice issued on Friday, the authority announced that no new public transport operators, including Saccos and companies, will be licensed for a period of 24 months, effective June 19, 2026.

NTSA also suspended the addition of new routes and extension of existing routes for 12 months, although the restriction may be reviewed if new roads are commissioned during the period.

The Authority further halted the modification or reconfiguration of existing licensed routes, including changes to pick-up and drop-off points, for 12 months.

According to NTSA, the measures have been necessitated by persistent non-compliance within the sector and growing road safety concerns.

“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 said, citing one of the reasons behind the decision.

NTSA also said the decision will allow it to strengthen oversight, enhance transport management systems and implement broader reforms within the public transport sector.

The State agency noted that frequent route modifications have contributed to inconsistencies and unreliable public transport services.

During the moratorium period, NTSA said it will be consulting relevant stakeholders and county governments and will undertake a comprehensive audit of road safety compliance and traffic management.

The regulator said it will also support existing operators in improving service standards to meet road safety requirements while working with county governments to redefine consistent and profitable routes.

Under the directive, no new applications for PSV operator licences for all prospective operators seeking to be licensed by NTSA will be accepted or processed during the suspension period.

However, existing licensed operators will continue operating, provided they remain compliant with safety, licensing and operational requirements.

NTSA has encouraged prospective investors and operators to use the period to submit memorandums and proposals aimed at promoting road safety and improving the management of public transport in the country.