Just a point of clarification.
The Universal Service Fund is established under Section 84J of the Kenya Communications(Amendment) Act,2008 whose Date of Commencement was 2nd January,2009.
The policy to establish the Fund is contained  in the ICT Sector Policy Guidelines of 31st March 2006,Section 8.4.

So really, the issue has been out there in black and white for at least 4 years!

John Kariuki


--- On Wed, 28/10/09, Akich Kwach <kwach@archway-productions.com> wrote:

From: Akich Kwach <kwach@archway-productions.com>
Subject: Re: [kictanet] Telecoms firms oppose 1pc universal fund
To: ngethe.kariuki2007@yahoo.co.uk
Cc: "KICTAnet ICT Policy Discussions" <kictanet@lists.kictanet.or.ke>
Date: Wednesday, 28 October, 2009, 7:12

McTim,
Such a loan model has been successful in the Cooperative movement for years and the sector remains as one of the key economic drivers in the country. All SACCOs remit certain fees to KUSCO (the regulator) which besides using the fund to develop the sector, lends part of it to SACCOs at a special rate. This is a homegrown model and i believe it works. Besides that levy/ fund would be adding more or direct value to the operators as compared to other taxes such as VAT, e.t.c. which though equally important, they are used for general govt expenditure.

These are my thoughts

Akich Kwach



----- Original Message ----- From: "McTim" <dogwallah@gmail.com>
To: <kwach@archway-productions.com>
Cc: "KICTAnet ICT Policy Discussions" <kictanet@lists.kictanet.or.ke>
Sent: Tuesday, October 27, 2009 2:41 PM
Subject: [kictanet] Telecoms firms oppose 1pc universal fund


> http://www.theeastafrican.co.ke/news/-/2558/676810/-/item/0/-/itq5ov/-/index.html
>
> "Telecommunications operators in Kenya have opposed plans by the
> industry regulator to levy a one per cent fee on their gross annual
> income to set up a universal fund.
>
> The bone of contention is that the Communications Commission of Kenya
> (CCK) plans to collect the levy under the proposed Universal Service
> Fund, and thereafter lend the money to the same entities as commercial
> loans. "
>
> Is this notion of loans shocking to anyone else?
>
> -- Cheers,
>
> McTim
> "A name indicates what we seek. An address indicates where it is. A
> route indicates how we get there."  Jon Postel
>
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