Annual Licence Fee and USAF Contribution

As a holder of a Class or Individual electronic communications service (ECS) licence and/or an electronic communications network service (ECNS) licence, it is important to be aware of the various obligations imposed through holding these licences. Ensuring that you comply with the Annual Licence Fee (ALF) payment and the contribution to the Universal Service and Access Fund (“USAF”) obligations is central to protecting the licences on which your business is built.

Payment of both the ALF and the USAF Contribution are due within six months of the end of a licensee’s financial year. Licensees are required to submit their financial statements (together with the auditor confirmation if needed) and calculation of the ALF and USAF Contribution to ICASA, along with proof of payment of these fees.

For example, those with a financial year-end of 28 February are required to submit the relevant documentation and payment by 31 August.

Annual Licence Fee:

The current formula to calculate your Annual Licence Fee is as follows:

Pa = R x B, with Pa being the Fee Payable, R the Licensed Revenue and B the applicable percentage applied, which is based on Licensed Revenue, as per the following table:

Licensed Revenue (R)

Percentage applied (B)

0 – 50 000 000


50 000 001 – 100 000 000


100 000 001 – 500 000 000


500 000 001 – 1 000 000 000


1 000 000 001 and above


The relevant regulations can be found here.

Universal Service and Access Fund contribution:

The USAF Regulations, 2011 require licensees to pay an annual contribution of 0.2% of annual turnover derived from the licensee’s licence activity to the Fund, less “service provider discounts, agency fees, interconnection and facilities leasing charges and government grants and subsidies”.

Reports and proof of payment of fees are to be sent to

Note: this page only sets out the Annual Licence Fee and USAF Contribution obligations, and does not cover other potential annual fees payable in respect of other licences or permits (eg radio frequency spectrum licences).

Last updated: 25 July 2016