Safaricom - 2021 Sustainable Business Report

39 SAFARICOM SUSTAINABLE BUSINESS REPORT 2021 / STANDING TOGETHER: GOING BEYOND //// OUR MATERIAL TOPICS / OUR STAKEHOLDERS / KPI SUMMARY OUR REGULATORY ENVIRONMENT PRIORITISING REGULATORY COMPLIANCE The regulatory environment is constantly shifting within the landscape of changing economic and socio-political issues. In order to ensure that we remain connected and understand these issues, we assess our strategies, programmes and future plans against all applicable laws and regulations on an ongoing basis and proactively engage with our regulators on wide-ranging issues. We managed to maintain this during the COVID-19 crisis period. We also strengthened our stakeholder dialogue, engaging closely with the GSMA, East Africa Com and AfricaCom among others by making use of virtual platforms. We participated in numerous webinars, panels, workshops and keynote addresses on the role of policy in the new normal. SURPASSING THE REGULATORY QUALITY OF SERVICE (QOS) SCORE In 2018, the Communications Authority (CA) of Kenya launched a new Quality of Service (QoS) Framework, to be implemented over three years. The revised framework, against which we are now reviewed, has broadened the services under assessment to include SMS and mobile internet services. The new Quality of Service Monitoring System (QSMS) is based on three key components: • End-to-end quality of service (measured through drive tests and walk tests, where the threshold is 80%) • Network performance (measuring stability and availability using data automatically submitted from operator systems) • Quality of Experience (QoE) (using surveys to establish customer satisfaction with the performance of the network). The end-to-end QoS measure accounts for 60% of the score awarded to operators, while network performance and customer experience account for 25% and 15%, respectively. Operators have to score an overall 80% to meet the standards and avoid penalties. In FY21, we surpassed the regulatory QoS score of 80% by attaining 92% in the QoS assessment conducted by the Authority. Pleasingly, we continued the four-year trend of no fines or sanctions for non-compliance with regulations and no legal actions lodged for anti-competitive behaviour. We collaborate with regulators (SDG16 and SDG17) to significantly increase access to information and communications technology (SDG9) while ensuring sustainable consumption and production patterns both within our own organisation and amongst our stakeholders (SDG12). OUR HIGHLIGHTS • We surpassed the Quality of Service (QoS) regulatory target by 12% to achieve 92% – the first year in which we have attained a score above 80%. • We obtained trial spectrum for 5G which we have now officially rolled out. • Secured NEMA licensing for the rollout of 4G and 5G network, facilitated by a significant increase in audits. PARTNERING WITH OUR REGULATORS TO RESPOND TO COVID-19 • We worked with the Communications Authority (CA) of Kenya who allocated additional spectrum for 3G to us in order to reduce stress on the network caused by the spike in demand for data during the lockdown period. This enabled us to continue serving our customers during a time when the country was transitioning to virtual services. • We successfully engaged with the Central Bank of Kenya (CBK) to approve the doubling of mobile money transactions and wallet limits to facilitate digital payments and reduce usage of cash to manage the spread of the virus better.