The Communications Authority of Kenya (CA) has defended its latest directive on mobile phone International Mobile Equipment Identity (IMEI) numbers registration noting that it will solely focus on device integrity and tax compliance rather than individual transaction monitoring.
In a statement shared on the Parliament of Kenya’s Facebook page, CA DG David Mugonyi appeared before the National Assembly’s Committee on Communication, Information and Innovation chaired by Dagoretti South MP John Kiarie where he shed some light on the new directive.
The Committee demanded clarity on the proposed system’s implications for privacy, data protection, and its enforcement mechanisms, especially given concerns about personal data potentially falling into the wrong hands.
Last month, CA issued new regulations that would require local device assemblers, importers, retailers, wholesalers and mobile network operators to upload IMEI numbers of all mobile phone devices into a KRA-provided portal to ensure tax compliance.
This move would ensure all applicable taxes are paid before a device is activated on a local network.
The new requirements will only apply to all devices imported or assembled in the country from November 1, 2024.
All existing devices that will be on the mobile networks by October 31, 2024 will not be affected.
Mugonyi explained that the CA had received a presidential directive to implement the system adding that the engagement has nothing to do with the transactions that people carry out on their phones.
“We want to ensure the right products are in the country, and the tax compliance aspect is strictly for that,” he said.
“KRA will not have access to people’s data.”
The system, Mugonyi further noted, is designed to send a notification to users who activate a new device without having paid applicable taxes.
The unregistered device’s IMEI will then be placed on a blacklist, preventing it from connecting to any local network until taxes are settled.
MP John Kiarie had raised concerns regarding Kenya’s existing privacy laws and their sufficiency in protecting citizens’ data.
He further highlighted the potential risk that Kenyans could avoid online transactions for fear of increased surveillance.
“The issue isn’t with registering IMEIs. What exactly are we allowing KRA to access on an individual’s phone under the guise of data protection?” Kiarie asked.
“What can we say to Kenyans who may flee from digital transactions to avoid scrutiny? We must ensure their data remains protected,” he further demanded.
On his part, Tetu MP Geoffrey Wandeto raised critical questions on the CA’s ability to monitor and enforce compliance across all communication devices entering the country to avoid a repeat of the World Coin saga.
“What are your enforcement capabilities when it comes to all communication devices being imported?” he asked, emphasising the need for strong regulatory mechanisms to ensure that non-compliant devices are identified and addressed appropriately.
Wandeto also voiced concerns about how the system would affect expatriates and visitors, arguing that people’s mobility should not be hindered.
“How will this impact expatriates or people coming back for short visits? We need to allow for mobility of people and their devices,” he said.
Mugonyi assured the Committee that tourists and diplomats would have a grace period, where their devices would be placed on a temporary “greylist” to allow usage without immediate tax obligations.
“This greylisting period will be formalised through public participation to ensure transparency and understanding,” he said.
Principal Secretary State Department of Broadcasting and Telecommunications Edward Kisiang’ani acknowledged the potential for international tax overlap, suggesting a need for data-sharing agreements with friendly countries.
“What if that phone already has tax implications from another country? We need to explore data-sharing partnerships to avoid double taxation on imported devices,” he said
Mugonyi clarified that mobile devices registered on Kenyan networks before October 31 will be exempt from further compliance checks, reassuring current users that they will not face disruptions.
“The system is only targeting new mobile devices that will connect to local networks for the first time post-October 31. Previously registered devices will be considered tax compliant,” he added.
However, any device that does not meet compliance standards will be greylisted, with a standard grace period for the owner to settle outstanding taxes.
While the CA seeks to uphold device integrity and ensure tax compliance, Parliament in its statement said the ICT Committee, led by Hon. Kiarie remains vigilant about protecting Kenyan citizens’ data privacy.
“We must strike a balance,” Kiarie concluded, underscoring that enhancing tax compliance is essential and should not come at the cost of privacy and public trust.
Follow us on Telegram, Twitter, and Facebook, or subscribe to our weekly newsletter to ensure you don’t miss out on any future updates. Send tips to editorial@techtrendsmedia.co.ke
