The Competition Authority of Kenya (CAK) has issued a warning to landlords, estate managers, and property developers who have been restricting access to internet service providers (ISPs) in residential estates.
This follows increasing complaints from tenants and ISPs over exclusive agreements that limit consumer choice and hinder competition.
According to CAK, investigations revealed that some landlords were entering into exclusive contracts with specific internet providers, effectively barring other licensed providers from operating in those estates.
The Authority noted that these practices are in direct violation of the Competition Act, which prohibits conduct that prevents, distorts, or restricts competition.
David Kenei, Director-General of the CAK, stated that such actions not only limit consumer rights but also promote unfair market practices.
He pointed out that residents often suffer from poor service quality and a lack of price options when they are restricted to a single internet provider.
“Consumers should have the freedom to choose their service provider based on quality and pricing. Blocking competition leads to complacency and inefficiencies,” Kenei said.
The CAK has warned that any entity found engaging in such anti-competitive behavior risks heavy penalties. These include fines of up to 10 percent of their previous year’s turnover, and in serious cases, individuals involved could face fines of up to ten million shillings or imprisonment for up to five years.
The Authority is urging all landlords and estate managers to ensure that multiple licensed ISPs are allowed access to their premises. It is also calling on tenants to report any incidents where they feel their rights are being restricted.
This warning comes amid growing demand for reliable internet in Kenyan homes, with both large and small providers competing in a rapidly expanding digital economy.
The presence of major players such as Safaricom, Jamii Telecom, and newcomer Starlink, alongside numerous local ISPs, indicates the importance of fair access to residential areas.
