Mobile operators face deadline to zero-rate public benefit content
The obligation was attached to the 2022 spectrum auction conducted by the Independent Communications Authority of South Africa (Icasa), rather than being a voluntary corporate social responsibility initiative. According to the DG Murray Trust (DGMT), the revenue operators expected to forgo through zero-rating was factored into their spectrum bid prices.
However, with the deadline approaching, DGMT says there has been limited communication from mobile network operators and Icasa about how the requirement will work in practice.
“Almost every home in South Africa has a mobile phone, but many in poor communities can't afford the cost of data,” says David Harrison, CEO of DGMT. He argues that zero-rating public benefit content could improve access to information relating to education, healthcare, social services and employment.
Some operators have already zero-rated PBO content. DGMT says Rain has zero-rated at least two dozen organisations, while only 15 organisations have been zero-rated across the major operators, out of thousands that could potentially qualify.
“We are deeply concerned that with the deadline just months away, we've had no meaningful communication from most mobile network operators, or from Icasa, about how zero-rating will be implemented, regulated and enforced,” says Busisiwe Kabane-Bailey, Innovation Director at DGMT.
Existing system for identifying eligible organisations
Zero-rating public-interest content is not a new concept for South Africa's mobile operators. During the Covid-19 national disaster, operators were required to zero-rate educational and health-related content. Some operators have also voluntarily zero-rated selected websites outside of those regulations.
DGMT says implementation has historically varied between networks, with differences in which websites are zero-rated and the conditions attached to the service.
The organisation operates the Social Innovation Register (SIR), which assesses PBO applications by verifying their tax-benefit status and technical eligibility for zero-rating.
Since launching in 2023, the SIR has processed more than 120 applications, according to DGMT.
“Since going live, the SIR has processed more than 120 applications, demonstrating that much of the infrastructure needed to drive implementation at scale is already in place. What’s missing is engagement,” says Kabane-Bailey.
DGMT is calling on mobile network operators to publish their implementation plans and use existing systems to accelerate the zero-rating of eligible PBO content before the January deadline.
The organisation says the measure could help reduce barriers to accessing information in a country where high data costs and unequal internet access continue to limit digital participation.
