The Ugandan Communications Commission (UCC) has issued a directive to all telecommunications operators, to seize all sales of Airtime scratch cards and top up services by 30th June 2018. This follows UCC’s recent ban on the sale of SIM cards after it was discovered that the registration process had several loop holes that criminals had taken advantage of, sparking an increase in crime across the country.
In a letter dated 23rd March 2018, Eng Godfrey Mutabaza the Executive director of UCC advised all telecommunication companies to ensure that no further importation and sale of scratch cards is done after the deadline. This news comes as no surprise to the carriers since they had similar discussions with the commission on 19th March 2018 and agreed to the terms. This means Ugandans have at least 3 months from today to transition and adopt purchasing Airtime using electronic means. The biggest challenge however for the telecos, is how they will be able to ensure their sales especially in rural areas are not affected due to the new directive.
As apart of the 19th March meeting, UCC requested each operator to submit details of the current stock of Airtime scratch cards “including but not limited to the stock of scratch cards already purchased and en-route to Uganda” the letter said in part. All telecom companies were required to submit to UCC a weighted average period in which they would have consumed all scratch cards available and embark on sensitization campaign to their respective vendors in regards to phasing out scratch cards on the Ugandan market.
How you will load Airtime
Late last year, MTN was already encouraging customers to recharge airtime electronically as a result of vendors increasing prices. Instead of the usual UGX 500 and UGX 1000 for the airtime scratch cards, users were being asked to pay UGX600 and UGX 1200 for the respective scratch cards respectively. After a public uproar, MTN Uganda responded, saying the increments by the vendors are illegal and issues were rectified. A few months back Africell Uganda had an Airtime scratch card shortage that saw most subscribers stranded and not able to top up airtime.
It will now be up to the telecom companies to encourage customers to recharge their airtime electronically—either through the USSD EasyLoad option, online, Payway, or off their mobile money accounts as they try to entice them with offers to enable a smooth transition.
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