The National Transport and Safety Authority (NTSA) has announced a sweeping Public-Private Partnership (PPP) project aimed at transforming Kenya’s driver licensing system, automating traffic enforcement and improving road safety nationwide.
In a public notice published in the weekly myGov newspaper, NTSA revealed details of a strategic partnership with KCB Bank Kenya Limited and Pesa Print Limited to design, supply, deliver, install and maintain second-generation smart driving licences and associated digital enforcement services.
The ambitious NTSA smart driving licence PPP project is valued at an estimated Sh42 billion in its initial phase and will run for 21 years under the framework provided in the Public Private Partnerships Act.
Fully Privately Financed Project
According to NTSA, the project will be financed entirely through private debt and equity during the first two to three years of implementation.
The authority said the initiative aligns with key national development blueprints, including:
- Kenya Vision 2030
- Bottom-Up Economic Transformation Agenda (BETA)
- National Road Safety Action Plan 2024–2028
- Fourth Medium-Term Plan (2023–2027)
Established under the National Transport and Safety Authority Act, NTSA is mandated to regulate road transport, register and license motor vehicles, oversee driver training and testing, and enforce road safety standards.
Rising Road Fatalities Drive Urgency
NTSA cited worsening road safety statistics as a key driver of the PPP.
According to agency data, road fatalities have risen from 3,875 deaths in 2019 to more than 5,100 in 2024.
Beyond the tragic loss of life, road crashes are estimated to cost Kenya about Sh450 billion annually — nearly five per cent of the country’s Gross Domestic Product — through:
- Medical expenses
- Lost productivity
- Property damage
The authority also acknowledged systemic weaknesses, including:
- Poor driver licensing systems
- Weak enforcement of traffic violations
- Inadequate speed monitoring infrastructure
- Low uptake of smart driving licences
- Persistent corruption
Out of approximately five million drivers nationwide, only about 1.3 million have acquired smart driving licences so far.
What the New Smart Driving Licence System Will Deliver
Under the NTSA smart driving licence PPP, the consortium will modernise licensing through secure electronic driving licences (e-DLs).
Key components include:
1. Production of Smart Cards
- Five million high-security polycarbonate smart cards every three years
- Advanced anti-counterfeit security features
2. Expanded Enrolment Infrastructure
- More than 102 enrolment centres nationwide
- Over 390 enrolment kits
- Licence issuance within 24 to 48 hours
3. Digital Driver Management System
The new platform will track a driver’s full lifecycle, including:
- Training records
- Licensing history
- Merit and demerit points system
Motorists will also access a mobile e-DL wallet for digital credential storage and compliance notifications.
Automated Traffic Law Enforcement
A major pillar of the project is automation of traffic enforcement.
The plan includes:
- Installation of 700 fixed speed cameras
- Deployment of 300 mobile speed enforcement units
- Integration with a National Command and Control Centre for real-time monitoring
Motorists committing minor offences will receive instant fines under the Traffic (Minor Offences) Rules, 2016.
Payments will be processed through digital platforms, including:
- USSD
- Mobile money
- Banking systems
The e-DL wallet will further support tokenised financial services such as payments, transfers and mobile money top-ups.
Cost to Motorists
NTSA confirmed that user charges for the electronic driving licence will remain at Sh3,000 for:
- New issuance
- Replacement
- Duplication
Fine amounts will continue to be determined under existing legal frameworks.
Roles of Each Partner
Responsibilities under the 21-year PPP have been clearly outlined:
- Pesa Print Limited: Card design, pre-printing, personalisation, production management and system connectivity
- KCB Bank Kenya Limited: Enrolment support, distribution and issuance
- NTSA: Regulatory oversight, enforcement, compliance and data governance
The project will also involve collaboration with:
- The National Treasury
- Ministry of Roads and Transport
- Ministry of Interior and National Administration
- National Police Service
- Office of the Director of Public Prosecutions
- The Judiciary
Expected Benefits of the NTSA Smart Driving Licence PPP
NTSA anticipates multiple long-term benefits, including:
- Improved road discipline
- Reduced corruption
- Faster service delivery
- Decongestion of courts through automated penalties
- Enhanced public transport management
- Increased government revenue collection
- Reduced road crash-related medical costs
At the end of the 21-year contract, core infrastructure — including speed cameras, command centre systems and enrolment equipment — will be transferred to NTSA.
However, private partners will retain ownership of non-core assets such as smart poles, vehicles and certain software components.
Toward a Technology-Driven Road Safety System
Implementation of the project will be guided by several laws, including:
- The Constitution of Kenya
- The NTSA Act
- The Traffic Act
- The Public Private Partnerships Act
- The Public Finance Management Act
- The Access to Information Act
NTSA stated that public disclosure of the project aims to enhance transparency and awareness in line with legal PPP requirements.
Motorists, boda boda riders, public service vehicle operators, cyclists and pedestrians have been identified as key beneficiaries.
Through the NTSA smart driving licence PPP, the government hopes to leverage private sector expertise and financing to modernise enforcement systems and reverse the rising trend of traffic fatalities.