The National Transport and Safety Authority (NTSA) has formally notified vehicle dealers and showroom operators, providing them with a two-week period to register all motor vehicles in their possession on the NTSA portal.
In a public announcement made by NTSA Director General George Njao on Friday, the authority cautioned that non-compliance by Monday, December 16, 2024, will lead to the revocation of operating licenses and the confiscation of unregistered vehicles by law enforcement.
This directive follows a recent compliance review conducted by various government bodies, including NTSA, Kenya Revenue Authority (KRA), the Financial Reporting Center, and the Directorate of Immigration Services (DIS). The review revealed significant non-compliance among motor vehicle dealers across the nation.
“Upon concluding the review, the Authority has observed that numerous motor vehicle dealers are retaining unregistered vehicles on their premises, which violates the stipulations of the Traffic Act, Cap 403,” stated the NTSA Director General.
A transport sector expert explained that many dealers postpone vehicle registration to maintain their market value, as depreciation is often associated with the registration date. “A new number plate or series attracts customers, which is why many yard owners opt to use dealer plates (KD) to delay registration until they find a buyer,” the expert remarked.
The government’s enforcement action is anticipated to have a considerable effect on the vehicle import and sales industry, with the NTSA aiming for significant revenue increases from registration fees. The registration cost for a vehicle varies from Ksh 1,700 to Ksh 16,000, depending on engine capacity. With over 1,000 vehicles registered daily, this represents a substantial revenue stream.
The NTSA has called on all stakeholders to comply without delay to avoid penalties and ensure legal compliance.
