MTN and Vodacom have launched separate legal challenges against communications regulator Icasa over new consumer protection rules – including mandatory rollover of unused data bundles – that are due to come into force in January 2027.

News24 first reported that MTN served court papers on 22 July asking for the End-User and Subscriber Service Charter Amendment Regulations to be reviewed, set aside and declared invalid, with Icasa cited as first respondent. Vodacom confirmed to the publication that it has filed its own application to review parts of the same regulations.

The amendment regulations, gazetted in January, will force operators to roll over the unused portion of data, voice and SMS bundles at least once at the end of their validity period – automatically and at no charge. Uncapped, free and promotional bundles, and bundles valid for seven days or less, are excluded. The rules also require an opt-in system for out-of-bundle charges, free transfers of unused bundles to users on the same network, depletion notifications and that bundles closest to expiry are used first.

According to News24, MTN’s notice of motion challenges three aspects of the regulations – the rollover requirement, the out-of-bundle opt-in and the unrestricted transfer requirement – arguing that Icasa acted beyond its legal powers.

MTN contends the rules will reduce competition and push up prices by removing consumers’ ability to choose cheaper bundles without rollover or transfer rights, and that they create an uneven playing field because they do not apply to mobile virtual network operators.

Vodacom told News24 that aspects of the regulations are ambiguous and difficult to implement, while stressing that it supports consumer protection. Both operators said they would continue to engage with Icasa in good faith.

Rollover

The court action is the latest turn in a battle that has dragged on for more than four years. Icasa first proposed tough new expiry rules in 2022, suggesting operators be forced to roll over bundles for a minimum of six months – a plan Vodacom warned at the time could penalise poorer consumers by undermining discounted short-validity bundles.

The regulator walked back the six-month plan in 2024 in favour of the softer once-off rollover now in the final regulations. At public hearings later that year, MTN branded the proposals regulatory overreach, and both operators pressed Icasa – unsuccessfully – to conduct a regulatory impact assessment before finalising the rules.

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Icasa has said the amendments are needed because operators “evaded the spirit” of the existing regulations, leading to consumer exploitation through high out-of-bundle rates and inadequate rollover provisions. – © 2026 NewsCentral Media