South African Domain Administration Announces Tender for .co.za Domain Management

The Government of Zimbabwe, Australian company Invictus Energy, and its subsidiary Geo Associates have signed an agreement that lays the foundation for oil and gas extraction in this African country for the first time in its history.

According to the Official Gazette of Zimbabwe, the Petroleum Production Sharing Agreement (PPSA) establishes the rules governing the exploration, development, and production of oil and gas in the Kabora Bassa project, located in Muzarabani district (north).

Invictus Director Scott McMillan stated in a statement quoted by the Spanish news agency Efe that the official publication of the PPSA is a historic moment for both Invictus and the Kabora Bassa project, as it completes the final formal stage following the historic signing of the agreement earlier this year.

He explained that this agreement provides the long-term financial, legal, and commercial stability necessary to support the 'significant investments' required to advance the project.

This signing took place after the Government and Geo Associates had previously agreed on the petroleum sharing in May, according to which Zimbabwe can receive its share in cash, or in the form of oil or gas.

Exploration studies indicate that the Kabora Bassa basin contains approximately 20 billion cubic feet of gas and 845 million barrels of condensate—a mixture of very light liquid hydrocarbons found in underground gas reservoirs.

Zimbabwe has faced energy shortages for many years as the country relies heavily on thermal and hydroelectric power plants, which cannot meet domestic needs, so these developments could benefit the country.

Icasa preliminarily concluded that South Africa's current system for admitting new telecommunications operators to the market is inefficient, and therefore potential operators should be allowed to apply for licenses directly.

In a discussion document published in the Government Gazette on Friday, the regulator noted that the current regime, under which a newcomer must acquire an existing license from its owner and then obtain approval from Icasa for the transfer, 'has not been effective or efficient in promoting competition.'

It was found that the demand for new licenses 'appears high,' and issuing them would help reduce what was termed 'artificial entry barriers created by existing I-ECNS licensees in the secondary market.' The regulator's preliminary view is that the benefits of new licenses are likely to outweigh the associated costs.

This concerns Individual Electronic Communications Network Service Licenses (I-ECNS), which are necessary for operating a national or provincial scale network. Icasa has issued 470 such licenses but reported that most of them are 'largely inactive or dormant,' approving only about 11 transfers of ownership or control per year.

Since Icasa cannot issue new I-ECNS licenses, owners of unused licenses can set prices independently. The company Amatole Telecommunications informed the investigation that a pair of individual licenses—one for network operation, another for selling services through it—costs over one million rand on the secondary market, excluding the application fee for transfer to Icasa of 84,738 rand per license. Satellite operator Sateliot stated that many license holders are 'non-operational companies that cannot be contacted.'

Icasa stated that it does not deem it necessary to intervene directly in the secondary market. Instead, it indicated that the most effective solution is a direct licensing mechanism, 'where market access no longer depends on the incumbent licensee.' Furthermore, guidelines for approving license transfers are planned to be published, and the introduction of a 'use it or lose it' rule is being considered to prevent license hoarding.

Applicants for new licenses will still have to meet the legal, technical, financial, and ownership requirements set out in the Electronic Communications Act, and Icasa reserves the right to refuse them. However, the regulator noted that 'the possibility of failure is not generally considered a sufficient reason to prohibit market entry,' and the commercial viability of a new operator should primarily depend on 'the applicant and its investors.'

Pursuant to section 5(6) of the Act, Icasa can only accept applications for new I-ECNS licenses in accordance with the policy direction of the Minister of Communications. Minister of Communications Solly Malatsi issued such a directive in August 2025, requesting it from the investigation, after which Icasa launched the process last November.

The Internet Service Providers Association (Ispa) stated in its submission that Icasa had been seeking such a directive since 2016. The association noted that the regulator told parliament that it supported direct applications and officially described the transfer process as an 'unjustified administrative burden.' Cell C held a different view, arguing that Icasa had interpreted section 5(6) too narrowly and could have acted based on existing policy directives.

Icasa received 33 submissions, which were largely divided along predictable lines. Vodacom stated that it sees no barrier to entry in the current structure, although it criticized Icasa's execution. MTN stated that international data indicates that two or three infrastructure operators 'are usually sufficient to ensure effective competition,' and that there is 'no evidence base to justify a new licensing window.' MTN insists that Icasa wait for the results of numerous license renewals scheduled for 2028 and 2029. Telkom suggested that the marginal effect of new licenses would be 'insignificant,' while Rain stated: 'Market entry barriers are economic, not administrative.'

Satellite operators and smaller players advocated for the opposite position. SpaceX argued that the transfer system has the effect of 'designating incumbents as the first arbiter on whether a new entrant can enter the market,' and in the worst case, 'contributing to rent-seeking by opportunistic licensees who no longer need their licenses.' Amazon Leo, Eutelsat, Plan-S, and the Global Satellite Operators Association also supported direct licensing. Eutelsat explained that despite having jurisdiction in South Africa, it had to rely on a partnership model to operate ground infrastructure in the country.

Icasa emphasized that this investigation 'does not concern new I-ECNS licenses for providing satellite-based services,' as the licensing regime is technologically neutral. However, this works both ways: satellite operators will be able to apply for any new licenses. SpaceX informed the investigation of its intention to obtain both individual licenses 'for providing a national service.'

Nevertheless, direct licensing will not eliminate the main hurdle faced by Starlink. Section 9(2)(b) of the Act sets a requirement for a minimum shareholding of 30% by historically disadvantaged groups for individual license applications, 'or such other conditions or higher percentages that may be prescribed,' and Telkom noted that the Supreme Court ruled that this requirement also applies to license transfers.

SpaceX and the satellite operators' association called on Icasa to use the phrasing 'other conditions' to accept alternatives, such as investment programs equivalent to equity capital. The Icasa document only states that new applicants will remain subject to 'applicable ownership and empowerment obligations.' Since the invitation to apply was not open, Icasa's position this year was that satellite operators should acquire an existing license.

Icasa stated that a restrictive approach to new licenses could be 'difficult to reconcile' with its plans to release a larger volume of mobile spectrum within the International Mobile Telecommunications (IMT) roadmap, spectrum used for 4G and 5G networks. Written comments on the discussion document are accepted for 45 working days after publication, i.e., in early January 2027. After this, Icasa may hold public hearings, after which it will have 90 working days to publish the findings document. Cell C noted in its submission that Icasa's initial notification stated that the outcome of the investigation would allow the minister to consider issuing further policy direction. According to this schedule, an invitation to apply for new licenses is unlikely before the second half of 2027.

The .co.za domain is not just an address that users enter to find your business; it is a long-term asset that must remain under your control, be renewed on time, and correctly link to your website, email, or e-commerce platform. Therefore, the first year's registration price is only part of the overall solution.

A more important indicator is the renewal cost, which you will pay annually after registration, as it reflects the real long-term cost. For example, at Domains.co.za, the current registration price for .co.za is R99, and renewal is R119, while transfer to the company costs R0* including VAT. To compare any registrar, you should use a single formula: the first year's price plus the renewal cost multiplied by (number of years minus one). This allows you to estimate long-term expenses before making a final decision.

All .co.za domain extensions are in one registry system. The management of the .za namespace is carried out by .ZA Domain Name Authority (Zadna), and the operation of the .co.za registry is performed by ZA Registry Consortium (Zarc). Thus, the domain itself does not differ from one registrar to another or from a domain reseller. Only ancillary services change: renewal pricing, account management tools, DNS management, security options, support, and transfer processing.

Ownership issues are as important as the price. The registered user is the legal owner of the domain. If your developer, designer, or agency registers the domain in their name, they may gain control over renewals, DNS changes, transfers, and account access. Always register the domain in your own name or the name of your business, and then verify the record using a Whois search.

Before purchasing, you must compare the renewal cost, transfer price, DNS tools, security options, refund policies, support channels, and check whether the provider is an accredited registrar or reseller. A reseller may sell domains through a registrar, but this adds another layer between you and the registry.

Hosting

It is not always necessary to purchase hosting together with a .co.za domain. If your site runs on platforms such as Shopify, Wix, Webflow, WordPress, or similar ones, you can register only the domain and then configure the DNS records on that platform. However, if you prefer everything to be centrally managed, Domains.co.za offers web hosting with free .co.za domain registration* when purchasing certain plans.

Attention should also be paid to the renewal process. Domains.co.za sends reminders before expiration, and automatic renewal helps avoid missed deadlines. If the domain is not renewed, it goes through stages of expiration and redemption, eventually leading to deletion:

• Renewal reminders are sent 90, 60, 30, 14, and seven days before the expiry date, as well as one day before that.
• For domains with automatic renewal, Domains.co.za invoices 30 days before the end of the term.
• There is a 10-day grace period after expiration during which the overdue domain can be renewed.
• After this, the domain enters a redemption period lasting 20 to 30 days.
• Then it is deleted and becomes available for public registration.

Security also plays an important role. Domains.co.za provides a one-click DNSSEC feature that protects the domain's DNS records from unauthorized interference, provided registration requirements are met. The Domain Protection service adds extra layers of defense, such as two-factor authentication (2FA) upon updates, transfer lock, Anycast DNS, protection against Distributed Denial of Service (DDoS) attacks, and up to 50% discount upon redemption.

Making the right decision regarding .co.za depends on long-term costs, clear ownership, control over renewal, and services that help protect the domain. With Domains.co.za, you can search for .co.za, transfer existing domains, or combine the domain with web hosting when you are ready to launch.

*Terms and conditions apply. Prices are current as of publication.

Domains.co.za is a pioneer in the domain name and web hosting industry in South Africa. As an Icann-accredited registrar, the company offers web hosting solutions, including fast, secure, and reliable cPanel Web Hosting, WordPress, Managed cPanel VM, and Self-hosted n8n VPS. An AI-based domain name generator and additional services such as SSL, Domain Protection, Site Builder, and Link in Bio are also available. Focusing on innovation and customer satisfaction, Domains.co.za continues to provide industry innovations for local startups, entrepreneurs, small and medium-sized enterprises (SMEs), and companies. Follow Domains.co.za on Facebook, Instagram, LinkedIn, X, YouTube, and TikTok.