-Pay a nonrefundable application fee. The fee is good for 12 months and allows you to take the appropriate law test(s) three times. If you fail the law test and/or driving test three times, your application will be void and a new application and fee are required. This fee pays for both the instruction permit and driver license, if you qualify for both documents within the 12-month period. If the application expires, you must resubmit documents, repay the application fee, and retake the required tests.
It's common in the U.S., for example, for those who are newly driving to have what is called a "learner's permit" - instruction permit sounds like another name for this.
A learner's permit typically allows you to drive a car on public roads as long as you have a licensed driver with you - or similar conditions - thereby allowing someone to teach you how to drive.
So it sounds like the fee will initially get you an instruction permit. You can then have someone teach you how to drive (you have a 12 month duration to do this). Then, when ready, you can take the law and driving tests. If you pass the tests, you will receive the driver's license at no additional charge (the fee covers both).