Safaricom to manage Kenya Power's fibre-optic network
Kenya Power is angling to connect 12,000 homes in Nairobi to the Internet through its fibre-optic network in a 12-month pilot stage that has already kicked off.
The firm has identified Safaricom as its partner in the project, and through its subsidiary Kenya Power International, the three signed a memorandum of understanding ushering in the project.
While Safaricom will invest in the fibre business and recover its investment through a lease agreement that is yet to be signed, Kenya Power will provide its vast infrastructure covering 4,000km in length of fibre-optic cable.
The agreement will promote development and improvement of additional telecommunications infrastructure for effective and efficient provision of telecommunications services to both public and private institutions through provision of adequate, reliable and competitively priced fibre networks, Kenya Power CEO Ben Chumo said.
Under the partnership, Safaricom will lease Kenya Powers fibre to roll out a last mile network, with the aim of connecting more homes to its broadband Internet services.
Safaricom CEO Bob Collymore said the project would accelerate the rate of connection to homes, and reduce the inconvenience caused by digging trenches to lay the underground fibre-optic cable grid.
Already, Kenya Power is leasing out the fibre to Safaricom, which is its biggest customer. Wananchi Group, Liquid Telecom, Jamii Telecom and Airtel are also its customers.
This is a project that will help maintain redundancy so that whenever there is a problem there is always reliable and flexible robust network to provide backup,said Dr Chumo.
Safaricom is experienced in laying fibre and has 3,200km of fibre reaching 7,000 homes. The partnership will further strengthen its capacity to provide faster, affordable and reliable broadband services.
Kenya Power has since 2010 fixed the optical fibre along its high-voltage power lines — traversing through 24 of Kenyas 47 counties.
The State-owned utility firm earned Sh259.4 million last year to June 2015 from leasing out extra capacity on its fibre-optic network. It intends to grow the revenues to Sh1 billion by 2017.