Telecom

Kenya Power to launch fixed internet services by June 2023

Friday, 08 July 2022 05:43
Kenya Power to launch fixed internet services by June 2023

(Ecofin Agency) - In Africa in general, demand for broadband connectivity is growing thanks to a certain number of factors. The growth is attracting new investors, even those in the energy sector. 

Public company Kenya Power announced, Wednesday (July 6), it would launch fixed internet services in the country by June 2023. According to the utility company, the move will help diversify revenue streams and address the challenges currently faced by its electricity division. 

To offer the proposed services, Kenya Power plans to leverage its extensive network of more than 7,000 kilometers of fiber optic cable connected to its power transmission lines. The company will provide dark fiber services to Internet service providers (ISPs) in Kenya and East Africa. In recent months, the state-owned utility has piloted the provision of fixed Internet to a number of its business customers.

In March, it announced its plan to enter the fixed internet market since electricity tariff cuts would likely affect its revenues. Indeed, two months earlier, the government cut electricity rates by 15 percent to reduce electricity bills for households and businesses. The move is expected to create a Ksh26 billion (US$220 million) revenue shortfall for Kenya Power. 

Demand for broadband connectivity has accelerated over the past two years, due to the coronavirus pandemic notably. The growth presents attractive business opportunities for Kenya Power and telecom operators, mainly in the largely untapped fixed internet segment, according to the Communications Authority of Kenya (CA).

Once its fixed Internet services are launched, Kenya Power will have to compete with  Safaricom PLC and Wananchi Group, which control 35.8 percent and 28.1 percent of the fixed internet market respectively.  Nevertheless, as the owner of the infrastructure used by ISPs, it will surely introduce competitive prices, starting a price war in the market.

Isaac K. Kassouwi





 
Finance


 
Public Management


Ecofin Agency covers the news from 9 business sectors in Africa: Public management, Finance, ICT, Agribusiness, Electricity, Mining, Oil and Gas, Comms and Laws. Ecofin Agency is also creating and management specialized medias, in paper and on the web/social networks, for institutions or African publishers.

AGENCE ECOFIN

Mediamania Sarl
Rue du Léman, 6
1201 Genève
Tél: +41 22 301 96 11

REDACTION
redaction@agenceecofin.com

Public management
Aaron AKINOCHO
Borgia KOBRI
Moutiou ADJIBI

Finance
Idriss LINGE
Walid KEFI
Chamberline MOKO

Agribusiness
Espoir OLODO

Electricity
Gwladys JOHNSON

Oil and Gas
Olivier DE SOUZA

Mining
Louis-Nino KANSOUN

ITC 
Muriel EDJO

Comms
Servan AHOUGNON

Cameroon
Brice R. MBODIAM
Sylvain ANDZONGO
Monique MAY
Julienne Rose SENDE

Togo
Fiacre E. KAKPO
Waliyullah TAJUDEEN
Séna AKODA

Niger
Sandrine GAINGNE

Gabon
Stephane BILLE
Pierre-Celestin ATANGANA

Desk
Stéphane ALIDJINOU
Souha TOURE
Vahid CODJIA
Diane ZODEHOUGAN
Hikmatu BILALI

Translation
Schadrac AKINOCHO
Mouka MEZONLIN
Firmine AÏZAN



Digital
Omar SOKHNA
Mamadou DIOP
Bacary MANE
Abdel Razak MOULIOM

Digital Marketing
Jérémie FLAUX
Geraud ACHI
Jean Christian BERNARD
Franck FOUTE

Web publishing
Bakoly RAHARISOA
Rina RAMANANDRAISOA
Hasina RAJEMISON

Development
Dominique FLAUX

 


 
REGIE COMMERCIALE
AGENCE ECOFIN
Rue du Léman, 6
1201 Genève
Tél: +41 22 301 96 11
Fax: +41 22 301 96 10

Benjamin FLAUX
bf@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72

Voir page 
Nos services
 

 










 



Ecofin Agency is a news agency for economic and sectorial information. It was created in 2010 and it website was launched in June 2011.

Please publish modules in offcanvas position.