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Smart Poles Fibre Business to Diversify Kenya Power’s Revenue Streams

Sakwa Kombo by Sakwa Kombo
June 24, 2023
in News
Reading Time: 2 mins read
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Kenya Power IESR to deploy fibre business smartpoles

Almost exactly a year ago, Kenya Power announced it will start offering fixed internet services under a project dubbed Lit Fibre. The venture into the fibre business was meant to start in June this year.

Fibre business in Kenya has grown over the past few years and that means a lot of these cables have been laid around the country. Kenya Power has a huge network of electricity poles around the country and can be the perfect conduit to lay these cables.

However, Kenya Power has announced a slight deviation. The power company has introduced smart poles.

Under the Institute of Energy Studies and Research (IESR), Kenya Power is currently installing smart poles in partnership with Safaricom. The smart poles are part of the company’s fibre business initiative.

Currently, IESR is installing the smart poles in six locations within Nairobi. Smart poles are special utility poles that support the provision of high-speed internet connectivity.

Kenya Power wants to grow its non-core revenue to diversify revenues streams. As such, IESR is tasked with the fibre business deployment.

IESR Mandate

IESR is a subsidiary of Kenya Power that is mandated to champion the company’s revenue diversification agenda.

Primarily IESR focuses on academia, it offers technical and technological diploma and certificate courses in four disciplines.

Secondly,  IESR undertakes consultancy and research business in various areas within the energy value chain. Additionally,  it hosts Kenya Power’s electricity meters laboratory.

In addition to testing company meters, the laboratory tests and calibrates meters and equipment for other companies at a cost.

All these are geared towards growing the non-core revenue streams for Kenya Power.

“Over the next five years, we are targeting to grow non-core revenue to at least 3% of the total revenue through investments in fibre, general consultancy at both local and regional levels, and optimization of our property through leasing,” said Kenya Power’s Managing Director & CEO, Dr. (Eng.) Joseph Siro.

He was speaking during a graduation ceremony for IESR students. During the graduation ceremony, 592 graduates received diplomas and certificates in electrical engineering, petroleum geoscience, mechanical engineering and ICT.

Currently, non-core revenue accounts for about 0.7% of the company’s total revenue.

Tags: Kenya Power
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Sakwa Kombo

Sakwa Kombo

My Bio is in my written articles.

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