Kenya Pipeline internet venture: High quality fibre bet for more revenue

Remarks by Dr Macharia Irungu, MBS, MD, Kenya Pipeline Company (KPC)

I am delighted to welcome you to this exciting launch of KPC’s Fiber Optic Cable (FOC). There is no disputing the fact that the use of technology has revolutionized communication and rendered the world a global village.

The role of fiber optics in pushing this endeavour cannot be overemphasized. Coupled with other technological advancements and enablers, fiber optics have significantly contributed to the growth of communication in the world.

Since inception on 6th September 1973 with the mandate to receive, transport, store and deliver refined petroleum products both locally and within the region, Kenya Pipeline Company has grown in leaps and bounds to be one of the most profitable companies regionally and continentally.

The Company has opened up physical boundaries between countries and by extension, opened up unimagined business opportunities.

We at KPC have dared to dream and the manifestations of our vision are borne within our transformative strategic plan whose inspiration is to become Africa’s premier oil and gas company.

Aligned with the Government’s Vision 2030 which is geared at creating “a globally competitive and prosperous country with a high quality of life”; and, Anchored on our ambition to be the business leader in all industries we venture into with highly efficient systems &

data communication

processes we purpose to improve internal communication infrastructure for the country, diversify into the data communication sector to create a new revenue stream, and utilize technology as a business driver for both ourselves and our customers.

The zeal and tenacity with which we have pursued this dream has unlocked immense potential within this Company’s workforce. Today we boast of new revenue streams from this very fiberoptic product and even from our competency-based training center, Morendat Institute of Oil & Gas (MIOG). These diversifications have propelled KPC into its premier status.

KPC MD Dr Macharia Irungu

Therefore, in launching our Fiber Optic Cable, we are re-affirming our unequivocal commitment to revolutionizing the delivery of data across the country. If the pipeline was a promising idea, then data is an even smarter idea.

As we transport petroleum products from Mombasa to Nairobi, through Nakuru to Eldoret and Kisumu using a pipeline, we simultaneously transport data from Mombasa through Nairobi to Western Kenya using our fiber optic cable.

The two products run side by side along our wayleave and are cost-effective, secure, dependable, and revolutionary.

The Oil Marketing Companies (OMCs) are our pipeline customers while for FOC, our customers are telecommunications companies (telcos) and Internet Service Providers (ISPs).

So as OMCs offtake petroleum products from our depots and cover the last mile to the consumer, so do telcos and ISPs with data and internet carriage. Our cost is per kilometer per unit whether cubic meter or fiber core.

With the aspiration to widen both physical and virtual business focus, the establishment of an FOC network is an inevitable game changer. We are therefore not disruptors, but enablers.

Just like in the pipeline business where we enable economic growth through fueling the economy, through fiber optics, we are enabling internet connectivity in support of the Government’s agenda of ‘Internet Mashinani’.

Through the dark fiber carrier-of-carriers’ business, we seek to spur change in the industry landscape for our customers, Government institutions, international data & voice gateway providers as well as other tech-oriented corporates.

In conclusion Ladies and Gentlemen, there are many progressive developments that KPC has achieved and continues to pursue in the country’s economic interest. For instance, we have completed the construction of the Kisumu Oil Jetty that links Kenya to Uganda.

In view of this and to continue with the momentum, there are possibilities of laying optical-fiber cables from Kisumu to Uganda to serve the Great Lakes region.

Your enthused presence here today gives us motivation to continue investing in this segment. We will soon be knocking at your doors, seeking further partnerships to collaborate and scale up the desire to enable businesses and citizens communicate affordably and with immense clarity.

Remarks by Grace Njoroge Marketing  and Business  Development  Manager

Grace Njoroge: Marketing and Business Development Manager, KPC

A very warm welcome to the official launch of Kenya Pipeline’s FOC where we are redefining connectivity.

KPC is a brand known for efficient transportation and storage of Petroleum products. Today we are here on a different note, to create awareness and publicity of KPC’s optic cable.

Kenya Pipeline Company deployed a 96 Core fibre optic cable along its petroleum product pipeline from Mombasa through Nairobi onto the western parts of the country.

The primary intent was to run critical operations of the Company and meet internal communication needs.

In pursuit of business diversification agenda, it was deemed commercially feasible to lease the excess capacity to the markets.

In 2018, KPC obtained Tier 2 Network infrastructure license from Communication, Authority of Kenya (CAK) to facilitate this, and our team lead, Dr Macharia Irungu has since championed commercialization efforts such as this.

We are privileged to have signed up some of the leading telcos and industry players for their broadband and Internet traffic needs.

Our clients include Safaricom PLC, Jamii, Wananchi. We are in the process of onboarding MTN, Airtel, Telkom among others who have expressed interest.

This is because our product is tested and proven in the market. The type of product we are launching today, is of superior quality as it is a single mode fibre.

It offers extreme high capacity , compliant with international telecommunications Union standards where we have G652 type of technology deployed from Mombasa to Nairobi and G655 E deployed from Nairobi to Western Kenya parts of the country.

The cable is laid along our right of way which is heavily secured and guarded from fibre cuts. In the rare event of a fibre cut our service restoration timelines are under 4 hrs.

The design of the cable makes it agile in that clients can intercept after every 2 kms on Eastern side for signal distribution and after every 4 km on the Western parts.

For such superior type of cable, we only charge 22 dollars per core per km as monthly lease rate. The only other significant charge odds USD 850 per cabinet per annum and a one off charge of USS3900.

You can clearly see that we are creating high value proposition for you our existing and prospective clientele. Marketing and ICT team will always be at hand to disseminate more information.

I invite all of us to this occasion ,I invite every business that leverages on technology for business growth to take advantage of the superior, scalable, and most reliable KPCs Optic Cable for broad band connectivity

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