The Kenya Electricity Transmission Company (KETRACO) has signed a Ksh 600 million deal with Liquid Telecom to manage its fiber optic cable and expand connection to help it utilize its wide infrastructure to diversify revenue streams.
The 10 year deal will see Liquid Telecom use transmission lines to extend its fiber optic cable to customers in various parts of the country.
Under the deal, Liquid Telecom will begin by upgrading high speed fiber connections to 18 towns already connected to the national grid.
KETRACO was awarded a network facility provider tier 2 by the Communications Authority of Kenya two years ago and already operates an optical ground fibre cable for communication and monitoring of its network.
KETRACO will now manage 92% of the network besides expanding its own fibre to customers using high voltage lines.
Garissa, Isiolo, Garsen, Lamu, Rabai, Namanga, Meru, Machakos, Makueni, Wote, Sultan Hamud, Mwingi, Konza, Kitale, Eldoret, Kisii and Kisumu will be the first towns to enjoy high speed bandwidth when liquid telecom begins upgrading its fiber optic cable.
Under the deal, KETRACO will earn 40% of the revenue while Liquid Telecom retains the rest.
KETRACO currently has 1,792km of high voltage transmission line that it is targeting to increase to 8,000km by the year 2020 with concurrent fiber connectivity.
This will include 400kv Kenya/Uganda LINE, 500kv Ethiopia/Kenya line and 400kv Kenya/Tanzania interconnectors to be used to extend fiber cable to neighbouring countries.