Log in
Show password
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 
  1. Homepage
  2. Equities
  3. Kenya
  4. Nairobi Stock Exchange
  5. Safaricom PLC
  6. News
  7. Summary
    SCOM   KE1000001402


SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector news

Safaricom confirms $300 million Kenya Power smart meter proposal

09/17/2021 | 06:53am EDT
FILE PHOTO: A man walks past Safaricom shop, a mobile telecommunication provider in Kenya's capital Nairobi

NAIROBI (Reuters) -Kenyan telecoms operator Safaricom,, said on Friday it had submitted a proposal to Kenya Power for the installation of a $300 million smart meter system at the utility, confirming documents seen by Reuters.

The telecoms company said it was now waiting for the utility's response, adding that it would install and operate the smart meter system for eight years if the deal is approved, before transferring it to Kenya Power.

Kenya Power has said it had received the proposal from Safaricom and was reviewing it in line with internal processes.

The state-controlled utility, the main power distributor in the East African country, suffers from annual power system losses of 23.46% on its transmission network, well above the global benchmark of 15%.

The system proposed by Safaricom will use the Internet of Things, which allows real time monitoring of the grid, to cut the power system losses by eight percentage points in two years, the company said.

"Technology has the potential to address many of our customers' business needs," Safaricom said.

Safaricom proposes to split the additional revenue generated from lower system losses, projected at 71.7 billion Kenyan shillings ($651.23 million) over eight years, with 75% going to Safaricom and 25% to Kenya Power.

The telecoms operator will shoulder the cost of installing 330,000 consumer, transformer and feeder smart meters.

Kenya Power, which was once considered a blue chip on the Nairobi bourse, has slid into the red in recent years partly because of the power system losses, sending its shares close to their all time lows. The company also has a heavy debt burden.

The Kenya Private Sector Alliance (KEPSA), an umbrella lobby of private firms, supports a debt restructuring programme for the utility, and a substantial reduction of its system losses to improve its commercial performance, it said in a statement on Friday, citing Kenya Power's strategic importance to the economy.

($1 = 110.1000 Kenyan shillings)

(Reporting by Duncan Miriri; editing by Jason Neely, Alexander Smith and Jane Merriman)

By Duncan Miriri

ę Reuters 2021
All news about SAFARICOM PLC
10/22SAFARICOM : Recognized for Net Zero Efforts in the East African Climate Action Awards
10/21SAFARICOM : M-pesa foundation partners with cbm kenya and cure hospital for inclusive educ..
10/21SAFARICOM : Reognised for net zero efforts in the east african climate action awards
10/15Spotify targets Africa for music streaming growth
10/15Music streamers turn to telcos to make Africa pay
10/14SAFARICOM : And nhif launch m-pesa mini app
10/07SAFARICOM : Extends maxine wahome's sponsorship with kes 2 million boost
10/07SAFARICOM : Flying doctors society of africa partners with m-pesa foundation, unfpa, and a..
10/01SAFARICOM : Reports 75% Rise in Number of Staff Dismissed Over Fraud
09/30SAFARICOM : Generates 1 Million Jobs With Impact on Society Valued at Shs 664 Billion
More news
Analyst Recommendations on SAFARICOM PLC
More recommendations
Sales 2022 288 B 2 592 M 2 592 M
Net income 2022 78 462 M 707 M 707 M
Net cash 2022 33 372 M 301 M 301 M
P/E ratio 2022 21,6x
Yield 2022 3,64%
Capitalization 1 697 B 15 261 M 15 279 M
EV / Sales 2022 5,78x
EV / Sales 2023 5,30x
Nbr of Employees 4 436
Free-Float 25,1%
Duration : Period :
Safaricom PLC Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends SAFARICOM PLC
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus HOLD
Number of Analysts 13
Last Close Price 42,35 KES
Average target price 37,79 KES
Spread / Average Target -10,8%
EPS Revisions
Managers and Directors
Peter Ndegwa Chief Executive Officer & Director
Dilip Pal Chief Financial Officer
Michael Joseph Chairman
Thibaud Rerolle Chief Technology Officer
Steve Okeyo Director-Regional Sales & Operations
Sector and Competitors
1st jan.Capi. (M$)
SAFARICOM PLC23.65%15 482
SOFTBANK CORP.17.40%63 192
CELLNEX TELECOM, S.A.27.82%43 145
MTN GROUP LIMITED126.48%16 622
TELE2 AB12.25%9 779