GE eyes telcos with Sh2m battery after Safaricom deal

General Electric CEO of Africa, Jay Ireland (left), GE General manager, energy storage technologies Prescott Logan(centre) and Safaricom limited CEO Bob Collymore during the launch of a deal that will see GE supply Safaricom with 48 GE Durathon batteries which will allow Safaricom network to run efficiently during power outages, April 23, 2013. SALATON NJAU

What you need to know:

  • The batteries dubbed Durathon would provide backup power to the towers to keep calls connected during power blackouts.

General Electric (GE) is eyeing the mobile telecoms sector with Sh2 million hi-tech batteries after signing a deal with Safaricom to power its communication towers.

The batteries dubbed Durathon would provide backup power to the towers to keep calls connected during power blackouts and can also be used to drive industrial plants.

GE has already supplied Safaricom with 48 such batteries to be installed on towers that are not connected to standby diesel generators mostly in Nairobi.

Safaricom is planning a wider rollout of the batteries to serve mobile phone towers that are not connected to electricity to reduce reliance on expensive diesel-driven generators.

“Using this technology will ensure that our customers receive uninterrupted usage of our mobile services,” said Safaricom CEO Bob Collymore at a press briefing Tuesday.

“The use of this technology will reduce by half our fuel consumption in our off-grid base stations currently powered by diesel generators.”

Electricity interruptions are common in Africa, and this is an opportunity for General Electric to make money in a business that has proved slippery for Nairobi Securities Exchange-listed Eveready, which supplies batteries for domestic use.

General Electric said it is seeking deals with other telcos, including Orange, Airtel and yu in its quest for higher revenues. The US giant is eyeing double-digit revenue growth in its Africa business over the next few years.

In Kenya, besides the telecoms sector, GE is targeting power generation, railway, health and aviation sector.

“Nairobi is home to GE Africa’s headquarters and Kenya is a very important market for us,” said GE president and CEO for Africa Jay Ireland.

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