It is now emerging that the slow connection in internet connection for subscribers of companies depending on the TEAMS cable is as a result of a cable cut. A statement sent by Safaricom limited says a major cut has occurred on the TEAMS cable at the coast, cutting a crucial link for the bulk of internet and international voice traffic in the region.
The cut that was precipitated by a ship off the coast of Mombasa resulted to complete loss of traffic last Saturday for a number of subscribers of various companies including Safaricom, Jamii Telecom, Wananchi, Essar, Kenya Data Networks, Access Kenya, Telkom Orange and Bandwidth & Cloud Services as well as the government of Kenya. The cable that is co owned by the government of Kenya through a public private partnership with a number of local companies accounting for 85% shareholding was installed at a cost of 130 million dollars or approximately 10 billion shillings. The coble connects the Kenyan coast to Fujairah off Sri Lankan coast. The cut that occurred some 4.5 kilometers off the Kenyan coast forced many companies to re-route their data through SEACOM and satellite with recovery expected to take hours and repair to take close to three weeks. However there is a feeling of economic sabotage with reports that a ship illegally dropped its anchor at the point where both the Eastern African Submarine Cable System (EASSY) and The East African Marine System cables are situated and dragged them leading to the cut. The undersea cables that are about 650 feet below link East Africa to Middle East and Europe have also affected electronic communications from Djibouti to Djibouti. Questions will also be raised on the frequency of the cuts being that the TEAMS cable is the fourth cable to be severed in the region in the last two weeks. The Teams cable had been rerouting data from three other cables severed 10 days ago in the Red Sea between Djibouti and the Middle East. Even with all ideas sprouting on what could have led to the cut that has affected business in the entire regions the Kenyan parliament is yet to legislate a law on economic sabotage to tackle the numerous cable cuts.
Tuesday, February 28, 2012
Thursday, February 23, 2012
Africa aviation association condemns EU carbon taxes
The African airlines association has condemned EU carbon tax
on airlines joining ranks with countries like Russia, China and India.
According to the association secretary general Elijah Chingosho the
levies were illegal as it goes against the 1944 Chicago convection
which empowers the international civil aviation organization (ICAO) to
regulate the industry. He also fears that EU’s move could spark trade
wars as various blocs impose their charges.
The African aviation association protest is perhaps the single unitary
dissent from Africa as a continent after individual countries South
Africa and Tanzania raised fingers over the move by the European
Union. The Emissions Trading Scheme (ETS) that creates permits for
carbon emissions forces Airlines that exceed their allowances to buy
extra permits, as an incentive to airlines to pollute less. However
the levies that came into effect on January 1st have been condemned by
critics who say the EU has no right to impose taxes on flights to or
from destination outside Europe even after the European court of
Justice ruled that the EU tax on carbon dioxide pollution from
aircraft was legal. many fear that the move could lead to
increased taxes on aircraft as other blocs levy taxes on aircraft to
counter the EU’s move that is expected to increase cost for the sector
by between 1.5 and 2 billion Euros annually. For Africa the
move could be a big blow to the young industry as the aviation sector
internally tries to negotiate with governments to reduce taxes
especially on fuel. Statistics show that only less than 10% of the
continent’s population have used an airplane although the continent.
has the potential to grow at over 7.5% annually over the next 10 years
They were speaking ahead of the first African aviation
suppliers conference to be held in Nairobi next month bringing
together players in the aviation sector.
on airlines joining ranks with countries like Russia, China and India.
According to the association secretary general Elijah Chingosho the
levies were illegal as it goes against the 1944 Chicago convection
which empowers the international civil aviation organization (ICAO) to
regulate the industry. He also fears that EU’s move could spark trade
wars as various blocs impose their charges.
The African aviation association protest is perhaps the single unitary
dissent from Africa as a continent after individual countries South
Africa and Tanzania raised fingers over the move by the European
Union. The Emissions Trading Scheme (ETS) that creates permits for
carbon emissions forces Airlines that exceed their allowances to buy
extra permits, as an incentive to airlines to pollute less. However
the levies that came into effect on January 1st have been condemned by
critics who say the EU has no right to impose taxes on flights to or
from destination outside Europe even after the European court of
Justice ruled that the EU tax on carbon dioxide pollution from
aircraft was legal. many fear that the move could lead to
increased taxes on aircraft as other blocs levy taxes on aircraft to
counter the EU’s move that is expected to increase cost for the sector
by between 1.5 and 2 billion Euros annually. For Africa the
move could be a big blow to the young industry as the aviation sector
internally tries to negotiate with governments to reduce taxes
especially on fuel. Statistics show that only less than 10% of the
continent’s population have used an airplane although the continent.
has the potential to grow at over 7.5% annually over the next 10 years
They were speaking ahead of the first African aviation
suppliers conference to be held in Nairobi next month bringing
together players in the aviation sector.
Friday, February 10, 2012
Bata expands to Ethiopia & Burundi
Shoe maker Bata is eyeing to expand to the region with its target being Ethiopia and Burundi. According to Bata managing director Nasir Rafiq the expansion is estimated to cost 350 million shillings. Bata will however not be eyeing South Sudan at the moment as it awaits various administration and policy measures to take form.
Speaking during the launch of Bata miss world Kenya collection East and central Africa’s largest shoe manufacturer said it will continue to focus its operations in the COMESA region with Kenya remaining as its manufacturing hub and operations center. And after expanding to Rwanda last year the manufacturer is in 2012 eyeing 2 other markets Ethiopia and Burundi to increase sales that stood at 30 million pairs in 2011. But with the infrastructure linking Kenya and Ethiopia in bad state Bata hopes the upgrading works will be through on time.Bata also says it will be expanding to every county with focus on the North rift towns and North eastern. Chief guest at the Launch Vice President Kalonzo Musyoka said the government will continue to provide the right environment for investors especially incentives that will open up the remote parts of the country. Bata currently employs over 2500 employees with the expansion expected to increase jobs especially for locals with the versatility and expertise in the sector. Bata miss world collection encompasses shoe variety for both the average citizen to the stylish executive collection to be worn for offices and other formal functions.
Speaking during the launch of Bata miss world Kenya collection East and central Africa’s largest shoe manufacturer said it will continue to focus its operations in the COMESA region with Kenya remaining as its manufacturing hub and operations center. And after expanding to Rwanda last year the manufacturer is in 2012 eyeing 2 other markets Ethiopia and Burundi to increase sales that stood at 30 million pairs in 2011. But with the infrastructure linking Kenya and Ethiopia in bad state Bata hopes the upgrading works will be through on time.Bata also says it will be expanding to every county with focus on the North rift towns and North eastern. Chief guest at the Launch Vice President Kalonzo Musyoka said the government will continue to provide the right environment for investors especially incentives that will open up the remote parts of the country. Bata currently employs over 2500 employees with the expansion expected to increase jobs especially for locals with the versatility and expertise in the sector. Bata miss world collection encompasses shoe variety for both the average citizen to the stylish executive collection to be worn for offices and other formal functions.
Tuesday, February 7, 2012
Kenya BPO sector lagging behind expectations
The business process outsourcing sector has lagged behind its targets 5 years down employing just 10,000 people despite having set projections of 20,000 people in the sector by 2014. According to ministry of information permanent secretary Dr. Bitange Ndemo this has been as a result of lack of affordable rental facilities, lack of buildings that meet international BPO standards as well as the delay in the drop of broadband prices.
The government had hoped that with the advent of the submarine cables in Kenya business process outsourcing would sprout employing at least 20,000 people by 2014 and contribute at least 45 billion shillings to the economy. 5 years down the line though these expectations have grown short with the industry facing serious hurdles in infrastructure development especially in buildings that meet international BPO standards and at an affordable rate.
Bandwidth prices have also remained high despite better ICT infrastructure on the ground and less reliance on satellite. This comes even as the government seeks to increase professionals in software development by launching the world’s first globally accepted software certification exam in conjunction with Carnegie Mellon University.
The exam is aimed at marketing local developers and giving access to employment globally with statistics showing demand for software developers will grow by 135% between 2011 and 2013. The ICT board says it hopes to certify between 500 and 1000 developers annually with the 1st exam expected to be in place by April 2013.
The government had hoped that with the advent of the submarine cables in Kenya business process outsourcing would sprout employing at least 20,000 people by 2014 and contribute at least 45 billion shillings to the economy. 5 years down the line though these expectations have grown short with the industry facing serious hurdles in infrastructure development especially in buildings that meet international BPO standards and at an affordable rate.
Bandwidth prices have also remained high despite better ICT infrastructure on the ground and less reliance on satellite. This comes even as the government seeks to increase professionals in software development by launching the world’s first globally accepted software certification exam in conjunction with Carnegie Mellon University.
The exam is aimed at marketing local developers and giving access to employment globally with statistics showing demand for software developers will grow by 135% between 2011 and 2013. The ICT board says it hopes to certify between 500 and 1000 developers annually with the 1st exam expected to be in place by April 2013.
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