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{
    "id": 390954,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/390954/?format=api",
    "text_counter": 28,
    "type": "speech",
    "speaker_name": "Sen. Kagwe",
    "speaker_title": "",
    "speaker": {
        "id": 229,
        "legal_name": "Mutahi Kagwe",
        "slug": "mutahi-kagwe"
    },
    "content": "done charges US $37.8 per month for the equivalent of bandwidth when India, the country that we must compete with, if we want to create ICT jobs, charges only US$6.1. So, if you compare US $6.1 and US$37.8, you will find that a company that wants to place its core centre somewhere in the world will consider India long before they consider Kenya. If you compare further with Sri Lanka, you find that they have lower charges of US$5.5. If you are looking at a country that wants to position itself in a peaceful area, where they can create a core centre for their business, they are very likely to think about Sri Lanka, which is now peaceful or India, which has got a reputation for ICT at US$6.1, long before they consider Kenya at US$37.8. Mr. Speaker, Sir, what we must ask ourselves is: Why is Kenya so expensive when the cable we built was for development and is owned by those whose interest it is to keep the cost of bandwidth as low as possible? There are several reasons this is the case. First is the method by which we are managing this cable as far as terrestrial cabling is concerned. The current situation where we are digging up trenches and connecting to our counties is not ideal. When we started TEAMS we did not give it to Telkom Kenya. We created a special purpose vehicle in order for the cost to be down. In the meantime, what has happened is that they have now taken back the management of NOFBI to Telkom Kenya Limited. This means that the efficiency of the NOFBI connectivity is equivalent to the efficiency of Telkom Kenya Limited. In my opinion, that is a mistake. What should happen is that they should create a new purpose vehicle. NOFBI should be managed separately from Telkom Kenya Limited, so that the cost can be kept lower. Mr. Speaker, Sir, as the companies go digging there and trying to connect schools and hospitals, the counties are charging them. It is important for counties to appreciate that if they do not charge when a road is being connected to their headquarters, they should not also charge when fibre is being connected to their headquarters. Fibre is infrastructure like a road. What they should be charging is the business that is created when the fibre is connected to their counties. They should not charge the fibre itself. It is the same as saying that you charge those who are bringing water. You should charge for the water usage, but not connection of the water. You should also charge for road or fibre The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor, Senate."
}