Independent Quality of Service (QoS) test results

According to the results of our internal testing, we remained the overall leader for both voice and data among mobile operators in Kenya. As the preceding table shows, the one area where we experienced some drop in comparative performance was the ‘network delay’ measurement. While testing, high latencies (delays) were noted in 3G and lower throughputs in some of the main cities due to interference. Ongoing optimisation efforts have since resolved the pertinent issues that were, on the whole, caused by constraints on capacity.

The seven KPIs tabulated in the Quality of Service (QoS) test results table above are regarding network performance, not actual network performance. a simplified illustration of the full scope measured for the P3 Certifi cation Benchmark criteria. For the purposes of this disclosure, we have ranked ourselves against the other mobile operators in Kenya. The comprehensive P3 Certification Benchmark criteria is composed of an extensive set of 29 KPIs for ‘Big Cities’, ‘Small Cities’ and ‘Interconnecting Highways’, with each KPI having a score. The full set of P3 certification results can be obtained from the P3 website.

Breakdown of Network NPS

As the black line in the preceding graph shows, our overall Network NPS was 72 in March 2018, a signifi cant increase of 9 points from 63 in March 2017. The graph also illustrates the breakdown of different network elements used to determine the overall NPS. We are satisfi ed with our improved results across all of the metrics, which we attribute to increased broadband (3G and 4G) coverage and improved data speeds, as well as a successful marketing campaign that promoted the superiority of our 4G network to customers and positively changed perceptions (see the Innovation section on page 47 of this report for further detail).

CUSTOMER SATISFACTION HIGHEST IN FOUR YEARS

Another important metric we use to measure our performance is the network related Net Promoter Score (NPS). The NPS is an independent survey of customer satisfaction and the ‘Network NPS’ metric allows us to monitor whether our customers are experiencing the improvements we make to the network. While NPS is a useful indicator, it is important to note that it measures customer opinions regarding network performance, not actual network performance.

We continued to make significant progress with regards to the ongoing expansion of our network during the year. The focus remained on increasing broadband coverage and we rolled out an additional 703 3G-enabled sites, many of these were in rural areas, which equates to providing an additional 1 per cent of the population with coverage. We also deployed 562 4G-enabled sites during the year. Most of these sites used the 800 MHz band to improve capacity and data speeds in major towns and, as a result, we achieved rapid growth and extended 4G services to an additional 10 per cent of the population, meeting the ambitious target we set for ourselves.

We failed to achieve our target of 4,646 2G-enabled sites due to logistical challenges and instability/security concerns in certain parts of the country, but we still deployed an additional 312 2G-enabled sites during the year and provide 96 per cent of the population with access to 2G services.

We are delighted to be able to report that we have made excellent progress in terms of expanding our fi bre optic network again this year, surpassing even the achievements of FY17. We laid an additional 769 kilometres of fi bre optic cables during the year and our network is now 5,469 kilometres in length and connects 72 cities in 46 counties. We have also connected 50% of our sites (BTS) to the network.

In terms of enterprise buildings, we deployed the network in three new towns during the year — Bungoma, Kitale and Nyeri — and exceeded our target of connecting 1,850 enterprise buildings connected by 72 to bring the total of connected buildings to 7,117. We were able to achieve this because partners and materials were secured early in the year and thanks to a focus on acquiring buildings during construction, which is typically a faster process than acquiring existing buildings.

In terms of residential homes, we surpassed our achievements in FY17 and passed an additional 100,000 homes. Again, this was achieved as a result of early deployment of materials, along with the on-boarding of two additional partners.

NETWORK AVAILABILITY AND STABILITY

The stability and availability of our network remains a critical necessity. Any interruption in energy supply, such as grid electricity outages and national shortages of diesel fuel, poses a direct challenge to the continuity of our operations. We continue to manage our response to this issue primarily through our Service Unavailability Rate (SUR). Our SUR is calculated by dividing the minutes of downtime per week per network element by the number of sites in our network.

ENERGY MIX

As reported last year, we have adjusted our approach to the mix of energy sources used throughout our network in response to the SDG strategy. Our current focus is on using sustainable energy sources and consumption patterns to achieve network availability and energy efficiency goals. In practical terms, this means avoiding, and phasing out, the use of diesel generators wherever possible, either by ensuring that Kenya Power (national grid) energy is available at a site or by employing alternative energy solutions.

As the following table shows, we signifi cantly reduced the number of sites powered 24/7 by diesel generators. This was achieved by bringing national grid energy to larger sites (that provide critical coverage) and prioritising the use of solar-based energy solutions at smaller sites (that provide additional capacity). The number of sites connected to the national grid increased by 149 and an additional 22 sites were converted to solar or wind and hybrid power solutions. While it is satisfactory progress, delays with the provisioning of commercial power smart meters and the shipping of solar equipment prevented us from achieving more.