US power firm signs deal with local company to grow its market share

By: IMMACULATE KARAMBU

United State’s General Electric (GE) has signed an agreement with Simba Corporation as the authorised distributor for its diesel power generators.

With the deal, GE is seeking to tap into the growing demand for energy in the East Africa to grow its market share in the region.

The distributorship agreement is the second GE has signed in Africa after one signed with UK based Clarke Energy targeting distribution of the diesel engines and power generation in Nigeria, Australia and India.

GE has since 2011 been headquartered in Nairobi for its Sub-Saharan Africa operations.

“With our agreement with Simba Corporation, we are taking another important step forward in our strategy to expand the deployment of our distributed power technologies in Kenya and throughout Africa to boost the production of cleaner, more reliable energy and support the region’s goals to create more sustainable local economic growth,” said George Njenga, GE’s Sub-Saharan Africa leader.

GE is targeting mining, oil and gas exploration, real estate and financial sectors for provision of on-site power using generators.

The company’s strategy is angled on the lack of adequate and stable energy supply in Africa to cater for demand brought about by growing activity in these sectors.

Locally, demand for electrical energy outstrips supply, forcing industries and other consumers to invest in back-up energy.

The installed power generation capacity currently stands at 2,250 megawatts with access to electricity estimated to be about 47 per cent of the country’s population.

GE will ride on Simba Corporation’s experience in the local power sector spanning about 15 years to penetrate the market for its diesel generators.

SOURCE: DAILY NATION