KEETMANSHOOP - In an effort to increase its revenue stream, the Keetmanshoop Municipality last week signed an agreement with Powercom for the latter to manage, maintain and facilitate the Oxpass telecommunications tower.
Through this agreement, it will earn 60% of all net revenue derived from customers renting services at the tower.
The local authority’s acting CEO Catherine Boois said the tower was not really profitable to the council, hence the decision to sign the agreement with Powercom.
“Our partner will bring in their knowledge and expertise in terms of telecommunication and broadcasting services whilst also ensuring customers will pay rental fees accordingly,” she explained. Boois continued that Powercom, which is a 100% subsidiary of Telecom Namibia, will bring along the latest technologies in addition to improving broadcasting services in the southern town and its surroundings.
Keetmanshoop mayor McDonald Hanse said one particular achievement council is thrilled about is the transformation of the Oxpass tower.
“This tower which had remained an untapped potential will now be under the capable hands of Powercom,” he said. The town’s first citizen continued that the agreement will not only ensure the installation’s enhanced management but also promises to bring in much-needed revenue for the municipality. “We eagerly anticipate the positive impact this will have on our community,” he added.
Samuehl Nashima, the strategic executive for information and communication technology services at the municipality, informed stakeholders present that a total of 14 customers are currently renting services at the tower. “Being 1 045m above sea level, this infrastructure is having the ideal altitude for excellent telecommunication and broadcasting services for the town,” he explained.
Nashima also said council is looking forward to Powercom bringing about new technologies and improved broadcasting services.
Meanwhile, Powercom CEO Beatus Amadhila said it is indeed a remarkable and historical moment to enter into the agreement with the Keetmanshoop Municipality.
“These partnerships are falling under our mandate, namely managing and setting up information communication and broadcasting infrastructures in the country,” he said.
Amadhila also said Powercom is planning to engage the local authority in entering into further agreements in looking into ways how best to assist the entity in planning issues of ICT infrastructure and networking connectivity.
In terms of the agreement, Powercom shall pay the municipality annually before 7 December its 60% share of revenue after deductions of all operational costs incurred. The said agreement will run over a three-year period starting 1 September 2023, with the option of extension or renewal. It also stipulates that Powercom shall be responsible for all costs associated with the delivery of the said operational services, which include, but are not limited to, legal costs incurred in drafting the deal document, drafting of rental agreements, collection of outstanding rental fees from lessees and the maintenance and repair of the tower.
- sklukowski@nepc.com.na