Power As A Service (PAAS)
The sub-Saharan African telecommunications infrastructure market offers significant growth opportunities, as evidenced by the transaction activity in the sector over the last 3 years, including ATC’s acquisition of Eaton Towers’ African infrastructure assets, Helios Towers’ Initial Public Offering on the London Stock Exchange, IHS’s Initial Public Offering on the New York Stock Exchange. In order for tower companies and mobile network operators to continue to deliver value to consumers, enhancing and improving digital connectivity is paramount. It is expected that significant capital expenditure is required over the eight years for sub-Saharan Africa to achieve widely available 4G connectivity in urban and rural regions alike by 2030.
In this context, there has been an increasing trend amongst many operators to outsource the management of power systems at their sites to specialist energy service companies called ESCOs. Under this model, the ESCO owns, operates and maintains the onsite power generation and storage equipment, and in return, sells power to the telecom/ICT company. This model promotes greater energy efficiency and lower-cost service provision.
CPA’s unique ESCO model incorporates community power solutions at low cost and no disruptions to tower operations through innovative and affordable technology developed for the rural African market.
CPA’s approach to PaaS
Through the Energy Service Company (ESCO) model, we can deliver a high-quality service under which we will be wholly responsible for managing the risks of energy provision.
In CPA’s home market in South Africa, MNO’s have already identified a 10/12-year rent to own model for rural and peri-urban tower sites. Various tower companies have signed framework agreements with MNOs to supply towers. The rollout for this has already commenced, however, it is understood that a key constraint in building tower sites is access to power. Estimates suggest that 70% of sites are unable to secure grid power allocation and utilities are unlikely to be able to bridge this gap in the next 5-7 years. As a result, tower companies are seeking alternative options for power solutions, mainly focusing on weak and off-grid power.
Mauritius Head Office:
Grand Baie Business Park
Ground Floor No.4
Riviera du Rempart
Western Cape Head Office:
+27 (0)86 551 129177
Unit E 76 Building 8 The Grove
Old Paardevlei Road
Western Cape, 7130
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Get in touch with the team and find your hybrid power solution.