Currently, Africa pays Europe US$400 million annually for intra-African traffic because most of the communication between African countries has to go through Europe.
A Panafrican satellite communications group meeting which opened yesterday at Kenya College of Communications Technology (KCCT) intends to cut this cost to around 10 per cent.
The 44-member Regional African Satellite Communications Organisation (Rascom) meetings ends on September 26. Ministers from 12 African countries have already confirmed that they will attend the final session.
The resources used in transit should be used in modernising and expansion of the continent's networks, said Transport Permanent Secretary Francis Muthaura during the opening ceremony.
Rascom, which was set up in 1992, has established a Mauritius-registered RascomStar-QAF Company to finance and operate the project. Currently, 30 countries have bought shares in the company.
The project kicked off with a feasibility survey in 1986 concluding in 1990. This study was carried out by African experts with coordination from the International Telecommunications Union (ITU). It was adopted by African ministers of transport and communications during their meeting in Abuja,
Nigeria, the following year.
Telkom Kenya managing director Augustine Cheserem and Rascom director-general Gounde Adadja said the new system would lead to a fall in the price of air services. Service providers can use a metre-wide dish which uses solar power to open a centre.
Mr Muthaura said Kenya would like Rascom to consider using the facilities at the Kenya College of Communication Technology to train staff in the use of satellite communications. The satellite is estimated to cost about US$200 million and Kenya's allocation stands at US$1.8 million. Telkom as the signatory for Kenya has already paid US$349,000.