M-Gas and Safaricom partner in a PAYG gas services in Nairobi

Safaricom, M-Gas partner in pay-per-use cooking gas deal in Nairobi's Mukuru slums

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Michael Joseph, CEO Safaricom Plc

Safaricom has partnered with M-Gas to enable customers using cooking energy from M-Gas to access filled gas cylinders and pay per volume consumed using smart cards fitted by Safaricom.

Each M-Gas setup will come with a gas cylinder and a two-burner gas cooker provided at no upfront cost, as the two firms noted that the solution will encourage more uptake of cooking gas among low income consumers by eliminating upfront costs of acquiring a filled gas cylinder, usually above Sh6,000.

“Safaricom’s partnership with M-Gas will for the first time empower millions of Kenyans with affordable access to clean cooking gas, an opportunity we believe has been previously underserved,” said Safaricom CEO Michael Joseph.

The cylinders have been fitted with a smart meter to will show how much gas a customer has paid for and customers will be allowed to pay from as little as Sh1, meaning that one can pay to access gas for cooking a day’s meal. Payments will be made through M-Pesa, with the gas automatically disconnecting when a customer has consumed what is paid for.

M-Gas says the smart meters will be sending an alert to the company whenever a customer’s gas runs out, allowing it to deliver another one at no extra cost.

“M-Gas is proud to be working with Safaricom on this pioneering effort to bring affordable, convenient and clean cooking solutions to millions of low-income households in Kenya,” said head of M-Gas, Volker Schultz.

The gas was introduced in Nairobi’s Mukuru kwa Njenga slum and will be rolled out in other areas.

 

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