ministry of transport, information technology and communications bulgarian broadband current...

MINISTRY OF TRANSPORT, INFORMATION TECHNOLOGY AND COMMUNICATIONS

BULGARIAN BROADBAND CURRENT SITUATION - COVERAGE, STRATEGY

AND PROJECTS

Broadband advantages

Increasing of broadband connectivity is recognised as one of the basic instruments for enabling major improvements in economic and social wellbeing. Widespread, high-speed access can deliver significant increases in GDP, expands employment, increases international competitiveness and improves quality of life.

Broadband connectivity can also enhance community cohesion through novel and enhanced communications as well as deliver better choice and convenience for families and individuals in work and other aspects of daily life.


European policy for broadband i2010: Broadband access for all The initiative contains a range of EU policy instruments to

encourage the development of the digital economy such as regulatory instruments, research and partnerships with stakeholders. Promotes high-speed and secure broadband networks offering rich and diverse content in Europe;

Community Guidelines for the application of State aid rules in relation to rapid deployment of broadband networks

The guidelines contain special provisions on penetration of networks for access of the next generation, enabling public financial means to reinforce investments in this strategic sector, without causing distortion of market competition;


European policy for broadband

EUROPE 2020 A strategy for smart, sustainable and inclusive growth

Flagship Initiative: "A Digital Agenda for Europe" The aim is to deliver sustainable economic and social

benefits from a Digital Single Market based on fast and ultra fast internet and interoperable applications, with broadband access for all by 2013, access for all to much higher internet speeds (30 Mbps or above) by 2020, and 50% or more of European households subscribing to internet connections above 100 Mbps.


Distribution of the number of Internet subscribers by line capacity

Source: Data submitted to CRC


Broadband services penetration by population

Broadband penetration by populationas of January 2010

13

%

13

%

14

% 15

% 17

% 19

%

19

%

19

%

19

%

19

% 21

%

22

%

22

%

22

%

23

%

23

% 26

%

27

% 29

%

29

%

30

%

30

%

30

%

32

%

32

%

38

%

38

%

24,80%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Bu

lgar

ia

Ro

man

ia

Po

lan

d

Slo

vak

ia

Gre

ece

Po

rtu

gal

Hu

ng

ary

Lit

hu

ania

Cze

ch R

epu

bli

c

Lat

via

Ital

y

Sp

ain

Cy

pru

s

Irel

and

Au

stri

a

Slo

ven

ia

Est

on

ia

Mal

ta

Bel

giu

m

Fin

lan

d

Gre

at B

rita

in

Fra

nce

Ger

man

y

Sw

eden

Lu

xem

bu

rg

Net

her

lan

ds

Dan

emar

k

Source: Commission staff working document accompanying the Progress report on the single European electronic communications market (15th Report)


Distribution of subscribers according to the type of technology

Source: Data submitted to CRC


National strategy for the development of broadband

National Strategy for the development of broadband in the

Republic of Bulgaria (2010-2013) – adopted in Nov. 2009

The National Strategy for the first time stands a systematic approach for solving the problem and identifies medium and long term strategic objectives in order to overcome the gap in broadband access compared to other EU countries and to satisfy the requirements set out by current EU programming documents.


National Strategy 2010 - 2013 - main parameters

The National Strategy provides a general framework for broadband development:

Total financial ressources - 150 million EURO;

Total number of projects - 5 - 10;

Total number of settlements - 120 cities and 3500 villages

(white and gray areas);

Total population covered - 3 000 000.


Social and economic goals

To develop and optimize accessibility, quality and scope of services (in the fields of education, health, administrative services etc.) by use of broadband access in all regions of the country.

To boost social cohesion by providing access to online services to people living in scarcely populated and remote areas and thus, overcoming trends for “digital divide” with this part of the society.

To improve competitiveness of the Bulgarian economy which will

lead to increasing employment and welfare of people by ensuring a research and innovations platform and thus, increasing the GDP.

To increase trust in Internet by imposing security and behavior

rules corresponding to business standards.

To facilitate and stimulate the use of broadband access by business for the needs of implementing new business strategies and providing new services to end-users.


Technological purposes - connectivity, networks, infrastructure

Connectivity in the regional and major cities: • by 2013 the population should have the opportunity for broadband access

with speeds above 20 Mb/s, within the locality; • to provide wireless access in public places; • by 2013 to allow for fiber connectivity to be introduced to over 80% of

the households in the vicinity of their homes; • by 2013 to build a broadband infrastructure bracing health centres and

hospitals in the country. Connectivity of the medium settlements: • by 2013 - up to 90 % of the population to enable broadband access within

a locality at a speed exceeding 10 Mb/s; • to provide wireless access in public places at least in city- halls and

mayors’ offices; • by 2013 to allow for optical connectivity up to 80% of households in the

vicinity of their homes. Providing broadband access in remote and rural areas • by 2013 – up to 50 % of the population to enable fixed and wireless

access in the locality; • by 2010 the population of the country to be able to access the computer

and the Internet as close as possible to their home.


Funding Sources For the programme period 2007-2013 in the Operational

Programme "Regional Development", under Priority axis 2., Operation 2.2. "ICT Network” are stipulated funds to the amount of 20 mln. EURO.

Funds for investment purposes from the budget of MTITC amount commensurate with the economic situation in the country.

Funds from other Operational Programmes like the Rural Development Programme, the Operational Programme “Administrative Capacity” (OPAC) ect.

Funds from private investors attracted in various forms of public private partnership.


Participants

State - In areas where intervention is warranted by the state of social and economic perspective, it is important to define clear and equitable measures needed to achieve the targets outlined in the Strategy.

Municipalities (local authorities) - Municipalities foster economic development at local level, reduce costs throughout economies by merging into a single network; assist in obtaining the necessary permits.

The private sector - Active involvement of the private sector in

the construction of broadband infrastructure and the provision of broadband services is crucial factor for the achievement of the positive effects of scale deployment of broadband.


Implementation of the National Strategy 2010 - 2013

An expert group is formed with the following tasks:

To develop an evaluation methodology for objective selection of settlements that will be included in the pilot projects;

To analyze and propose models of public-private partnership for the implementation of projects under the national strategy;

To develop а National programme for the accomplishment of the objectives of the National Broadband Strategy and Investment Framework Programme 2010-2013;

To support the methodological work on assignments and preparation of proposals with reference to the implementation of pilot projects.


National Strategy - stages

The National Strategy will be implemented gradually, taking into account the available financial resources aimed at achieving the objectives set out in it.

The National Strategy will be periodically amended in order to satisfy the requirements set out current EU programming documents

A National Operational Plan for implementation of the National Strategy is under development. It will comprise the requisite activities, respondents, dead-lines and financial resources as well as the common activities and integrated efforts with other authorities and institutions.

First step - Construction of broadband connections to the urban periphery and less urbanized and rural areas

Next steps - Integration of public infrastructures - Development of critical, secure, safe and reliable public

infrastructure


Road map 2010 – 2015


2010

preparation

2011 2012

investment – 20 millions EUR

preparation

2013 2014

tender

implementing the project

investment – 130 millions EUR

implementing the project

tender

2015

Road map 2011-2012

2012

FEBRUARYMARCH

APRIL

MAY

JUNE

Pre-investment study .

JULY

2011

Medium-term investment program

framework …………………..…………………….

Notification for State Aid

Survey from MA

Tender procedure

AUGUST

SEPTEMBER

OCTOBER

NOVEMBER

DECEMBER

JANUARY

Memorandum of understanding

MARCHAPRIL

Implementation of the project – 18 months

MAY

JUNE

Tender procedure

JULY


Selection of Settlements for the project


Evaluation criteria for the selection of settlements that will be included in the investment project:

population – more than 500 citizens; availability of broadband infrastructure and broadband services (zone under the classification of the EU, in which the locality is situated in); presence of public institutions as a prerequisite for active public and social relations (schools, hospitals, community centers, etc..); presence оf prerequisites of economic activity, for the occurrence of such in the locality; presence of willingness or readiness in the population for employment of broadband services; availability of opportunities for realization of successful forms of public- private partnership.

Broadband Penetration in Cities and Villages


Source: Data provided by CRC for the purposes of the study Source: Data provided by CRC for the purposes of the study

Target group of the investment project The target group of the investment project are 19 pre-

selected regions, each including between three and five municipalities, which have the highest concentration of remote settlements, situated in basic broadband "white areas".The total number of settlements which will be covered by the proposed measure will be between 800 and 900 according to the technology used for implementation and network topology, and the population covered would be between 400 000 and 450 000.

Population in those towns and villages is characterized by

relatively low or thoroughly missing awareness of ICT and Internet benefits and hence, the lack of readiness for Internet use and electronic communication services. As a result, private companies are not interested to invest in the said areas.


Pre-investment study

The conduct of these preparatory activities and the preparation of the following documents, will enable EA “ECNIS” as a direct beneficiary to apply to the Managing Authority of Operational Programme "Regional Development" and this would ensure successful opening of Operation 2.2. of the OPRD

preliminary feasibility study; including research on alternative technologies applicable to its implementation;

a survey of existing communication infrastructures as for this purpose a map should be made;

evaluate the potential demand and consumption of broadband services in selected areas through the method of interview with specially designed questionnaires;

cost-benefit analysis;


Application of State Aid Rules

Questions under discussion with the representatives of the European Commission(DG INFSO, DG Regio, DG Competition):

Concept for the implementation of the investment initiative for the regional

networks for broadband access How the aid measure fits into the national broadband strategy and

the EU objectives; Preparation and lodgement of a Notification for application of State

aid


District Network Center

Municipal Network Center



Local Network Center




Settlements without Internet

End Users End Users End Users End Users

Distributive level

Aggregate level

Level of access

Ope

rato

rs

Ope

rato

rs

Ope

rato

rs

Backbone

Optical backbone

High – speed optical Ethernet connectivity

High – speed optical Ethernet connectivity or wireless radio-relay connectivity

“The last mile” is a subject of

investment by operators, providing

retail services

The Infrastructure – Subject of the

Forthcoming Project

Organization of a regional network with open access



Minimum service requirements

The proposed infrastructure must meet the following

functional requirements:

Ensure the provision of multimedia services; The provision of services must be independent of the used transport- related technologies like optical fiber, point-to-point radio or others; Must allow retail suppliers to use different technologies for access to end customers, such as Ethernet, xDSL, 3G, WiMAX, DOCSIS and others.


Thank you for your attention!

www.mtitc.government.bg

ministry of transport, information technology and communications bulgarian broadband current...

Documents

information technology

broadband access

broadband europe

broadband i2010

secure broadband networks

crc ministry of transport

reportministry of transport

type of technology source