InternationalTelecommunicationUnion

PPP Approaches: Workshop Summary

ITU ASP COE Training Workshop Structuring PPP Partnership to Fund Rural Broadband

Infrastructure

17 November 2011

2

Summarizing the PPP dimensions in Broadband Infrastructure Funding Policy & Regulation

USO / Capital funding / Service DeliveryInstitutional Set-up

Investment protection / Infrastructure Sharing

New ServicesIn-kind Incentives

Creating Demand for ServicesPartially Funding the Investment

Raising Awareness

Infrastructure DevelopmentInnovative Services

Service DeliveryLevel of competition

Public Public

PeoplePeoplePrivatePrivate

3

Approach 1: Australia

4

Approach 2: Malaysia

Public Private People / Community

Broadband Network

- Policy-USP Funding- Minimum Services-Pricing

-Implementation- Awareness

- Awareness - Usage payment

Netbook -Policy-USP Funding

-Implementation-Awareness

- Subsidized package

5

Approach 2: NepalPublic Private People / Community

Optical Fibre Network

- Policy- RTDF Funding

-Implementation- Encouraged to use existing OFNs

Common Service Centres

-Policy-RTDF Funding

-Implementation by ISPs- Insurance of CSCs-Awareness

- Mandatory inclusion of (i) SLO, (ii) District Development Committee (DDC) and/or Village Development Committee (VDC) and/or (iii) the Local Community Organization and/or Village Entrepreneur (VE) or others. -30% of operational expenses to come from other partners except SLOs- Community Ownership

6

Approach 3: Pakistan

The 1stP –Public:

Ministry of IT & Telecom (MoITT)•Source of funds include•Prescribed contribution by licensees•Sale proceeds from the auction of the right to use radio spectrum•Access Promotion Charges (APC)•Grants/loans made by the Federal/Provincial Government or from other agencies

Regulator/Telecom Authority• Licenses, Auctions, Price Control, Quality of Service, Telecom Promotion• ICT R&D Fund • Web content, Software development, Research etc.

The 2nd P –Private

Spent by Telecom Service Providers to provide services in unserved/under-served areas

The 3rd P -PeopleEducational/ Community Broadband Centers, Operated and sustained by the People

7

Approach 4: Pakistan

The 1stP –Public:

Ministry of IT & Telecom (MoITT)•Source of funds include•Prescribed contribution by licensees•Sale proceeds from the auction of the right to use radio spectrum•Access Promotion Charges (APC)•Grants/loans made by the Federal/Provincial Government or from other agencies

Regulator/Telecom Authority• Licenses, Auctions, Price Control, Quality of Service, Telecom Promotion• ICT R&D Fund • Web content, Software development, Research etc.

The 2nd P –Private

Spent by Telecom Service Providers to provide services in unserved/under-served areas

The 3rd P -PeopleEducational/ Community Broadband Centers, Operated and sustained by the People

8

Approach 5: IndiaPublic Private People / Community

Telephones, Rural Phones

- USO Funds, Tariff Regulation

-Implementation- Usage fees

Towers -USO Funds -Implementation, Tower sharing (open access - limited)

Broadband connectivity

- USO Funds, Tariff Regulation

-Implementation - Usage fees

Rural Optical Fibre - USO Funds, Open access, Tariff regulation

-Incumbent

Renewable energy for mobile sites

- Min of Renewable energy and USOF

Rural SMCF -USO Funds - Community Charging centers, village level entrepreneurs

Gender Specific Initiative

- USO Funds-NABARD

-Mobile VAS providers-Content Providers-Subsidized handsets and tariff plans

-NGOs

National Optical Fibre Network

- USO Funds- Implementation

- Possibility to join and use

9

Approach 6: Indonesia

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Approach 7: Nepal Wireless