2. 1 Development, Universal Access and Governance in South Africa zCPSR Symposium: One Planet, One Net - The Public Interest in Internet Governance Boston, 10th - 11th October 1998. zTracy Cohen, Part-time lecturer zTelecommunications Law, Wits Law School zAssistant to Council, SATRA xThe views expressed do not necessarily represent the views of SATRA, its Council or any of its employees. zThe views expressed in this presentation are mine and do not necessarily represent the views of SATRA, its Council or any of its employees.

3. 2 Areas of focus zContext and Vitals zDefinitions: Universal Service v. Universal Access zUniversal Access in South Africa yPoverty yTelecommunications Teledensity yInternet Penetration on the Continent zGovernance yPolicy and Legislation yRole of the Regulator zIssues

4. 3 South Africa

5. 4 Definitions - Dedicated service v. reasonable access zUniversal Service z3 Components - Availability, Affordability, Accessibility -ITU x “affordable, access to basic voice telephony or its equivalent for all those reasonably requesting it, regardless of where they live.” - Oftel zUniversal Access xall of the above, BUT communal and within a reasonable distance zDefinition depends on the nature of the market zDefinition informed by technical, social, political considerations e.g. RDP

6. 5 Universal Access in South Africa zPoverty y36% of all households below the HSL yHSL = R1050/month ($180) Poorest 20% hh (27% pop) <3% total income Richest 20% hh (3% pop) >65% total income zTelecommunications Teledensity 2.8 million residential lines 1.5 million business lines 28 000 farm lines 90 000 Public Pay Phones yNational average = 9 Richer areas = 50 Poorer areas = 0.001

7. 6 The Phone Gap

8. 7 In Summary z8.7 million households in SA z2.8 million have telephones z55% of the 2.8 million are in white households z5.9 million households have no phones z2.1 million households have NO ACCESS to a telephone within 5km’s of their home

9. 8 SA - ISP Industry Structure

10. 9 Internet in Africa Source: Mike Jensen, AISI

11. 10 Cost Comparative Source: Mike Jensen, AISI

12. 11 The role of Governance in delivering Universal Access in SA zUniversal access requires regulation aimed at balancing economic growth and social/policy objectives zHistory, Policy and legislation - Telecommunications Act No. 103 of 1996 zState institutions supporting universal access y SATRA The public interest - Telkom v Internet Service Providers Association, 1997 yThe Universal Service Agency Lifespan - 5 years Universal Service Fund - Section 59 Administered by the USA subject to the control of SATRA yDepartment of Communications Multimedia Projects/ Public Access Projects

13. 12 A nation’s wealth is correlated with its telecom infrastructure Source: Formus SA

14. 13 Issues zInfrastructure xSub-Saharan Africa teledensity - <1 in 200 xAnalogue, unreliable network, urban concentration zAffordability and Costs zServices - basic or advanced zSustainability xSocial xEconomic  Infrastructural Priorities zLiteracy and Language Hegemony ySoftware solutions

15. 14 Conclusion zRegime is irrelevant - other factors are the determinants. zSocially positive role and purpose of regulation: yState has a role in ensuring universal access (more so under the exclusivity model?) yUSF Ceiling of R20 Million/year must be raised - post exclusivity zPublic/private sector partnerships will be vital to success zInternational and regional co-operation is crucial zDegree of success correlates proportionately to degree of sufficient political will, systematic planning and co- ordination

16. 15 Contact Details zE-mail:Cohet@satra.gov.za zPost:SATRA, Private Bag X1, Marlboro, Sandton, 2063, South Africa zTel: 27-11-321-8384

17. 16 Useful Sites zhttp://www.satra.org.za/ zhttp://www3.wn.apc.org/africa/mj.htm zhttp://www.sangonet.org.za/ zhttp://wn.apc.org/technology/ zhttp://demiurge.wn.apc.org/africa/projects.htm zhttp://www.doc.org.za/ zhttp://www.telecom98.co.za/ zhttp://www.sas.upenn.edu/African_Studies/AS.html

18. 17

19. 18 Snapshot - SA Industry Structure Telkom Future fixed line providers Mobile Cellular Vodacom, MTN, 3rd and 4th? PTNs - Transnet and Eskom Mobile Data, Radio Trunking, VANS - including ISPs

20. 19 Governance = Regulation? zFact: Government involvement in the creation and extension of services zRegulation aims to achieve: ythe delivery of basic services yacceptable ranges and quality of services yfair competition yfacilitate economic growth and global competitiveness zRegulation is aimed at balancing economic growth and social/policy objectives zUniversal Access requires regulation

21. 20 24 Months Ago…

22. 21 Africa - Continental Connectivity Indicators - Source: Mike Jensen, AISI z46/54 Countries and territories in Africa have Internet access in the Capital cities z6 Countries have plans for full Internet access in the capital cities z2 Countries remain without plans for full Internet access z7 Countries have only one full public access ISP after 12 months z11 Countries have local ISPs or POPs in some secondary towns z10 Countries have local dial-up Internet access nationwide

23. 22 Comparatively Speaking … Source: Mike Jensen, AISI