[kictanet] Eassy renamed The Nepad Broadband Infrastructure Network

[James Rege]

Having been involved in the defunct Ring Around Africa in 1995 in the
capacity of the network designer, I praise Kenya for opting out for a
different solution.  I will leave out the details.
James Rege


On 3/2/07 7:05 AM, "Alari Alare Kenneth" <watoyi at yahoo.com> wrote:

> Bwana PS,
> What's your take on this
> Alari
> --- alice at apc.org wrote:
> 
>> (Apologies for cross posting)
>> 
>>  -----Original Message-----
>> From:   Raymond Smith (R)
>> Sent:   Wednesday, February 21, 2007 2:19 PM
>> To:     Johan Meyer (JP); Prince Radebe (PJ); Peet
>> Janse Van Rensburg
>> (HP); Kobus Stoeder (JF)
>> Subject:        Eassy renamed The Nepad Broadband
>> Infrastructure Network
>> 
>> 
>> Cape Town | ITWeb, 20 February 2007 ] - Eassy (The
>> East African
>> Submarine Cable System) has been renamed The Nepad
>> Broadband
>> Infrastructure Network (NBIN), because Kenya has
>> opted out of the South
>> African-led continental fiber optic backbone system,
>> says communications
>> minister Ivy Matsepe-Casaburri.
>> 
>> Speaking before the Parliamentary Portfolio
>> Committee on Communications
>> today, Matsepe-Casaburri gave a rundown on the
>> structure of the network,
>> such as the special purpose vehicles (SPVs) that are
>> being created to
>> manage, maintain, operate and fund the terrestrial
>> and undersea
>> components of the system.
>> 
>> According to the minister, the network will be
>> controlled through a
>> "golden share" scheme, whereby African countries
>> would be able retain
>> control of the various entities that are to be
>> created to run the entire
>> network and keep it from falling into foreign hands.
>> 
>> Matsepe-Casaburri says the ratification of the
>> inter-governmental treaty
>> should appear before Parliament around June and that
>> 12 out of 23
>> countries that had initially agreed to it had signed
>> the treaty.
>> 
>> The NBIN aims to provide a number of landlocked
>> African countries,
>> mainly on the eastern side of the continent, access
>> to two broadband
>> networks. One will run as backbone from South Africa
>> through Botswana,
>> Zimbabwe, Zambia, Malawi and Uganda to terminate in
>> the Rawandan capital
>> of Kigali. The second is an undersea cable that will
>> run up the African
>> east coast and was supposed to land in Kenya. The
>> new landing point has
>> not been announced as yet. Other countries that have
>> signed up are
>> Lesotho, the Democratic Republic of the Congo,
>> Mauritius, Namibia and
>> Madagascar.
>> 
>> Special vehicles
>> 
>> According to Matsepe-Casaburri, three types of
>> special purpose vehicles
>> (SPVs) will be created to maintain, operate and
>> finance the network. The
>> use of SPVs was recommended because they would be
>> able to go and raise
>> the capital needed without having to resort to
>> individual government
>> loan applications to international financial
>> institutions.
>> 
>> African governments to operate and maintain the
>> terrestrial networks
>> will own the first type of SPV. The second type of
>> SPV will be a hybrid
>> model that would include African governments and
>> private companies that
>> are licensed to operate telecommunications networks.
>> The third type of
>> SPV will operate and maintain the undersea system
>> and this will allow
>> the participation of foreign-owned
>> telecommunications operators,
>> although they would not be allowed to have
>> controlling stakes.
>> 
>> No foreigners
>> 
>> Matsepe-Casaburri says the participation of
>> foreign-owned firms in NBIN
>> will be limited to ensure that it remains an
>> African-led project, and to
>> ensure the security of the network.
>> 
>> She noted that the model developed is not what
>> international financial
>> institutions such as the World Bank would have
>> liked. However, she says,
>> it is based on an open access model with
>> non-discriminatory pricing
>> meaning that anyone, whether a shareholder or not,
>> would pay the same
>> fees.
>> 
>> "We wanted to avoid the club-type situation we have
>> had with the
>> (Telkom) SAT-3 undersea cable, but this did not sit
>> well with a number
>> of other countries and institutions,"
>> Matsepe-Casaburri says.
>> 
>> She wanted to elaborate on her comment, but then
>> realised that the media
>> were present.
>> 
>> South African companies that have already been
>> identified as potential
>> partners in the project are Telkom, Sentech, MTN,
>> Vodacom and Cell C.
>> However, Matsepe-Casaburri says the door is not
>> closed on other
>> potential investors.
>> 
>> ________________
>> Raymond Smith 
>> Senior Specialist
>> International Market Development
>> Telkom Market Strategy and Development
>> Phone: +27 12 311 6478
>> Mobile +27 82 7750558
>> FAX: +27 12 311 7910
>> 
>> 
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