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ITU Telecom World 2003

October 6, 2003
Telecom reforms to accelerate universal access

Air Commodore (Retd.), Narinder K. Chhibber

This is an abstract of the paper on, 'Telecommunication reforms to accelerate universal access in south Asian developing countries' that will be included in session POL 3, scheduled on 14 October 2003, at ITU TELECOM WORLD, 2003, GENEVA.

NEW DELHI -- South Asia, with a population of 1.4 billion people, has very low telephony penetration as compared to most other regions of the world. During the last decade, the South Asian countries have witnessed change from traditional, single, government-owned operator to multi-operators through liberalisation and privatisation with statutory regulatory authorities. Consequent of these changes, teledensity has grown at rapid pace in cities, but the rollout of networks in rural areas still remain a cause of concern. There has been a general reluctance among new entrants to meet their rollout obligation in rural areas, where two thirds of the population lives, and about 15 percent of the villages are still without any telephony service.

The emergence of new technologies and the growing demand for Internet has resulted in development of new applications such as e-governance, e-transactions, e-learning, and e-health. Broadband is another economic catalyst, but bringing the technologies as are used in industrialised countries may not work here. Lower bandwidth than the bandwidths in use in developed countries, may meet the needs of broadband services in villages in developing countries to bring down the network cost. Access through a personal telephone with Internet connection is a distant dream for most of the villagers due to the lack of purchasing power. Thus, public access through village public telephones with multi-purpose services has been adopted in all countries of the region. However, these public tele-info centres can be successful only if masses find them useful, convenient with good quality of service and affordable rates are charged from the users.

Like all over the world, the unprecedented surge is towards mobile communications in these countries. GSM mobile and CDMA networks for wireless local loop (WLL) have come up in a big way in urban areas. Competition and falling revenues are likely to force these operators to extend cellular networks to rural areas.

India, the largest country in the region with a population over one billion, has achieved comparatively better telecom services growth in south Asia.

However, the real challenge lies in rural communication, where the teledensity is about 1.24 percent and the government has set a target of four percent by the year 2005. While on one side the challenge is high cost per line due to widespread area and difficult terrain, the other challenge is low demand due to poor affordability, resulting in lower revenue and lack of value addition, e.g., mobility, e-governance, availability and relevant information in local languages. Sri Lanka is another country that has achieved comparatively better results in the region, but is yet far away from the world average of rural teledensity.

A number of independent projects are going on in some of the states of these countries to provide e-governance and other benefits of ICTs, through dedicated networks. Some of these projects, namely Gramdoot, corDect WLL model, IP/VSAT-based WAN networks, community information center projects have been implemented in states. These are limited only to small parts of the states and its full-fledged implementation and economic viability are yet to be proved.

The need is of a co-ordinated effort by the central governments of the countries with the full involvement of the telecom industry, the state governments/local administration, and the education and medical services sectors. Like most countries of the world, development of ICT infrastructure for rural and remote areas of these countries is planned through establishment of a universal service obligation (USO) fund or some form of subsidy.

To accelerate universal access and to bring awareness to the masses of the advantages of ICTs, the implementation process needs new strategies and innovative approach. International agencies like ITU can contribute toward this end.

ICTs for the masses can become useful, only if people are able to get information they need for improving the knowledge and efficiency of their professions and are provided online citizen services, utilities bill payment facility and official correspondence with the government, admissions to hospitals, educational institutes, etc. Once people become familiar in the use of ICTs and its advantages, its use will keep on increasing among the masses.

Literacy is another factor that influences the use of ICT. In South Asian countries, around 35 percent people are illiterate and women illiteracy is as high as 50 percent. Even out of literate people only 10 percent people are fluent in English. Some work is going on development of application programs and content in local languages, but with as many as 16 different main languages in use, the progress is slow due to the enormous effort required. In fact, ICT can help in improving literacy for the adult illiterates and in improving the quality of teaching in schools located in remote rural areas.

(The author is Secretary General, PTC India Foundation)

Contact:
PTC India Foundation

ptcif@vsnl.com







Air Commodore (Retd.)
Narinder K. Chhibber



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