Strategic Plan for the Universal Service and Access Agency of South Africa

Presentation to the

Portfolio Committee: Communications

6 March 2007

Parliament Cape Town

Structure of the Presentation

• Vision and Mission• Overview of Past performance • The USAASA Mandate in the EC Act

• Elements of the Strategic Plan

• Programmes 2007/8 • Organisational Structure• MTEF Budget • Challenges

Aspiration and Purpose

• Vision: USAASA is the leading organisation in the promotion of the goals of universal service and access to ICT services for socio-economic development.

• Mission: To facilitate the establishment of access to ICT services in partnership with all stakeholders towards the achievement of an information society

Overview of past performance

Number of Established Telecentress, Cyberlabs & Digital Hubs

15

50

14

38

148

0 1 20

20

40

60

80

100

120

140

160

2004/5 2005/6 2006/7

Telecenter

Cyberlabs

Digital Hubs

ICT Access Centres per Province

Province Telecentres Cyberlab Digital Hub

Stand alone

MPCC Total

E. Cape 11 05 16 42 1

W. Cape 3 05 08 08 -

KZN 9 11 20 40 1

N.Cape 6 03 09 23 -

Free State 6 05 11 17 1

Gauteng 9 09 18 02 -

Limpopo 17 10 27 36 -

N.West 11 03 14 29 -

MP 11 04 15 37 -

TOTAL 83 55 138 234 3

The GCIS projection for MPCC rollout for 2007/2008 is 20

SUBSIDY FOR USALSNAME 2004/5

(1st)

2005/6

(2nd)

2006/7

(3rd)

2007/8

Contractual obligations

Status

Bokone Telecoms

(Limpopo)

R 5m R5m R5m Nil Rolling out service

Karabo Telecoms

(North West)

R5m Nil Nil R10m •No audited AFS•No further contact

Bokamoso

(Free State)

R5m Nil Nil R10m •No audited AFS•Fighting liquidation

I- TEL

(Eastern Cape)

R5m R995k Nil R9m •Fighting liquidation•Negotiating with USAASA•Partnering with UUNET

Amatole

(Eastern Cape

R5m Nil Nil R10m •Unsigned AFS•Part of subsidy used for operational costs•Negotiating a partnership with Telumat

Thinta-Thinta

(KZN)

R5m Nil Nil R10m •No audited AFS•Waiting for spectrum•Conditional funding from IDC•Partnering with Alcatel

Kingdom

(KZN)

R5m Nil Nil R10m •No audited AFS•Launching a pilot Wi-max network with Motorolla•Partnering with UUNET

USAF Expenditure Trend Analysis

  2002/3 2003/4 2004/5 2005/6 2006/7 2007/8

Appropriated budget 23,679 24,745 26,230 29,247 31,164 32,722

Expenditure 2,346 29,800 57,873 71,415 52,901 0

Accumulated surplus 86,449 88,328 61,268 22,515 5,100 0

-25,000

5,000

35,000

65,000

95,000

2002/3 2003/4 2004/5 2005/6 2006/7 2007/8

Financial year

Ran

d

Appropriated budget

Expenditure

Accumulated surplus

The USAASA Mandate in the EC Act

• Guidance and co-ordination of universal service and access;

• Promote the goal of universal service and access;

• Research to advance universal service and access;

• Advisory and Policy development• Subsidise infrastructure development

through the Universal Service and Access Fund;

• Electronic communication network services and broadcasting.

RESEARCH STRATEGY

ADVISORY & PROMOTION OF

GOALS OF UNIVERSAL SERVICE & ACCESS

GUIDE AND COORDINATE

UNIVERSAL SERVICE AND

ACCESS INITIATIVES

SUBSIDISE INFRASTRUCTURE

DEVELOPMENT THROUGH THE

UNIVERSAL SERVICE ACCESS

FUND

RESEARCH STRATEGY

STRATEGY: CORE BUSINESS

Programmes : 2008 - 2010

1. Review existing Access Points• Review Telecentre model;• Explore the ownership model;• Roll-out MPCC access points

2. Review USAL subsidies with ICASA and DoC

• Sustainability• Licence conditions

3. Subsidise infrastructure in under-serviced areas

4. Schools• Subsidise connectivity;• Roll out computer labs (Cyberlabs)

5. Broadcasting6. Subsidise needy persons7. SMME development

Programmes : 2008 – 2010 (Cont’d)

8. Research• Determination of international best practice• Research into local conditions• Research into impact of projects

9. Access mapping• Map all universal service and access

initiatives and infrastructure in the country;• Identify priority areas for roll out;• Develop portal

10. Re-position the organisation to achieve the new mandate

Project Roll-out Plan

 MTEF Planned 2007/8

Description Detail Units

Community Telecentre & MPCCs New sites 49

School Cyberlabs New sites 160

Community Digital Hubs New sites 4

Project Grants Regional N/work Project 2

Subsidise USALs New USALs 14

ICT Training & Development Number people 200

Research 4

Portal development 1

Monitoring and Evaluation Sites monitored 376

Budget requirement 346 242

Revised

Units

20

12

0

0

0

200

4

1

195

32 722

Organisational Structure

BOARD

Chief Executive Officer

CFO

COO

Manager: Financial Accounting

Manager: Project

Accounting

Manager: Supply Chain Management

Manager: Information

Management

SM: Research & Regulatory

SM: Programme Management

SM: Human

Capital

Management

Manager: Schools & Libraries

Manager: Legal Services

Communications Manager

Manager: ECNS & Broadcasting

Manager: High Cost & Low income

Manager: HRD

HR Practitioner

Board Secretary

Internal Audit

Personal Assistant

Personal Assistant

Admin Support

Admin Support

Manager: Research & Policy Development

Staff Demographics

GENDER AFRICAN WHITES INDIANS COLOUREDS TOTAL

MALE 16 1 0 0 17

FEMALE 13 2 0 0 15

SUB TOTAL 29 3 0 0 32

16

1 0 0

17

13

20 0

15

29

3

0 0

32

0

5

10

15

20

25

30

35

AFRICAN WHITES INDIANS COLOUREDS TOTAL

MALE

FEMALE

SUB TOTAL

Additional expertise required:-

1. Researchers

2. Fund management

3. Financial analysts

4. Project managers

USAASA - MTEF (AFS 2007/10)

Expense Category 2007/8 2008/9 2009/10

Staff cost 12,891,004 13,535,554 14,144,654

Professional services 605,000 656,250 685,781

Subsistence & Travel 994,759 1,064,997 1,213,572

Operating expenses 5,814,160 5,526,368 5,749,517

Total Operating Expenses

20,304,923

20,783,169

21,793,524

Total Capital Expenditure 800,000 1,515,000 1,701,925

Grand Total 21,104,923 22,298,169 23,495,449

Actual minimum requirement 28,597,975

USAF Budgetary Requirement - MTEF Budget 2007/2010

FY2007/8 FY2008/9 FY2009/10

Description Detail Units Total Unit Total Unit Total

Community Telecentre & MPCCs

New sites 49 18,098,885 30 11,634,998 30 12,391,272

Existing sites (Maint) 138 13,252,071 187 18,855,392 217 23,302,542

School Cyberlabs New sites 160 59,126,080 240 93,123,576 320 132,235,478

Existing sites 234 5,009,472 394 8,856,490 628 15,034,003

Community Digital Hubs New sites 4 13,292,235 7 24,424,482 10 37,160,105

Existing sites 4 1,472,522 8 3,092,296 15 6,174,929

Project Grants Regional N/work Project 2 100,000,000 4 210,000,000 8 447,300,000

Subsidise USALs New USALs 14 70,000,000 21 105,000,000 0 -

Existing USALs 7 35,875,000 7 35,875,000 21 107,625,000

ICT Training & Development Number people 200 3,000,000 400 6,300,000 800 13,419,000

Community Websites New sites 0 - 15 1,575,000 15 1,677,375

Existing sites (Maint) 20 96,000 20 100,800 35 187,866

e-Mails New schools 0 - 100 2,887,500 100 3,075,188

Existing schools 50 1,292,000 50 1,356,600 150 4,334,337

Print & Braodcast Campaigns Publications 5000 15,000,000 5000 15,750,000 5000 16,773,750

Research: Various Implement reports 2,600,000 1,785,000 3,802,045

Total 346,242,265 552,618,109 842,306,618

Appropriation 32,722 34,581 36,427

Challenges

• Implementation of ECA• Resources (human, physical & financial)• Meeting our extended mandate• Image of USAASA• Collaboration with operators in the industry

THANK YOU