5/8/2012 The Government of the Republic of Trinidad & Tobago Ministry of Public Administration NATIONAL BROADBAND PLANS: POLICIES, TECHNOLOGIES AND REGULATION The Honourable Carolyn Seepersad-Bachan Minister of Public Administration http://www.mpa.gov.tt April 18, 2012 PRESENTATION OVERVIEW Regional Context Overview of Trinidad & Tobago; T&T National Broadband context; Current Status of T&T ICT Sector; Legal and Regulatory Reform Draft National Broadband Plan 1 5/8/2012 The Government of the Republic of Trinidad & Tobago Ministry of Public Administration THE IMPORTANCE OF CONNECTIVITY PRIORITIZING BROADBAND Connectivity (Broadband) increasingly viewed as a basic public service, along with potable water, electricity, etc. Broadband is an economic game changer: – “for every 10 per cent increase in broadband penetration we can expect an average of 1.3 per cent additional growth in national gross domestic product (GDP)” The World Bank • The ITU has therefore prioritized connectivity: Connect the Unconnected by 2015 Broadband Commission 2 5/8/2012 Prosperity Performance Caribbean Countries PPP-adjusted GDP per Capita, 2010 ($USD) $30'000 Unweighted Average: 4.45% Aruba ($138,146) Barbados ($64,730) $25'000 $20'000 Bahamas Mexico $15'000 Argentina St Kitts & Nevis Chile Antigua & Barbuda Venezuela Grenada Brazil St Vincents & the Costa Rica Grenadines Colombia Belize Ecuador St Lucia Dominica Guatemala Paraguay Guyana Jamaica Bolivia $10'000 $5'000 Suriname Panama Uruguay Trinidad and Tobago Unweighted Average: $10,290 Dominican Republic Cuba Peru Honduras Nicaragua Caribbean countries Haiti Other Latin American countries $0 0% 2% 4% 6% 8% 10% 12% Growth of Real GDP per Capita (PPP-adjusted), CAGR, 2000-2010 Note: Aruba not included in average Source: EIU (2011), authors calculations CONNECTING THE CARIBBEAN Many Caribbean States share a number of common characteristics: Small Island Developing States (SIDS) Physically separated but committed to integration into one Caribbean Community (CARICOM) This community of interest has led to the “Connect the Caribbean” sub-set of the Connect the Americas initiative. ICT is a critical tool to bridge Caribbean divides, unite communities and deliver regional services 3 5/8/2012 The Government of the Republic of Trinidad & Tobago Ministry of Public Administration OVERVIEW OF TRINIDAD & TOBAGO 4 5/8/2012 TRINIDAD & TOBAGO IS … A Small Island Developing State (SIDS); A Westminster-style Parliamentary Democracy: The President is Head of State; The Prime Minister is Head of Government, leading a Cabinet, appointed from Members of Parliament; A Bicameral Parliament comprises a 41-seat House of Representatives and 31 seat Senate; The Judiciary, headed by the Chief Justice, comprises the High Court of Justice and the Court of Appeals; A member of, inter alia, CARICOM, the Commonwealth, the ACP Group of countries, the OAS and the United Nations. TRINIDAD & TOBAGO: QUICK FACTS Area: 5,128 km2 (1,980 miles2) Trinidad: area: 4828 km2 (1864 miles2) Tobago: area: 300 km2 (116 miles2) Population: 1.3 million (approximately) Trinidad: 1,250,000 Tobago: 50,000 Official language: English; First official foreign language: Spanish Major Religions: Roman Catholic 26%; Other Christian 26%; Hindu 22%; Muslim 6% Diverse Population: Indian African Mixed Other Unspecified 40% 37.5% 20.5% 1.2% 0.2% 5 5/8/2012 TRINIDAD & TOBAGO ECONOMY Leading Caribbean producer of oil and natural gas Heavily dependent on Energy Sector: Responsible for 40% GDP and 80% Exports Major downstream energy-sector: Methanol (#1 exporter from single site; #1 Exporter to USA) Ammonia (#1 Exporter from a single site; #1 Exporter to USA) Urea Iron and Steel Employs only 5% of the Labour Force TRINIDAD & TOBAGO ECONOMY Significant supplier of manufactured goods (food and beverages; cement etc.) to Caribbean region High priority placed on economic diversification and sustainable development ICT is one of the key sectors identified for development 6 5/8/2012 The Government of the Republic of Trinidad & Tobago Ministry of Public Administration BROADBAND: THE T&T NATIONAL CONTEXT FROM CARIBBEAN CONNECTIVITY… 7 5/8/2012 Fixed Network Coverage Columbus Cable Network in Trinidad 8 5/8/2012 Wireless Broadband Coverage NATIONAL DEVELOPMENT STRATEGY ICT is integral to T&T’s National Development Strategy: Key Sector for economic growth & diversification Critical tool to improve national competitiveness Cross-cutting enabler for sustainable development ICT specific developmental “Pillars” Connecting Trinidad & Tobago and Building the New Economy More diversified and Knowledge-Based Economy 9 5/8/2012 NATIONAL CONNECTIVITY AGENDA (2003) Objectives of T&T’s National Connectivity Agenda: To provide all citizens with Internet access; To focus on the development of children, and adult skills to ensure a suitable solution and a vibrant future; Promote citizen trust, access and interaction through good governance; Maximize the potential within all citizens, and accelerate innovation, to develop a knowledge based society. NATIONAL ICT STRATEGY (2003) fastforward Launched at same time as WSIS Phase I Focused on Connectivity. Objectives: – Liberalization of the Telecommunications Sector; – Connectivity to homes and citizens; – Connectivity to business houses; – Connectivity of Government Agencies – Connectivity schools and libraries; – ICT Skills Development – Development of an ICT Industry. 10 5/8/2012 Number of Operators in the Market Network Category Operational Concessionaires 1 8 Service Provided International Telecommunications Facilities only Facilities and/ or Services Mobile Voice and Mobile Telecommunications Internet services Fixed Telephony Fixed Telecommunications Fixed Internet Subscription TV (Pay TV) 2 2 7 9 Free to Air Radio Broadcasting 37 Free to Air Television Broadcasting 9 Fixed Voice Penetration Fixed Line Penetration Rate by Population Fixed Line Penetration Rate by Household 100 100 90 90 80 80 70 70 60 60 50 50 40 40 77.4 71.5 30 25.1 73.3 70.1 67.5 67.4 2010 2011 30 23.6 24.1 23.2 22.3 22.2 20 20 10 10 0 0 2006 2007 2008 2009 2010 Fixed Line Penetration Rate by Population 2011 2006 2007 2008 2009 Fixed Line Penetration Rate by Household 11 5/8/2012 Mobile Voice Penetration Mobile Penetration Rate 160 140 120 117.0 115.9 2006 2007 138.0 141.1 143.8 2008 2009 2010 138.6 100 71.6 80 60 40.6 40 28.0 20 0 2003 2004 2005 2011 Mobile Penetration Rate Subscription TV Penetration Subscription TV Penetration per 100 households Subscription TV Penetration per 100 individuals 16 60 54.73 52.3 52.1 47.5 50 44.0 40.7 13.7 14 12.5 11.6 12 10.8 38.3 40 14.25 13.6 10.2 10 30.1 30 8.0 8 27.0 7.2 6 20 4 10 2 0 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 Subscription TV Penetration per 100 households 2003 2004 2005 2006 2007 2008 2009 2010 2011 Subscription TV Penetration per 100 individuals 12 5/8/2012 Fixed Internet Penetration Fixed Internet Penetration Rate per 100 of population Household Fixed Internet Penetration 60 40 35 50 30 25 40 20 30 15 53.1 46.6 10 20 5 8.7 6.3 11.1 13.0 15 2010 2011 40.1 21.4 10 0 2007 2008 2009 4.9 0 2007 Fixed Internet Penetration Rate per 100 of population 2008 2009 2010 2011 Household Fixed Internet Penetration Broadband Penetration Broadband Internet Household Penetration 60 50 40 30 52 45 20 36 10 2009 2010 2011 Broadband Internet Household Penetration 13 5/8/2012 BROADBAND AND THE NATIONAL ICT PLAN 2012-2016 Launched a Consultative Process for the development of the National ICT Plan: Focused on creating opportunities for people and business and improving the quality of life. THE NATIONALBROADBAND STRATEGY Draft Broadband Strategy prepared by the Telecommunications Authority of Trinidad & Tobago (TATT) (2011) Several Ministries collaborating on ensuring alignment of national broadband agenda with National ICT Plan World Bank engaged to advise Government on Broadband 14 5/8/2012 BROADBAND DEMAND: A FEW CONSIDERATIONS Broadband - A key enabler for Innovation Shifting from connectivity to uptake local digital content; software development; New opportunities for creative industries (entertainment, music, film, etc.) Open Data Initiative e-Commerce: Allow for affordable e-Commerce Platforms while Ensuring Information Security and Privacy Promoting MSME development T&T e-Government Framework Enablers / Support Services Business Process Re-engineering Capacity Building e-Tax Admin e-Birth Certificate e-Education TTBizLink / SEW Vehicle/ Drivers’ e-Licensing Finance / e-Procurement Service Oriented Platform Foundation Service Infrastructure Authentication (single sign-on) e-Payment / e-Forms / e-Transactions Population Registry Business Registry GoRTT Communications Network (GovNeTT) Data Centre Data Centre e-Business Registratio n Immigration /e-Passport e-Health / HIMS e-??? Middleware (Unique Identifier) Land Registry Information Security E-Services & Sectoral Transformation (Security Controls, Awareness & Audits) ttconnect hotline Unified Portal Framework Unified Portal Platform Marketing & Awareness Governance Policy & Legislation Change / Adoption Management Monitoring & Evaluation National ICT Agenda Connectivity Uptake & Usage Innovation 30 15 5/8/2012 The Government of the Republic of Trinidad & Tobago Ministry of Public Administration BROADBAND AND LEGISLATIVE AND REGULATORY REFORM: Reform Legislative and Regulatory Frameworks Objectives: Discourage destructive competitive behaviour Encourage investment, innovation, and consumer confidence; Shift from Licensing and ex-post reactionary regulation to Market Supportive mix of frameworks that support innovation in service delivery Expected Outcomes: Build-out of Capital Intensive Infrastructure nationwide; Improved Quality of Service (Global Standards); Expanded range of service offerings 16 5/8/2012 ISSUES Convergence. Effective and Efficient spectrum management Full Competition (encouraging new entrants to the market); Open Access: Interconnection and shared facilities Number portability Consumer Protection (Quality of Service: Dispute Resolution; establishment of more stringent administrative penalties for non-compliance; etc.) Universality: Work in Progress Legislative Framework: Short term: Amendments to ecourage investment. Medium Term: Complete review and revamp aligned to new policy agenda. 17 5/8/2012 Work in Progress • Regulatory Frameworks: • • • • • • • • • Interconnection Access to Facilities Spectrum management Numbering Plan Pricing Accounts separation Information Requirements for Providers Quality of Service Universality e-LEGISLATIVE REFORM Legislation e-Transactions Act Data Protection Act Audit and Exchequer Act e-Payments Legislation Cyber-Security Legislation Status Assented to 2011; partially proclaimed 2012 Assented to 2011; partially proclaimed 2012 Amendments being drafted In preparation Under development as part of the national Cyber-Security Agenda 18 5/8/2012 The Government of the Republic of Trinidad & Tobago Ministry of Public Administration TRINIDAD AND TOBAGO: DRAFT NATIONAL BROADBAND PLAN T&T Conceptual Network Topography 5/8/2012 Free template from www.brainybetty.com 38 19 5/8/2012 BROADBAND TARGETS Draft Broadband Plan under consideration Proposed Targets By 2014: minimum of 5 Mbps to all citizens. By 2016: minimum of 10 Mbps to all citizens. By 2020: minimum of 100 Mbps to all citizens. Targeted capacities already available on wired networks. BROADBAND CONSIDERATIONS Objective: 100% Broadband coverage in T&T Public Private Partnership (PPP) : approach preferred involving public and private funds both foreign and private. 3 separate PPP Projects: 1. Submarine cable landing station (both International and Tobago) including carrier hotel; 2. Open Access Backbone Network (wholesale broadband provider) 3. Access Networks 20 5/8/2012 BROADBAND CONSIDERATIONS Solutions (incentives and regulations) to encourage crosssector infrastructure sharing In the Pipeline: Working with existing providers to establish a National IXP Possible introduction of a third mobile provider to bring advanced technology to market (e.g. 4G Technology) UNIVERSALITY Universal Service Fund to be managed by the independent Regulator (trend in the region) Currently: Surplus funds from TATT Finalization of the Universality Framework Governance Framework . Providers to fund USF: Contribution to USF will be from 0.5-1.5% of gross revenue 21 5/8/2012 UNIVERSALITY Priority uses : 1.Connecting unserved and underserved areas 2.Connecting community access centers 3.Providing access for special needs groups, including the differently abled and young entrepreneurs DRAFT BROADBAND PLAN 1/2 No. Proposed Initiatives 1 Establishment of a broadband backbone network for core, subtended core and inter-island transmission capacity. 2 Exploration of new submarine cable system, a second landing point and carrier hotel. 3 Broadband satellite service capacity. Proposed Timeframe for Implementation Short Term: within in next 1 – 3 years. Medium to Long Term: next 3 – 7 years. Short Term: within in next 1 – 3 years. 22 5/8/2012 DRAFT BROADBAND PLAN 2/2 No. Proposed Initiatives Proposed Timeframe for Implementation Development of an incentive regime: •Incentive regime based on level of investment 4 •Waiver of spectrum and licence fees Almost immediately •Removal of duty on smart/handheld devices Incentives for development of mobile applications 5 • Investment encouraged in three areas: • External connectivity • Domestic connectivity • Last mile Short Term: within 1 – 3 years CONCLUSION: THE WAY FORWARD For T&T and other Caribbean SIDS: – ICT is a CSF for sustainable development – Broadband is a CSF for ICT uptake ICT (and Broadband) rollout in the Caribbean: – Collaborative approach by Government; Private Sector and Civil Society T&T and the Caribbean therefore places a high priority on creating the necessary enabling environment to encourage: ICT Infrastructure development Attracting Investment (Domestic and Foreign) Foster ICT uptake and Innovation 23 5/8/2012 The Government of the Republic of Trinidad & Tobago Ministry of Public Administration 24