The Kenyan Minister for Transport and Communications Hon Musalia Mudavadi performed the opening ceremony on Aug 6th. In his opening remarks, the Minister noted the beneficial impact of policy reforms in the telecommunications sector in Africa. In particular, he noted the fast growth of telecommunications from 10 million in 1992 to over 20 million by 2001. Cellular and the Internet sub-sector witnessed even faster growth in the same period and the growing link between the cellular and the Internet was spawning the ‘mobile information society’ in Africa. With the expansion of the infrastructure, the Minister noted that the greatest challenge is to develop applications to exploit the infrastructure for development of the continent

Having set the context, the two events then proceeded over the next three days to discuss and identify eleven key areas of opportunity (not problems) to be pursued by government, private sector and the civil society to enhance development. The areas of opportunities discussed below were presented by the author at the closing plenary presided over by Mr Sammy Kyungu Permanent Secretary Ministry of Transport and Communications on Aug 8th, 2002.

1. That rural access continues to be a challenge despite the fast growth of telecommunications in Africa. Approximately 80% of the African population (particularly in Sub Saharan Africa) have no access to ICTs and therefore cannot benefit from ICTs.
• Delegates reconfirmed the important role of the private sector in the deployment of ICTs but recognised that commercial responsibility of the operator limits expansion to commercially viable regions. This cuts out the rural and poor. Some countries have developed or are in the process of developing Rural Telecom Development funds to incentivise private sector to extend infrastructure to areas considered commercially non-viable. Uganda is a case in point. Kenya is in the process of establishing such a fund.
• Government should facilitate the establishment of rural development funds to create incentives for the private sector to deliver services to rural areas.
2. Access to low cost devices/user terminals on the existing telecommunications platforms for the rural areas.
   • We need to build cheaper terminals that are affordable by the rural and the poorer members of the society that takes into account the electric power problems in the rural areas. One product pDA costing US$25-50 was demonstrated. Inmarsat and a Kenyan NGO Environment Liaison Centre International (ELCI) are testing this device in Kenya. World Bank provided financing to pilot the device but production and design is by the private sector.
   • While recognising efforts the government have taken to create an enabling environment in the sector, more effort is required to encourage private sector to invest and produce such devices for African conditions. Specific areas include the establishment of research and development programmes.
3. Transition of technologies and resistance to change by incumbent operators.
   • New technologies provide an opportunity to reduce prices for the end consumer. The greatest challenge for exploitation of the new technologies is the incumbent operators who see new technologies as threat and not an opportunity. Additionally, exclusivities for the incumbent operators make it difficulty for upcoming competitors to exploit new technologies. A case in point discussed by the delegates include the use of VoIP.
   • Governments and regulators need to review policy and regulation frameworks to encourage the introduction and use of new technologies for better and cheaper services to the consumer.
4. Reducing the cost of expansion of infrastructure.
   • Operators can take advantage of new capital projects in the country to roll out fibre across the country. A case in point is taking advantage of road construction to bury fibre along the road under construction. This reduces the cost of civil works of rolling out the fibre. A reduced cost for deploying fibre translates to affordable services to the telecommunications consumer. This also makes the services more affordable.
   • Regulators should review and indeed encourage other infrastructure operators to roll out fibre and offer the same for communications
5. Nurturing local entrepreneurship.
   • Local entrepreneurs have resources to invest in ICT sector. Unfortunately, the regulations for investment have been made with foreign strategic equity partners in mind. Local entrepreneurs are not taken into account and indeed face complex problems to contribute in the sector. This is becoming more significant with the collapse of the international strategic equity market.
   
   
   
   • Government and the regulators need to review and indeed establish an affirmative process to nurture local entrepreneurs.
   
   
   
   • Government should also review tax regimes to reduce overall cost of investment to the operators and make the services cheaper.
6. Economies of scale to enhance bargaining power.
   • African operators are relatively small and therefore bargaining power to access technology and skills is limited. Operators therefore have to pay expensively to procure small quantities of supply.
   • Operators need to work together preferably using the regional economic blocks to build economies of scale in procurement of technology and services. A starting point is harmonisation of standards across the sub-regions.
7. There is little or no e-commerce in Africa.
   • South African companies have developed e-commerce software based on the specific needs of their country. This software is in use and extensively applied for e-commerce in tourism. The greatest challenge coming out of the conference was the lack of support by banks.
   • Banks in Africa need to review their perception on e-commerce and join other stakeholders to work out strategies to develop e-commerce.
8. Access to skills and education.
   • ICTs allow us to create virtual content for professional and academic training in schools. Initiatives presented include Gautengonline in South Africa to eventually connect 2500 schools. The project is now under pilot phase. Another example presented is Cable & Wireless Virtual Academy. Technology is therefore not an issue but the commitment to exploit the technologies.
   
   
   
   • Stakeholders in education should work with ICT sector to build content and exploit the current infrastructure to improve delivery and access to educational resources across the country.
9. Access to government services.
   • Using ICTs, citizens will save time accessing government services efficiently and enjoy a better life. A case in point is the costly processes of registrations and filings routinely done to access government services, All these repetitive processes can and in fact have been placed on the internet in some countries.
   • Government should start programmes to build e-government networks for faster and efficient delivery of services.




10. Advance democratisation in Africa.
    • ICT provide a new medium for citizens to pursue democratic governance. ICT also provide an opportunity to extend information further into the countryside than the traditional media providing avenues for interactive discourse on governance.
    • Government/private sector/Civil society should create partnerships to build governance information on the Internet. The partnerships should create awareness of the new medium.
11. African participation in the international meetings.
    • Without participation, the message from Africa and the challenges facing the continent will not be heard. It follows that international policies will fail to address the needs of Africa. A case in point is access to orbital slots. Areas of greatest concern is participation in ICANN, ITU, AfriNIC among others.
    • We need to firstly prepare adequately at home and secondly ensure that there is informed and empowered participation in international meetings.

Finally, delegates believe that if governments, private sector, civil society pursues these opportunities for growth (not problems); Africa will be moving towards ‘Bridging the digital-divide’. At the same time, the first step towards the deployment of ‘strategies for effective development’ will have been taken. These quotations were also the themes of The 1st EAIF and ACT Summit 2002.

Resources:

• AITEC http://www.aitecafrica.com