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NFCP 1 : AWARD AND COMMENCEMENT OF PROJECT

NFCP - LAUNCHED ON 19 SEPTEMBER 2019

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NFCP will chart a new era in Malaysia with a broadband coverage that is robust, pervasive, high quality and affordable. It will benefit the local communities, encouraging them to be involved in the digital economy, creating 20,000 job opportunities that involves the construction, operation and maintenance of digital infrastructure and at the same time, stimulate the nation’s economic growth

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The NFCP facilitates digital connectivity and enables the Rakyat to enjoy holistic changes through initiatives such as fibre broadband accessibility and construction of communications towers. It is a catalyst to bridge the digital divide between the rural and urban areas, as well as providing equal opportunities for all

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Press release dated 19 September 2019: NFCP spurs economic competitiveness, enhanced standard of living for the Rakyat, towards shared prosperity

OVERVIEW OF NFCP 1 PROJECT

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NFCP 1 project is part of the Commission’s efforts to plan and implement universal service provision in Malaysia, in accordance with the objectives as specified in subregulation 3(1) of the USP Regulations 2002• The facilities and services are to be deployed at underserved areas, as defined in the USP Regulations 2002

Provisioning of public cellular services – minimum 3G and 4G services, via RAN sharing solution

30MbpsAverage speed of 30Mbps (DL) / 20Mbps (UL)

152 sites

95% 98%To increase cellular coverage from 95% to 98% of populated areas by 2023 in Malaysia

LOCATION (NATIONWIDE) 3G AND 4G SERVICES BROADBAND SPEED

POPULATION COVERAGE

NFCP 1 PROJECT AT A GLANCE

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29 September 2019• Issuance of Letters of Intent to successful licensees11 October 2019• Acceptance of the Letters of Intent by the successful

licensees25 November 2019• Submission of amended draft plans by the successful

licensees

23 January 2020• Issuance of Notifications of Approval (letters of award) to the successful licensees –

14 working days to accept the award (by 12 February 2020)15 February 2020• Commencement date of the project for Part 1 DUSPs*February 2021 • Target completion of project (12 months – 147 sites)-service available to end usersFebruary 2022• Target completion of project (24 months – 5 sites for fiberisation)- service available

to end users

20202019

Part 1 DUSPs

113 sites @ 75% 39 sites @ 25%

Edotco Malaysia Sdn Bhd FGV Prodata Systems Sdn Bhd

Part 2 DUSPs

50 sites @ 33%102 sites @ 67%Maxis Broadband Sdn Bhd U Mobile Sdn Bhd

*DUSPs – designated universal service providers

Successful licensees

under NFCP 1 project

Cost of NFCP 1 project:

RM290 million

DISTRIBUTION OF SITES PER STATE FOR NFCP 1 PROJECT– 8 STATES (93 MUKIM) / 13 CLUSTERS / TOTAL 152 SITES

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6.6% @ 10 sites

6.6% @ 10 sites

6.6% @ 10 sites

8.6% @ 13 sites

8.6% @ 13 sites

11.8% @ 18 sites

18.3% @ 28 sites

32.9% @ 50 sites

Kedah

Negeri Sembilan

Perak

Johor

Terengganu

Kelantan

Pahang

Sabah

APPROX.

40,000POPULATION

Johor

Terengganu

Kedah

Perak

State Cluster USTs* (underserved areas)Total sites

Sites percluster

Part 1 DUSP Part 2 DUSP

Johor C01 Bukit Kepong, Mersing, Kota Tinggi, Pontian 13 13

Kedah C02 Padang Terap, Pendang, Sik, Baling, Sidam Kiri, Sidam Kanan, Junjung 10 10

KelantanC03 Gua Musang, Jeli, Machang, Tanah Merah, Pasir Putih

189

C04 Pasir Mas, Bachok 9

Negeri Sembilan C05Lenggeng, Ulu Kelawang, Jempol, Gemencheh, Ayer Kuning, Tebong,

Pasir Panjang10 10

PahangC06 Rompin, Bentong, Bera, Pekan, Kuantan, Hulu Telom

2815

C07 Bera, Semantan, Maran, Jerantut, Batu Talam, Sega, Lipis 13

Perak C08 Hulu Perak, Sungai Tinggi, Beruas, Bagan Datuk, Rungkup, Hutan Melintang 10 10

Sabah

C09 Nabawan, Tenom, Keningau, Papar

50

13

C10 Tawau, Semporna, Kunak, Beluran 13

C11 Tongod, Tuaran, Kudat, Kota Marudu 11

C12 Pitas 13

Terengganu C13 Kemaman, Dungun, Hulu Terengganu, Setiu, Besut 13 13

Total sites 152

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DISTRIBUTION OF SITES PER STATE FOR NFCP 1 PROJECT– 8 STATES (93 MUKIM) / 13 CLUSTERS / TOTAL 152 SITES

*USTs – Universal service targets, essentially this refers to areas that are underserved

PART 1 DUSPs: SCOPE OF WORK UNDER NFCP 1• EDOTCO MALAYSIA SDN BHD AND FGV PRODATA SYSTEMS SDN BHD

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Scope of work:To supply, deliver and install tower(s) and its ancillaries, for the purposes of the provisioning of public cellular services

COMMENCEMENT DATE 15 February 2020

IMPLEMENTATION PERIOD 180 days (6 months) from the commencement date

COMPLETION DATE 12 months after the completion of the tower erection and its ancillaries, the sites are to be handed over to the relevant Part 2 DUSPs

FUNDING 100% funded for CAPEX by the USP Fund

Site survey with Part 2 DUSPs and site acquisition

Local authority approval

Laying of foundation

Tower erection stage

Handover to Part 2 DUSPs upon completion

113 sites @ 75%

39 sites @ 25%

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3 4

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PART 2 DUSPs: SCOPE OF WORK UNDER NFCP 1• MAXIS BROADBAND SDN BHD AND U MOBILE SDN BHD

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Site survey with Part 1 DUSPs and network planning

Civil, mechanical and electrical (CME) work

Site integration and optimisation

Site on air (service available for end

users)

Operational period for 5 years (fully

funded)

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2

3 4

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Scope of work:1. To design, supply,

install, test, commission and operate network service equipment and services

2. To provide minimum 3G and 4G services with an average speed of 30Mbps, via RAN sharing solution

50 sites @ 33%102 sites @ 67%

COMMENCEMENT DATE Immediately on the date(s) of handover of each site by the Part 1 DUSPs

IMPLEMENTATION PERIOD i. 180 days (6 months) from the commencement dateii. 540 days (18 months) for Maxis to fiberise 5 sites as highlighted above

COMPLETION DATE Availability of 3G and 4G services at the site(s) - on air (service available for end users)

OPERATIONAL PERIOD 5 years fully funded by the USP Fund (147 sites from Feb 2021 to Feb 2025, 5 sites from Feb 2022 to Feb 2026)

FUNDING 100% funded for CAPEX and OPEX by the USP Fund

No. State Cluster Site ID Site Name

1. Kedah C02 FC1_019 Ldg Kim Seng, Batu 5

2. Pahang C06 FC1_065 Pos Lemoi

3. Pahang C06 FC1_066 Kg Telimau

4. Pahang C07 FC1_072 Kg Pasir Durian

5. Terengganu C13 FC1_149 Kg Pak Sik

5 sites to be fiberised:

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THANK YOU