www.usf.org.pk

USF Mission:

“Every Pakistani

has the right to

modern

telecommunication

services and we

strive to provide

that”

1

-Parvez IftikharCEO USF, MoIT .

www.usf.org.pk 2

1. Background of USF (5)

2. Three Main Programs of USF (1)

1. Rural Telecom (3)

2. Fiber to every Tehsil (2)

3. Broadband for Unserved Urban Areas (2)

3. Broadband for Education (5)

Agenda

Why Universal Service Fund?• Despite massive

growth in Telecom, vast areas remain unserved

• On the other hand, telecom hasbecome the most important tool for rapid development –especially for remote areas

0%

10%

20%

30%

40%

50%

60%

Pakistan

Srilanka

India

B'Desh

Nepal

57%

51%

24%

19%

10%

Teledensities

Latest Pak tele-density is above 60%

What is Universal Service Fund?

Consists of contributions by Licensed Telecom Service Providers

No direct Government Funding

Spent by Telecom Service Providers to provide services in unserved/under-served areas

MoIT acts like a “Trustee” of the Fund

Disbursed through open competitive bidding by USFCo., which is set up under Section 42 of Companies Ordinance 1984

USF Co. is run by an Independent Board as a Public-Private partnership

4www.usf.org.pk

Public-Private Partnership

5

Rep. of Consumer Associations

Rep. of Mobile Operators

Rep. LL/LDI Operators

Representative of ISPs

Member Telecom MoIT

Chairman PTA

Federal Secretary IT

Federal Minister of IT

CEO USF

PUBLIC PRIVATEUSF Co. Board

www.usf.org.pk

6.0%

5.0%

5.0%

5.0%

4.5%

2.0%

2.0%

2.0%

1.5%

1.5%

1.0%

1.0%

1.0%

1.0%

As % of Revenue

USF Contributions

Another Source is part of APC

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14

8 Operator's Investment

USF Subsidy

36%

64%*

USF own & generated investments

7

Tota

lIn

vest

men

tBillion Rs.

~ Rs. 22 Bil

~ Rs 3 Bildisbursed

* Including 2 Projects ready for signing.

USF Programs

3 + Programs

Rural Telecom

5% Rural Tele-density

Optic Fiber Cables

For all Tehsils/Talqas

Broadband

1% Nation-wide Avg.

< - T E L E C E N T E R S - >

1st USF Program:Basic Rural Telecom

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26 “Lots” of Rural Telecom

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Status of Mauzas in Rural Program

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37%

12%

32%

19%

Approximately 12,000 unserved Mauzas

Bids called

Remaining

Work-in-Progress

Public Services in Rural Program

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S. No. Lot PCOs Telecenter

1 Malakand 200 11

2 Sukkar 102 7

3 DG Khan 71 7

4 Pishin 29 0

5 Dadu 96 4

6 Bahawalpur 15 0

7 Mirpurkhas 127 27

8 Mansehra 113 1

9 Larkana 38 0

10 Nasirabad 53 3

Tot. in 10 Lots 844 60Belo Gulbahar,

Dist. Thatta

Ghariabad Kahkat, Dist. Naushehro Feroze

2nd USF Program:Optic Fiber Access for

all Tehsils

www.usf.org.pk 13

OFC Program split in 11 ‘Packages’

No 11 Package of unserved Tehsils

Route in Kms

1 SIND 7162 BALUCHISTAN – 1 848 3 BALUCHISTAN – 2 1,396 4 BALUCHISTAN – 3 1,1175 BALUCHISTAN – 4 700 6 BALUCHISTAN – 5 720 7 NWFP Excl FATA – 1 1728 NWFP Excl FATA – 2 4289 FATA—1 420 10 FATA—2 430 11 FATA—3 450

Total (excl NAs & AJ&K) ~ 7,400

Already served Tehsils

4 ContractedContract ready for signing

14

First OFC Project in Sindh

3rd USF Program:Broadband for

un-served urban areas

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USF Strategy to spread Broadband

Un-served Rural62%

Covered21%

Un-served Urban17%

~480 cities & towns: no Broadband available

Rural areas: No PCs, & No Computer-literacy

15 to 18 large cities: Broadband is available

1. Start by targeting Unserved Urban Areas

2. Pay only when given targets are achieved (OBA)

3. More than one subsidy winner

4. Special emphasis on Education

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Broadband Program Progress

50,000 Broadband Connections

already added !4 Agreements signed

KTR, LTR & ITR are considered “served” 18

1 ready for Signature

1Bid under Evaluation

Ea

No Region EBCs Students

1 FTR 250 178,000

2 MTR 327 240,000

3 STR-1 82 82,000

4 HTR 145 80,000

5 GTR* 238 240,000

Total 1,042 820,000

For every Higher Sec. School, College and Library:

• free broadband for 1st year

• 5 PCs in a LAN

• training of 2 Trainers

Special Emphasis on Education

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Ultimately:

~1,900 Educational Broadband Centers“Educational Broadband Centers”

* Ready for signing

Province wise EBCs

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No of Towns: 50No of EBCs: 574/145

No of Towns: 200No of EBCs: 1,416/815

No of Towns: 150No of EBCs: 339/82

No of Towns: 45No of EBCs: 100/--

Girls HSS, Rasool Nagar

Iqbal Library, Sialkot

USF: Basic Info (Public & Private) NEC

Consultants: Addresses, D.E. Offices, BISE

Consultants: Visit each Institution, verify names/addresses, collect GIS

Co-ords, Number of Students, Teachers, PCs, Check Internet

USF: Process the collected Information and make part of Bidding Documents

How Info for EBCs is collected

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Overlap with Punjab Govt. Project

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Telecom Regions

Higher Secondary Schools

Punjab Govt. Computer

Labs

USF EBCs

FTR 60 13

MTR 61 31

GTR 41 33

CTR 44 23

Total 206 100

In the 4 Telecom

Regions so far, there

is an overlap in 100

out of 206 HSSs.

(to discuss separately)

Request to Provincial Governments

Help Telecom Operators in deployment of EBCs at

Higher Sec. Schools and Colleges, like:

• Allocation of appropriate room/space

• Provision of electricity

• Delegation of 2 Teachers for Training

In short: Take Ownership!

23www.usf.org.pk

Thank You

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