1 Strategic Plan Presentation to the Portfolio Committee on Communications 20 August 2003
Dec 30, 2015
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Strategic Plan Presentation to the Portfolio Committee
on Communications
20 August 2003
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VisionVision
“Our vision in the Department of Communications is to improve the quality of life of all our people, make South Africa’s future generations a knowledge based society and help create an information economy. This will be achieved by establishing a networked information community to empower the way people work, live and play, and to make South Africa globally competitive”
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MissionMission
“ is to strive towards universal service to enable ordinary people to have access not only to traditional media but also the convenience of information technology”
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Core ValuesCore ValuesValue South African citizensValue DemocracyPut South African citizens first in terms of “Batho Pele”
Principles:ConsultationService StandardsAccessCourtesyInformationOpenness and transparencyRedressValue for money
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Mandate of DoCMandate of DoC
The DoC’s main objective is to develop, formulate and implement policies for the Telecommunications, Postal and Broadcasting Services sectors
The Department also acts as a Shareholder and administers fiscal transfers to public entities (South African Post Office, SABC, Sentech, ICASA, Nemisa, USA)
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Enabling LegislationEnabling Legislation
Independent Broadcasting Act (No. 153 of 1976)to provide for the regulation of broadcasting activities
in the public interestBroadcasting Act (No. 4 of 1999)
to provide for classes for broadcasting activities in the public interest and for that purpose to provide a Charter for the SABC, establish Frequency Spectrum Directorate in DoC and to establish the South African Broadcasting Production Advisory Body
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Enabling Legislation cont’Enabling Legislation cont’
Telecommunications Act (No. 103 of 1996)to make new provision for the regulation of
telecommunications activities other than broadcasting, and for the control of the radio frequency spectrum
Establish SATRATo repeal the Radio Act of 1952 and the Radio
Amendment Acts of 1957, 1962, 1963, 1969 and 1974
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Enabling Legislation cont’Enabling Legislation cont’
Telecommunications Act (No. 64 of 2001)to amend Act No. 103 and to make provisions for radio
frequency access in the 1800 MHz frequency bandto make provision for new kinds of licenses and the
applications thereofto provide for public switched telecommunications services
and public switched telecommunication networksto regulate mobile cellular telecommunications services and
private telecommunication networks
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Enabling Legislation cont’Enabling Legislation cont’
Postal Services Act (No. 124 of 1998)to provide for the regulation of postal services for the
operational functions of SAPO including its universal service obligations
to provide for the operation of the Postbankto establish the Postal Regulator
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Enabling Legislation cont’Enabling Legislation cont’
Electronic Communications and Transactions Act (No 25 of 2002)
to provide for the facilitation and regulation of electronic communications and transactions
to provide for the development of a national e-strategy for the Republic
to promote universal access to electronic communications and transactions and the use of electronic transactions by SMME’s
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Other mandatesOther mandates
DoC derives other mandates fromCabinet directives and National PrioritiesPublic Finance Management Act (No. 1 of 1999)
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Development of ICT in past Ten years
Development of ICT in past Ten years
1992 –1995Independent Media CommissionVodacom and MTN establishedIndependent Broadcasting authority ActPost, Broadcasting Telecommunications
integrated into one DepartmentCommunity Radio licenses issued
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Development of ICT in SADevelopment of ICT in SA
1996 – 1998Establishment of SATRA and USABroadcasting White PaperLicensing of Greenfields Private RadioLicensing of Free to Air televisionFour years Community Radio licensedFormer TBVC States Radio stations into the SABCSentech Act and Privatisation of Capital Radio
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Development of ICT in SADevelopment of ICT in SA
1999 – 2001Broadcasting ActTelecommunications Act revisionIBA and SATRA mergedPostal Regulator establishedThird Cellular licensedEstablishment of the SA Production Advisory and SA
Digital Broadcasting BodiesReintroduction of the SAPO Subsidy
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Development of ICT in SADevelopment of ICT in SA
2002 – 2003SNO and Under Serviced Area licensesPostbank CorporatisationPositioning SAPO to deliver social servicesElectronic Communications and Transactions ActCommunity Electronic Media PolicyBroadcasting Amendment ActConvergence ProcessCorporatisation of the SABC
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Strategy: 2003 - 2005
CONVERGENCE
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STRATEGY 2003- 2005STRATEGY 2003- 2005
CONVERGENCEBLACK ECONOMIC EMPOWERMENTSOUTH AFRICAN LANGUAGES AND
CONTENTREPOSITIONING POST BANKCONNECTING SOUTH AFRICA
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ConvergenceConvergence
Convergence in the ICT industry means the migration from separate service sectors with separate infrastructure to a spectrum of services provided on a multi-service general-purpose network infrastructures
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Why Convergence?Why Convergence?Economic benefits
Achievement of economies of scales to enable operators to reduce cost structure and lower consumer prices
Greater choice, range and quality of service for consumers
Broadband access to historically disadvantaged communities
Achieve efficient and effective utilisation of existing infrastructure
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Why Convergence?Why Convergence?
Social benefitsUniversal access to broadband and all its inherent
information and communication benefitsImprovement of government service deliveryGreater opportunity for entrepreneurship and
economic developmentDevelopment of skills through the use of knowledge
systems that will improve lives of learners
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Why Convergence?Why Convergence?
Key growth driversGrowth of internet14 million mobile subscribers5 million fixed subscribersHigh data growthDemand for high speed internetIncreasing broadcasting footprint
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Why Convergence?Why Convergence?
Other driversGlobalisationGrowth of diverse technologyDigitisation Regulatory reform is imperativeAddressing the development gap and addressing
universal serviceStimulate investment in the sector
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Convergence Policy Programme
Convergence Policy Programme
Stakeholder briefing held by the Director-General Convergence Colloquium Presentation of Colloquium Report to the
Minister Establishment of a Drafting CommitteeDraft Bill to CabinetConvergence Bill to be tabled in Parliament
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Issues to be Considered when developing
convergence strategy
Issues to be Considered when developing
convergence strategyLegal framework for providing and using ICT
infrastructure that is stable and predictableObjectives for infrastructure policy that allows for
fair competitionTransitional mechanisms that are transparentDefinition of a Role of the RegulatorHow to attract additional job creating investment
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Issues con’tIssues con’t
Resale of infrastructure capacitySpectrum managementGovernment’s role in facilitating and building new
infrastructureUniversal Service Obligations
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InfrastructureInfrastructure
Provision of ICT infrastructure over any appropriate infrastructure should be permitted (including existing water, sewerage and electricity infrastructure)
Strategy should ensure that infrastructure provision/licensing is technology neutral
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RegulatorRegulator
Well resourced and independent RegulatorThe policy should separate the roles and
jurisdiction of government, the regulator and other authorities with regard to licensing and regulatory functions
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Universal Service Obligations
Universal Service Obligations
Convergence strategy should review present approach to Universal Access and Service
Universal Access and Service not just to basic telephony and broadcasting, but should also include access to advanced services such as broadband infrastructure
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Black Economic EmpowermentBlack Economic Empowerment
Strategy to Support SMMEsDevelopment of an Industry led CharterAnnual review of empowerment key indicatorsSkills developmen through SETASDevelopment of a Staregy for IncubationClear BEE framework for Procurement
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South African Languages and Content
South African Languages and Content
Promoting language, cultural and social issuesDevelopment of a networked content strategy for
South AfricaDigital migrationSupporting the expansion of the broadcasting
system for content services
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Promoting Languages and Culture
Promoting Languages and Culture
Regional Broadcasting to focus on all South African languages
Developemnt of Internet in South African languages
Educational Content in all South African languages
Government content in all South African languages
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Development of Strategy for Networked content
Development of Strategy for Networked content
Deal with the Globalisaion of Networks and Services
Promote Local ProductionPosition South Africa as a production hubMarket South African production in South African
and other markets
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Digital MigrationDigital Migration
Develop a Strategy for Migration from analogue to Digita
Outline a Regulatory Regime for Digital Future within the converged environment
Determine the cut-off dateDevelop an industrial staregy to support
Digitisation
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Gov’t National PrioritiesGov’t National Priorities
Expanded services to the peopleBEE, including gender equity and people living
with disabilitiesIntegrated Sustainable Rural DevelopmentAccelerating the process of formulation and
implementation of first NEPAD projectsDevelopment of SMME’s
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SWOT AnalysisSWOT Analysis
StrengthsClarity of mandateExtensive infrastructure resident in portfolio
organisationsRegulatory and legislative frameworks in placeStrategic plan aligned with national priorities
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SWOT AnalysisSWOT Analysis
WeaknessesHigh turnoverPoor compensation relative to private sectorLimited presence in provinces
Need for further harmonisation with portfolio rganisaions
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SWOT AnalysisSWOT Analysis
OpportunitiesKey role in effecting economic growth initiativesBridging the digital divideTechnological advancement and convergencePositioned to play a meaningful role in e-
governmentAdvance BEE/SMME in the sector
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SWOT AnalysisSWOT Analysis
ThreatsNegative effects of competition may lead to poor
service delivery to HDI’sLoss of ICT experts to the private sectorConsolidation of ICT playersDepressed state of global economy in the ICT
sector
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Approved fundingApproved funding
2003/04
R’ million
2004/05
R’ million
2005/06
R’ million
MTEF 842,515 866,843 907,129
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Funding per programFunding per program
Program 2002/03R’ m
2003/04R’ m
Administration 85,776 83,607
Telecoms Policy 134,064 135,900
Postal Services 330,501 353,082
Multi-Media Services 331,970 263,244
Auxiliary Services 5,379 6,682
TOTAL 887,690 842,515
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Transfer PaymentsTransfer Payments
Transfers 2003/04 R’ m
2004/05R’ m
2005/06R’ m
Infrastructure(MPCC’s, PITs )
10,000 10,480 15,200
Training(SETA)
2,104 2,350 3,500
Emergency Call Centres 20,000 20,000 21,200
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Transfer cont’Transfer cont’
Transfers 2003/04 R’ m
2004/05 R’ m
2005/06 R’ m
USA 11,211 11,884 14,500
USF 24,745 26,230 29,400
SAPO 300,000 300,000 300,000
Broadcasting(Program content Children, youth, aids, women, disability)
31,500 33,390 34,440
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Transfers cont’Transfers cont’
2003/04R’ m
2004/05R’ m
2005/06R’ m
SABC – PBS 44,717 47,400 50,455
SABC – TBVC - - -
Channel Africa 26,288 27,865 29,616
Community Radio 9,000 9,540 10,255
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Transfers contTransfers cont
2003/04R’ m
2004/05R’ m
2005/06R’ m
ICASA 128,646 134,947 137,489
NEMISA 13,753 14,578 17,263
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Additional approved funding
Additional approved funding
R5m, R7m and R8m provided over MTEF for the PNC
R20m, R13m and R7m for the Advanced Institute for ICTIn collaboration with DOE and DTI
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Additional approved funding
Additional approved funding
R10m, R9m and R4m to ICASA for:R1m (2003/04) and R2m (2004/05) to monitor elections
R4m, R6m and R4m over the MTEF to acquire spectrum monitoring equipment
R5m (2003/04) and R1m (2004/05) to develop, manage and maintain a numbering database
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END
Thank You