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No. 37261

GOVERNMENT GAZETTE, 24 JANUARY 2014

involves negotiations with individual municipalities and state agencies for way-leaves and
rights of way. It is estimated that civil works account for about 80% of the cost of
constructing the networks. In addition, operators have to contend with environmental impact
assessment studies and lengthy approval processes involving public participation. The
current legislation provides for rapid deployment measures, which are often ignored by
various municipalities who demand adherence to their own bylaws. The roll-out of national
high speed, high capacity networks require fast-tracked and streamlined network
deployment measures that are respected by all municipal authorities. Municipal bylaws must
be aligned with the rapid network deployment measures.

5.4.1.3 Wireless technologies
The deployment of mobile wireless technologies is perhaps the most significant gamechanger in the electronic communications sector. Over the past decade the number of
people using mobile wireless technologies has surpassed those connected through fixedline. The wireless technologies have matured to challenge the fixed-line environment in the
delivery of voice, data, audio and video. The amounts and speeds of transmitted data are
expected to increase through the use of high demand spectrum, making the wireless mobile
environment the focal point in the development of the broadband market.

5.4.1.4 Open access regimes
There are policy and regulatory approaches that can facilitate or hinder the uptake and use
of these technologies to ensure reliable, quality and affordable infrastructure and services.

Government's attempts to supply infrastructure directly have been expensive and not
contributed adequately to acheiving universal access objectives.However, public investment
in state owned networks over decades has produced a considerable national asset available
for broadband deployment.

The private sector in South Africa has also made significant investments in broadband
networks. Together these go a long way to meeting South Africa's backbone requirements
but significant deficit remains, particularly in the last-mile access networks. The high levels of

investment required to build broadband networks, together with the dynamic legal,
institutional and human resource requirements to give them effect, have challenged
countries around the world. What is clear is that neither the state nor the private sector on
their own can provide solutions. Emerging success stories from around the world derive from
various public-private initiatives where the relative powers and resources of both public and
private sectors are integrated to drive broadband penetration.

There is also evidence that indicates that a predictable and technology neutral competitive
environment premised on open access principles can deliver better results. The Broadband

Policy, advances arguments for open access principles that will enable competition at
infrastructure and service levels while reducing infrastructure duplication and restrictive
access to networks by competitors.

Such an open access environment will require sustained action to remove the bottlenecks,
barriers and challenges that have been identified. Policy certainty and regulatory clarity more
conducive to investment, will enahnce competition which, if effectively regulated, will enable
citizens to access affordable seamless electronic communications services. In mature
resourced markets, especially where there is already platform competition, infrastructure
competition is the most effective way of promoting network extension and consumer uptake.

However, in more resource constrained environments investment in the duplication of
infrastructure usually occurs in metropolitan centres only at the expense of wider national
coverage. Redirecting investments away from duplicate urban infrastructure to unserved
areas through incentives and subsidies, together with open access wholesale regulation to
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