USAF to be revamped

By Damaria Senne, ITWeb senior journalist

Johannesburg, 07 Nov 2007

The management of the multimillion-rand Universal Service and Access Fund (USAF) will be changed, with plans that industry contributions go directly to the fund, says Universal Service and Access Agency of SA (USAASA) CEO James Theledi.

The move is part of USAASA`s drive to enable and promote universal service and access to communications and broadcasting services in under-serviced communities, he says.

Previously, USAASA was unable to effectively access universal service funds due to its operational inefficiencies. The state entity received R31 million out of the R151 million contributions the Independent Communications Authority of SA (ICASA) collected from licensed telecommunications operators in the 2006/7 financial year.

Theledi says now that the state entity has the capacity it requires to deliver on its mandate, it is lobbying government for telecoms operators` contributions to go directly to the USAF.

This will require an amendment to the Electronic Communications (EC) Act, as the law currently provides that ICASA collect the funds, which then go to the National Treasury.

"Thankfully, the Act empowers USAASA to advise the communications minister on issues of access to universal service," says Theledi.

The EC Act is already undergoing another amendment to accommodate the formation and licensing of Infraco. The issue of empowering USAASA to manage universal service funds will be dealt with at a later stage.

Effective management

BMI-TechKnowledge senior analyst Tertia Smit says, in principle, it is a good idea for the funds to go directly to USAASA. However, the government entity will have to be tightly managed and monitored, she notes. USAASA will also need an adequate operational budget, she adds.

Theledi says USAASA is working with the Department of Communications and National Treasury to set the framework for the management of the fund.

The ICT industry will also take part in the process, he adds. USAASA will hold regular media briefings so the ICT industry and the public are informed about the organisation`s activities, he says.

USAASA is scheduled to present its strategic plan to the Parliamentary Portfolio Committee on Communications on Friday.

The big unknown

Theledi points out that universal service and access has not been legally defined. "It`s no longer just about providing voice services. We need to package basic services that would outline what communication service every citizen is entitled to at a minimum," he says.

On Friday, USAASA published a request for proposals on the definitions of universal service, universal access, needy people and under-serviced areas in the government tender bulletin.

The state agency also plans to host a national summit to discuss the universal service definition in the second quarter of 2008, he adds.