A study by the Universal Services Agency (USA) to categorise needy persons found a "basket of basic telecoms services" would cost a user R800 to R1 500 per month, says Dr Sam Gulube, CEO of the USA.
At the low end of the price spectrum, the basic telecoms basket of services would include telephony, a PC and dial-up Internet access, while the higher end of the spectrum would include DSL access, he says.
The USA undertook the study to categorise needy persons in order to define who should get assistance from the Universal Service Fund.
Gulube says the USA aimed to define an individual who is needy, as well as developing categories of needy people. Categories would take into consideration issues such as disabilities, gender, youth or being elderly, he says.
Using the living standards measure (LSM), Gulube says a user would have to fall into LSM 5 (average household income of R2 548.87 per month) to afford the basket. Fifteen million South Africans are categorised as LSM 4 and below, which means they cannot afford the basic basket of services, he says.
The study has shown the challenge to provide telecoms services to needy people is huge, Gulube says. Government will therefore have to determine where to initially focus its efforts, he adds.
Results to be debated
The results of the USA study will form part of the discussions at the Convergence Broadcast and Telecommunications Summit from 6 to 8 June, organised by ForgeAhead.
The summit aims to debate whether South African legislation is serving as an enabler for ICT development, or whether it is an inhibitor of growth.
On the first day of the summit, the USA will give feedback on its activities in the past 10 years, and launch its new brand and mandate to the industry, Gulube says. The USA will also present results of the agency`s current projects.
Gulube says the USA will incorporate recommendations from discussions into the final reports, which will then be used to inform government policy. He says the USA will complete the process as soon as possible.
Related story:
Needy to get phone subsidies
Share
