VSAT and other satellite technology is imperative for Africa`s ongoing development, says Martin Jarrold, director of the Global VSAT Forum (GVF), who sees poor policy implementation across the continent as a threat to satellite growth.
"VSAT technology is complementary to fibre and other wireless technology in expanding access to communications and Internet in Africa," he says.
Lishan Adam, project co-ordinator of VSAT studies for Catia (Catalysing Access to ICT in Africa) who is working in collaboration with GVF, says over 80% of Internet connectivity is being delivered by satellite. "VSAT technology is not only providing Internet connectivity in Africa, but it is also used by banks, cooperatives, fuel stations, cellular companies, ATM and other networks."
Adam says poor policy and regulatory frameworks are creating lack of competition within the satellite industry. He says costly licensing implementation results in fewer market players and expensive end-user technology.
The costs of VSAT communication are quite expensive, he adds, especially for the public sector. "To install VSAT costs an individual about $2 000, with a monthly cost of $60."
The only way to lower the costs of digital access is if government administrations liberalise the communications sector through an open, yet controlled, licensing system, he says. Better licensing formats, he notes, will enhance market numbers and spur competition in the various markets.
Denial of VOIP
The most common restrictions on VSAT deployment, he says, are some incumbent operators that set requirements over the provision of VSAT terminals, with the most stringent setting being the denial of VOIP.
Adam says institutions in some countries like Zimbabwe are forced to route their private network transmission through the national hub of the incumbent operator, regardless of the financial or even the technical disadvantages this may have.
In countries like Ethiopia, obtaining a VSAT licence requires a bilateral arrangement with the incumbent operator, says Adam. The bilateral arrangement requires a "landing right fee" or tariff to be paid to the incumbent operator, even if the incumbent does not participate in the service chain. In other monopoly jurisdictions, the incumbent is the only entity that may install and service VSATs, he adds.
The GVF is working with the West African Telecommunications Regulatory Association to formulate discussions pertaining to more progressive policy regulation on the continent, says Jarrold.
The GVF group is preparing for its second annual West Africa Satellite conference, to be held in Nigeria from 31 October to 2 November 2006, to discuss the future of satellite communications on the continent, with particular emphasis on sound policy regulation, says Jarrold.
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