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SMEs drive telecoms for the poor

By Dejan Jovanovic, Motoring journalist
Johannesburg, 24 Nov 2004

The Universal Agency (USA) has launched its three-year plan to introduce telecommunications infrastructures in some of SA`s most underserviced areas.

The agency is a statutory entity established by the government to promote universal communications service and access in underserviced areas. At the project launch in Sandton yesterday, four small to medium enterprises (SMEs) were given the initial funding to launch telecoms infrastructure projects.

"This is not something that we started today; it`s been a long process, with 19 objectives in total which we want to achieve in underserviced areas," said Chose Choeu, chairman of the USA board.

Dr Sam Gulube, CEO of USA, explained the process: "R15 million is to be dispersed to each of the four SMEs taking part over a period of three years, with the first R5 million handed over today. The SMEs have an obligation to acquire and construct a telecommunications infrastructure in underserviced areas."

According to Gulube, 15 months into the project, the SMEs must submit a certification of completion of the telecommunication infrastructure. If they don`t deliver, they will be taken to court.

"But I`m not here to intimidate, but to give support to these companies in these very difficult tasks which are to be undertaken in the most underserviced areas in this country," added Gulube.

The four black empowerment companies were recommended to the minister of communications, Ivy Matsepe-Casaburri. They are Bokone Telecommunications in Limpopo, Kingdom Communication in KwaZulu-Natal, Thinta Thinta Telecoms in KwaZulu-Natal and Ilizwi Telecommunications in the Eastern Cape.

Thinta Thinta Telecoms is predominantly women-owned in addition to being an empowerment company. "Nothing would make me happier then to see young black women driving this industry," said Matsepe-Casaburri.

"We structured this project with black women in mind and in such a way that the generally ignored areas get these benefits. When we implement this there will be employment opportunities and health services will improve as well as . You really improve life in the whole for these communities."

According to USA, the implementation of universal service and universal access in SA goes beyond basic , to encompass advanced services like the Internet and multimedia services. It takes into consideration the developments in technology and services delivered by a modern ICT infrastructure.

"We strongly believe the roll-out of telecommunications in these areas is the beginning of improvement of this country and the lives of our people in these underserviced places," said Gulube.

Matsepe-Casaburri said profit is not what`s driving the SMEs to succeed. "They are only interested in helping these communities."

"Failure is not an option," added Gulube.

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