USAASA revises strategy

By Damaria Senne, ITWeb senior journalist

Johannesburg, 22 Feb 2008

The Universal Services and Access Agency of SA's (USAASA's) 5.6% budget increase from National Treasury for the 2008/9 financial year is forcing the government agency to revise its strategy and business plan.

USAASA's head of corporate affairs, Sharon Horton, says the agency is to hold a strategy session on 26 and 27 February to align its programmes with government's budget.

"Based on the allocation we have received, there is of course a need for a strategy and business plan revision to accommodate the programmes planned," she says.

According to the national expenditure report released by National Treasury, USAASA was allocated R56.885 million for the 2008/9 financial year, a 5.6% increase from last year's budget.

Of this, R22.3 million is set aside for USAASA's operational budget, while R34.58 million is for the universal service and access fund (USAF).

USAASA is expected to put 300 learners through development and training, rehabilitate or create 174 new telecentres, implement 244 cyber labs in schools and allocate R15 million in USAL/Pusano subsidies.

USAASA recently revised its business plans, following strong criticism by Parliament and other stakeholders that it was failing to fulfil its mandate.

The agency is on a turnaround trail, having strengthened its human resources capacity and clearly defined its activities. USAASA CEO James Theledi said the agency also hopes to gain greater financial resources so it can meet its universal service and access challenges.

Sign of the times

Horton says finance minister Trevor Manuel's budget allocation is a true and honest indication of the pressures the country's economy has witnessed in the past year.

While the R34.851 million allocated for USAF activities cannot accommodate all the related programmes, negotiations are taking place with National Treasury and the Department of Communications to unlock additional funding, she says.

This gives the agency hope that it is not all doom and gloom for USALs in particular, Horton says.

"This process will enable us to have enough financial resources to fund critical universal service and access programmes, including USALs," she adds.

National Treasury also allows government departments, in September of each financial year, to submit requests for additional funding, says Horton. "USAASA will definitely submit a proposal.

Other fish to fry

The Independent Communications Authority of SA (ICASA) says it will be able to do its work, particularly the implementation of the Electronic Communications Act, with the funds allocated for 2008/9. "If there is any shortfall, we will approach National Treasury and the Department of Communications for any additional funding," the regulator says.

BMI-TechKnowledge senior analyst Richard Hurst notes the 6% budget increase was to be expected, as government has more pressing issues to deal with. ICASA should, by now, have the resources available to get on with the job, he adds.

The national expenditure report tasks ICASA with converting 1 300 licences to be in line with the Electronic Communications Act, award a further 46 new licences, issue 39 radio, TV and multimedia licences, allocate 5 800 spectrum requirements and award 30 postal and courier services licences.

The regulator also has to issue 10 regulations and complete 760 spectrum compliance checks. Some of the work is already under way or, in the case of licence conversion, nearing completion.