Affordable Broadband with Adequate Quality throughout Nepal Presentation

Affordable Broadband with Adequate Quality throughout Nepal Presentation at: Workshop on: How to engage in broadband policy & regulatory processes, Pokhara 18 th Feb, 2019 By: Ajay Kumar Kadel Ananda Gautam Babu Ram Dawadi Sapana Rijal

Outline 1. Introduction 2. Problem Statements 3. ICT & Broadband Policy-State-of-the-art 4. Broadband coverage – current status 5. Broadband pricing-Affordability 6. Broadband Quality of Service Indicators - Nepal 7. Broadband Deployment Initiatives - Nepal 8. Recommendations 2

Introduction Typical factors of Nepal challenging Broadband Expansion ◦ Diverse Demography, Difficult Terrain ◦ Transportation Challenges, low literacy & many more. ◦ Maintainability, operability and sustainability of the ICT base services at the rural is more challenging. SRC: Google images for Nepal 3

Introduction Contd… § Access network, ICT and energy are the major pillars of socio-economic development for Nepal. § 80% households reside on rural Nepal, But less than 1% rural households have fixed internet facility [1] § Fix & mobile broadband: 12. 75% & 43. 66% (as of Oct. 2018, NTA MIS) § Recently Government is utilizing more than 13 Million USD to expand ICT infrastructure all over covering Rural Nepal via Fiber, Wireless/Satellite Communication network § Broadband: defined with 512 Kbps at Nepal but vary with country specific 4

Problem Statements § ICT/Broadband Deployment throughout Nepal is quite challenging § ISPs are mostly urban centric, Sustainability issues, low purchasing power of Rural Peoples. § With the lowering broadband price in cities, service to rural Nepal is still not affordable, quality and reliability issues §Government subsidization is required on content, connection, coverage and infrastructure §Require strong implementation, monitoring and evaluation 5

ICT/Broadband Policy: State-of-the-art §Long Term Policy of Information and Communication Sector-2003 §Telecom Policy-2004 § Universal Access, Universal Service Obligation, Open Licensing, Liberalization § Recent amendment: uncovered rural areas will be made connected via available media to expand broadband network with infrastructure sharing and connect school, connect community like project, Use RTDF §IT Policy-2010 (Replaced ITpolicy-2000) § Build knowledge base society and industries 6

ICT/Broadband Policy Contd. . §ICT Policy 2015 § Knowledge based, PPP, Universal Access, Tech. Neutrality, § 2020 Targets § At least 75% digitally literate § 90% people will have access to broadband service. § 100% Nepalese will have access to internet § 80% citizens will get online services Are we achieving the targets? §Energy Policy – NPC Report [2] § § It is estimated that approximately 30% of the total population, mostly in remote villages live in darkness. Only 60% of the whole population has access to grid electricity grid extension plan has been designed and planned to be constructed by 2023 transmission lines are designed to be constructed by 2028 7

Global Trend in Broadband Connection Mobile Broadband Subscription in 2017 Fixed Broadband Subscription in 2017 Source: ITU Facts and Figure 2017 8

Broadband Growth Trend in Nepal Fixed Broadband Grwoth Trend in Nepal 450 Subscribers in thousand 400 350 300 250 200 150 100 50 0 -50 2071 2072 ADSL 2073 Cable & FTTH 2074 2075 Linear(Cable & FTTH) Source: NTA MIS Reports 9

Broadband Service Providers in Nepal Telecom Operators ◦ Nepal Telecom ◦ ADSL, Fiber To The Home(FTTH), Mobile Broadband(Wi. MAX, EVDO, 3 G, 4 G) ◦ Ncell Pvt Ltd ◦ 3 G and 4 G ◦ Smart Telecom Pvt Ltd ◦ 4 G Internet Service Providers(ISP) ◦ Cable, FTTH, Radio Modem/Wi-Fi 10

3 G Aired Coverage - NT 3 G Planned Coverage - NT 4 G at KTM & PKH only 11

NCELL Coverage (src: ncell. com. np) 12

Broadband Pricing – Major 3 ISPs of Nepal 13

Fix broadband operator (price sub basket) of Nepal is least (2. 9) but mobile broadband is highest in South– Thavisha Gomage Src: https: //www. cable. co. uk/broadband/deals/worldwideprice-comparison/ Global Broadband Pricing per Month- Map 14

Price of Broadband Data (1 GB mobile prepaid) as % of GNI per capita, 2017 (https: //a 4 ai. org/mobilebroadband-pricing-data/) Bangladesh 2. 24% 2. 66% 3. 63% Cambodia 1. 95% 2. 11% 3. 36% Nepal 4. 41% 4. 60% 9. 14% Myanmar 1. 47% Data not available. 5. 90% Sri Lanka 0. 40% 0. 43% 0. 48% Thailand 1. 31% 1. 19% 2. 27% 15

Broadband Qo. S Indicators §Internet and Data serive Qo. S set by NTA § Service Activation and Provisioning – >=95% to activate service within 4 hrs over a month § Successful data download rate: >=80% successful downloads in the attempts for download in a month § Successful data upload rate : >=75% successful uploads in the attempts for upload in a month § Throughput: >=75% of speed at per SLA § Data Latency : <=250 MS (average in a month) § Packet Loss, Network Availability, Jitter – Not included 16

Qo. S Measurement [3] Results show most of the ISPs fall well below the advertised rates 17

RTT test from Jalmahal Microsoft Windows [Version 10. 0. 17134. 590] (c) 2018 Microsoft Corporation. All rights reserved. C: Usersbaburd>ping google. com Pinging google. com [172. 217. 160. 46] with 32 bytes of data: Reply from 172. 217. 160. 46: bytes=32 time=103 ms TTL=51 Reply from 172. 217. 160. 46: bytes=32 time=224 ms TTL=51 C: Usersbaburd>ping cprsouth. org Pinging cprsouth. org [64. 90. 52. 4] with 32 bytes of data: Reply from 64. 90. 52. 4: bytes=32 time=344 ms TTL=50 Reply from 64. 90. 52. 4: bytes=32 time=354 ms TTL=50 18

Broadband Initiatives § Telecom Operators’ Initiatives § Building high speed backbone network: Microwave Radio and Optical § Building broadband access network: FTTH, Cable and Wireless services 3 G/4 G § Competitive tariff and consumer focus plan and programs § Internet Service Providers Initiatives § § Building fiber based local loop connection Providing FTTH service bundled with TV and internet Providing internet service by Wi-Fi and Radio Modem Developing backbone network infrastructures 19

Telecommunication Infrastructure to support broadband deployment in Nepal Backbone Network Infrastructures ◦ ◦ ◦ East West Optical Fiber Network North West Optical Fiber Network OPGW and ADSS Optical Fiber to connect 57 Districts Midhill optical fiber network infrastructure (work in progress) Microwave Networks Access Network infrastructures FTTH VSAT Networks Wi. MAX Mobile 3 G and 4 G Cross border Connectivity ◦ Nepal India Cross border ◦ Bhairahawa, Birgunj and Biratnagar Point of Interconnection with Indian Operators: Bharti Airtel, TATA Communications and BSNL ◦ Nepal China Cross Border ◦ Rasuwagadhi Point of Interconnection to connect with China Telecom 20

Running Broadband Projects under RTDF [4] SN Name of Operator Contract Amount Targeted Area Backbone Province 1, 2, 1 Nepal Telecom 4, 880, 000. 00 2 United Telecom Ltd 2, 010, 000. 00 Backbone Province 4 & 5 3 4 5 Smart Telecom Pvt. Ltd Subisu Cable Net. Pvt. Ltd. Mercantile Comm. Pvt. Ltd. Districts 3 3, 009, 400, 000. 00 Backbone Province 6 & 7 207, 080, 318. 40 235, 000. 00 Earthquake affected Makwanpur, Gorkha, Area Dhading Earthquake affected Area Okhaldhunga, Ramechhap, Dolakha, Sindhuli 21

SN Name of Operator Contract Amount Targeted Area Districts Sindhupalchowk, Kavre, Nuwakot, 6 Nepal Telecom 210, 000. 00 Earthquake affected Area 7 World Link Pvt. Ltd. 207, 907, 500. 00 Karnali Package A Humla, Mugu, Dolpa, Jumla 8 World Link Pvt. Ltd 246, 579, 480. 00 Karnali Package B Kalikot, Rolpa, Jajarkot, Rukum 9 Subisu Cable Net. Pvt. Ltd. 314, 477, 737. 50 Province 2 Package A Saptari, Siraha, Dhanusa, Mahottari 10 Subisu Cable Net. Pvt. Ltd. 384, 495, 732. 50 Province 2 Package B Sarlahi, Rautahat, Bara, Parsa 11 Mercantile Comm. Pvt. Ltd. 208, 000. 00 3 District Province 1 12 Vianet Comm. Pvt. Ltd. 260, 200, 000. 00 4 District Province 7 Package A Doti, Darchula, Baitadi, Dadeldhura 13 Mercantile Comm. Pvt. Ltd. 260, 400, 000. 00 3 District Province 7 Package B Achham, Bajhang, Bajura 200, 000. 00 3 District Province 6 Surkhet, Salyan, Dailekh Remaining other 7 package for the rest of districts 14 15 Remaining 7 Package Total Disbursement 2, 500, 000. 00 15, 133, 540, 768. 40 Rasuwa Taplejung, Sankhuwasabha, Solukhumbu >13. 6 M USD 22

RTDF distribution share for different package to operators of Nepal [4] 23

Recommendations Stakeholders/Initiations §Subsidization not only to infrastructure but also to - Policy and Subsidy by Government, Regulator Recommendations - Implementation by Content providers/ISPs/Telcos §Content like provide. NP contents free of - Meet like 2020 ICT/BBP targets access throughout Nepal. §Make government service information freely access for Rural People § Create User APP that simply automatically - Regulator benchmarks the Qo. S parameters and send - App Development, shall be implemented to regulator’s Cloud upon user’s activation. within 6 months § Set minimum CPE standards for internet connectivity at enterprises like hotels and public institutions, Eo. L/Eo. S Management. § Encouragement to timely technology migration - Type approve/Specification by Regulator - Implementation by Operators/Enterprises - Research on current status and develop standards & policy decision 24

Recommendations Stakeholders/Initiations § Monitor Qo. S Parameters regularly with its own measurement tools/techniques and cross verify with operator’s data – Real time Traffic Monitoring - Regulator - Implement under lawful intercept - NTA has already initiated a project for this § Spectrum Management/Re-farming/Low - Policy by Regulator cost TV Whitespace band for rural broadband - Implementation by Operator Strong implementation, monitoring and evaluation on initiated projects – RTDF utilization, connect school-connect community 25

References [1] CBS Report, Statistical Pocket Book Nepal (2016). Available online: www. cbs. gov. np. [2] National Planning Commission Report, “Universalizing clean energy in Nepal: a plan for sustainable distributed generation and grid access to all by 2022, ” 2017 [3] NK Karn, Z. Hongli & M Shafiq, “Measuring Broadband Internet Performance in Nepal: A Comparative Study”, Procedia Computer Science 107 ( 2017 ) 64 – 69 [4] National Planning Commission Report. Status Measure and Proper Utilization of Rural Telecommunication Disbursement Fund (RTDF) towards Digital Rural Nepal. (2018) 26

Queries! Thank YOU!! 27