e-access for All: The NETPOST Project in Nigeria

Transcription

1 e-access for All: The NETPOST Project in Nigeria By Professor Raymond Akwule Chief Executive Officer NETPOST NIG LTD International Workshop on e-acess for All Bangalore, India 8 9 February 2007

2 INTRODUCTION The Federal Executive Council granted approval for the Nigerian Postal Service (NIPOST) to form a partnership with two private sector companies for the purpose of electronically connecting the nation s post offices and repositioning NiPost to meet the challenges of the 21st Century. 13/02/2007 2

3 The NetPost Mission To establish modern communications connectivity between post offices across the country and thus enable NIPOST to modernize its existing operations and services as well as to introduce new services to its public in line with global practices. To increase the efficiency and volume of NIPOST s offerings to postal customers and thus meet its goal of financial self-sufficiency in a relatively short time. To bridge the digital Divide by providing Nigerians with greater access to the Internet and the World Wide Web through provision of nationwide services at affordable prices and via the post office in the form of and e- post. 13/02/2007 3

4 Introduction --- continued With more than 3000 postal outlets spread across the country NIPOST has the widest reach of any public or private institution in Nigeria The NetPost network will ultimately connect all of the NIPOST outlets in a Unified Network. NetPost will connect the post offices in phases based on commercial viability but ultimately all 3000 postal outlets will be connected in what will become the largest Internet based and Unified electronic network in Nigeria. 13/02/2007 4

5 Introduction --- continued The NetPost network will enable NIPOST to modernize its services and better service its customers, including traditional over-the-counter customers as well as the extended NIPOST/NetPost clientele. Once the basic infrastructure is in place for and e- post, other digital services can be integrated in a regional or localized manner, depending on context and need. Such innovative solutions involving shared access facilities represent a unique opportunity to bridge the Digital Divide by bringing Information and Communication technologies (ICTs) to disperse and sometimes impoverished communities in an affordable and effective way. 13/02/2007 5

6 The Bigger Picture NiPost will offer modernized services to its vast customers NiPost will become economically self sufficient and will flourish financially NiPost will help Nigeria foster computer Literacy and Internet Awareness NiPost will be at the forefront of helping Nigeria meet the UN Millenium goals, including the following: eradicate extreme poverty achieve universal primary education promote gender equality and empower women reduce child mortality improve maternal health combat HIV/Aids ensure environmental sustainability, and develop a global partnership for development. 13/02/2007 6

7 Products and Services 01: Internet Surfing Internet Café service (Customer or Staff operated) 02: Internet Café service (Customer or Staff operated) 03: Voice over IP ( VoIP ) Phone Bureau service (Local, National & International) Pre-Paid Calling Cards Corporate Solutions 04: Netpost Home Connect Customer dial-up facilities (Subscriber Access) into the NetPost Network Internet Access 13/02/2007 7

8 Product and Services 05: Web-based Portal This powerful web-based Portal will serve as the brain of NetPost Operation with an Intranet and an extranet. Eventually much of the customer Interaction with NetPost will be via the portal. For example, Nigerians in the US, UK or Australia will be able to send money electronically from their accounts to a relative or friend in the village via this web based portal. The funds will be deducted from their accounts and delivered to the relative or friend at a Post office location anywhere in Nigeria. Customers can also order some government forms online via the portal 06: Financial Transactions Electronic Money Transfers Money orders Postal Orders On-Line Pre-paid services E-commerce E-Banking/Internet Banking in collaboration with Banks ATMs -- There will be NetPost Branded multi-bank ATM machines at every NetPost Center. 13/02/2007 8

9 Products and Services 07: EMS SPEEDPOST (Track & Trace) Ability to electronically track letters and packages sent by NIPOST customers. EMS will be powered by the NetPost Network and Portal. 08: E-Government The NetPost Network will facilitate a variety of government communication processes which are yet to be partially or fully automated, including the following: Pension payments for various government organizations A variety of government payment programs Sale of a variety of governmental forms online including JAMB WAEC, NECO forms, NYSC postings, Civil Service forms etc Dissemination of government information 13/02/2007 9

10 Products and Services 09: Training Basic Computer/Information Technology Training. This will be done at Netpost Training Centers. 10: Facilities Management NetPost/NIPOST will erect and manage wireless communications mast/towers on Post Office locations across the nation for lease to public and private telecommunications operators (GSM, PTOs, ISPs etc) 13/02/

11 Products & Services Internet Café services (Customer or Staff operated) Internet Surfing 13/02/

12 Products & Services Prepaid phone services Phone Bureau service (Local, National & International) 13/02/

13 Products and Services National Computer Literacy Training NetPost Training/Learning Institute 13/02/

14 Implementation Strategy Critical Partnerships Public Private Sector Partnership NetPost is owned by Nipost and two Private sector companies Nipost benefits from Private sector technology and management expertise Partnership with Financial Institutions Banks (co-location in exchange for funding) Western Union (on a Build Operate and Transfer basis) International Development Partners USAID/NTCA The Last Mile Initiative has co-funded one pilot rural outlet Other international partners 13/02/

15 Partnerships Strategic Alliance with Banks NetPost has successfully secured strategic alliances with two major Banks: Oceanic Bank and the Ecobank. The Oceanic Bank alliance is basically a build-operate-and transfer co-operation. The bank finances the deployment facilities in selected centres for the operation of WUMT, and defrays the cost of such facilities from the revenue that accrues from operations. When the cost is completely recouped, the ownership of the facilities and the centre reverts to Netpost. Our arrangement with Ecobank is slightly different. The Bank merely collocates and operates the WUMT while we both share the commission. The facilities belong to the Bank. 13/02/

16 Partnerships Partnership with NTCA/USAID The National Telecommunications Cooperative Association (NTCA), in collaboration with United States Agency for International Development (USAID), is currently engaged in the Last Mile Initiative (LMI), which has the goal of bridging the digital divide by fostering universal access to telecommunications in remote and underserved areas in developing nations. In Nigeria, NCTA has identified the NetPost Project as an ongoing Information and Communication Technology (ICT) project it would like to provide financial and technical support as part of its LMI. The LMI goals coincide with NetPost goals: by linking all the rural post offices the NetPost project will effectively provide last mile connectivity and electronic services to the rural population in Nigeria, which is the major target of USAID s last mile initiative. 13/02/

17 Partnerships The NetPost and NTCA/USAID collaboration has resulted in three concrete activities: 1. NTCA/USAID provided a grant to George Mason University which allowed Professor Raymond Akwule of GMU to continue to provide leadership as CEO to the project during the academic year. 2. NTCA/USAID has provided technical advisory services to facilitate the goals and objectives of the NetPost project. Specifically NTCA provided technical advisory to review the NetPost business plan developed by DVI and provided very useful guidance. 13/02/

18 Partnerships 3. NTCA/USAID provided co-funding for the implementation of the first pilot rural NetPost center in Nasarawa town in Nasarawa State. The center is now operational. NTCA is a 54-year old US telecommunications industry trade association with more than 500 members, who are operating telecom companies in the USA and around the world, and almost 1,000 subsidiary and associate members. Collaboration with NTCA is therefore a major asset to the NetPost project. 13/02/

19 Partnerships Nasarawa Post Office Before the Project 13/02/

20 Partnerships New Nasarawa Post Office with NetPost Services was co-funded by LMI 13/02/

21 Revenue Model NIPOST s Revenue A Major goal of NetPost is to help support the financial sustainability of NIPOST. The NetPost Business Model produces 3 categories of revenue for NIPOST as follows: 1. NIPOST could charge and retain fees (rentals) for its space. 2. NIPOST will earn revenue from its Services based on negotiated revenue sharing schemes for some products powered by NetPost The range of services upon which it will make revenues based on the NetPost powered electronic network and portal services including Electronic Money Transfers, Money orders, Postal Orders, On-Line Pre-paid services, E- commerce, bulk post, hybrid mail etc 3. NIPOST will earn its normal revenue as a partner within NetPost 13/02/

22 Revenue Model NetPost s Revenue NetPost will earn revenue from three (3) categories of fees for the various services offered at the service outlets. 1. OUTLETS - Income from services provided directly by NetPost through its outlets. (cybercafé, voice telephone services, training etc) 2. COMMISSIONS - Income earned as negotiated fees and commission from NiPost services (post cash and other financial services, e-government services, etc) powered by NetPost and income earned from NetPost Strategic Partners, including service providers, Network Provisioning and franchise partners. 3. TELECOMMUNICATIONS INFRASTRUCTURE services provided to third parties requiring connectivity leveraged off the EXISTING infrastructure. 13/02/

23 Rollout Plan ROLLOUT PHASES OF THE NETPOST CENTERS AND SERVICES Phase 1: The Pilot Phase (Complete) During Phase One a few NetPost locations were connected to the Internet and they are delivering services to the public. Operation of the centers has allowed NetPost to test some its technology choices and business concepts. The centers have also served as effective showcases to potential partners for Phase 2. These centers are capable of powering a much wider range of Nipost products e. Phase 2: Development of full NetPost Centers and Collocation Phase (Ongoing) The project is currently in Phase 2. Approximately 140 locations have been targeted for implementation of urban and some rural NetPost Centers in alliance with two strategic alliance financial institutional partners. The NetPost centers set up during this phase will power a much wider range of NiPost products and services and will include in addition limited banking services offered by the strategic banking partners. The NetPost centers developed during this phase will serve as the test bed and showcase for the next phase which involves a franchising scheme. Phase 3: Franchising Phase Phase 3 will focus on implementation of full NetPost Centers in the remainder of the existing NiPost locations. The business plan makes provision for implementation of more than 1000 sites over a 3-5 year period depending on funding. 13/02/

24 Conclusion Expected Development Outcomes of the NetPost Project NetPost will foster e-access for all Nigerians Netpost will power the modernized services to NiPosts its vast customers NetPost will help Nigeria foster computer Literacy and Internet Awareness NetPost will be at the forefront of helping Nigeria meet the UN Millennium goals, including the following: eradicate extreme poverty achieve universal primary education promote gender equality and empower women reduce child mortality improve maternal health combat HIV/Aids ensure environmental sustainability, and develop a global partnership for development. 13/02/

25 Thank You Professor Raymond Akwule Chief Executive Officer NetPost Nigeria Ltd 13/02/