BUILDING INFRASTRUCTURE SYNERGIES THROUGH ICT INFRASTRUCTURE DEVELOPMENT
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1 BUILDING INFRASTRUCTURE SYNERGIES THROUGH ICT INFRASTRUCTURE DEVELOPMENT Subregional Inception Meeting 2 October 2018, Almaty ICT and Disaster Risk Reduction Division ESCAP
2 2 Outline Status of ICT connectivity Proposed support in this project: co-deployment Asia-Pacific Region Opportunities Challenges Conclusion Questions for group discussions and sharing
3 3 Broadband Divide
4 4 Challenges: Fixed Broadband Connectivity Source: Produced by the authors, based on data from ITU World Telecommunication/ICT Indicators Database, available from (accessed 16 September 2018)
5 5 Challenges: Broadband connectivity Source: Produced by the authors, based on data from ITU World Telecommunication/ICT Indicators Database, available from (accessed 16 September 2018)
6 6 Network quality and fixed-broadband adoption 256 Kbit/s - 2 Mbit/s subscriptions per 100 fixed-broadband subscriptions 100 Solomon Islands Afghanistan Myanmar Iran (I.R.) 70 Pakistan Lao P.D.R. 60 Uzbekistan Azerbaijan Bhutan Kbit/s 2 Mbit/s 10+ Mbit/s Bangladesh French Polynesia Malaysia Mongolia Brunei Darussalam Kyrgyzstan Kazakhstan Singapore 10 Russian Federation Sri Lanka Turkey Hong Kong, China CambodiaThailand Georgia China New Zealand Korea (Rep.) Fixed-broadband subscriptions per 100 inhabitants 10+ Mbit/s subscriptions per 100 fixed-broadband subscriptions Cambodia Kyrgyzstan Bangladesh Malaysia Turkey Georgia Kazakhstan Korea (Rep.) New Zealand China Japan Singapore Russian Federation 20 Brunei Darussalam Thailand Uzbekistan 10Afghanistan Azerbaijan Lao P.D.R. Iran (I.R.) Solomon Isl.Mongolia French Polynesia Fixed-broadband subscriptions per 100 inhabitants Hong Kong, China Source: Produced by ESCAP, based on data sourced from ITU World Telecommunications/ICT Indicators Database (accessed July 2017).
7 7 ACCESS (Fixed-broadband subscriptions per 100 inhabitants) China Korea (Rep.) Japan Russian Federation Azerbaijan Fixed-broadband connectivity, NCA & ENEA Georgia Hong Kong, China Macao, China Armenia Kazakhstan 10 Uzbekistan Mongolia Kyrgyzstan Tajikistan 0 Turkmenistan 0 50, , , , ,000 CAPACITY (Internet international bandwidth/user (bits/sec) AFFORDABILITY (Fixed-broadband monthly sub-basket as % of GNI/capita): <2% (affordable) >2% (unaffordable) Note: Reference lines for x and y axis indicate weighted averages of the sample; Based on 2017 or earliest data available; Hong Kong, China's international Internet bandwidth has been scaled back for the graph, actual value is 5,936,926 per user
8 Challenges: Affordability (Fixed) 8 Fixed-broadband prices (% of GNI per capita) Afghanistan Timor-Leste Myanmar Lao P.D.R. Cambodia Marshall Islands Samoa Micronesia Indonesia Nepal Kyrgyzstan Tajikistan Philippines Pakistan India Bangladesh Papua New Guinea Fiji Bhutan Thailand Nauru Maldives Turkmenistan Vanuatu Georgia Armenia China Mongolia Tonga New Zealand Viet Nam Korea (Rep.) Sri Lanka Iran (I.R.) Malaysia Azerbaijan Australia Turkey Russian Federation Kazakhstan Japan Brunei Darussalam Singapore Macao, China Fixed broadband prices (% of GNI per capita) Source: ITU World Telecommunications/ICT Indicators Database (21th Edition/Dec 2017)
9 ICT Development Index (i.e., sufficiency of ICT infrastructure) 9 Except Kazakhstan, Kyrgyzstan and Mongolia is slightly below the world average.
10 10 Fixed Broadband Subscriptions Kyrgyzst an and Mongolia is far below the world and region average.
11 11 Mobile Broadband Subscription Mobile broadband subscriptio ns are better compared to fixed broadband
12 12 International Bandwidth per Internet User
13 Regional cooperation The Asia-Pacific Information Superhighway initiative aims to increase the availability and affordability of broadband Internet across Asia and the Pacific, by strengthening the underlying Internet infrastructure in the region. Promote terrestrial and submarine fibre-optic connectivity Provide a regional intergovernmental platform focusing on the missing fibre-optic links between ESCAP countries ESCAP resolution 73/6 = mandate 13
14 (AP-IS) 14 AP-IS PILLAR 1 Connectivity AP-IS PILLAR 2 Internet Traffic & Network Mgmt. AP-IS PILLAR 3 E-Resilience AP-IS PILLAR 4 Broadband for All INFO AND PUBLICATIONS ON
15 15 AP-IS Initiatives Strategic Initiatives Identification, coordination, deployment, expansion and integration of the regional backbone network Establish a sufficient number of IXPs at the national and subregional levels and set out common principles on Internet traffic exchange Regional social and economic studies Enhancing ICT infrastructure resilience Policy and regulations for leveraging existing infrastructure, technology and inclusive broadband initiatives Capacity-building AP-IS funding mechanism based on public-private partnerships
16 16 ESCAP s technical studies To implement identified strategic initiatives in the AP-IS Master Plan and support discussions on co-deployment between ICT and other sectors, including transport and electric power. Cost-benefit analysis Case studies Consultations and discussions at the AP-IS Steering Committee meetings
17 17 ESCAP s analytical work on ICT: new technologies, financing mechanism, broadband infrastructure, co-deployment, international gateways, university education among others
18 18 AP-IS Transmission Map Interactive Map, visit <
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22 22 Common Gaps and Challenges Need to enhance national ICT Infrastructure including domestic backbone networks, ICT usage, access and fiber density High broadband pricing Inadequate international bandwidth - causes negative impacts on highbandwidth applications and services and for inclusion Often infrastructure projects are undertaken without considerations to co-deployment with other sectoral infrastructure. International cooperation or policy coordination among countries and in the region needed. Highly exposed and vulnerable to many disasters which caused frequent disruption and damage to ICT infrastructure and connectivity.
23 23 Proposed activities specific to ICT To strengthen ICT infrastructure which will improve international bandwidth and reduce capital and operating expenses to maintain ICT infrastructure-> co-deployment and financing mechanism To expand network coverage, especially under-served and un-served areas, increase affordability and expand access to all societal groups - > different and new design of ICT networks for rural connectivity To strengthen e-resilience and better network designs -> risk and vulnerability maps To enhance capacity of ICT ministries in coordinating with other countries, line ministries and SDG focal points, identifying gaps and solutions on the above matters and develop concrete policy and regulatory updates
24 24 Proposed activities to other sectors To promote cross-sectoral infrastructure development synergies among countries through co-deployment with energy and transport To promote SDG-enabling financing mechanisms for infrastructure development with and across countries To promote social inclusion and set up sustainable coordination and consultation mechanisms with various social sector entities to ensure inclusive broadband access on a sustainable basis To link with disaster risk reduction efforts and ensure that disaster risks and vulnerabilities are well understood by ICT ministries and stakeholders for their action
25 25 Co-deployment Case studies in Asia and Pacific Region
26 26 Scope and type of co-deployment Co-deployment among telecom operators Co-deployment of backbone cables for economies of scale Sharing of ducts, towers and landing stations Co-deployment with transport sector Co-deployment along railways and highways Rights-of-way granted by railway and highway authorities Co-deployment with energy sectors Co-deployment with energy sectors (power grid, gas pipelines etc.) Power lines carry broadband services Benefits Dig once to reduce cost of investment, Decrease frequency of construction on major highways; Redundancy communication duct can improve coverage
27 27 Co-deployment route type with road/railway Route 1 Route 2 Route 3 Direct Burial (using HDPE) Aerial (using telegraph poles) Duct/Conduit installation cost effective difficulty in maintenance and expansion cost effective Spoils the environment Cut off Safest and enables further access and reconfiguration Extra cost
28 28 Republic of Korea (Highway) In 1992, Korea Expressway Corporation (KEC) authorized to install its own fiber optic cables for use in traffic control and operation of expressways. The main reason of the KEC s investment in fiber optic cables 1) To satisfy the demand for internal high-speed communication for intelligent transportation system (ITS), i.e. traffic management system, toll collection system, in-house communication system and emergency telephone, and 2) To diversify KEC s business areas. Most of the fiber optic cables are implemented by the highway authorities, e.g. KEC while the highway was constructed. Such co-deployments are established by law: - Road Act & National Transport System Efficiency Act: put mandate for road management authority to provide traffic information to the road users and establish communication facilities along the roads. - Telecommunications Business Act: provides a basis for the road authority to provide communication facilities to telecommunication carriers. - Korea Expressway Corporation Act: provides a basis for KEC to carry out the business of leasing their telecommunications facilities
29 29 Republic of Korea (Highway) (cont.) Benefits Assessment of Co-deployment: Out of 4,000km express way, - Investment cost was about USD 370 million - Estimated cost savings was about USD 1,770 million - B/C ratio: This did not include an estimated reduction in traffic congestion by 25%, which saves USD 112 million annually. Lessons with Co-deployment: - Having an established laws to reduce coordination problem - Providing specific/detailed principles for contract conditions and pricing criteria, and with joint calculation of the costs between involved parties - This helps prevent dispute over calculation of the cost. - Having long-term master plan or roadmap for building fiber optic cable network and its utilization (e.g. ITS).
30 30 Republic of Korea (Railway) Agreement signed with telecommunication operators, normally before construction of the railways from To date, trackside fiber optic cables have been laid on 3 High Speed Rail(HSR)s measuring total length of 824.2km Methods of burying fiber optic cables by using concrete troughs, utility conduits or cable trays. Example (Gyeongbu Line s 420km Anyang-Busan section co-deployment in 1986) - One set of 36 core fiber optic cables co-deployed along railways with initial cost of 78,623 million Korean won (KT paid 70,053 million won) - KT used 30 of the 36 cores for its commercial telecom services paying railway facility usage fee and maintenance cost to Korean National Railroad. - The remaining 6 cores were donated to the Korean National Railroad to be used for operation and maintenance of railway communication network.
31 31 Myanmar - Cost analysis and comparison between co-deployment and separate deployment of broadband network with Asian Highway - Co-deployment has been estimated to save at least USD 7,379 per km or 56.83% of the costs. Result of comparative study case 1 Result of comparative study case 2 Cost saved from co-deployment of ducts (two-way) = USD 7,379/km Percentage of cost saving (two-way) = 56.83% Cost saved from co-deployment of ducts (four-way) = USD 10,047/km Percentage of cost saving (four-way) = 54.05%
32 32 Myanmar (cont.) Most of the cost savings are derived from eliminating overlapping civil works: - Excavation, backfilling and reinstatement are the services with the greatest cost saving, as the earthwork is the largest cost component of duct deployment - These works are already included in the construction cost of the highway. Considering Myanmar s 3,009km Asian Highway, the total saving is around USD 30 Million. Road sector just incur additional 0.87%-3.55% of the highway construction cost to road construction, while they will have the opportunity to generate new revenues. For developing countries, this significant cost savings can be generalized, given the fact that civil work is a large portion of the total costs.
33 33 Bangladesh ICT and Road/Highway: Co-deployment have been limited. - OFCs are installed along highways after their construction - Complaints about frequent deviations of the telecom operators from the permitted locations, conditions and damage done to the roads ICT and Railways: Bangladesh Railway had first launched an optical fibre-based integrated telecom system back in Out of the total 2877 km railway route, Bangladesh Railway has about 2300 km co-deployed with optical fibre part of which have been leased out to Telecom companies. - OFC is laid in another stretch of 380 km new railway lines under different ongoing projects - The government has now started a move to withdraw the exclusivity agreement between Grameenphone and Bangladesh Railway and offer the OFC as a public resource open to other operators.
34 34 Co-deployment with Power line : OPGW (Optical Ground Wire) In IEEE standard, Optical fiber composite overhead ground wire Type of cable that is used in the construction of electric power transmission line and distribution line Combines the function of grounding and communication An OPGW cable contains a tubular structure with one or more optical fibers in it (communication part), surrounded by layers of steel and aluminum wire (conductive part) OPGW cable is run between the tops of high-voltage electricity pylon to protect electric power line from lightning strikes. OPGW Power Line
35 35 OPGW cases Korea Electric Power Corporation (KEPCO) is replacing old ground wire to OPGW to use internal communication such as asset monitoring, detecting disconnection/malfunction of power lines and Smart Grid Power Grid Corporation of India Limited (PGCIL) uses OPGW not only for internal use but also leasing business - 85,500km of OFC network across the country - Has acquired license for National Long distance (NLD) and Internet Service Provider (ISP) - Part of BharatNet project(broadband project in India) for development and maintenance of National Optical Fiber Network in 4 States covering about 35,791 GPs, 977 GPs have already been connected. Installed cross-border OPGW currently operational - Bangladesh (Bheramara, Akhaura) India(Berhampur, Agartala) - Bhutan (Gelephu, Malabase) India (Bongaigaon, Siliguri) - Nepal (Dhalkebar, Mahendranagar) India (Muzaffarpur, Ranakpur)
36 OPGW cases 36 Tanakpur Nepal Kathmandu Thimphu Bhutan Nepal Electricity Authority OPGW Dhalkebar Malabase BPC OPGW Gelephu Sursand Muzaffarpur Siliguri Bongaigaon Guwahati To Mumbai India To Chennai To Chennai & Mumbai To Singapore via Agartala & Cox Bazar POWERGRID OPGW Inter Country OPGW link Neighbour Country OPGW POWERGRID s Fully Protected All OPGW Network Across India on Extra High Voltage Transmission Line Behrampur To Mumbai & Chennai Kolkata Bangladesh Bheramara PGCB OPGW Dhaka Comilla SEA-ME-WE4 to Singapore Agartala India Cox s Bazar
37 37 Co-deployment with Gas pipeline The fibre network is deployed using a specially developed In/Out-port to guide the cable into and out of the gas pipe so as to bypass the gas valves. The gas pipeline system provides good protection for the optical fibre cable, being situated well below the street surface and other infrastructure. Gailtel is the Telecom and Telemetry services arm of Gas Authority of India Limited (GAIL). - Provides communication services for GAIL s pipeline business and operate Supervisory Control, and Enterprise Resource Planning (ERP) applications. - Also provides collocation facilities and leased line bandwidth services. - Had an OFC network of around 12,000km along GAIL s cross-country pipelines (around 7,200km) and highway routes (around 4,800km) Source : FTTH infrastructure components and deployment method. FTTH council Europe
38 38 Opportunities and Challenges
39 39 Opportunities for Co-deployment For dominant telecom operators: - Reduce the cost and time to obtain permission for road RoW, - Having additional routes available in emergencies For new entrant operators - Reducing the time to obtain duct construction permission; - Reducing the cost of duct construction; - Possibly reducing the time to enter the telecommunication market; and - Having guaranteed equal competition rights with incumbent operators.
40 40 Opportunities (cont.) For the road sector - Having infrastructure to accommodate intelligent transportation systems, - Monetizing the potential value of existing infrastructure by leasing excess facilities; and - Reducing internal telecommunication network cost. For Government - Expanding the broadband infrastructure in a cost-effective manner; and - Enhancing national ICT resources that could lead to economic and social benefits.
41 41 Challenges of Co-deployment - Major cross-sectoral coordination exercise among multiple government authorities, regulators and the private sector - Comprehensive domestic policy backed by law and a framework for international cooperation - Regulatory framework to support co-deployment and to streamline network sharing practices - Establishing cross-border links adds challenges and complications such as revenue sharing/business models, different provision by laws and regulations, and mechanisms to resolve cross-border issues.
42 42 Conclusion - Strengthening ICT infrastructure connectivity is critical for the subregion. - Co-deployment have potentials to fast forward broadband development and reduce the digital divide - Strategic and schematic decision-making for co-deployment is crucial at the early stage of highway planning and construction - Having an established law and policy for infrastructure sharing/co-deployment may help reduce the coordination issues. - Having platforms for coordination and negotiation for regional infrastructure initiatives - Having inter-governmental agreement or amendment that clearly stipulates the type of highways, installation specifications for the co-deployment, revenue sharing/business models and regulatory mechanisms to resolve cross-border issues.
43 43 Source: Interactive Map,
44 44 How about countries in this subregion? (Questions for discussion and sharing) - Is co-deployment feasible? - Is there any co-deployment projects (national and international) ongoing or planned? - Why is (not) it well-established/implemented? (challenges for codeployment) - What are the conditions/criteria for cross-border co-deployment?
45 45 Thank you for your attention!
46 46 Annex Digital divide could be examined using a combination of factors: 1) Access (fixed & mobile-broadband services per 100 inhabitants); 2) Speed (download speed for mobile-broadband service (Mbps); 3) Network capacity (International Internet bandwidth per Internet user (bit/sec); 4) Affordability (Mobile-cellular monthly sub-basket as % of GNI/capita); and 5) Coverage (Percentage of the population covered by at least a 3G mobile network).
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