Pienaar said that universal service obligation (USO) funds that all operators have been putting money into need to be used to drive broadband penetration in rural areas.<\/p>\n
\u201cIt\u2019s in excess of R2.5-billion and I think it\u2019s time that we release that money not to provide decoders, but certainly to provide the 2020 vision of all of us\u2026 to get broadband to all,\u201d Pienaar said.<\/p>\n
Deputy director-general of the Department of Communications<\/a>, Themba Phiri<\/a>, told the Select Committee for Labour and Public Enterprises in August 2012 that they needed an additional R2.635-billion in subsidies for digital terrestrial television (DTT<\/a>) set-top boxes (STBs).<\/p>\n Viewers that depend on the terrestrial broadcast provided by Sentech<\/a>, the state-owned signal distributor, which is received through a normal roof antenna or \u201cbunny ears\u201d, will need an STB (and in some cases a new antenna) to continue watching TV.<\/p>\n STB subsidies for South Africa\u2019s poorest citizens amounting to R940-million have been ring-fenced at the Universal Service and Access Agency of South Africa (USAASA<\/a>), Phiri said previously.<\/p>\n Karel Pienaar<\/p><\/div>\n Adding to Pienaar\u2019s presentation, Vishen Maharaj<\/a>, executive for special projects at state-owned Broadband Infraco<\/a> said during a panel discussion that the major hurdle to expanding their fibre footprint is money.<\/p>\n \u201cFunding is a major issue for rolling out fibre,\u201d Maharaj said.<\/p>\n Infraco is approaching the USAASA to help fund roll-outs in some of the provinces where it doesn\u2019t make economic sense to do so, Maharaj said.<\/p>\n Pienaar explained that the USO money could be used to build out and repair the pipes needed to lay transmission infrastructure to rural areas where there would otherwise be no business case to do so.<\/p>\n One way to do this, Pienaar said, is to have the USO go out to tender.<\/p>\n Any operator would be able to identify an opportunity on a certain basis and submit it. A tender is then issued and the winning bidder then goes and installs the infrastructure.<\/p>\n Digital TV set-top box price estimate slashed<\/strong><\/a><\/p>\n South Africa\u2019s R200 billion broadband bill<\/strong><\/a><\/p>\n Broadband for all: How, and who will pay?<\/strong><\/a><\/p>\n The R89 billion broadband question<\/strong><\/a><\/p>\n Hard-won network operator rights under threat<\/strong><\/a><\/p>\n![\"Karel](\"http:\/\/mybroadband.co.za\/news\/wp-content\/uploads\/2012\/10\/Karel-Pienaar.jpg\" "\\"Karel")
Funding needed for fibre<\/h3>\n
USO funds for broadband infrastructure<\/h3>\n
Related articles<\/h3>\n