The team behind the controversial R1.2 billion City of Joburg Broadband Project hopes to have it lit up within the next 90 days.<\/p>\n
The 940 km fibre optic network, with a 1.2Tb core capacity, providing fast internet connectivity to 7 regions of the City of Johannesburg (CoJ) municipality, was due to go live in July 2013.<\/p>\n
The head of the city\u2019s broadband project, Zolani Matebese, told BusinessTech that the CoJ was in the process of putting together a “municipal entity” to run the project.<\/p>\n
This is after the terminated the contract of CitiConnect Communications at the start of the month due to the company’s \u201cfailure to honour [its] contract obligations\u201d.<\/p>\n
CitiConnect launched BWired<\/a> in 2010 to operate and manage the network for a period of 12 years, upon completion in 2013 (original scheduled date).<\/p>\n This would have been managed at a cost of R280 million a year, in conjunction with Ericsson.<\/p>\n It was proposed that, after the 12 years, the CoJ would then take over management of the network.<\/p>\n Matebese said that he was in discussions on “an orderly handover over to the city” amid an arbitration with CitiConnect.<\/p>\n According to a report in the Star, CitiConnect said the cancellation of the contract was in dispute.<\/p>\n \u201cEssentially, the city has terminated the agreement unlawfully,\u201d CitiConnect told the paper.<\/p>\n The Star also reported that the network could be built for closer to R400 million, citing the Democratic Alliance (DA), following consultation with the FTTH council, a body representing fibre-optic firms.<\/p>\n The DA said that it would cost\u00a0 a maximum of R100 million annually.<\/p>\n Matebese called the report in the Star inaccurate, noting that an audit conducted for the CoJ found that the network was worth R1.2 billion.<\/p>\n He said that any industry expert would understand the costs involved in laying and maintaining fibre infrastructure.<\/p>\n He also pointed out that the CoJ went through a rigorous tender process in 2008, when the idea for a network was initially proposed.<\/p>\n City of Joburg drops broadband provider<\/strong><\/a><\/p>\n 1.2Tbps Johannesburg fibre project gains ground<\/strong><\/a><\/p>\n R1.2bn Joburg fibre project live in 2013<\/strong><\/a><\/p>\n City of Joburg plans fibre-to-the-home project<\/strong><\/a><\/p>\nMore on City of Joburg<\/h3>\n