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No digital migration funds have been wasted – Mokonyane

15th October 2018

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

     

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The Department of Communications (DoC) will continue to have the remaining set-top boxes (STBs) it has already procured distributed ahead of the implementation of the new broadcasting digital migration model in March next year.

None of the R10-billion in expenditure or procurements undertaken to date would go to waste nor had it all been spent solely on the decoders, the DoC said, noting that the Universal Service and Access Agency of South Africa (Usaasa) and the South African Post Office (Sapo) would continue with the distribution of the remaining STBs using the old model until decoder depletion.

“The new delivery model . . . will be phased in from March next year, but it does not make the already procured decoders absolute or non-usable,” Communications Minister Nomvula Mokonyane assured, noting that the new model would also continue to subsidise indigent television viewing households.

Last week, Cabinet approved a revised digital migration delivery model that would see government step back from its involvement in the procurement of STBs, as well as the warehousing, transportation and installation of the decoders.

The new model for the implementation of the broadcast digital migration project adopts a market/retail-driven approach through collaboration and partnerships with the private sector and industry.

“Government will then rightfully do its role of providing policy certainty and oversight to create an enabling environment,” Mokonyane explained, pointing out that the registration and installation of government decoders and the roll-out of the project would continue unhindered until the new delivery model is phased in next year.

However, clarifying earlier reports, she stated that the subsidised STB procurement did not amount to the reported R10-billion in expenditure, to date, for the multistakeholder project, but rather the accumulation of infrastructure build, distributions, installations and public awareness programmes, besides others.

State-owned Usaasa has spent R938.4-million – R603.4-million on the procurement of 880 128 STBs and R334.9-million on antennas and satellite dishes.

Usaasa had an allocation of R2.3-billion for one-million digital terrestrial television (DTT) STBs, 500 000 direct-to-home (DTH) STBs, one-million antennas and 500 000 satellite dishes, said Usaasa CEO Lumko Mtimde.

“Usaasa’s role was the development of the criteria/means test to determine qualifying households, managing the disbursement of subsidy funds, and appointing, managing and monitoring the DTT/DTH STB manufacturers, antennas and satellite dishes and installation companies.”

During the Phase 1 implementation stage of the project, the entity placed an order for 1.5-million STBs, with 880 128 STBs delivered to Sapo.

About 486 077 STBs have been installed at the subsidised beneficiaries, while the balance remains stored in Sapo warehouses, barring a few in transit, through installers, to the beneficiaries.

“Usaasa and Sapo will continue unhindered with the implementation of the remaining STBs using the old model. The remaining STBs that are warehoused at Sapo will be distributed and installed until the stock is depleted, upon which time there will be no new orders from Usaasa,” the entity explained.

Bulk installations are currently being rolled out in the Free State, Northern Cape and North West.

Edited by Creamer Media Reporter

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