Final Reviewed Draft
The Republic of Uganda
MINISTRY OF INFORMATION AND COMMUNICATIONS TECHNOLOGY
ICT Sector Thematic Paper (Final Reviewed Draft)
FOR THE NATIONAL DEVELOPMENT PLAN (NDP) 2009/10 - 2013/14
27TH FEBRUARY 2009
TABLE OF CONTENTS
Executive Summary 4
LIST OF ACRONYMS 6
LIST OF TABLES 8
LIST OF FIGURES 8
CHAPTER ONE 9
INTRODUCTION 9
1.0 Background 9
1.1 Definition of ICT 10
1.2 The Role of ICT in Development 10
1.2.1 General Overview 10
1.3 ICT Sector Vision 12
1.4 ICT Sector Mission 12
1.5 ICT Sector Objectives 12
1.6 ICT Sector Institutional Framework 12
CHAPTER TWO 14
SITUATIONAL ANALYSIS 14
2.1 Telecommunications Sub-Sector 14
2.1.1 Introduction 14
2.1.2 Current status of the Sub-Sector 14
2.1.3 Sub-Sector performance over the Poverty Eradication Action Plan (PEAP) period 15
a) Sub- Sector Investment and Turnover 15
b) Service Penetration and Customer Growth in Telecommunications 17
2.1.4 Sub-Sector Achievements 18
2.1.5 Challenges and Constraints facing the Sub-Sector 20
2.2 Postal Sub-Sector 20
2.2.1 Introduction 20
2.2.2 Current status of the Sub-sector 21
2.2.3 Sub-Sector Performance over the PEAP period 22
2.2.4 Constraints and Challenges facing the sub-sector 24
2.3 Broadcasting Sub-Sector 24
2.3.1 Introduction 24
2.3.2 Current status of the Sub-sector 25
2.3.3 Sub- Sector performance over the PEAP period 25
2.4 Information Technology (IT) and Information Management Services (IMS) 26
2.4.1 Introduction 26
2.4.2 Current status of the Sub-sector 27
2.4.3 Sub-sector Performance over the PEAP period. 28
2.4.5 Sub-sector Achievements 28
2.4.6 Constraints and challenges facing the Sub-sector 29
2.5 Library and Information Services Sub-sector 30
2.5.1 Introduction 30
2.5.2 Current status of the sub-sector 30
2.5.3 Sub-sector performance over the PEAP period. 30
2.5.4 Sub-sector Achievements 30
2.5.5 Constraints and challenges facing the sub-sector. 31
CHAPTER THREE 33
SECTOR DEVELOPMENT PRIORITIES FOR THE NDP 33
3.0 Introduction 33
3.1 Telecommunications Sub-sector 33
3.2 Postal Sub-sector 33
3.3 Broadcasting Sub-sector 34
3.4 IT and Information Management Services Sub-sector 34
3.5 Library and Information Services Sub-sector 35
3.5.1 Justification for the proposed Investments. 35
CHAPTER FOUR 36
STRATEGIES FOR IMPLEMENTATING IDENTIFIED PRIORITIES 36
4.0 Introduction 36
4.1 Telecommunications Sub-sector 36
4.1.1 Strategies for the implementation of identified priorities 36
4.2 Postal Sub-sector 39
4.2.1 Strategies for the implementation of identified priorities 39
4.3 Broadcasting Sub-sector 41
4.3.1 Strategies for the implementation of identified priorities 41
4.4 IT and Information Management Services Sub-sector 42
4.4.1 Strategies for the implementation of identified priorities 42
4.5 Library and Information Services Sub-sector 44
4.5.1 Strategies for implementation of the identified priorities 44
CHAPTER FIVE 45
CONTRIBUTION OF DIFFERENT STAKEHOLDERS TO SECTOR PRIORITIES AND STRATEGIES 45
5.0 Introduction 45
5.2 Telecommunications Sub-sector 45
5.2.1 Institutions that directly contribute to sector priorities and strategies 45
a) Government 45
b) Private Sector 46
5.3.1 Institutions that directly contribute to sector priorities and strategies 46
5.4 Broadcasting Sub-sector 47
5.4.1 Institutions that directly contribute to sector priorities and strategies 47
5.5.1 Institutions that directly contribute to sector priorities and strategies 48
a) Government 48
b) Private Sector 48
5.6 Library and Information Services Sub-sector 48
5.5.1 Institutions that directly contribute to sector priorities and strategies 48
CHAPTER SIX 49
M & E MATRIX AND COSTING 49
CHAPTER SEVEN 66
CROSS CUTTING ISSUES 66
7.0 Introduction 66
7.1 Gender Mainstreaming 66
7.2 Environment Mainstreaming 66
7.2.1 Loss of soil and vegetation 66
7.2.2 Pollution and Noise 66
7.2.3 e-Waste 67
7.2.4 Mitigation measures 67
7.3 HIV/AIDS Mainstreaming 67
7.4 General ICT Sector Development Aspects 68
Executive Summary
The Government of the Republic of Uganda is committed to the eradication of poverty through a multiplicity of high level policy and strategic interventions in line with its National Development Plan (NDP) theme of “Growth, Employment and Prosperity”. These interventions are to rely on timely access to relevant and accurate information that adds value to economic and social interactions. These call for the immediacy of cost-effective communications to support governance, outreach and commercial transactions. The underlying technology that enables this is classified under the broad category of Information and Communications Technology (ICT).
To this end, Government of Uganda has, as one of the key pillars in its planned 5-Year NDP, taken ICT as one of the key priority sectors in the development process.
Situational analysis of the ICT sector has established several developments taking place; notable is the creation of the Ministry of ICT that is providing the overall policy guidance, coordination and oversight of the ICT sector. Other major developments include the review and formulation of policies, and master plans for the various sub-sectors under the ICT sector, planned review of the existing National ICT Policy Framework, provision of conducive environment for private investment, establishment of essential ICT infrastructure and support to human resource development in ICT related disciplines.
The analysis also identifies the roles ICT is playing in social and economic development of the country both as an enabling tool and as an industry. The role of ICT as an enabling tool relate to improvements in effective and efficient delivery of services that accrue as a result of application of ICT in governance and administration. A practice commonly known as electronic governance (e-Governance) and applicable to several service delivery sectors such as education (e-Learning), health (e-Health including telemedicine), and in many areas of public administration such as taxation. On the other hand, ICT as an industry explores opportunities of investing in ICT to promote growth, employment and prosperity. The potential areas for ICT investments that may lead to greater returns in terms of growth and employment have been identified to include manufacturing; investing in value-added ICT services such as mobile telephony, postal ICT enabled services, data communication, video conferencing, back office data processing, ICT industrial parks, incubators and call centres; as well as software development, amongst others.
However, the analysis also identifies an inherent ICT development challenge, which largely emanate from the fact that ICT is currently not deeply entrenched in the overall development planning framework and systems. The major challenge is that implementation of ICT programmes and projects remains fragmented and under funded. Central Government Ministries and Agencies, and Local Governments normally plan for ICT related activities but ICT did not have a vote of its own and in most cases there is no specific allocation of funds to the planned ICT programmes at the various levels of government. In a nutshell, ICT has not been adequately integrated into the various sector development interventions.
Against the above situation affecting the ICT sector, this thematic paper has been developed through a participatory and consultative process specifying strategies and measures for mainstreaming ICT into the NDP pillars, and the development of a suitable environment for promoting ICT as an Industry for socio and economic development.
Strategies and measures to ensure integration of ICT into the national development plan include the development of guidelines for integration of ICT in different sectors, supporting the set up and development of a favourable and suitable environment for the ICT industry.
The key crosscutting priority strategies identified to guide planning and budgeting for the ICT sector in the context of the ICT policy framework include;
· Awareness creation and Capacity building of different stakeholders
· Supporting Research and Development (R&D) in the sector
· Ensuring effective Inter-sectoral Coordination, Monitoring and Evaluation
· Stimulating economic growth of ICT sector through the creation and promotion of an Legal and Regulatory enabling environment
In conclusion, now that the country is developing its plans covering different time horizons, there is need to take advantage of the ongoing planning process to ensure that the proposed ICT mainstreaming and crosscutting strategies are captured and implemented by the various sectors in short, medium and long term perspectives.
LIST OF ACRONYMS
AIDS Acquired Immune Deficiency Syndrome
BC Broadcasting Council
BPO Business Process Outsourcing
CERT Computer Emergency Response Team
CHOGM Commonwealth Heads of Government Meeting
COMESA Common Market for Eastern and Southern Africa
DBICs District Business Information Centers
EA East Africa
EASSy East African Submarine Fibre Optic Cable Project
ECA Electronic Certificate Authority
EGI e-Government Infrastructure
FM Frequency Modulation
GDP Growth Domestic Product
GoU Government of Uganda
HIV Human Immune Virus
HiWEL Hole-in-the-Wall Education Limited
HMIS Health Management Information System
ICT Information and Communications Technology
IFMS Integrated Financial Management System
IKS Indigenous Knowledge Systems
IT Information Technology
ITES Information Technology Enabled Services
ITU International Telecommunication Union
IXP Internal Exchange Point
LCs Local Councils
LOGICS Local Government Information Communication System
MoFPED Ministry of Finance Planning and economic Development
MOICT Ministry of Information Communications and Technology
NBI National Backbone Infrastructure
NDC National Data Centre
NDP National Development Plan
NEMA National Environment Management Authority
NITA-U National Information Technology Authority- Uganda
NLU National Libraries of Uganda
OSS Open Source Software
PAPU Pan-African Postal Union
PEAP Poverty Eradication Action Plan
PIP Public Infrastructure Provider
PPP Public Private Partnership
PSP Public Service Provider
PWDs People with Disabilities
RCDF Rural Communication Development Fund
SME Small and Micro Enterprises
STIs Sexually Transmitted Infections
TASO The AIDs Support Organization
TB Tuberculosis
TCIL Telecommunications Consultants of India Ltd
TV Television
UCC Uganda Communications Commission
UICT Uganda Institute of Information and Communications Technology
UNIDO United Nations Industrial Development Organization
UPE Universal Primary Education
UPL Uganda Post Limited
UPTC Uganda Posts and Telecommunication
UPU Uganda Postal Union
URANET Uganda Revenue Authority Network
USF Universal Service Fund
VAT Value Added Tax
VVIP Very, Very Important Person
LIST OF TABLES
Table 1: Number of licensed operators in the Telecoms sub-sector as at 31st May 2008
Table 2: Growth in the Postal Sub-sector
LIST OF FIGURES
Figure 1: The “Dual” focus for ICT
Figure 2: Trends in sector investment in the last 5 years.
Figure 3: Sector contribution to GDP
Figure 4: Graphical presentation of recent growth trends in mobile and fixed line services
Figure 5: Graphical presentation of growth and penetration of public payphones
Figure 6: Trend in volume of letters posted and received
9
Final Reviewed Draft
CHAPTER ONE
INTRODUCTION
1.0 Background
The way of carrying out business in the world today is changing very rapidly with new technologies taking centre stage. The advent of Information and Communication Technologies (ICT) is fundamentally changing the way governments plan, implement, monitor and evaluate various national development initiatives. Governments are also promoting ICT as an industry through e-Business, Business Process Outsourcing, ICT Parks, Hardware and Software Development and Manufacturing. The world is becoming a global village through ICT networks.
In line with growing evidence of the role that ICT can play in enhancing development, the UN Millennium Declaration calls on governments to “ensure that the benefits of new technologies, especially Information and Communication Technologies are available to all”. Furthermore, the World Summit on Information Society (WSIS) was instituted by UN resolution 183/56. The UN’s common vision of an Information Society is:
· A highly developed ICT Infrastructure;
· Equitable and ubiquitous access to information;
· Appropriate content in accessible formats and effective communication;
· To enable individuals and communities to achieve their full potential;
· To promote sustainable economic and environment development; and,
· To improve quality of life and alleviate poverty, hunger and social exclusion.
There is a growing interest in using ICT to support poverty reduction initiatives and strategies to achieve the Millennium Development Goals (MDGs). However, at the country level, ICT is yet to be effectively integrated into national development strategies. Development initiatives increasingly incorporate an "ICT component", but mostly as mere projects without a focus on policy variables that could enhance impact and sustainability. Analogously, national ICT development strategies incorporate a development focus but do not necessarily link their implementation with relevant development strategies (e.g. e-Government and public sector reform and service), such that benefits from ICT use can be effectively reaped.
Many countries are adopting the emerging new technologies in their governance processes, a practice commonly known as e-governance. Current applications of e-governance cover areas such as e-Government, e-health, e-commerce, e-education among others. These applications have reformed government service delivery; achieving transparency, accountability and credibility; providing effective access to information; broadening public participation and promoting democracy; facilitating research and development; and enhancing competitiveness in the global economy. ICT has also improved Government relationship with the country’s business sector and citizens, and with its own employees.
With the above background, the Government of Ugandan has recognised the important role played by Information and Communications Technologies (ICT) as a tool for social and economic development. The Poverty Eradication Action Plan (PEAP) 2004/2005 – 2007/08, the now phasing out country’s development framework, recognized access to information as a necessary condition for the well-being of a population and human development. However, ICT was not adequately integrated into the various PEAP pillars. Therefore, now, this calls for the government to ensure that ICT is firmly embedded in the government development processes during planning, implementation, monitoring and evaluation.
1.1 Definition of ICT
ICT refers to technologies that are used to collect, process and store, retrieve, disseminate and transmit information. This encompasses use of electronic devices or application, encompassing: radio, television, cellular phones, computer and network hardware and software, satellite systems and so on, as well as the various services and applications associated with them, such as videoconferencing and distance learning.
1.2 The Role of ICT in Development
1.2.1 General Overview
ICT is at the core of national development efforts worldwide and is an important enabler of change. “Through the use of ICT, new things are possible and ultimately ICT will reinvent organizations (governments) and their services” (Leer, 2000). The effective use of information and knowledge can become the most critical factor for rapid economic growth and wealth creation, and for improving the livelihoods of the world’s poor.
Generally, the role of ICT can be divided into two different but related categories namely ICT as an enabler or tool in executing programs and ICT as an industry for economic development. This is illustrated in the Figure 1 below;
Figure 1. The “Dual” Focus for ICT
1.2.2 ICT as an Enabler
ICT is used as an enabler in all aspects of organisational operations. The application of ICT includes e-administration for improving government processes, e-services for connecting individual citizens with government and e-society which entails building interactions with and within the civil society.
The use of ICT will lead to improved public service delivery, democratic processes, and increase accountability, transparency and productivity. Introducing ICT will indeed require some organisational change and new skills.
1.2.3 ICT as an Industry for Economic Development
ICT as an industry categorizes various investment opportunities in ICT that will spur growth, increase employment and prosperity. Business Process Outsourcing (BPO), Hardware and Software development industries, and ICT Parks are some of the core investment areas being promoted for national economic development.