APPENDIX 18
Memorandum submitted by Councillor Stephen
McMillan, Royal Forest of Dean District Council (S31)
JOINED UP PUBLIC SECTOR THINKING CAN LEAD
TO COST EFFECTIVE RURAL COMMUNITY BROADBAND ACCESS
SUMMARY
1. In excess of £1 billion of taxpayers
money is going to be invested in Public Sector broadband infrastructure
alongside the e-government agenda by 2006, yet there is so obviously
a lack of consideration of the rural community needs alongside
this. The co-operation of public sector bodies with the needs
of local rural communities would present a valuable opportunity
to achieve cost effective broadband access for small businesses
and communities in rural areas. It also presents an opportunity
to earn a return on the taxpayer investment.
DETAIL
2. In the Royal Forest of Dean District
there are currently over 1,200 people and businesses registered
on BT's broadband registration system (out of a total market of
2,850 VAT registered businesses and 30,000+ households). However,
there are 13 telephone exchanges in the District and only three
have been given trigger levels, each in three market towns with
populations of around 5,000, and they account for approximately
300 of these registrations. The end result is the District will
wait for an awfully long time before a BT solution is forthcoming
for the small communities of people and businesses scattered across
the District.
3. Among our business community are many
small technology based concerns, usually led by young technologically
literate people. There are other more mature businesses that recognise
the benefits broadband access would bring to their business processes.
All of them have the potential to grow and add to the economic
activity of the District, adding jobs that are desperately needed
in an area of above average deprivation, and that suffered disproportionate
losses during the foot and mouth crisis. Without broadband these
businesses face a stark choice—move to a broadband enable
location, or be taken out by their urban, broadband enabled competitors.
Either way we lose jobs, and every month that passes without broadband
in this District renders every business that bit more uncompetitive.
4. I formed, and lead, a local action group
started in January 2003 and it is determined to bring broadband
to the District by other means than BT, by September 2003. We
have the capabilities locally to deliver this, but will probably
require some assistance from South West Regional Development Agency
in the form of "pump priming" capital investment to
make it happen. However there is another form of broadband investment
happening right under our noses, yet there is no connection being
made between it and the needs of rural communities that I can
discern, particularly the needs of economic survival in a knowledge
driven economy.
5. For the Royal Forest of Dean District,
the sum of present Government policies means that between now
and 2006 the following broadband infrastructure is intended to
be installed:
— 1 FE College—8mbps (2mbps in
place);
— 7 secondary schools—8mbps each
(2mbps in place each now);
— 34 primary schools—2mbps each;
— 2 hospitals—2mbps each;
— 17 doctors surgeries—256 kbps
each;
— 1 district council—2mbps (in
place);
— 1 magistrates court—2mbps;
and
— 7 libraries—various connections,
say a total of 5mbps.
6. This totals some 147mbps for Forest of
Dean District, most of which will only be used part of the day
and never at week ends. All of it will be delivered, on current
evidence, with a silo mentality that neutralises any benefit from
joined up thinking and combined service delivery.
7. When it is taken all together, it seems
strange that there is not some level of unified strategy, especially
for rural communities, where the initial infrastructure costs
are the major barrier to getting a commercial return on investment,
due to the dispersion and low density of users in comparison to
urban conurbations.
8. Given that most of these public sector
institutions, especially schools, are open and working for a maximum
say of 10 hours a day, what about maximising the return on tax
payer investment by implementing a system that allows paid community
access? It should be possible to build in to any infrastructure
plan to add extra bandwidth so that it can be sold to businesses
(especially SOHO, micro and SME's)? Even during the day, how likely
is it that a primary school, for example, will continually consume
2mbps?
9. In the evenings and weekends this infrastructure
will mostly be "dark" and unused. What a waste! How
much funding could be raised by selling the bandwidth for out
of hours use? A primary school (all of which are embedded in small
local communities) with a 2mbps link at 50:1 contention could
manage up to 200 community users. They could sell a package (through
a local Internet Service Provider (ISP)) at say £15 per month
for 6.00 pm to 7.00 am access (and all hours at week ends, and
during school holidays), earning £3,000 per month—more
than enough to pay the £12k p.a. bill for the 2mbps broadband
connection. There is even a surplus of £2k per month, an
amount of which could be invested back into the school, even after
the ISP take their cut! If the ISP was a local (District wide)
not for profit company, run for the benefit of the community,
so much the better. Using the secondary schools with 8mbps makes
such a model even more attractive. Indeed if their current contracts
could be unlocked, the secondary schools in the District could
be involved in piloting such a model.
10. A similar argument applies to doctor's
surgeries, all of which are embedded in the heart of rural communities.
11. An example of a missed opportunity.
Currently in the South West region a single contract has been
let by the South West Grid for Learning to RM Ltd. for the provision
of bandwidth to secondary schools, agreed by all South West region
LEA's in 2000. The notional payment of the £12k p.a. for
the connection is paid by the LEA directly to RM Ltd. My information
is that if the school decided it wanted to use a local broadband
supplier it cannot, even if it is cheaper or is innovative in
embracing the local community, because the LEA would not release
the funds to the school, so the school would have to find the
money itself. This is essentially blackmail, forcing the school
to use a regional monopoly supplier. Unless the way in which such
contracts are drawn is modified, and a degree of flexibility built
in to allow rural communities cost effective access, we will continue
to see a real waste of opportunity. As I understand it, the South
West Grid for Learning contract is up for renewal in 2003.
12. I contend that any new contract must
contain a more enlightened, innovative and community focused element
that allows flexibility for deriving locally based solutions in
rural areas.
13. Using the range of public sector institutions
as nodes in a rural broadband infrastructure network, connectivity
in the local community is easily and cost effectively achieved
using wireless networks, the technology for which is available,
proven and reliable. This community based model of broadband access
has been successfully used in the rural USA and Canada for at
least three years. There is nothing new in what is proposed, save
the enlightened will of the authorities to allow it to happen,
and for local communities to be empowered to make it happen.
Royal Forest of Dean District Council
27 February 2003
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