Minister of Education, Trevor Mallard and Industry and Regional Development Minister, Jim Anderton, today released details of the tender process for the Government’s broadband initiative.

Trevor Mallard said the initiative, which was announced in the Budget, will bring two way high speed (at least 512 Kbps for secondary schools) internet access to most schools by the end of 2003, and to all schools by 2004.

As well as helping schools, Jim Anderton said the broadband roll-out will benefit regional communities and businesses.

Trevor Mallard said there will be between 10 and 20 regional tenders covering New Zealand. Key components for the tenders will include:

- the ability to make broadband available to all schools in a region;

- the percentage of the wider population who will have access;

- the level of capital funding required and in what form;

- the monthly cost of the broadband service;

- the speed of implementation;

- the ability to expand in the future; and

- any other cost or constraint, such as interoperability issues.

Regional polytechnics, farms, provincial and rural businesses, iwi groups and rural residential customers will all benefit from the improved regional telecommunications infrastructure.

Jim Anderton said it is estimated by the Ministry of Economic Development that between 75% - 85% of the wider community will also gain access to broadband as a by-product of the infrastructure roll-out to all New Zealand schools.

“Depending on the outcome of the tender process, the coverage could be extended to a further 5% - 10% of the population. This is a major step forward for the regions.

“Regional community groups and regional business groups will also be consulted regarding ways in which the infrastructure could be extended to reach the most isolated areas,” Jim Anderton said.

Trevor Mallard and Jim Anderton said tens of million of dollars has been earmarked for the broadband initiative.

“This is a unique "whole of government solution" with the funding coming

from both the Education and Economic Development Votes. The exact amount of funding will be not released for commercial reasons,” the Ministers said.

The tenders and roll-outs will be managed by a steering committee of senior Ministry of Education and Ministry of Economic Development officials reporting to the relevant Ministers. A dedicated project director, Amos Aked Swift, and project team has been appointed. An independent project auditor will also be appointed.

The proposed timetable for the broadband initiative is as follows:

May 2002: Budget approved

May 2002: Project Director appointed

May/June 2002: tender process commenced (this will involve a two-tier

process involving a request for information and a request for proposal)

November 2002: contracts with suppliers negotiated

November 2003: roll out to majority of schools and communities completed

November 2004: remaining schools completed.

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