Schools' fast internet access a hit with Walker Wireless boss

By CHRIS BARTON

Rod Inglis welcomes the budget allocation for fast internet access for all schools, but has some reservations about the tendering process.

"It's a fantastic initiative to speed up the rollout of broadband in New Zealand," said the founder and managing director of wireless communication company Walker Wireless.

"Our only concern is the tender process is handled fairly."

The Government has allocated "tens of millions" of dollars over the next three years to ensure all schools can get fast internet access.

The exact amount of funding is not disclosed to ensure tenders are competitive, but Minister of Education Trevor Mallard said the amount was between $20 million and $99 million and would come from the contingency budget.

"It's starting to be meaningful money," said Inglis, whose company is developing a nationwide wireless network for fast internet communication.

Telecommunications suppliers will be asked to tender for the work region by region - stating how and what speed of access they will provide to schools, what penetration that would provide to the region, the starting time, and the cost per user.

Mallard said the country would be divided into 15-20 broadband regions and a two-stage tender process would be managed by an independently appointed project manager, to be named today.

"As long as they are specific like that, I think it will work," said Inglis, adding that his major concern was that state-owned enterprise BCL did not get preferential treatment in the tendering process.

Mallard said he envisioned some tenders would be consortiums offering a range of solutions including satellite, wireless and fixed wire access.

He said the Government money could be by way of a direct subsidy to help the starting process or by way of underwriting.

"If the Government underwrites some of the risk, it will promote broadband competition quickly. Competition will accelerate the uptake of broadband which will be good for the country."

Mallard said the bulk of the money would be spent in the next financial year. He said the intention was to get good quality high-speed access - "not wobbling along at 128Kbps [Kilobits per second]".

Mallard said the higher speeds were necessary for two-way video-conferencing to provide new distance learning opportunities for schools.

Inglis said the Government had clearly taken notice of the Organisation for Economic Co-operation and Development (OECD) report which showed New Zealand's woeful uptake of broadband was hampered by lack of competition and high usage costs.

New Zealand is ranked 20th out of the 30 OECD countries in terms of broadband penetration.

The November report by the OECD also states that the minimum definition of broadband access its 256Kbps.

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