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Communications for All

RURAL COMMUNICATIONS DEVELOPMENT FUND

(RCDF)

ANNUAL REPORT

2014/15

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Contents

Foreword…………………………………………………………….…………………………3

RCDF 2014/15 Activity Summary ………….………………………………………..4

Introduction……………………………………………………….………………………….6

The year 2014/15 Performance…..……………………………………………………6

Focus Project of the year 2014/15………………………………………………….12

Other key project activities of the year 2014/15………………………………14

Results, Impact and Gap analysis…………………………………………………...20

Planned activities for the year 2015/16…………………………………………..21

Abbreviations

UCC Uganda Communications Commission

RCDF Rural Communications Development Fund USF Universal Service Fund MCT Multipurpose Community Tele-centre POP Internet Points of Presence

ICT Information and Communications Technology UA Universal Access MoES Ministry of Education and Sports MoH Ministry of Health

DHO District Health Officer HC Health Centre

CAO Chief Administrative Officer

RDC Resident District Commissioner CIC Community Information Centre DTTB Digital Terrestrial Transmission Broadcasting NOC Network Operation Centre

ADM Analog to Digital Migration WBS Work Breakdown Structure UBC Uganda Broadcasting Corporation ERT Energy for Rural Transformation

Cover picture

Honourable Minister for ICT, Engineer John Nasasira (second right) Commissioning

the fully Integrated model of ICT laboratories at Kabohe Secondary School

Secondary School

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Foreword

The Rural Communications

Development Fund (RCDF) is the

Universal Service Fund (USF) for

communications in Uganda. RCDF

was established in 2003 and it is

Statutorily Administered by Uganda

Communications Commission (UCC).

UCC in consultation with various

stakeholders defines objectives for

RCDF at the strategic level and

accordingly annual plans and budgets

are developed. The Annual report for

the year 2014/15 indicates the various

activities of RCDF during the year.

Uganda Communications Commission continues to use RCDF as well

as other regulatory tools within its mandate towards achieving

Universal Access to communications in Uganda.

Engineer Godfrey Mutabazi,

Executive Director,

Uganda Communications Commission

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RCDF 2014/15 Activity Summary

In accordance with the business plan for the year 2014/15, the main RCDF projects carried out during the year 2014/15 involved;

i. Completion of the projects that were carried forward from the year 2014/15 - Establishment of 55 school ICT laboratories

- Completion of acquisition of the second DTTB site at Kololo

ii. Establishment of newly planned projects that included the following;

- DTTB network roll out to 17 selected sites

- Components of the programme for Integration of ICT into Education in Uganda

on selected sites; Retooling of teachers, Community ICT user training,

Installation of Content

All planned activities were executed except for those whose funds were transferred to cover the shortfall in funding the DTTB infrastructure rollout project.

Other project activities included;

- Commissioning of the holistic model of the programme for Integration of ICT

into Education in Uganda by the Hon Minister of ICT

- User training for online resource usage by various sector stakeholders

including the Uganda Prisons.

- Community ICT user training continued to feature as a very popular activity

country wide

iii. The main planned activities for the year 2015/16 are - Completion of the DTTB network roll out to 17 selected sites project

- Components of the programme for Integration of ICT into Education in Uganda

on selected sites; Retooling of teachers, Community ICT user training,

Installation of Content

Also planned is solicitation for more funds into RCDF given the increased potential for ICT projects as shown by the ICT gap analysis for the year 2015/16. Another activity for RCDF is the development of the 3rd RCDF Policy

Bob Lyazi, Director of RCDF

1st July, 2015

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Introduction

The Rural Communications Development Fund (RCDF) is Uganda’s Universal

Service Fund (USF) and it is one of the key regulatory tools for Universal Access

to communications in rural and underserved areas in Uganda. RCDF was

established in 2003 and it is Statutorily Administered by Uganda

Communications Commission (UCC).

The RCDF Annual Report for the year 2014/15 comprises of a review of the

results and performance of RCDF for the year 2014/15 against the set objectives

and consequently the new gap and also includes the planned activities for the

year 2015/16.

For all the planned activities, appropriate resources; budget, human resources,

process systems and tools were all arranged at the beginning of the financial

year 2014/15

The year 2014/15 Performance

The key measures for performance of RCDF for the year are;

i. Number of new projects initiated, with the main objective of

maximizing the number and types of projects initiated

ii. Number of running/ commissioned projects kept in operation; with

the main objective of maximizing the number and types of projects

kept in operation

iii. Absorption of budgeted funds; as a function of i and ii above

1.1 RCDF Budget performance

All the projects carried forward from the financial year 2013/14 were fully

executed except the 110 private secondary schools whose procurement was

cancelled on technical grounds.

A total of Shs 8.2 Billion was used for the executed activities against the

budgeted amount of Shs 11.9 Billion. All new project activities were executed

except for Shs. 3.2 Billion of the budget was transferred to contribute to the

funding gap of year’s main project - the DTTB project.

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1.2 Projects

a) Initiation of projects

All carried forward projects were initiated except for those supported by World

Bank whose support was withdrawn on technical grounds. All newly planned

projects were executed except for Pilot projects, Connectivity and new school ICT

laboratories as the funds originally planned for them were used to cover the

funding gap for the DTTB project. Details are as shown in the table below;

Status of implementation of each planned project activity as at 30th June,

2015

Project/Activity Units Amount (Ug.

Shs)

Status as at 30th June, 2015

PROJECTS B/F FROM THE YEAR 2013/14

School ICT laboratories

(55 govt. and 110 private)

6,240,000,000 55 labs to be completed in Sept,

2015 110 private schools deferred

Broadband (622 sites) 780,000,000 Completed

DTTB– 17 sites 19,500,000,000 to be completed by October, 2015

World Bank – ERT/ICT funded projects

Component; investments 3 3,900,000,000 World Bank withdrew support

Component; Technical

Assistance

1 1,300,000,000 World Bank withdrew support

NEW PROJECTS FOR THE YEAR 2014/15

Conditional grant to UICT 325,000,000 Effected

Pilot projects 4 1,040,000,000 Deferred due to funding

constraints

Broadband connectivity 500 1,300,000,000 Deferred due to funding

constraints

Integration of ICT into Education

Retooling of teachers 484 754,148,573 225 private schools teachers

retooled

Community ICT training 50 1,300,000,000 Carried out in 108 schools

Content _ Education 218 3,967,600,000 installed in 246 schools

School ICT laboratories 63 3,276,000,000 Deferred due to funding

constraints

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b) Continuing projects

Against RCDF’s objective of maximizing the number and type of projects kept in

operation, the number of RCDF projects kept in operation during the year

2014/15 is assessed as shown in the table below

The number of running projects that had issues generally did not reduce

throughout the year as shown in the table below. To address this challenge

action has been sought to strengthen the project management function of RCDF

during the year 2015/16.

Programme Projects

% age with

issues

Remarks 1st July 2014

30th June 2015

Increasing data network geographical coverage (POPs)

76 0% 0%

No reduction in number

of projects with issues

Internet cafes 139 45% 45%

Increasing voice network geographical coverage (GSM sites)

90 0% 0%

Increasing public pay phone Access 3,543 46% 46%

Integrating ICT into Education in Uganda (Govt. Sec. Schools)

1,067 31% 32%

Integrating ICT into health services delivery (53 Govt. Hosp,61HCs,53DHOs)

167 38% 38%

Increasing postal network coverage and ICT integration into postal

services. (1 NAS pilot, 20 telecentres, 25 Post. Off.)

46 22% 22%

ICT integration in local governance (110 websites, 116 RDCs)

226 11% 11%

DTTB Infrastructure support (Greater Kampala coverage)

2 0% 0%

RCDF Ongoing Project Status Summary during the year

2014/15

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Auditor General’s Opinion

Like for previous years, the Auditor General issued an unqualified Audit Opinion

for RCDF for the year 2014/15.

Extract of the RCDF Audit Report for 2014/15 showing the Auditor

General’s Opinion

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RCDF Corporate/Departmental Work Breakdown Structure (WBS) Summary

In accordance with the key result areas of each available core staff of RCDF, the

scope of work for the year 2014/15 was broken down into specific activities and

accordingly distributed among all staff. The time of implementation for each

broken down activity is also determined. Performance at departmental level is

accordingly reported as shown below;

S/N Major Tasks – 2014/15 Quantity Status as at 1st July, 2015

1 Technical audit of installed

projects

1,589 Technical audit for all 976

initiated projects produced

2 Routine field monitoring 6,209 Average of 1,134 projects

monitored each quarter

3 Database updates 12 8 updates/editions developed

4 Activity schedules and

progress tracking

4 4 schedule editions produced

5 Technical specifications 1 2014/15 edition produced

6 Pilot projects 4 4 proposals developed

7 RCDF webpage updates 12 4 updates made

8 Identification and fixing non-compliant projects

12 Problem projects’ number not changed

9 Developing project proposals

8 None developed

10 Project closures 8 None closed

11 Commissioning projects 10 None commissioned

12 World Bank project inputs 12 1 monthly report posted

13 Project initiation

workshops

5 None effected

14 Community ICT training in schools

100 carried out in 108 schools

15 Linkage with the Directorate

lot Monthly updates produced

16 Office systems rationalisation

lot Phase I completed

17 Publicity lot 17 publicity activities done

18 Publications 5 7 publications produced

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S/N Major Tasks – 2014/15 Quantity Status as at 1st July, 2015

19 RCDF Board reports 4 RCDF Board not in place, quarterly reports submitted to the ED of UCC

20 Other RCDF reports 32 20 assorted reports on RCDF for various stakeholders

developed

21 New ideas coordination 4 4 pilot projects initiated out of

the new ideas

22 Technical Management

Unit objective realisation

lot Fully realized for the year

23 Project Management Unit

objective realisation

lot Objective not realized for the

year

24 Field work lot All staff executed field work except the PM unit staff

RCDF Work Breakdown Structure (WBS) for the year 2014/15

1.3 Challenges

The main challenges include the following;

The World Bank termination of funding for Phase II of the ERT/ICT

programme

A big funding gap for the DTTB phase II hence causing reallocation of

funds from other project budgets such as school ICT laboratories and

internet connectivity to contribute to funding the gap

The RCDF policy framework not being fully harmonised with programme

implementation processes

2 Implementation Strategies for the year 2015/16

The following considerations have been made for the second half of the financial

year 2015/16 in order to mitigate the above challenges;

i. Develop project proposals to source funding from the Government of

Uganda Consolidated Fund and other development partners

ii. Engaging the policy level for a realistic RCDF policy framework

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Honourable Nyombi Thembo, Minister of State for ICT awarding a Certificate to one of the participants of the Community ICT skills training that took place at Myanzi Secondary School

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Focus Project for the year 2014/15

Phase II of The Digital Terrestrial Transmission Broadcasting Network

Infrastructure Roll out Project

UCC in partnership with UBC is implementing a project for

installation of DTTB infrastructure as part of the general

framework for Analogue to Digital Migration (ADM) that took

effect on 17th June 2015. The project is broken up into two

phases. Phase 1 being installation of two DTTB sites at Kololo

and was completed in December 2013.

RCDF is championing the project implementation in UCC. Phase

two is for installation of 17 selected sites strategically located

across the country that are linked with the phase I installations

to form a national DTTB network. Implementation of phase two

is underway. Upon signing of the Contracts with the various

project Implementers in December 2014, the actual

implementation of the respective project components was

executed by RCDF.

Status of Implementation as at 30th June, 2015

All site access roads upgrade completed

All site electricity upgrade completed

All staff factory training carried out

All equipment shipments dispatched for Uganda

Site 2 at Kololo fully acquired and regularised

Greater Kampala region migrated to digital broadcasting on ADM deadline of 17th June, 2015

Roll out completion expected around October, 2015 Site user training planned for November, 2015

No. Site

NOC Kololo

1 Masaka

2 Mbarara

3 Arua

4 Mbale

5 Soroti

6 Lira

7 Jinja

8 Fortportal

9 Gulu

10 Kiboga

11 Hoima

12 Kabale

13 Rukungiri

14 Rubirizi

15 Masindi

16 Kisoro

17 Ntungamo

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Access Road and Electricity improvement works

Road works at Ntugamo Electricity works at Rubirizi

Predicted DTTB network coverage map for the 17 sites

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Other key project activities of the year 2014/15

Other key project activities executed during the year included;

i. The ICT integration programme as a holistic programme was launched by

the Hon Minister of ICT during the year with the following complimentary

programme components;

a) ICT Infrastructure in schools, Universities and Tertiary Institutions b) Internet Connectivity c) User content (software) installation

d) ICT teacher retooling e) Local communities ICT skills training

All ICT school slaboratories are expected to have each of the above listed components so as to be effectively sustainable – standardisation of the

School ICT laboratories.

ii. User training for use of web based resources for Education, Health and

UPDF. Special user training was carried out in the above listed sectors for

effective harnessing of online resources. Specific focus was put on the

following;

a. Online education with several people now pursuing online

programmes such as degrees and diplomas from their respective

institutions

b. Online resources such as e-libraries

c. Online operations such as procurements

d. Online collaborations and linkages

iii. Development of a special RCDF publication to commemorate 10 years of

the existence of RCDF

iv. Showcasing the programme for ICT integration in Education in Uganda at

various international fora

v. A Study of RCDF Impact and Operation for planning the 3rd RCDF Policy

(2016 - 2021)

vi. The new UCC Commission made a field visit to RCDF projects in Eastern

Uganda

vii. The Parliamentary Committee on Statutory Authorities and State

Enterprises made a field visit to selected RCDF projects

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Honourable John Nasasira (Centre) unveiling a plaque for the newly standardised ICT laboratory at Kabohe Secondary School. Extreme left is the Headmaster of the school

Hon Nasasira, Minister for ICT (fourth left) and Hon Erioda

Tumwesigye (3rd left) Minister of Health and area MP for Sheema North, touring the Standardised ICT laboratory at Kabohe Secondary School

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Paramedical students at Butabika School of Psychiatric Nursing undergoing ICT training for e-learning and online resources usage

Bob Lyazi, Director of RCDF (extreme left) on a panel discussing the case of ICT integration in Uganda at the e-learning Africa Conference in Addis Ababa

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Results, Impact and Gap analysis

After adjusting for the programme activities of the year 2014/15, the summary

of Programme gaps as at 1st July, 2015 is as shown in the table below;

Programme RCDF Cumulative Results

(2003 – 2014) Gap (2015/16)

1 Increasing data

network geographical coverage

- 76 POPs, Wireless data

network coverage extended from 0.13 % to 2.60 %

- 139 internet cafes

From the county level

to the village level (97% of the country)

2 Increasing voice

network geographical coverage

90 wireless network sites

Voice network coverage of 100 % at the sub county level

To the remaining 550

parishes across the country

3 Increasing public pay phone Access1

3,543 public pay phones at parish level

1,857 parishes ( about 34 % of the country) remain underserved

4 Integrating ICT into Education in Uganda

- 1067 of the total 1,150 government secondary

schools (93 %) have ICT laboratories.

- Computer Studies very

popular at “O” level and Compulsory at “A” Level

- A computer to student

ratio of 1:100

About 4,000 Private secondary schools The

computer to student ratio needs to be improved from 1:100 to

the recommended ratio of 1:10

5 Integrating ICT into

health services delivery

Basic ICT facilities for

Telemedicine and e-HMIS in 167 health facilities

ICT facilities in about

2,300 HC IV up to HC II health facilities

6 Increasing postal network coverage and

ICT integration into postal services.

- 20 postal Tele-centres - 25 postal centres

- A National Addressing System (NAS) pilot project

A National Addressing System (NAS) for the

whole country

7 ICT integration in

local governance

- 110 district web portals

- ICT for 116 RDC offices

Counties and sub-

counties

8 DTTB Infrastructure

support

-2 regional DTTB sites

developed - roll out to 17 other UBC sites

under installation

-Redundancy in the

network -DTTB Network

expansion to cover the whole country

1 A public pay phone is accessible to a user when it is within walking distance. In Uganda’s rural places 5kms is

widely considered as the limit for reasonable walking distance

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Planned activities for the year 2015/16

The focus of programme of RCDF for the year 2015/16 is the standardisation of

the programme for Integration of ICT in Education. The business plan for the

year is thus basically comprised of completion of the carried forward programme

components (55 school ICT laboratories, DTTB Phase II project) and components

of the programme for Integration of ICT in Education plus Administrative and

Support activities for the projects. Also among the key activities planned for

RCDF during the year is sourcing more funds into the fund given the drastically

increased gaps for the various programmes.

RCDF Budget 2015/16

Against the expected revenue of the 2% GAR levy during the year 2015/16, the

following expenditure is budgeted;

ITEM RCDF Direct Expenditure

Total Ug Shs

Remittances to other agencies (MoICT, NITA, Cons. Fund, UICT)

22,100,000,000

Projects brought forward from the year 2014/15 - 55 School ICT labs, DTTB site 2

2,602,000,000

New Projects for the year 2015/16 - Internet Connectivity (40), Community

ICT training (100), Education Content (100), Retooling of teachers (300)

4,240,000,000

Vehicle 130,000,000

Staff Development 99,673,000

Total RCDF direct capital expenditure 7,071,673,000

Total Recurrent Expenditure - Project Support activities,

2,927,500,000

Total Direct RCDF Expenditure 9,999,173,000

GRAND TOTAL 32,099,673,000

RCDF budget summary for the financial year 2015/16

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RCDF SCOPE OF WORK, BUDGET AND SCHEDULE 2015/16

ACTIVITY BUDGET (Ug.Shs.)

QTY TIMING

A) BROUGHT FORWARD FROM 2014/2015

Remittances 22,100,000,000 4 Quarter 4

MoICT 2,000,000,000

NITA (U) 3,600,000,000

Consolidated Fund 16,000,000,000

UICT 500,000,000

Grid ICT Labs - 25 schools b/f 1 Quarter 2

Solar ICT labs - 15 schools b/f 1 Quarter 2

Grid ICT Labs - 15 schools b/f 1 Quarter 2

Broadcasting Infrastructure - Mbarara b/f 1 Quarter 2

DTTB Network Infrastructure sites b/f 18 Quarter 2

B) NEW PROJECTS FOR 2015/2016

Broadband Connectivity to selected institutions 120,000,000 40 Quarter 2 - 4

Community user training in schools/institutions 1,300,000,000 50 Quarter 2 - 4

Content development projects - education 2,030,000,000 100 Quarter 2 - 4

Retooling of teachers

C) ADMINISTRATIVE ACTIVITIES As required

RCDF retainer for 5 Board Members + Sitting allowance 203,625,000 12

RCDF Board Study Tours 527,942,000

Training - relevant technical needs 156,600,000 6

RCDF Board refreshments + subsistence allowance 30,500,000

Foreign Meetings - Staff 177,255,000

Local Travels (RCDF Board + Accompanying Staff) 45,360,000 14

Vehicle purchase and maintenance 192,000,000

RCDF Project Audit – World Bank 20,000,000 1

Adverts & Publicity 264,000,000

Board meetings 130,000,000 10

Project implementers workshops

Education and Health 25,000,000 2

Usage promotion activities 25,000,000 2

Prisons, UPDF, Schools and District officials 60,000,000 4

Education stakeholders 37,529,481 1

Health Stakeholders 25,000,000 2

Targeted groups 50,000,000 4

Publications + Adverts + Communications 17,450,000 8

Monitoring and evaluation - impact assessment 433,350,000

Bank Charges 30,720,000 12