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Tinashe Makichi : Business Reporter
Zimbabwe’s three major mobile telecommunication operators are still lagging behind in their contributions towards the Universal Services Fund. The USF was set up by Government as a pool of resources to be used for investment in telecoms infrastructure in areas ordinarily avoided by the operators because of limited economic benefit.The fund is administered by the telecoms regulator, Postal Telecommunication Regulatory Authority of Zimbabwe, which is supposed to ensure
that the funds raised are directed to specific focus areas.
Government raised the contributions to the Universal Service Fund by mobile operators to 1,5 percent from 0,5 percent of their gross annual turnover at the beginning of the year.
Giving oral evidence before the Parliamentary Portfolio Committee on ICT, Postal and Courier Services, Potraz acting director Baxton Sirewu said operators across the board have been facing financial difficulties and this had affected their capacity to contribute to the USF.
“Collections to the USF have been subdued. A combined $67 million has been contributed since 2009. Companies like NetOne are not paid up while Econet has been the biggest contributor to the fund.
“You should remember that operators pay at different levels in terms of their subscriber base,” said Mr Sirewu.
Econet has since 2009 contributed $53 million towards USF while Telecel contributed $10 million and NetOne $4 million.
While all operators are obliged to contribute towards the fund, there have been concerns raised about its relevance, specifically by the largest operator in the market, Econet.
In 2012, Econet pointed out that there has not been a lot of development in the under serviced areas that the USF is supposed to be addressing.
There have also been questions raised about the transparency of the USF, with Econet expressing doubts on whether or not state-owned operators also make their contributions to the fund.
Mr Sirewu denied those allegations saying all telecoms companies were obliged to contribute to the USF.
He said the review of contribution levels by telecoms companies in January this year is going to boost the regulator’s annual collections.
Potraz expects to collect $13 million annually at 1,5 percent calculation.
He said Econet is currently the biggest in terms of internet traffic while the other two players, Telecel and NetOne share the remaining 2 percent.
The Universal Service Fund was established with main intention of providing funding for extending communication networks beyond the borders of economic viability to reach marginalised communities in rural areas throughout Zimbabwe.
USF intends to provide basic access of voice and postal services to all irrespective of their geographical location
Over and above this the USF also supports the provision of back haul transmission network to rural ICT centres at post offices ,post buses, mobile internet connectivity for rural schools.
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