Smart Connections for All

Transport and ICT

Global Practice

Infrastructure Sharing and Co-

Deployment IssuesThe World Bank

Asia-Pacific Information Superhighway

SC MeetingBangkok, December 12, 2017

Natasha Beschorner

Potential benefits of infrastructure sharing

Source: Deloitte, APC, Unlocking broadband for all, 2015

https://www.apc.org/sites/default/files/Unlocking%20broadband%20for%20all%20Full%20report.pdf

Types of infrastructure sharing/co-deployment

Telecommunications

� Infrastructure sharing between telecom operators:

− Passive

− Active

� Passive infrastructure sharing:

− Shared towers for mobile networks

− Shared ducts for fibre optic cables

− Shared use of fibre strands in FO cable

− Shared use of wavelengths on a fibre strand

− Shared access to buildings

� Active network sharing:

− Wide range of variations from radio network sharing to roaming,

wholesale offers and MVNOs.

� Typically about 70-80% of investment in the future broadband

infrastructure is in passive infrastructure so that should be first

priority to avoid unnecessary duplication

Mobile infrastructure sharing

Source: GSMA, Mobile Infrastructure Sharing

https://www.gsma.com/publicpolicy/wp-content/uploads/2012/09/Mobile-Infrastructure-sharing.pdf

Passive

Active

Source: https://www.towerxchange.com/wp-

content/uploads/2017/11/TX_AsiaDossier_2017.pdf

Tower-sharing “heat map”

Cross-sector infrastructure sharing

� Roads:

− New road construction should always consider to include

ducts (like HDPE pipe) for future fibre optic deployment. Low

additional cost at the time of initial construction, high costs if

done later.

� High tension lines for electricity (PLN):

− Important option for long-distance FO backbone. Often added

to the groundwire.

� Railways:

− FO cable along railroads for long-distance FO backbone

� Pipelines (gas, oil, water)

− FO cable along pipelines for FO backbone

� Utility poles :

− Existing utility poles are often the most cost-efficient solution

to bring FO cables to the home

� Sewage pipes:

− Can be used to bring FO into the home/building

Some business models for infrastructure sharing

• Joint development: infrastructure owners and telcos (e.g. network operators) coordinate in planning and construction

• Hosting: infrastructure owner hosts third party telco network equipment

• Dark fibre: host provides passive infrastructure for lease to network operator

• Joint venture: infrastructure owner provides network owner with use of existing infrastructure to provide commercial service on profit-sharing basis

• Wholesale telecom service: infrastructure owner provides commercial wholesale service to network operators

Potential impediments/disincentives

• Revenue-sharing arrangements

• Institutional silos

• Complex contractual arrangements, whether private or public sector; limitations on SOEs

• Financial constraints on SOEs

• Governance structures of SOEs

Issues for consideration

� Implement measures to encourage cross-sectoral

infrastructure sharing

� Mandate passive infrastructure sharing for towers, ducts,

poles, and other rights of way. This represents the dominant

component of the future broadband infrastructure and

unnecessary duplication should be avoided

� Allow active infrastructure sharing but don’t mandate it.

Leave this to commercial arrangements between operators

� Commercial terms for infrastructure sharing should be

transparent, fair/economic and non-discriminatory

� Mandate access at market conform price levels for

bottleneck backbone facilities (like submarine cable routes

which are not easily replicated).

Enabling measures: duct access regime in selected countries

� Usage permitted for leased lines, fixed and mobile backhaul

� Facilitated through:

� Availability of online systems containing up-to-date information on

duct location and availability, with measures to ensure accuracy of

such data

� Removal of requirements to conduct a feasibility analysis, where

online information shows that there is availability

� Accreditation for engineers so that alternative operators can access

physical infrastructure without supervision

� Measures to give access seekers more autonomy in accessing

ducts and cables (e.g. notifying after access)

� Mechanisms to allow access seekers to recover or defray the costs

associated with improvements to the incumbent infrastructure

� (Examples from France, Spain, Portugal)

https://www.vodafone.com/content/dam/vodafone-images/public-policy/reports/pdf/best-practice-passive-infrastructure-access-050517.pdf

Institutional Roles-illustrative

Policymakers

� Incorporate cross-sector

infrastructure deployment in

broadband policies

� Encourage cross-sector

consultations for infrastructure

developments, both urban and

rural

� Provide sufficient financial

support to ensure infrastructure

sharing can take place where

public works are undertaken by

the government

� Create planning databases

containing detailed information

of infrastructure available for

sharing

ICT Regulators

� Include obligations in planning

approval procedures to ensure

the inclusion of infrastructure for

sharing (mandatory ducts, free

space for an additional network

operator)

� Operators receiving universal

service fund financing share the

subsidized infrastructure with

others

Other Regulators

� Awareness-raising/advocacy

� Guidelines and measures to

support prudent initiatives by

regulated enterprises

� Facilitate use of rights of way

(e.g. single entity responsible

for tariff setting for rights of

way)

Some references

� UK:− OFCOM, Consultation on Duct and Pole Access remedies

https://www.ofcom.org.uk/__data/assets/pdf_file/0008/101051/duct-pole-access-remedies-consultation.pdf

− Openreach Duct and pole sharing overview:

https://www.openreach.co.uk/orpg/home/products/ductandpoleaccess/ductandpoleaccess/downloads/Duc

tandPoleSharingOverview.pdf

� Asia-Pacific Telecommunity (APT):− Presentation on Physical Infrastructure Access (PIA): http://www.apt.int/sites/default/files/2012/05/INP-

07_PIA_OVUM_0.pdf

� Vodafone-commissioned study: − Best practice for passive infrastructure access, http://www.vodafone.com/content/dam/vodafone-

images/public-policy/reports/pdf/best-practice-passive-infrastructure-access-050517.pdf

� Rwanda: − Guidelines for sharing of fibre and duct infrastructure,

http://www.rura.rw/uploads/media/GUIDELINES_for_fibre_and_Duct_Sharing_v12.pdf

� India:− Consultation Paper on Infrastructure Sharing (passive and active)

http://www.trai.gov.in/sites/default/files/consultationpaper29nov06.pdf and responses

http://www.trai.gov.in/sites/default/files/Responses_CP_29Nov06.pdf

� World Bank: Cross-Sector Infrastructure Sharing− Consultation Paper for policymakers and regulators

− http://pubdocs.worldbank.org/en/307251492818674685/Cross-Sector-Infrastructure-Sharing-Toolkit-final-

170228.pdf