CONSULTANCY 2

1. TITLE:

Assessment of the Level and Impacts of Telecoms Penetration in Rural Nigeria

2. PREAMBLE:
The unprecedented growth recorded in the telecommunications sector in Nigeria over
the past 7 years has tremendously impacted on the Nigerian economy. The revolution
which accompanied the liberalization of the sector provided new means for addressing
basic needs and enriching the lives of the people particularly the rural communities
through access to various services provided by the sector.
In 2004, the Nigerian Communications Commission (NCC) engaged Intelecon Research
and Consultancy Ltd of Vancouver, Canada, to carry out a demand study with a view to
develop strategies for rural communications and universal access in Nigeria. The
main objectives of study, which covered a total 144 un-served locations in 24 states
of Nigeria, were to:
a. Identify and assess the potential demand for both voice and data services;
b. Determine user ability to pay for communication services, including
priority customers;
c. Explore needs and preferences of users regarding residential and business
service, public phones, telecentres and value-added services (VAS); and
d. Explore and validate appropriate Universal Access targets for desired
service levels, including travel to public phone, numbers and type of
payphones and telecentres.

Four years after the study was carried out, the need to assess the current level of
penetration of telecommunication services to rural Nigeria has become expedient. Assessing
the level of penetration is of great importance to the Commission as a regulator since
availability of telecommunications services in these areas will no doubt provide new
opportunities to rural communities, where over 60% of the population reside.

3. OBJECTIVE OF THE STUDY
The broad objective of the study is to assess the level and impacts of telecommunications
(telephony and Internet Services) penetration in Nigeria, with emphasis on the rural areas.
Specifically, the study would focus on the following:
a) To determine the level of demand and supply of telecommunication services in all parts
of Nigeria;
b) To determine the extent of telecommunications (telephone & Internet services)
penetration and teledensity in rural areas of Nigeria; and,
c) To determine the social and economic impacts of telecoms penetration on rural populace
in Nigeria.

4. SCOPE OF WORK
The assignment will include the following tasks:
a) Design and implement appropriate strategies for the collection of information needed
for the study.
b) Ascertain presence/ coverage of telephone operators and Internet Service
Providers in rural areas of Nigeria
c) Ascertain the level of efficiency gains through the availability of
telecommunications services in various areas in rural Nigeria.
d) Using the sample areas in the report on Demand Study as a benchmark, determine
the improvement in telecoms services penetration/ availability in rural areas of
Nigeria.
e) Identify the impacts associated with telecommunications penetration and teledensity in
rural Nigeria.
f) Provide quantitative analysis of the effects of telecommunications penetration on rural
communities in Nigeria.
g) Provide recommendations on policy thrusts for optimization of telecommunications
penetration in rural Nigeria.

5. DELIVERABLES
The Consultant shall deliver the following documents in accordance with the time lines,
which shall be specified in the work plan:
(a) An Inception Report detailing study approach/ methodology and work plans with
time lines. In the event that the Inception Report is unacceptable, the Commission
reserves the right to cancel the award at no cost to it.
(b) Interim/ progress report before and after completion of field survey
(c) Draft final report
(d) Final Report
The Consultants shall submit 5 copies of each relevant document and two (2) electronic
copies in Microsoft Office software format.

6. TIMEFRAME
The study shall be executed within an elapsed time of twelve (12) weeks effective from date
of confirmation of approval of inception report.

7. ADMINISTRATIVE ARRANGEMENTS AND RESPONSIBILITIES
For the duration of its assignment, the consultant will:
(a) At all times report directly to the Commission and will be responsible for
alerting the Commission on all major issues pertinent to the successful
execution of the assignment.
(b) The Consultant is expected to be available until the completion of the
assignment. However, a Consultant whose work is satisfactory to the
Commission may be recalled where and when necessary to participate in
future activities associated with this particular enterprise/ transaction.


8. CONDUCT OF THE CONSULTANT
(a) The Consultant will, at all times, be expected to carry out the assignment with
the highest degree of professionalism and integrity.
(b) The Consultant will be expected to conduct his/ her duties in an open and
transparent manner.
(c) The Consultant will not, under any circumstance, take any actions or be seen
to be taking any actions, which may hinder or prevent the Commission from
executing this or any other transaction included as part of the industry
development.
(d) The Consultant will study all the guidelines and policies of the Commission
with respect to the industry development initiatives, and will be expected to
ensure that the Transaction is concluded with the strictest adherence to all
such policies and regulations.
(e) The Consultant will not, under any circumstances, take any material decision
pertinent to this assignment without the express permission and written
consent of an authorised representative of the Commission.
(f) The Consultant will not, under any circumstances, discuss or reveal any
information regarding this transaction or any other transaction conducted as
part of the Commissions industry development program, without the express
written permission of an authorised representative of the Commission.