Maximizing the Socio-Economic Impact of the National Broadband Plan: The Pentahelix Approach

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GOVERNMENT-INDUSTRY ROUNDTABLE: BUILDING OUR BROADBAND FUTURE Maximizing the Socio-Economic Impact of the National Broadband Plan: The Pentahelix Approach Dr. Muhammad Imam Nashiruddin, MT Commissioner, Indonesian Telecommunication Regulatory Authority ITU Asia-Pacific Regional Forum on Reshaping Policy and Regulatory Landscape for Accelerating Broadband Access 08-10 September 2015, Jakarta - Indonesia Indosat IR - New Template v23 1220.pptx 1

Main Challenges of NBN: The Socio-Economic Impact:

How to maximize the Socio-Economic Impact of National Broadband Plan? DEVELOPING A VIBRANT ICT ECOSYSTEM : 1. Develop a national ICT agenda and road map linked to economic and social-development priorities (in example : Indonesia Broadband Plan, The Strategic Priorities of MICT) 2. Work with the ICT industry to resolve major infrastructure bottlenecks and improve reach, cost, and bandwidth (in example : Revised the policy & regulation of USOF) 3. Address the ICT digital divide between urban and rural areas with more tailored policies and alternative supply models (in example : Digital Dividend/TV Digitalization, revised the policy and regulation of Modern Licensing, etc) 4. Ensure the regulatory environment can address effectively a constantly changing ICT sector (in example : Neutral Technology, Re-farming of frequency, New Convergence Act, Infrastructure Sharing/Pooling, etc) Source : McKinsey, 2015

How to maximize the Socio-Economic Impact of National Broadband Plan? USING ICT TO FOSTER ACCELERATED ECONOMIC GROWTH : 1. Develop upstream and downstream ICT industries (in example : Indonesia Broadband Plan, The Strategic Priorities of MICT) 2. Increase supply of skilled ICT workforce (in example : SKKNI Indonesia National Standard of Competence for ICT Sector, LSP - Certification Body) 3. Encourage ICT adoption by small and medium-size businesses (in example : ICT Incentive for SME) 4. Use ICT to support priority sectors (in example : M-Fish for Maritime Sector) Source : McKinsey, 2015

How to maximize the Socio-Economic Impact of National Broadband Plan? USING ICT TO ENABLE SUSTAINABLE SOCIAL DEVELOPMENT : 1. Use ICT to improve citizen services (Smart cities, Citizen Complain Online, City Monitoring Center, Public Wifi, Smart Parking, Building apps for public service) 2. Improve the quality and efficiency of public service (E-Government, E-Healthcare, E- Education, E-KTP/KIS/KIP, E-Budgeting, E-Procurement, E-Services, etc) Source : McKinsey, 2015

Economic Transformation Using ICT to foster accelerated and equitable economic growth The Strategic Map Proposed: To Maximize Socio-Economic Impact Sustainable Social Development 4 5 6 Selected Priorities : Upstream & Downstream Industry ICT Adoption for SMEs E-Financial Services Enhance quality of life through affordable and equitable ICT Selected Priorities : E-Government E-Healthcare E- Education E-KTP/KIS/KIP E-Budgeting E-Procurement E-Services Government Public Relation National Development Indonesia Case : Supporting national development priorities to contribute significant benefit for peoples and the Republic of Indonesia Selected Priorities : Food Sovereignty Infrastructure Energy HR Development Maritime National Border Tourism & Creative Industry 3 NATIONAL ICT ECOSYSTEM DEVELOPMENT To endorse National ICT Ecosystem Development (Device, Network, Application/Content) through resource synergy, efficiency and local development 2 BROADBAND SUPRA-STRUCTURE DEVELOPMENT To endorse a skillful ICT Human Capital Development, enable policies, harmonize legislation and Convergence Regulation and establish Cyber Security & Governance 1 BROADBAND INFRA-STRUCTURE DEVELOPMENT To endorse the ICT infrastructure to support Indonesia Broadband Plan & Digital Divide/Digitalization

3 BUSINESS (ICT Industry) The Execution : Penta-Helix Approach 4 COMMUNITY (ICT Communities Empowerment) 1 GOVERNMENT (Prime Mover) 2 REGULATORY AUTHORITY 5 ACADEMIC (Research & Development, Technopark, Digital Valley) A-B-C-R + G

Conclusion 1. National Broadband Plan is very important and critical for the country, but the people expect more into the socio-economic impact. 2. To have socio-economic impact successfully, we need to strengthening the broadband foundation (infrastructure, supra-structure, national ecosystem) to support the economic transformation, sustainable social development and national development priorities through the multistakeholder participation. 3. The Penta-Helix Model (Government + Academic- Business - Community Regulatory /G+ABCR) is strongly recommended to accelerate the national broadband implementation to have successfully building our broadband future.

Twenty years from now you will be more disappointed by the things you didn't do than by the ones you did do. So sail away from the safe harbour. Catch the trade winds in your sails. Explore. Dream. Discover. - Mark Twain Indosat IR - New Template v23 1220.pptx 9

The Priorities Agenda 2015-2019 of the MICT Indonesia