Building e-Community Centres for Rural Development

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Building e-Community Centres for Rural Development: Report of the Regional Workshop Bali, Indonesia, 8 – 14 December 2004 ECONOMIC AND SOCIAL COMMISSION FOR ASIA AND THE PACIFIC ASIAN DEVELOPMENT BANK INSTITUTE

Transcript of Building e-Community Centres for Rural Development

Building e-Community Centresfor Rural Development:

Report of the Regional WorkshopBali, Indonesia, 8 – 14 December 2004

ECONOMIC AND SOCIAL COMMISSION FOR ASIA AND THE PACIFIC

ASIAN DEVELOPMENT BANK INSTITUTE

ECONOMIC AND SOCIAL COMMISSION FOR ASIA AND THE PACIFIC

ASIAN DEVELOPMENT BANK INSTITUTE

Building e-Community Centresfor Rural Development:

Report of the Regional WorkshopBali, Indonesia, 8 – 14 December 2004

The designations employed and the presentation of the material in thispublication do not imply the expression of any opinion whatsoever on thepart of the Secretariat of the United Nations concerning the legal status ofany country, territory, city or area or of its authorities, or concerning thedelimitation of its frontiers or boundaries.

Mention of firm names and commercial products does not imply the endorse-ment of the United Nations.

The views expressed in papers and addresses from sources other than theUnited Nations Secretariat and the Asian Development Bank Institute (ADBI)are those of the authors and do not necessarily reflect the views of the UnitedNations Secretariat, the Asian Development Bank (ADB) or ADBI.

This publication has been issued without formal editing.

References have, wherever possible, been verified.

United Nations publicationSales No. E.05.II.F.19Copyright © United Nations 2005All rights reservedManufactured in ThailandISBN: 92-1-120430-5ST/ESCAP/2369

Building e-Community Centresfor Rural Development:Report of the Regional WorkshopBali, Indonesia, 8 – 14 December 2004

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The designations employed and the presentation of the material in thispublication do not imply the expression of any opinion whatsoever on thepart of the Secretariat of the United Nations concerning the legal status ofany country, territory, city or area or of its authorities, or concerning thedelimitation of its frontiers or boundaries.

Mention of firm names and commercial products does not imply the endorse-ment of the United Nations.

The views expressed in papers and addresses from sources other than theUnited Nations Secretariat and the Asian Development Bank Institute (ADBI)are those of the authors and do not necessarily reflect the views of the UnitedNations Secretariat, the Asian Development Bank (ADB) or ADBI.

This publication has been issued without formal editing.

References have, wherever possible, been verified.

United Nations publicationSales No. E.05.II.F.19Copyright © United Nations 2005All rights reservedManufactured in ThailandISBN: 92-1-120430-5ST/ESCAP/2369

Building e-Community Centresfor Rural Development:Report of the Regional WorkshopBali, Indonesia, 8 – 14 December 2004

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PREFACE

During the last decade information and communications technology(ICT) has experienced unprecedented growth, which has facilitated greaterflow of resources, including monetary capital, physical goods, humanresources, and most importantly, information. ICT helps people to commu-nicate effectively, overcoming the limitations of time and space, empowerspeople by providing information and knowledge, provides income generat-ing and learning opportunities, increases government transparency andefficiency, and enables people to express their concerns and to activelyparticipate in decision-making processes.

ICT penetration and application vary significantly across the regionthat makes the benefits of ICT not universal, leading to the creation of thedigital divide between and within countries. Therefore, the challenges facedby various stakeholders and international organizations are to narrow thedigital gap and create digital opportunities by providing people withequitable, affordable, quality and universal access to ICT.

The community e-centre (CeC) or telecentre is one way of providingaccess to ICT to rural communities. CeCs provide access to telephones,faxes, computers, the Internet, photocopiers and other equipment and ser-vices. They enable communities to access new knowledge and informationthat can be incorporated with local knowledge. Examples of services ofsuch centres include provision of information on job and employmentopportunities, education information, government services (e.g. providinglinks to e-government) and technical information on agriculture for theirdaily lives such as information on new varieties, planting techniques, anddisease prevention. In these ways, they serve as “virtual roads” or commu-nication highways. Some Centres are used as training centres for localpeople to learn computer and ICT skills. The staff are typically used asintermediary persons to find information. Many CeCs are located in schoolsand libraries where information services can be easily offered. CeCs canalso be used for commercial transactions by small, medium and microenterprises by setting up e-business web sites.

The Workshop on Building e-Community Centres for Rural Develop-ment was held in Bali, Indonesia, from 8 to 14 December 2004. The mainobjective of this Workshop was to examine the various issues related toCeCs in the Asia and the Pacific region and share good practices that canbe used as models for successful development and operation of thesecentres. During the Workshop, participants discussed and reviewed the keyconcepts, approaches and challenges for the operation and establishingCeCs and also shared their own experiences.

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The Workshop was co-organized by the United Nations Economicand Social Commission for Asia and the Pacific (UN ESCAP) and theAsian Development Bank Institute (ADBI). The organizers are grateful tothe Government of the Republic of Korea, the Asian Development Bank,Microsoft Corporation, IBM, and the Global Development Learning Net-work (GDLN) for their contributions and support.

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Contents

Page

Preface .................................................................................................. iii

PART ONE – SUMMARY OF THE WORKSHOP ..................... 1

I. ORGANIZATION OF THE WORKSHOP .......................... 3

A. Organization .......................................................................... 3B. Objectives of the Workshop ................................................ 3C. Opening of the Workshop .................................................... 4D. Attendance ............................................................................ 5E. Election of officers ............................................................... 5F. Recommendations of the Workshop .................................... 5

II. PROCEEDINGS OF THE WORKSHOP ............................. 6

A. Overview of community e-centres inAsia and the Pacific ............................................................. 6

B. Bridging the digital divide – the satellite solution ............ 11C. Connecting people in rural communities

through ICT: the Grameen telecom experience .................. 18D. Social capital and the network effect: implications

of China’s e-learning and rural ICT initiatives .................. 22E. Digital inclusion: public and private partnerships ............. 28F. E-learning project planning for community e-centres ........ 30G. South-east Asian needs assessment for a global open

agriculture and food university ............................................ 34H. Developing a business plan for community e-centres:

operations and management ................................................. 41I. The Rice Knowledge Bank: what is it and can

e-communities benefit? ........................................................ 45J. Stakeholder partnerships for ICT in rural communities .... 51K. A survey of rural kiosks in India ........................................ 58L. From a small beginning to a mass movement – National

Alliance for Mission 2007: Every village is a knowledgecentre ..................................................................................... 66

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Contents (Continued)

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M. Models of community e-centres for the poor ..................... 72N. Economic analysis of community e-centres for rural

development .......................................................................... 81O. Local knowledge management through community

e-centres ................................................................................ 87P. Harmonizing ICT with integrated community

development: the Sarvodaya experience in Sri Lanka ....... 94Q. Conducive environments for promoting community

e-centres ................................................................................ 102R. E-health in rural communities through community

e-centres ................................................................................ 110S. Evaluation and monitoring of the performance of

community e-centres ............................................................. 114T. Technological options for community e-centres ................. 121U. Marketing and types of services provided through

community e-centres ............................................................. 126

PART TWO – SUMMARY OF COUNTRY REPORTS .............. 131

A. Bangladesh ............................................................................ 133B. Bhutan ................................................................................... 133C. Cambodia .............................................................................. 134D. China ..................................................................................... 134E. Fiji ......................................................................................... 135F. India ...................................................................................... 135G. Indonesia ............................................................................... 136H. Mongolia ............................................................................... 136I. Nepal ..................................................................................... 137J. Philippines............................................................................. 137K. Sri Lanka .............................................................................. 138L. Thailand ................................................................................ 139M. Uzbekistan ............................................................................. 139N. Viet Nam............................................................................... 140

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Contents (Continued)

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ANNEXES

Annex I. Workshop agenda ............................................................... 143Annex II. List of participants ............................................................. 147Annex III. Project proposals ................................................................ 153

LIST OF TABLES

1. Parameters of financial options, real options and CeCs ........... 852. Global-local knowledge matrix ................................................... 88

LIST OF FIGURES

1. The digital divide ........................................................................ 72. Percentage breakdown of total satellite units by region,

2002-2007..................................................................................... 133. Percentage breakdown of total satellite revenues by region,

2002-2007..................................................................................... 144. Broadband interactive bidirectional data .................................... 155. The gap between IT resources and the available network

technologies .................................................................................. 176. E-government interactions ........................................................... 177. E-learning project planning for a community e-centre ............. 348. Connectivity and content in a community e-centre ................... 439. The hub and spoke model .......................................................... 4410. Common steps in the partnering process ................................... 5411. Proud kiosk operators in Tiruvallur, Jategao and Ding

Mandi ........................................................................................... 6212. Kiosk hardware: n-Logue wireless access tower,

solar-charged lamp and UPS, VSAT satellite dish forconnectivity .................................................................................. 64

13. Structure of community information centres ............................. 7414. An example of a real growth option .......................................... 8615. Process of establishing CeC as stage investment ...................... 8616. Computer literacy in Sri Lanka by province ............................. 95

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Contents (Continued)

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17. Partners in learning ..................................................................... 10818. Videoconferencing diagnosis ....................................................... 11319. The remote medical diagnostic kit ............................................. 11320. The n-Logue network .................................................................. 12621. A remote teaching class .............................................................. 12722. What does the farmer need? ....................................................... 129

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Abbreviations

ACeS Asia Cellular Satellite Co. Ltd.ADB Asian Development BankADBI Asian Development Bank InstituteAEC Agriculture Enterprises CentreAFITA Asian Federation of Information Technology for AgricultureAMD advanced micro devicesAOL America OnlineAPCTT Asian and Pacific Centre for Transfer of TechnologyAPEC Asia Pacific Economic CooperationAPSCC Asia-Pacific Satellite Communications CouncilASDL abstract-type and scheme-definition languageASEAN Association of Southeast Asian NationsB/S browser-web server-database serverB2B business-to-businessBBC British Broadcasting CorporationBFD Buddhism for DevelopmentBME benefit-monitoring and evaluationBOS Bureau of Statistics, FijiBPD Business Partners for DevelopmentBWA broadband wireless accessC-Band compromise bandCAP community access pointsCBO community-based organizationsCCI Chamber of Commerce and IndustriesCeC community e-centreCENWOR Centre for Women’s ResearchCIDA Canadian International Development AgencyCIN community information networkCIPP Community Information Project for the PoorCGIAR Consultative Group on International Agricultural ResearchCOL Commonwealth of LearningCSOs civil society organizationsCTLCs community technology and learning centresDFID Department for International DevelopmentDOI digital opportunities initiativeDOT Digital Opportunity TaskDSL digital subscriber lineEMP evaluation and monitoring of performanceFAO Food and Agricultural Organization

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Abbreviations

Abbreviations (Continued)

G2C government-to-citizenG2G government-to-governmentG8 Group of Eight Industrialized NationsGDLN Global Development Learning NetworkGKP Global Knowledge PartnershipGPRS general packet radio serviceGSM Global System for Mobile CommunicationsGUI graphical user interfaceHDTV high definition televisionHIES Household Income and Expenditure SurveyHRD human resource developmentIBM International Business Machines CorporationICP internet content providerICT information and communication technologyICT4D ICT for developmentIDRC International Development and Research CenterIFPRI International Food Policy Research InstituteIK indigenous knowledgeIP Internet protocolIPR Intellectual Property RightsIRAP Internet for Rural ProjectIRRI International Rice Research InstituteISDN integrated services digital networkISP Internet service providerIT information technologyITU International Telecommunication UnionKu-Band kurz-under bandLAN local areas networkMCT multipurpose community telecentresMDGs Millennium Development GoalsMIS management information systemsMSP multi-stakeholder partnershipNCO network channel orchestratorNGOs non-governmental organizationsOKN Open Knowledge NetworkOSP online service providerPPP public-private partnershipPRA participatory rural appraisalRIC rural information centre

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Abbreviations (Continued)

RKB Rice Knowledge BankSIDA Swedish International Development CooperationSME small and medium-sized enterpriseSMS short message serviceSTD subscriber trunk dialingSWOT strengths, weaknesses, opportunities and threatsUHF ultra high frequencyUI user interfaceUNDP United Nations Development ProgrammeUN ESCAP United Nations Economic and Social Commission for Asia

and the PacificUNESCO United Nation Education, Scientific and Cultural OrganizationURL uniform resource locatorUSB universal serial busVHF very high frequencyVIC village information centreVoIP voice over Internet protocolVSAT very small aperture terminalsWAN wide area networkWCCA World Congress of Computers in Agriculture and Natural

ResourcesWHO World Health OrganizationWiFi wireless fidelityWiLAN wireless local area networkWLL wireless local loopWSIS World Summit on Information SocietyWWW World Wide WebxDSL digital subscriber line

Explanatory notesGB gigabyteMG megabyteKbps kilo bit per secondkm kilometerkW kilo WattTk Takav (Bangladesh)US$ United States dollar

Abbreviations

PART ONE

Summary of the Workshop

I. ORGANIZATION OF THE WORKSHOP

A. Organization

The Regional Workshop on Building e-Community Centre was jointlyorganized by the United Nations Economic and Social Commission for Asiaand Pacific (UN ESCAP) and the Asian Development Bank Institute (ADBI)from 8 to 14 December 2004 in Bali, Indonesia. The Global DevelopmentLearning Network (GDLN) Centre at University of Udayana in Bali,Indonesia provided facilities for the Workshop. The Government of theRepublic of Korea, the Asian Development Bank (ADB), Asia-PacificSatellite Communications Council (APSCC), International Business Machine(IBM), International Rice Research Institution (IRRI) and Microsoft Corpo-ration provided resource speakers for the Workshop.

B. Objectives of the Workshop

A community centre, which is equipped with ICT to provide informa-tion services is commonly referred to as a community e-centre1 (CeC, alsoreferred to as a telecenter, tele-cottage, cyber café, or information kiosk).

CeCs have sprung up across developing countries in the Asia-Pacificregion at a rapid rate. The growing need to become part of the knowledgesociety or knowledge economy has encouraged many countries to take thisinitiative. Developing the community e-centre is not only about providingICT equipment, but also understanding the needs of the people who woulduse them, and providing locally useful information content and applicationsin local languages. In many cases, these centres have been established bydevelopment agencies on a pilot basis and often their sustainability is notguaranteed after the initial project period.

Experiences show that employment of proper technology, communityownership through participatory development approach, capacity of commu-nity in the use of ICT, and private sector operation contribute to sustainabilityof the centres. However, there are not enough studies on the issues of how toset up and how to sustain them. Therefore, there is a need to examine variousissues related to community e-centres to develop guidelines or models forsuccessful development and operation of these centres for developingcountries to reap the most benefits from ICT for rural development.

In recognition of this need, the objective of the Workshop was to:

• Share experiences of e-community centers for rural developmentin participating countries

• Examine issues in operating and establishing e-community cen-ters in rural areas

1 In this publication “e-community centres” and “community e-centre” are being usedinter-changeably and refered to as community e-centre or CeC.

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• Develop business plans and models for sustainable e-communitycenters in rural areas

• Identify policies that can effectively promote community e-centers

C. Opening of the Workshop

The welcome remarks was made by the Chief, ICT ApplicationsSection, Information, Communication and Space Technology Division, UNESCAP. She stated that the Asian and Pacific region was home to over 60per cent of world’s population, of which more than 60 per cent live in ruralareas. Access to ICTs in rural areas was difficult owing to weak telecommu-nications infrastructure, high cost of access to ICT, low skill levels and thelack of awareness on the role of ICTs for development. Therefore, the Planof Action of the first phase of the World Summit on Information Society(WSIS) recommended establishing rural ICT access points to achieve theInformation Society and CeCs were one way of doing this. She describedthe CeC as a physical space that provides public access to ICTs for theeducational, personal, social and economic development of the community.She said that experiences show there is demand for and acceptance of CeCinitiatives. This demand indicated that CeCs produced positive results inimproving the socio-economic situations of the people in the community.She expressed the confidence that the Workshop would serve as a forum forthe participants to exchange information and to learn from each other abouttheir knowledge and experience with respect to CeCs.

Mr. I.G.B Wijaya Kusuma, Director of the University of UdayanaGlobal Development Learning Network (GDLN) said it was a great honourfor their centre to host this important regional Workshop. Mr. Kusuma saidthe potential of ICT had only recently become evident to their University.Having become aware of its potential through a similar Workshop in Thailandlast year, Mr. Kusuma said his University hoped to connect their campus withthe rest of the world using ICTs. The University’s own ICT centre was still inthe development stage, and Mr. Kusuma hoped his University would benefitfrom hosting the Workshop, which would give GDLN an opportunity, similarto the participants, to learn from the resource speakers as well.

Mr. Ray Renfro, Director, Capacity Building and Training for theADBI, made his opening remarks by video link from Tokyo, Japan. Mr.Renfro said ADB and ADBI were committed to reducing the digital divideand poverty, and one strategy to help achieve this was through CeCs. Mr.Renfro said that CeCs served as “virtual roads” or communication highwaysand that ADB was pilot testing numerous CeCs around the region. Mr.Renfro said that CeCs enabled communities to access new knowledge andinformation that could be incorporated with local knowledge. Further, someCeCs were used as training centres for local people to learn computer andICT skills. Mr. Renfro said that through this workshop he hoped participantswould obtain the latest knowledge on CeCs based on lectures and casestudies, examine key issues and policy ramifications in establishing and

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operating CeCs in the context of their country, learn from each other theexperiences on CeCs, and draft action plans to improve CeCs in their country.

Dr. Jeoung-Keun Lee from ADBI noted that the speakers for theWorkshop were experts in the field of ICT and development of rural CeCs.He said that, as such, they would be able to share much with theparticipants about recent trends, models and practices.

Dr. Lee explained that the Workshop would enable participants toshare experiences on CeCs, examine issues in establishing and operatingCeCs, develop business models for sustainable CeCs and draft action plans(project proposals) to promote CeCs.

D. Attendance

A total of 23 participants from 17 developing countries in the Asianand Pacific region participated in the Workshop. The participants weredecision makers in Government ministries, such as IT, telecommunications,economics, finance, agriculture, and regional and urban planning. Threeself-financed observers from Nepal also attended the Workshop.

E. Election of officers

The Workshop elected the following persons to serve as officers:Chairperson: Mr. Ashis Sanyal (India)Vice Chairperson: Mr. Zainal Arifin (Indonesia)

F. Recommendations of the Workshop

The Workshop reaffirmed that community e-centres (CeCs) wereviable means to provide access to ICT and to be used as a tool to acquireessential information and knowledge for rural community development. Itwas also noted that the establishment of CeCs can narrow the digital dividebetween rural and urban areas and contribute to the achievement of theMillennium Development Goals (MDGs). To promote the development ofCeCs in the developing economies in the Asian and Pacific region, theWorkshop adopted the following recommendations:

1. All people should have the necessary skills to fully participatein and benefit from the Information Society. To enable thebenefits of ICT to reach rural communities, Governments andother stakeholders, including international organizations, donoragencies and the private sector, are encouraged to assist coun-tries in building capacity in the use of ICT and facilitate theestablishment of community access points in rural areas usingappropriate technologies;

2. International organizations, donor agencies and countries withadvanced levels of e-readiness should support developing coun-tries, particularly countries in the region with low levels of ICTdevelopment, to reduce poverty through the development andapplication of ICTs;

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3. Universal access to ICT should be a priority, and Governmentsshould consider CeCs in the context of national developmentpolicies and strategies and should regard commensurate invest-ment in CeCs as social investment;

4. Public-private partnership should be encouraged at all stages ofCeC development to improve the sustainability of CeCs, includ-ing the development of local content and applications, andtraining;

5. Available training modules, common content and applications,should be shared among CeCs to minimize the duplication ofefforts and to share limited resources. A network of implement-ing agencies should be established to share these resources andexperiences, and to solve common problems. International orga-nizations including UN ESCAP, ADBI and ADB should developmechanisms to establish and maintain such a network;

6. To make CeCs more relevant to rural communities, all stake-holders should devote more efforts to local translation andadaptation to create locally relevant content; and

7. An annual regional meeting should be held, and other institu-tional mechanisms suitable to participations developed, to facili-tate this sharing. UN ESCAP, ADBI and ADB are requested toseek funds for this purpose.

II. PROCEEDINGS OF THE WORKSHOP

A. Overview of community e-centres in Asia and the PacificChief, ICT Applications Section, UN ESCAP

Background – the Digital DivideThe vision of the Information Society identified at the First Phase of

the World Summit on Information Society (WSIS) is one which is people-centred, inclusive and development-oriented and where everyone can create,access, utilize and share information and knowledge.

To achieve this vision of the Information Society, the WSIS Plan ofAction recommended to:

• Establish rural information, communication and technology(ICT) access points

• Empower communities, especially those in rural andunderserved areas, through the use of ICTs

• Promote distance learning, training and other forms of educa-tion as part of capacity building programmes

• Promote international and regional cooperation for capacitybuilding

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Access to appropriate information and knowledge contributes signifi-cantly to economic development and to ensure access to information, ICTis a key enabler. ICT provides an economic and efficient means to acquireinformation and knowledge.

In recognition of this need for information, the WSIS Plan of Actionstates:

“ICTs allow people, anywhere in the world, to access infor-mation and knowledge almost instantaneously. Individuals,organizations and communities should benefit from access toknowledge and information.”Between 1992 and 2002, ICT penetration increased significantly in

developing countries (figure 1). While the gap is narrowing across all typesof ICT indicators, the gap still exists between developed and developingcountries. The digital divide within countries and between different commu-nities must also be addressed before ICTs can deliver on their promise.

DevelopedDeveloping

100%

80%

60%

40%

20%

0%Popula-

tionFixed Mobile PC Internet

users

21%

79%88% 90%

97%

3%10%12%21%

79%

DevelopedDeveloping

100%

80%

60%

40%

20%

0%Popula-

tionFixed Mobile PC Internet

19%

55% 54%73%

66%

81%

45% 46%

27%34%

1992 2002

Source: ITU 2003, World Telecommunications Report 2003.

Figure 1. The digital divide

Rural challengesRural and remote communities have less access to ICTs compared to

their urban counterparts. In Asia, the majority of population do not live inurban areas, but are farmers, often living in under-developed and isolatedareas. Rural areas are characterized by the following challenges:

• Low infrastructure for ICT usage• Long distance to maintain and repair ICTs

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• Small market size• Low affordability, literacy and ICT literacy• Low awareness of opportunities and benefits of ICTTo provide equitable access to ICTs to rural communities, Govern-

ments and civil society organizations have set up community e-centres(CeCs) in rural areas.

A CeC is a facility that provides public access to ICT-based servicesand applications for education, personal, social and economic development.The concept originated in Sweden around 1985. It has now expanded toinclude telecentres, telecottages, community technology centres, communitycommunication shops, village knowledge centres, networked learning cen-tres, multipurpose community telecentres (MCT), community access centres,and digital club houses.

CeCs provide ICT-based services in rural and remote areas. Theyprovide opportunities for development through ICT; extend the reach ofpublic services such as education, health and social services; provideinformation of interest to the local community including farmers, localbusinesses and NGOs; and create new enterprises and jobs opportunities.

The key is providing public access. The typical facilities of CeCinclude:

• Telecommunications facilities (telephones, faxes)• Office equipment (computers, CD-ROMs, printers, photocopiers)• Multimedia hardware and software (radio, TV, video)• Location for meetings and trainingServices provided by CeCs include:

• Communication (telephone, fax, e-mail, Internet and radio)• ICT training• Agricultural information dissemination• E-learning• Distance health care• E-government services• Small and micro-enterprise supportThere is no universally accepted model or optimal size for CeCs.

Every CeC operates with different objectives, services and ICT applicationsunder different conditions. There are four different models – the adoptionmodel, the government model, the commercial model and the school model.

CeCs are now being seen as a viable method for bridging the digitaldivide and means to providing access to ICTs to communities, which havebeen left behind in the shift to an Information Society. In light of this,Governments in the region have developed national policies including thedevelopment of CeCs that aim to bridge knowledge, social and economic gaps.

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Development of CeCsFor developing CeCs, communities or organizations must first:

• Assess the needs of the community – Needs assessment shouldidentify information needs, identify stakeholders and their role,and help to create a sense of ownership

• Select the service and application – Services and applicationsvary according to community. The types of services includebasic telecommunication service, information services, e-learn-ing, e-business, e-government and training

• Develop content and applications – Perhaps the most valuablefunction of CeCs is the dissemination of information and knowl-edge for development. CeC content can include: information onfarm product prices and input prices (quality seeds/fertilisers); adirectory of general and crop insurance schemes; bus/train time-tables; information on sea conditions; enabling online registra-tion of applications for all sorts of revenue related transactions;online public grievance systems; expert consultations; villagenewsletters, employment news and so on. To reach the ruralpoor, the content should be relevant to the local situation – ifit’s not relevant it will not be used. Therefore, it must bewritten in local language, supported by multi-media, such asvoice and image for illiterate people

• Select technologies – Satellite technology provides a rapid andincreasingly cost-effective method of achieving connectivity inremote rural areas. Very small aperture terminal (VSAT) is aparticularly good option for rural communities that are toodistant from fibre backbones or terrains too rough for the line ofsight required between terrestrial microwave antennas. Anotheralternative is the Wireless Local Loop (WLL) for rural areaswithin microwave radio reach of existing fibre optic cable links.The use of wireless networks, and in particular WiFi, has drawna lot of attention as a relatively low-cost way of getting fastnetwork access to rural areas. WiFi is not the only wirelessnetworking technology – packet radio, microware links and even3G phone networks could all do a similar job

• Provide training• Operate and manage• Conduct monitoring and evaluationTo capitalize on the potential of this technology, low cost PCs (e.g.

simputers, Pengachu (Thailand’s low cost computers) and PDAs) need to bedeveloped. An innovative mix of technology to maximize connectivity andto minimize the costs is also needed, and to overcome low literacy rates,CeCs need to employ technologies for easy interaction (e.g. voice recogni-tion, oral or audiovisual output).

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Problems identifiedThere are many challenges to overcome in setting up CeCs, including

the high costs involved in the establishment (initial investment and recurrentcosts) of the centres. The most significant capital costs in offering communityICT services are for hardware and network access equipment. Business plansshould factor in the depreciation of equipment; slow service take-up; the highcost of repair and maintenance in remote settings; and potential power,security and technical problems. The possibility of deploying low-cost PCsneed to be examined. To reduce the recurrent costs (rent, electricity, salary ofstaff), many telecentres hire secondary and tertiary students at low wages toserve as facilitators and perform other tasks such as repair and research, andsetup the centre within an existing business (e.g. telephone call centres,temples, school, post office, government offices).

Another obstacle is the limitation of ICT skilled people. Training inoperation and maintenance needs to be provided for the CeCs operator.Awareness of the benefits of ICT also needs to be raised and policy andregulatory issues which impact on ICT usage need to be addressed.

Access issues also need to be considered, such as giving carefulthought to physical placement, design and staffing to serve men and womenand different social groups.Key issues – sustainability

When sustainability of a CeC is discussed, it is often interpreted asmeaning self-financing and is equated with success. However, sustainabilityhas many other dimensions, such as social and cultural, political, techno-logical, and financial.

Social and culture sustainability is measured by whether it empowerspeople in the community, meets the needs of various groups (men, women,young, old), and allows for community ownership and engagement.

Political sustainability is measured in terms of whether a stableregulatory framework to promote and support CeCs has been secured.While technological sustainability is measured whether appropriate technol-ogy options were chosen for the community.

Financial sustainability reflects whether a CeC has full financialviability. The centre should be able to recover its capital investment,operational expenses, and replace equipment as needed. A centre could alsobe partially financially sustainable only recovering operational expenses butnot the initial and future capital investment.

Most successful projects are those which are either private sectordriven or community driven with an emphasis on viability and responsive-ness. Furthermore experiences show that rural communities can pay for theservices and services that are charged for are usually more valued thanthose that are free.

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Lessons learned – success factorsSome of the key lessons learned so far are:1. Community ownership is crucial: organizational structures should

provide authority, responsibility and management of resources tothe community.

2. Locally relevant content/services should be designed and imple-mented to suit the needs of the community.

3. Technology options that provide affordable and universal localconnectivity, including the use of multimedia (e.g. radio, video,TV etc.) need to be carefully examined.

4. Financial and operational sustainability need to be obtained overa period of time.

The community-based introduction of ICTs takes time to establish indeveloping communities. In most developing communities, it will takelonger, between three to five years, which is more than what most donorsexpect for ICTs to actually become established and a sustainability path tobe identified and concluded.

Investing in community-based ICTs is a social investment – accessto ICT tools requires a social investment to take root in developingcommunities. Increasingly, this is understood as a role for internationaldevelopment agencies to play in tandem with the private sector andinterested public institutions.

Community-based ICTs help to “make” the market for CeCs bystimulating awareness, engender new skill development and build a marketfor the eventual development of ICT-based commercial services.Recommendations

The development of CeCs should be viewed in the context ofnational ICT-enabled development strategies. To use limited resources moreefficiently, materials related to appropriate international models and goodpractices need to be collected and disseminated, and training materials andexperiences for problem solving and developing local content and databasesshould be shared through networking between CeCs.

B. Bridging the digital divide – the satellite solutionMr. Eui-Kon Koh, President, the Asia-Pacific

Satellite Communications Council

How to narrow the digital divideOne of the main contributing factors to the digital divide is the poor

terrestrial network infrastructure. For instance, in China, over 400 millionkilometres of fibre optic cable has been laid, yet there still remain manyunreachable areas, such as remote or mountainous areas. It is not commerciallyviable to build a fibre optic service which is able to cover all of the country.

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The solution then is to build a better infrastructure. Satellite technol-ogy is the key for this, combined with more training (hardware – computeroperations, and software – Internet-related) along with community andgovernment support.

Satellites allow for fast infrastructure build-up, in terms of fastimplementation, and it is scalable, in such that infrastructure can be built asnetworks grow. Unfortunately, satellite equipment is not as affordable as atelephone set. It is however, easy to install, taking less than two weeks toinstall – which is one of its main advantages. With satellites, there is also theability to increase the capacity as needed, making it good for upscaling,enabling users to start with their minimum requirement and scale up as needed.

The challenge to satellite technology application in the Asia-Pacificregion is collaboration. Though there are major advancements in informa-tion technology (IT) development taking place in many countries in theregion, when it comes to satellite technology, few are willing to collaboratewith each other, and every country wants to have its own satellite servicerather than sharing resources, creating a problem in terms of overcapacity.

Despite this, satellite remains perhaps the most promising potentialsolution to the digital divide. It can reach almost anywhere in the region,making global coverage a possibility. Furthermore, broadband can alsobecome more available through satellite and is easier to install.

One of the obstacles to satellite is the cost of bandwidth but as thetechnology develops the cost of bandwidth is going down, as are equipmentcosts.Asia-Pacific Satellite Communications Council (APSCC)

The Asia-Pacific Satellite Communications Council (APSCC) wasfounded to promote satellite communications and broadcasting in the Asia-Pacific region under the auspices of the United Nations Office for OuterSpace Affairs and supported by ITU. It has 100 members from Asia, Europe,and North America including satellite manufacturers, satellite operators,launch vehicle service providers, equipment vendors, consultants, and gov-ernment organizations. Membership is open to anyone who is interested insatellite communications, and is free to government organizations.

The APSCC mission is to promote satellite communications in Asia-Pacific, provide a forum for discussion and interchange of information,ideas and new technologies in satellite communications, and coordinate theInternational Satcom standard.Asian satellite market overview

Satellite technology is well suited to the Asia-Pacific region. Itsutilization is expanding, particularly its use in emergency situations. Manyregional and global satellite operators have satellites over the Asia-Pacificregion, but as a result, overcapacity remains an issue in the region. Despitethis, revenue is continuing to grow due to the development and availability

Bridging the digital divide – the satellite solution

12

of technology. If this is to continue, however, government regulatory issueswill have to be addressed, and some of the regulatory barriers eased.Regional/domestic satellite operators

In the past, having a satellite was, for many countries in Asia-Pacific,akin to having a national airline carrier. It was important for every country tohave one airline carrier, and demonstrate that it was not dependent on othernations to fly its nationals. The need for each country to have their ownsatellite resulted in C-Band over-capacity, which is endemic across the region,and which must now be addressed through consolidation. C-Band is largelyused in heavy rain areas. Ku-Band which also suffers from over-capacity, isbeginning to address this problem. Capacity is currently around 60 per centfor Ku-Band, but with good government and donor support and withcollaboration with other countries it could go up to 75 per cent.

There is a global average of 60 satellite deployments a year, andrecently, North America has seen a surge in satellite usage, partly as aresult of homeland security issues. As figure 2 shows, the Asia-Pacificregion is third in overall satellite deployments, and third in revenues formanufacturers as well (figure 3). Throughout all regions, leasing revenuesare also increasing, on average by 4.4 per cent per year.Satellite service demand in Asia-Pacific

Every country in Asia-Pacific has its own domestic satellite broad-casting service. Therefore, a broadcasting and video service is what is mostrequired in the region. Even though almost all content broadcasted onsatellite is in English, there is still a need for some local content. The

% Breakdown of Total Satellite Units by Region, 2002-2007

32%

40%14%6% 6% 3%

North America EuropeLatin America

Asia PacificAfrica/ME International

Figure 2. Percentage breakdown of total satelliteunits by region, 2002-2007

Bridging the digital divide – the satellite solution

13

demand is also driven by high definition television (HDTV) and broadcast-ing which requires such large bandwidth only satellite can deliver.

Broadband services can also provide Internet Trunking Services(ITS) and direct Internet Access Services (IAS) such as enterprise networkservices, and remote area direct access. It is the utilization of satellite forthese Internet access services, which is expected to become the fastestgrowing section of the satellite market in the coming five to six years.Asia-Pacific broadband satellite markets

Satellite revenue in Asia-Pacific still continues to come largely fromthe business sector. China and South Asia dominate the revenue streams inthis area, and the industry growth is expected from there.

The key to bridging the digital gap is to enable access to the Internetfor remote and under-served areas. Through the application of satellitetechnology, this can be achieved. For community e-centres (CeCs), sustaina-bility is important. With government support and subsidies, this is possible.

Satellite services that can be appliced to CeCs include:

• Intranet/LAN/WAN connectivity – this allows connectivity be-tween enterprise sites, with either one-way or two-way services

• Enterprise Video distribution – such as business TV, videocasting,Web Conferencing. For this application, training of local staff isimportant. Using this application, distance learning can be done byuplinking via satellite to a centralized classroom

• VoIP via satellite – the cost of “voice over IP” has greatlyfallen in recent years, and it can now be provided at affordableprices through CeCs

% Breakdown of Total Satellite Revenues by Region, 2002-2007

58%20%

15%1% 2% 4%

North America EuropeLatin America

Asia PacificAfrica/ME International

Figure 3. Percentage breakdown of total satelliterevenues by region, 2002-2007

Bridging the digital divide – the satellite solution

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Broadband interactive bidirectional dataInteractive data communications are the foundation of most corporate

and government uses of telecommunications. These needs can be addressedby properly engineered bidirectional satellite links that involve multipletransmitting earth stations. The Very Small Aperture Terminals (VSATs)used by fuelling stations and discount department store chains in theAmericas, Europe and parts of Asia demonstrate that such networks arepractical (easy to install and centrally manage), reliable (99.9 per centavailability) and cost effective (saving users as much as 20 per cent overwhat an equivalent terrestrial network would cost). The architecture of atypical VSAT network employing a star topology (i.e. all communicationsthrough a central hub) is illustrated in figure 4.

VSATs are becoming attractive to smaller enterprises and for bigorganizations that wish to push the use of satellite communication downfurther in their operation. The cost of equipment per site has dropped fromover US$ 10,000 in 1998 to around US$ 2,000 in 2002. Consumer versionsthat provide high-speed access to the Internet are offered in the UnitedStates for under US$ 500.

Figure 4 illustrates the technical concept of how VSAT works.VSAT is able to be shared across countries, and can uplink from anywhere.Hopefully, VSAT will promote collaboration, and will enable an educationnetwork, which will be helpful for developing countries in Asia, as it willallow the information to be gathered and shared, providing a very richresource of information available across the region.

Figure 4. Broadband interactive bidirectional data

Bridging the digital divide – the satellite solution

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Review of VSAT IP application servicesE-government:

• Citizen Verification – RFID (Radio Frequency Identification) isdeveloping as a new industry

• Law Enforcement – for example, for customs and shipping. Post9/11, the US Coast Guard is requesting that each containerentering or passing through the United States have an electronicID on it. It is also helpful in increasing transparency

E-education:

• Development of state-run enterprises• Rural development of the work force

E-business:

• Strategic – can utilize e-business technology for satellite uses tohelp reduce the digital divide

• Global – can encourage collaboration, regionallyBroadband is an “advanced telecommunication capability”. A high-

speed, switched, broadband capability allows users to originate and receivehigh quality voice, data, graphics, and video telecommunications usingvarious technologies on a single converged network. Satellite broadbandmeans connectivity anywhere and at anytime.

A broadband data communications service is one that requires atransfer rate greater than that afforded by a dial-up telephone line using aV.92 modem. This places the minimum data transfer rate at about 100 kbps,which is typical of current high-speed access services from a DigitalSubscriber Line (DSL) in its many forms, cable modems, and comparablefixed wireless and satellite high-speed access services. There is also thequestion of whether the two directions of transmission are of equal speed(i.e. symmetrical) or asymmetrical, such that the inbound speed from serverto user is greater than the outbound speed from user to server. From an ITperspective, broadband services support standard office applications includ-ing e-mail and file transfer, and major software systems such as EnterpriseResource Planning (ERP) and distance education. Organizations are structur-ing many of their IT applications for use within a standard Web browser,allowing employees and partners to access services within the Intranet andfrom the external Internet as well. This makes applications seem relativelysimilar to the network, but the detailed structure cannot be ascertained ingeneral. High-speed access can provide video distribution, telephony andvideo conferencing, although these may not be deliverable through a browsersince they require specialized user terminal devices or other appliances.

Figure 5 shows the current challenges. Namely, without access toinformation, it is difficult to develop good education or infrastructure, and itis difficult to reduce poverty. Yet, without affordable communicationsinfrastructure, access to information is extremely difficult. The key challengeis to increase access to information in order to reduce poverty. Once

Bridging the digital divide – the satellite solution

16

Figure 5. The gap between IT resources andthe available network technologies

AffordableCommunicationInfrastructure

Information Needs

Lack of Infrastructure, Illiteracy, etc

PublicFunding

PrivateFunding

Demand for Telecommunication Services

Social Development

Healthcare

Education

Governance

Rural Stability

Poverty

Local Economic Development

TransparentMarket

Savings inTime andExpenses

Job Creation

affordable communication infrastructure is available, other benefits will flow.In social development, it can benefit the sectors such as education, gover-nance and health care while in economic development, it can create jobs,bring savings in time and expenses, and creat more transparent markets.

The role of government in increasing access to information iscrucial. E-government can play an important role. In e-government interac-tions, the government creates the e-government platform in partnership withcentral government ministries, legislative and judicial authorities and localgovernment and administration (figure 6).

Figure 6. E-government interactions

Citizens

Businesses

Public Domain

E-Learning

E-Health

CentralGovernment(Ministries)

Legislative& JudicialAuthorities

Local Government& Administration

(Town Halls)

Security

Archives

GovernmentIntranet (s)Security C

A

B

D

Publ

ic I

nter

net

e-Pu

blic

Ser

vice

s

GovernmentPlatforms Public Internet

Bridging the digital divide – the satellite solution

17

The simplest method to develop this platform is through SatelliteBroadband Terminal Solutions (SBTS). This solution allows subscribers toreceive multiple channels, even on small terminals, by bundling servicestogether. VSAT technology can provide this.

VSAT demand is market and technology-driven. Fortunately, innova-tion of satellite broadband technologies means they are getting better andcheaper. Satellites also do not have many of the limitations of terrestrialnetworks and other wireless networks. For example, PSTN/ISDN/xDSL/cable modems have bandwidth limitations, limited reach and are difficult toextend. On the other hand, VSAT enables globalization of businesses, withcompanies able to establish corporate intranets worldwide. VSAT alsoprovides delivery of value-added services, such as broadband Internetaccess, multimedia entertainment and distance learning. Satellite is alsomore able to respond to the convergence of voice and data, which has beenlargely consumer-driven, and which became widely possible through mobilephones. Consumers want even more access, resulting more and morebandwidth.Broadband applications and services

Broadband Internet access provides high-speed Internet for Webbrowsing, e-mail, news, downloads, video online, as well as distancelearning solutions such as e-learning solutions based on satellite broadcast,which enable greater interactivity. Together with cost-effective terminalequipment, e-learning solutions provide a rich and colourful educationalresource. It is also useful for distance medicine solutions such as tele-diagnostics, remote consultations, remote training and certification.Recommendation of satellite solution

Currently, there is a great deal of unused satellite capacity in Asiathat could be used for CeCs and other development projects if satellitecompanies could be found that were prepared to donate their spare capac-ity. In-kind donations of equipment are also needed, in addition to finding aflag carrier who could provide system integration and management. Lastly,assurance of government support is needed.

C. Connecting people in rural communities through ICT:the Grameen telecom experience

Mr. Rezwan Alauddin, Grameen Telecom

Bangladesh: telecom scenarioIn Bangladesh at present there are around one million landlines

operated by the state-owned Bangladesh Telephone and Telegraph Board(BTTB). There are four mobile phone operators with a subscription base inexcess of 3.25 million mobile phones. Mobile phones now out-number thenumber of landlines by 3.25:1. Eighty per cent of the population live invillages never used a phone previously.

Connecting people in rural communities through ICT:the Grameen telecom experience

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Rural communication through innovationGrameen Telecom (GTC), through its Village Phone programme, has

brought the latest communication technologies to rural villages, helping toconnect them to the rest of the world. GTC has made mobile telephonyservices available to over 35,000 of Bangladesh’s 68,000 villages. Previ-ously detached communities are now connected to the rest of the countryand the world. Urban mobile phones have been made accessible to therural poor, with mobile public call offices managed by “Village PhoneOperators”, generating income and employment in Bangladesh’s villages.Village Phones

Village Phones (VP) works as an owner-operated pay phone. Itallows the rural poor who cannot afford to become regular subscribers, tomake use of the service with loans from Grameen Bank.

The project aims to bring the full potential of the informationtechnology revolution to villagers and the poor. The village phone is owneroperated, with village phone operators being the main entrepreneurs. Mostoften, the operator takes a loan from GTC to purchase the phone. Theproject is focused primarily on bringing telecommunications services to thepoor. From this project, it can be seen that telephones can play animportant role in reducing poverty. Telephones have become an instrumentagainst poverty by connecting rural areas to the rest of the world andbringing new opportunities to the rural populations.

The project is a collaboration between four business entities –Grameen Bank, Grameen Phone, Grameen Telecom and the village phoneoperators (VPO). The aim of the project is to have a telephone in everyvillage in the country.Grameen Bank

Grameen Bank (GB) is a pioneering micro credit organization. Itprovides small loans to bank members to enable them to earn a livingthrough self employment. It is a pioneer in this area, by taking risks andbelieving that poor people are bankable.

Grameen Bank now has 3.7 million borrowers under 1,267 branches,and provides financial services in 46,000 villages, covering more than 68per cent of all villages in Bangladesh. Customer repayment rates are veryhigh, with 98 per cent of disbursed loans repaid.Grameen Phone

Grameen Phone (GP) is the largest mobile phone company inBangladesh with 2.2 million subscribers and 75 per cent coverage. GP hasthe widest GSM network coverage in Bangladesh, covering 61 out of 64districts. Coverage in rural areas was extended after consultations withGrameen Telecom, taking into account areas which have high telephonydemand. Coverage is increasing every day.

Connecting people in rural communities through ICT:the Grameen telecom experience

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GP offers subsidized call rates for VPO’s which are around 50 percent lower than normal subscribers.Grameen Telecom

Grameen Telecom (GTC) is a not-for-profit rural telecommunicationcompany. Its mandate is to bring ICT services closer to the rural popula-tion. It is responsible for marketing, distribution and administration ofvillage phones through 18 unit offices. GTC unit officers visit the GrameenBank branches in areas where network coverage is satisfactory to provideVP service and prepare a list of villages.Village phone operators

Grameen Bank (GB) chooses village phone operators (VPO) fromamong bank borrowers who reside in those villages and have good repay-ment records. Village phone operators are the most important component inthe programme. They, most often female, are Grameen Bank members.They purchase a phone under the lease-financing programme of the Bankand provide telephone service to people in their village.

Each VPO is responsible for providing services to customers forboth incoming and outgoing calls, collecting call charges, remitting pay-ments to Grameen Telecom, and ensuring proper maintenance of thetelephone set. The operator’s income consists of the difference between thecharges paid by customers and the airtime charges billed to the operator byGrameen Telecom. Repayment of the loan for the phone set is processedthrough the existing loan granting and collection procedures of theGrameen Bank. Grameen Bank managers at the community level collectmonthly payments from operators, in person, at the village level.Village phone – operation

The village phone operation is a tripartite, coordinated service whichbrings communication technologies to rural areas. GB selects potentialvillage phone operators and provides financial assistance for purchasing thehandset and connection. It also collects bills on behalf of GTC.

• GP provides network support and subsidised call tariffs• GTC provides handsets, manages distribution and billing, and

oversees bill collection• GP avoids costs of billing and bill collection from rural villag-

ers, but has a steady stream of revenue from the VP serviceThe phones are distributed through 18 unit offices in each GB zone.

In terms of billing, GP provides raw bill data while GTC processesindividual bills adding both GB and GTC service charges and value addedtax. GTC provides a dedicated VP call centre that provides information tovillage phone operators on bill status, call charges and connection status.

For after sales service, GTC has 18 mobile phone service centresthat provide the necessary maintenance and technical support to village

Connecting people in rural communities through ICT:the Grameen telecom experience

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phone operators in rural locations. Without these service centres, ruralpeople would have to go to larger towns to get their phones fixed.

Through VP connection and tariffs the project provides a steadystream of revenue for GTC. Village phone connection and handset costs areTakas 8,000 (US$ 135), and the fixed line rent is Takas 40 per month. Callcharges per minute are Takas 2.24 at peak hours (US$ 3.7) and Takas 1.24at off peak hours for local and nationwide calls.

VP operators charge around Takas 4 to Takas 6 per customer,depending on the availability of phones in the locality. The averagemonthly VP bill is Takas 5,200 (US$ 87.5). The average net income of aVP operator is Tk. 4,000 (US$ 68) per month.

VP operators account for 3.85 per cent of all GP subscribers, butVP revenues account for 15.5 per cent of all GP airtime time revenues.VP subscriber growth

Since 1997, VP subscriptions have grown tremendously, and theyhave now penetrated into the most rural, remote parts of Bangladesh. It isexpected that subscriptions will reach 100,000 by the end of 2004.Social impact of village phones

The phones provide village operators with a regular and goodearning, averaging US$ 68 per month. This enables many operators toimprove their economic circumstances, and often results in a change intheir social status.

It also creates new business opportunities for villagers, leading toeconomic and community empowerment, and increased knowledge andconfidence amongst villagers.

A study by the TeleCommons Development Group (TDG) of Canadafor the Canadian International Development Agency (CIDA) concluded,“The Village Phone Programme yields significant positive social and eco-nomic impacts, including a relatively large consumer surplus and immeasur-able quality of life benefits”.

A further indication of the programme’s success is its successfulreplication in Uganda, where there are currently 1,000 village phone operators.Pioneering rural ICT services

The VP programme contains many rural development “firsts”. It is thefirst rural development micro-credit facility in a developing country to targetthe creation of micro-enterprises based on information and communicationtechnology (ICT) services. It is the first rural development micro-credit facilityin a developing country to assist in the creation of village telephone servicebusinesses using digital, wireless telephony. It is the first private sector ruraltelecom initiative that specifically targets poor village women for establishingmicro-enterprise (targeted, micro-level programme), and it is the first privatesector telecom initiative with the explicit goal of rural poverty reduction.

Connecting people in rural communities through ICT:the Grameen telecom experience

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However, despite its success, it would have been reckless for a GSMcompany to solely focus on rural Bangladesh because of the small marketand minimal purchasing power. But by combining the skills and expertiseof GB, GP and GTC, it has been possible to profitably serve the telecom-munications needs of the underserved rural poor.

D. Social capital and the network effect: implications ofChina’s e-learning and rural ICT initiativesMr. Alexander G. Flor, Dean and Professor,

Faculty of Information and Communication Studies,University of the Philippines Open University

IntroductionIt has been often said that Information and Communication for

Development (ICT4D) often neglects the “C” in its acronym, and that it isgenerally focused on information technology: hardware, software, networksor infrastructure. The C – communication – along with other Cs such ascontent and capacity building, is often a secondary consideration.

The difficulty perhaps lies in the fact that the phrase ICT4D hascombined two concepts that belong to different levels of complexity.Information is a product that falls under a level different from that ofcommunication, which is a process. Hence, there are problems in putting anoperational handle to the phrase. This is one reason why, in spite of itsmuch vaunted social promise, many are still unconvinced that ICT canbring about large scale societal and national development gains of the sortthat will help to reduce poverty.

People fail to appreciate the process dimension inherent within theterm. However, although information and communication belong to differentconceptual levels, we should recognize the historical, theoretical and opera-tional affinities between information technology science and communicationscience. During the early years of information technology and communica-tion science, one was indistinguishable from the other. The two wereconsidered as one discipline exploring how the mind and signals work, withscientists – Claude Shannon, Warren Weaver, Paul Ashby, Norbert Weinerand Allan Turing to name a few – doing the groundwork. In the course oftime, however, the mathematical-engineering dimension of this grand inquiryeventually split from the socio-communicational, with both branches devel-oping on their own. The former became known as information technology(IT) while the latter was called communication science. Yet, the informationand communication sciences share the same roots and may well at somepoint in the future merge back into one inclusive discipline.

It was along this line that the University of the Philippines estab-lished a Faculty of Information and Communication Studies in its OpenUniversity. This College puts equal emphasis on the “I” and the “C” in

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ICT, offering graduate programmes on computer science and informationsystems alongside development communication programmes. It specializeson ICT4D with a research focus on social capital formation, critical masstheory, networking and knowledge management.

How the aforementioned concepts are related to ICT4D, particularlythe first three – social capital formation, critical mass theory, and networking– is the subject of this presentation. It makes use of the example of China, acentralized programmatic ICT4D model as operationalized in the CentralAgricultural Broadcasting and Television School, as its empirical referent.The conceptual levelSocial capital

In recent years, economists and sociologists alike have been closelystudying a factor which has been deemed as a necessary element in thedevelopment equation. This factor is called “social capital”, as distin-guished from financial capital, resource capital and intellectual capital.

Social capital has been defined as the capacity of groups to worktogether for the common good (Montgomery, 1998)2 or as the ability todraw on relationships with others, especially on the basis of trust andreciprocity (Human Development Report, 1998)3. The sociological defini-tion of social capital is trust, reciprocity and mutuality that are inherent insocial relationships (Cox, 1996)4. Robinson and Hanson (1995)5 forwardedan economic definition that describes social capital as the institutionaldimension of transactions, markets and contracts.

To the above definitions, another can be added, which may beconsidered as communicational in nature. Simply put, social capital is theeconomic value obtained in institutional or individual networking. Note thatreciprocity and mutuality, two concepts contained in the sociological defini-tion, are variables central to networks and network analysis. However,social capital must be measured in economic terms.The network effect

Perhaps the most popular IT adage is found in Moore’s Law, whichstates that, technology wise, computing power doubles every eighteenmonths. A lesser known IT principle is the Network Effect, otherwise known

2 Montgomery, John D. (1998). Social Capital – Research Notes, (Cambridge, PacificBasin Research Center, John F. Kennedy Center, Harvard University).

3 United Nations Development Programme (1998). Human Development Report, (NewYork, United Nations Development Programme).

4 Cox, Eva (1995). A Truly Civil Society, (Boyer Lectures, ABC Books).5 Robinson, Lindon J. and Steven D. Hanson (1995). “Social Capital and Economic

Cooperation”, Journal of Agricultural and Applied Economics, 27(1), pp. 43-58.

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as Metcalf’s Law, after the head of the Ethernet development team. TheNetwork Effect states that the total value of a network where each node canreach every other node grows with the square of the number of nodes.

This may be illustrated in the following hypothetical scenario:Consider that an NGO has five stand alone Pentium IV personal computersworth US$ 1,000 each. The total hardware resources would amount to US$5,000. The Management Information System (MIS) administrator then in-stalls a local area network (LAN). Once the LAN is installed, the potentialvalue of the system increases exponentially.

Let: NV = potential network value of the systemV = unit value of hardware resourcesn = number of nodes

NV = nV2

= 5 (US$1,000)2

= US$ 5,0002

NV = US$ 25 MFor a system whose hardware resources total US$ 5,000, the potential

value reaches up to US$ 25 million when it is networked and connected tothe Internet. This exponential increase in value is most likely due to thesynergy produced by the interconnectivity of the nodes. Further, the potentialvalue reflects the access to computing resources in the Internet.Reed’s Law

David Reed, a sociologist and community development expert, ap-plied Metcalf’s Law to social networks and arrived at a similar conclusion.Social capital may increase exponentially through Intranet and Internetconnectivity, but why does social capital increase in a networked environ-ment? The following reasons are given:

• Superimposing electronic networks on social networks allowsindividuals to cross easily between these networks

• Electronic networks provide “doors” between online communityinfrastructures

• Access to the world wide web increases the potential social capitalof a community through the augmentation of its knowledge capital

For instance, if a NGO has a team of five project officers, individu-ally generating community development assistance projects worth US$10,000 each, their total project portfolio would amount to US$ 50,000.When linked as a workgroup via LAN, their potential social capital mayincrease exponentially, given Reed’s Law.

Let: NV = potential network value or social capitalV = average unit contribution to social capitaln = number of nodes in a social network

Social capital and the network effect: implications ofChina’s e-learning and rural ICT initiatives

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NV = nV2

= 5 (US$ 10,000)2

= US$ 50,0002

NV = US$ 2.5 BIn this particular example, the basis for computing the average unit

contribution to social capital by each node was based on the average unitproject portfolio. Due to: (a) the synergy produced in working together as agroup; (b) the use of a common platform; and (c) the knowledge resourcesin the World Wide Web available to them individually and as a group, thepotential social capital of the non-governmental organization may reach asmuch as US$ 2.5 billion.Critical mass theory

In physics, critical mass is the amount of radioactive materialnecessary to produce nuclear fission. Since the eighties, social scientistshave been applying this term to refer to the number of early adoptersnecessary to steer the rest of the population into collective action.

The Critical Mass Theory developed by Oliver, Marwell andTeixeira (1985) attempts to answer the following questions:

• What are the preconditions for sustained collective action?• When does a development intervention assume a life of its own?The theory was tested through empirical research on, among others,

early adopters of rice production technology. In 1987, Markus appliedCritical Mass Theory to interactive media. In general, the research found thatsustained collective action is achieved when a core of members (10 to 15 percent) within a group or community engages in mutually reinforcing reciprocalbehaviour. When such conditions within a critical mass are achieved, thenone is assured of a practice spreading throughout the population.

An example of this phenomenon is the spread of texting or the use ofthe SMS functionality in cellular phones in the Philippines. When a core of10 to 15 per cent of cellular phone users began reinforcing one another’sutilization through the exchange of SMS messages, the rest of the populationmigrated to GSM, making it more popular than telephone calls or voice mail.

Can we apply Critical Mass Theory on ICT4D, in general, not onlywhen focusing on cellular telephony? Can a critical mass of rural develop-ment users eventually trigger large-scale utilization of ICT in the country-side? Will such large-scale utilization bring about dramatic increases insocial capital among rural development user-communities as predicted byReed’s Law? What would be the implications of this to traditional develop-ment sectors such as agriculture, natural resources management, and others?

Answers to these questions may be found in China’s e-learning andrural ICT initiatives.

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25

The empirical level – ChinaChina is the world’s largest nation and fastest growing economy. It

is Asia’s most powerful country with a population of 1.25 billion. However,rural dwellers account for 78 per cent of its population.

Agriculture is the main source of livelihood in the rural areas, withthe sector accounting for a substantive portion of China’s GNP. Chineseagriculture is diverse and technology driven. Yet, it has reached less thanhalf of its potential because of poor education.

Rural ICT initiativesDue to centralized planning, China has adopted a radial approach in

developing its rural ICT infrastructure. In collaboration with the telecom-munications and education ministries, the Ministry of Agriculture has takenthe lead in establishing community e-centres (CeCs) all over China, albeitemploying an approach that differs from that of other countries in fourrespects.

Firstly, China is simultaneously developing both satellite and fibreoptics technology for its rural ICT infrastructure. It currently operates arobust satellite service that has being actively participated by commercialservice providers. Recently, however, it has entered into an agreement withthe Government of Israel for the provision of 500 Very Small ApertureTerminals (VSAT) for its rural satellite broadcasts and Internet access.Hand-in-hand, the development of the fibre optics backbone is well on itsway to completion. The last mile links, however, are concurrently beingaddressed primarily through CeCs.

Secondly, CeCs belong to a centralized multi-tiered network at thenational, provincial, prefecture, township and village levels. In other coun-tries, CeCs usually start as independent community initiatives and are thusnot networked institutionally.

Thirdly, the Ministry of Agriculture is building CeCs upon existingnetworks of agricultural service providers such as agricultural bureaus,agricultural information centres, local governments and other distance educa-tion institutions. For the past three decades, the Ministry has been establishingan expanded network of farmers’ libraries. These libraries are gradually beingretooled and transformed into CeCs thus ensuring density and penetration.

Fourthly, CeCs, particularly those under the Ministry of Agriculture,are the basis of the distance-learning network – the Central AgriculturalBroadcasting and Television School (CABTS).

Central Agricultural Broadcasting and Television SchoolThe Central Agricultural Broadcasting and Television School

(CABTS) was established in 1980 with a mandate to provide education and

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training to enhance agricultural production. Its target audiences are farmers,rural youth, rural women, leaders of rural communities and agriculturalextension workers. CABTS, which has been called the “cradle of competentfarmers,” is now the world’s largest educational establishment for agricultureand rural development, catering to an average of 900,000 enrolees per year.

The CABTS network is enormous. A central school in Beijingadministers the network which includes: 38 provincial schools; 330 prefec-ture schools; 2408 county schools; 23,000 township training centres; 60virtual classrooms, which will soon increase to 560 with Israel’s donationof VSAT units; 2,750 administrators; and 45,107 staff members.

Since it was established in 1980, CABTS has been employingtraditional print, radio and TV-based distance learning delivery. In 2001,however, it began migrating to online teaching and digital learning environ-ments, employing broadband and wireless technologies. It will make fulluse of the non-commercial Internet backbone and will eventually establish2000 virtual classrooms all over China.

Considering the size of its network and its thousands of nodes, notto mention its centrality and network integrity, CABTS has assumed a veryformidable position to tap the social and economic potentials ofinterconnectivity as described in Metcalf’s Law, Reed’s Law and CriticalMass Theory. It can serve very well as a model for social capital formationand learner mobilization through distance instruction. In fact, it may be saidthat the ideal conditions exist for social capital and critical mass formation.

To begin with, China has had a long history of collective action.Further, it has strong centralized social structures. More importantly, thenorms supporting these structures, such as respect for authority and adher-ence to the common good, are imbedded in society.

Further, CABTS was a thriving institutional network even before itdeveloped its online learning network. Reeds Law illustrates that socialnetworks need to be in place before electronic networks can generate therequired synergies for social capital. Hence, the migration to online learn-ing was initiated with the proper sequence.

In addition, CABTS deals with appropriate subject matter or content.Agriculture and rural development is still a major sector in China, espe-cially considering FAO’s observation that only half of the country’s agricul-tural potential is being tapped due to the lack of education.

Lastly, China has the numbers to reach critical mass. CABTS’s900,000 students per year will expand with the availability of digital onlinelearning technologies. When the number reaches the critical ten to fifteenper cent threshold, then agricultural productivity may double. Further, oncethis critical mass is reached, then the impact will be felt not only in Chinabut in the rest of Asia as well.

Social capital and the network effect: implications ofChina’s e-learning and rural ICT initiatives

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If Reed is right, then:

• Social capital among farmers’ groups in China will increaseexponentially

• A critical mass of farmer-learners will be formed to spearheadproductivity not only in China but for the rest of Asia

• China’s agricultural productivity will increase dramatically• Social capital formation will become a legitimate preoccupation

for non-formal e-learning programmes

E. Digital inclusion: public and private partnershipsMr. Akhtar A. Badshah, Senior Director,

Community Affairs, Microsoft Corporation

It is widely recognized that technology is a potent force that canempower people to reach their goals and realize their dreams – but formany people around the world, the digital divide keeps that power out ofreach. Despite real improvements in access to, and use of, information andcommunication technology (ICT) around the world, there is a wealth ofevidence to suggest that the digital divide between and within countries isgrowing.

Today, millions of the world’s citizens lack the access and, moreimportantly, the skills they need to participate in the new information basedglobal economy to realize their full potential. Microsoft hopes to improvethose statistics – one person at a time by broadening digital inclusionthrough a variety of programmes and products developed in tandem withgovernment leaders, educators and development professionals.

Over the years, the company, along with others in the industry, hassupported community based programmes to provide access to computers. Bypartnering with International Youth Foundation, Boys and Girls Clubs ofAmerica, Partnerships Affirming Community Transformation (PACT), NPower(a national network in the U.S.A. that is putting technology know-how in thehands of non-profit organizations) and others, Microsoft has sought to createinnovative solutions to provide access to technology, diversify the ITworkforce and strengthen non-profit organizations through technology.

Access to technology, however, is only part of the answer. It is equallycritical to provide IT skills training, tools and guidance to help people discoverwhat technology can do for them, and what they can do with technology. Toaddress this set of needs, Microsoft created Partners in Learning for K-12schools around the world and the Unlimited Potential (UP) programme.

Unlimited Potential is improving life-long learning for underservedyouth and adults by providing technology related skills through communitytechnology and learning centres (CTLCs) or telecentres. Publicly accessiblegathering places, whether in the form of libraries, meeting rooms, schools,

Digital inclusion: public and private partnerships

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or community centres, represent prime locations where people can gobeyond merely having access to technology and can acquire the skills touse it effectively to help themselves and their communities. Through thisglobal programme, technology training will be used to create social andeconomic opportunities that can change lives, transform communities, andstrengthen local economies.

The Unlimited Potential programme consists of four components: agrants programme focused on supporting IT skills training and improving thecapacity of CTLCs; a software donations programme; a curriculum that can beused or adapted by CTLCs; and a community technology support network.Unlimited potential grants

The Unlimited Potential Grants are available for organizations manag-ing programmes aimed at increasing the technology skills of underservedpersons. Project grants will be provided both in countries where Microsoftsubsidiaries are located and where there is no country-level Microsoft presence.The grants are evaluated by Microsoft staff in that country or region and areissued twice a year with deadlines for project proposals in March and October.

Since May 2003, cash grants and software totaling nearly US$ 80million have been provided to more than 260 programmes in 87 countries.Funding has been focused on providing support for IT skills trainingprogrammes and typically used for helping an existing CTLC to strengthenits training programmes by allowing it to hire more trainers, expand courseofferings or reach larger numbers of underserved community members.Software donations

An expanded software donation programme is to be created forCTLCs so that they have access to the most current applications necessaryfor community learners to compete in the global economy.Unlimited potential community learning curriculum

Together with Microsoft’s support of CTLCs, the Unlimited PotentialCommunity Learning Curriculum is a resource that supports communitylearning and enables individuals to acquire the necessary workforce skillsto use technology effectively to help themselves and their communities. Thecurriculum provides quality content for the community (non matriculating)learner that focuses on skill development in the areas of:

• Introduction to information technology and computer literacy• Information and communications technologies• Workforce development and preliminary technical certification

preparationThe training emphasis is on real-world applications and the course

material is available in multiple languages and may be modified and/orreproduced by the community learning centre, the instructor/facilitator, and/or the student to enhance the local learning experience.

Digital inclusion: public and private partnerships

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Community technology support networkTo support CTLCs, Microsoft is working with the International

Development and Research Center (IDRC) in the creation of technologysupport networks by offering services for CTLCs such as providing off-lineand online resources, tools and workshops that will enable greater collabo-ration and make CTLCs more sustainable. The network will help toaggregate best practices, curriculum, research, tools, solutions, and accessto local support services used by community e-centres around the world.

F. E-learning project planning for community e-centresMr. Kyosuke Yoshimura, Learning Solution Executive,

IBM Asia Pacific

Policy and role of community e-centresCommunity e-centres (CeCs) support local government functions in

forming communities of interest to address key issues across governmentand the private sector. E-learning is the common service to implementthrough each e-community project.

E-community projects need to have appropriate IT professionals andengage in training. They need to identify their target audience and beneficia-ries and need to know how many people they wish to connect to the CeC.

Communities of interest can include:

• Community enhancement: transportation, parks and recreation,education, police, healthcare

• Economic development: commerce, revenue (tax incentives),education/skill enhancement programmes, infrastructure (power,electric, water)

• Social protection: welfare, health, education• Personal Security: police, immigration and intelligence agenciesDeveloping human resources is a challenge faced by both central

and local governments. CeC projects need to have IT professionals who areable to implement the system and need to train officials and citizens to usethe system.E-learning

“Learners” at a CeC include citizens, workers, students, communitydecision makers, organizational leaders and rural development professionals.They may want to learn about anything from housing, nutrition, andtransportation to healthcare, education (teaching and learning), communica-tions or employment, business and the economy.

E-learning is growing rapidly. One of its most important features isthat it can provide real-time content, anywhere and anytime, as it iscomputer-based and interactive. The modes of delivery include CD-ROMs,

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the Web, satellite and TV. It is fundamentally different from classroomtraining and should not be considered as a replacement of classroomlearning. Through e-learning, more sharing and collaboration is possible.Advantages of technology-based training and education

E-learning is moving from skills management to competency man-agement to knowledge management. E-learning can improve learning per-formance and reduce the amount of time needed to learn and acquireknowledge. One of the problems faced by many developing countries in theregion is the limited number of good teachers. Through e-learning, a wideraudience can be reached and enables teachers to manage more students.

E-learning is able to reach a broader segment of population, therebybringing in mobile and non-traditional students. It promotes class participa-tion and makes academic credits easily transferable. Its curriculum is moreflexible and responsive to student’s needs and able to continually expandthe range of courses that include an online component.

Those wishing to introduce e-learning should observe the world’smost advanced e-learning institutions and work with government to developa strategy to leverage technology to implement existing educational goals. Itis also important to consult with business to ensure that end-users areproperly prepared.

Both teachers and students gain from e-learning. Education (teachingand learning) methods are changing, and learners’ active participation isbecoming more important for the training result. E-training assists e-learning implementation by providing access to the technology used by e-learning. Therefore e-learning helps to implement e-community by usinglearning technology.

E-learning technology develops training content in several ways. Thefour-tiered e-learning approach is effective for both education and training.E-learning uses Tier 1 and 2 mainly and government officials and citizenslearn from information and interaction.

• Tier 1: Performance support and reference e-materials – learningfrom information

• Tier 2: Interactive learning, simulations and games – learningfrom interaction

• Tier 3: Collaborative learning – learning from collaboration• Tier 4: Experience-based learning – learning for co-locationCeCs can develop capacity of local community and government by

providing users with information and knowledge (e.g. information onagriculture, natural resources), as well as enchaning skills in businessmanagement, economics, accounting, trading through vocational trainingand education support. CeCs users include local economy leaders, ITprofessionals, student and citizens.

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IT skills training can also accelerate industrial development andemployment by assisting users to reach an adequate level of IT competency(quality and quantity), acquire the skills required for e-community initia-tives, expedience to create or enhance performance of new industries andproficiency in the English language.

IT literacy has a seven skills category/model defined as European ITdriver licence:

1. Basic IT concepts2. Using the computer and managing files3. Word processing4. Spreadsheet5. Database6. Presentation7. Information and communicationE-training allows users to develop flexibility in their usage of the

technology. A well-developed training strategy is a key to successfulimplementation. Therefore, e-training should be discussed as the commoninfrastructure for any e-learning project.

For instance, the Venezuela Ministry of Science and Technology(MCT) established and developed a software workforce to improve its globalcompetitiveness and encourage productivity through the use of e-businessapplications. Their training partner’s experiences in the software industry, e-business technology and IT training services provided a complete solution forthe government’s objectives. The MCT was able to initiate the trainingelement of the software industry development plan quickly and cost-effectively and thereby address their employment, economic and technologyissues sooner. High-level professionals from the first class of graduates enterthe market after only one year of training. Further, both training costs perstudent and student dropout rates are lower than the industry standard.

Another example is the Japan Institute of Worker’s Evolution(JIWE), which provides a job-finding Web site for citizens, and alsosupports skills assessment and e-learning. The mission of JIWE was tosupport citizen re-employment, and to provide classroom seminars andinformation materials to help citizens find jobs. Its challenge was to find away to provide support services to women who could not visit the trainingcentre because of their responsibilities to care for other family members athome, for example, child care or aged family care. It wanted, therefore, toprovide employment information and e-learning services that could beaccessed anytime and at anywhere, to a wide range of people and help“Mothers back to work” – the slogan. Its solution was to use a prototypeapproach to capture the clients’ contents/system requirements, so that itcould shorten the development cycle. JIWE provided e-learning curriculumdesign consultation and e-learning contents development and provided an e-learning 24-hour hosting service system called “Hurray Hurray Net”.

E-learning project planning for community e-centres

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This system had e-learning standard compliance as well as a flexibleand rich courseware selection. The on-demand hosting system servicesmade it possible to implement the system quickly, and reduce maintenancecosts and provide 24-hour operation. User-friendly web-based e-trainingcontent encouraged users who were not familiar with PC operations to usethe service. Users could join in the virtual community from home andexchange their experiences with others.

A third example, Mitaka City in Tokyo, is an example of a success-ful e-community application that is also providing an education servicethrough its Web portal.

In January 2001, the Mitaka City Board of Education and IBMJapan jointly started a pilot project that effectively utilizes information andcommunication technology such as broadband networks to link four el-ementary schools in Mitaka, aiming at realizing a new school educationsystem based on social participation by schools, guardians and communitymembers. After the achievements of this project, the “School, Guardian andCommunity Member Collaboration Education Project of Mitaka City” ex-panded to encompass all 15 municipal elementary schools in Mitaka.

As a result, teachers spend less time on non-specialized areas, andcan concentrate on their classes and communication with students. Also,students can get real knowledge and receive joint learning, increasing thecreativity of each individual and improving skills in communication as wellas problem-solving.

What makes this project possible is that Mitaka City is connected bybroadband, enabling quick, widespread access to the Internet. Along with theeducational component of the City’s web portal, the portal also providescommunity communication functions such as bulletin boards, school andcommunity information, as well as mentoring services by connecting students,parents, teachers and student counsellors. It also provides e-meeting services,video delivery, home page and e-mail addresses and a secure intranet.ICT infrastructure for CeC

Before establishing, a CeC needs to be both the ICT tools andinfrastructure. A high-performance backbone network is fundamental to theprovision of the CeC. The infrastructure should provide: (1) A localnetwork for the transmission of video, data and telephony; (2) high speed,secure connectivity to the Internet; (3) high speed, secure access to a WANfor connectivity to external nodes; (4) connectivity to wireless access pointsto provide anywhere/anytime connectivity for users; (5) connectivity to anyexisting e-community and university networks; and (6) the wired LANfacilities to connect the high performance backbone to the individual accesspoints for the training classrooms, the media centre, the breakout roomsand the auditorium. Figure 7 shows community e-center function and keyconcerns for the project definition.

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G. South-east Asian needs assessment for a globalopen agriculture and food university

Mr. Alexander G. Flor, Dean and Professor,Faculty of Information and Communication Studies,

University of the Philippines Open University

A needs assessment for postgraduate education on agriculture andnatural resources in South-east Asia was conducted with the followingobjectives: to assess the postgraduate agricultural education needs of keyagricultural players in South-east Asia; to identify curricular offerings ofthe Global Open Agriculture and Food University (GO-AFU) in the subre-gion; and to determine institutional mechanisms for GO-AFU operations. Itadopted a three-pronged design employing the Delphi Technique; keyinformant interviews; and documents analysis.

The findings of the needs assessment study included the followingissues: demand for post graduate education in agriculture; competition fromlocal education providers; practicality of the distance mode for agriculturalsciences and research based degrees; and accreditation. In South-east Asia,English as the medium of instruction did not seem to be an issue providedthat instruction was done at the postgraduate level.

The study found that there are four major open universities offeringeight degree programmes dealing with agriculture and related sciences. Further,all ASEAN countries have higher education institutions that offer postgraduatedegrees in agriculture, natural resources or related fields. Nevertheless, keyinformants believe that many will be interested in taking master’s and doctoral

Target Learner– Occupation– Number

Skill Areas– IT, Language– Industry, Economy

Learning Design– Curriculum– Content

Learning Delivery– Class Size– e-learning %Time SpanFinancial– Infra: Office/Power/NW– Cost/Person

Project Management– Sponsor, Leader– PM Office

RuralDevelopment

Center

e-CommunityNetwork

Rurale-Community Center

CTR CTR CTR

Oversea

UniversitySchool

Enterprise

Job Findinge-Government

Project Definition

Figure 7. E-learning project planning for a community e-centre

South-east Asian needs assessment for a global open agriculture and food university

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programmes offered via distance learning modes, provided the degrees areinternationally and nationally accredited. Prospective enrolees would beexpected to come from both research and extension services of the Ministriesof Agriculture and from agricultural universities around the region.

The study recommends that CGIAR push through with its plans toestablish a Global Open Agriculture and Food University; target prospectiveenrolees coming from both research and extension services of the Minis-tries of Agriculture and from agricultural universities, as well as agricul-tural researchers and extension workers from the private sector; offerprogrammes on extension, research and specialized programmes on informa-tion management, knowledge management, bioinformatics and geographicinformation systems; offer a series of short-courses on practical aspects offood security; seek international and national accreditation; and adopt anetwork structure with a global centre, regional and national nodes.Background

The Consultative Group on International Agricultural Research isestablishing a CGIAR Global Open Agriculture and Food University (GO-AFU) for the purpose of sharing the agricultural knowledge generated byCG institutions with agriculture professionals and other key agriculturalplayers in the developing world through open learning and distance educa-tion. The International Food Policy Research Institute (IFPRI) has taken thelead in establishing the GO-AFU, employing a network approach. Threeregional hubs for the CGIAR GO-AFU – one each in Africa, South Asiaand South-east Asia – have been identified for this purpose. In South-eastAsia, the University of the Philippines Open University (UPOU) is beingconsidered to serve as the regional focal point.

One of the initial activities for implementation is to conduct educa-tional, training needs assessment of key agricultural players representing thefollowing sectors: national agricultural research systems (NARS) and gov-ernment extension workers at the local government; field staff from non-governmental organizations and civil society; and farmers, rural women andout-of-school youth.

IFPRI has commissioned the UPOU to undertake the South-east Asianneeds assessment study. This presentation discusses the results of the study.Objectives

The objectives of the study were to:1. Assess the post-graduate agricultural education needs of key

agricultural players in the South-east Asian region2. Identify initial curricular offerings of the GO-AFU in South-east

Asia3. Determine institutional mechanisms for GO-AFU operations in

South-east Asia

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MethodologyPrevious studies conducted in Africa and South Asia essentially

included three elements: (a) an Internet discussion forum; (b) key informantinterviews and focus group discussions for ground truthing; and (c) theassessment of secondary data. Because of time constraints, the South-eastAsian study slightly modified the procedures for investigation and adopteda three-pronged design employing the Delphi Technique; key informantinterviews; and documents analysis.Results and discussionPost graduate education needs among South-east Asian agriculturalprofessionals

Based on key informant interviews, documents analysis, the Internetsearch and the e-mail Delphi, the need for post-graduate agriculturaleducation in South-east Asia may be described as ambivalent at best andcontradictory at worst. The key interviewees and the Delphi responses, inparticular, gave conflicting answers, deviated from the guide questions, anddwelt lengthily on the following issues:

• Demand for post-graduate education in agriculture• Competition from local education providers• Practicality of the distance mode for agricultural sciences and

research-based degrees• AccreditationAlthough it was mentioned occasionally, English as the medium of

instruction was not regarded as a significant issue provided that theprogrammes were at the postgraduate level.

In general, however, the findings tended to be encouraging for theGO-AFU.Environmental scanning

A Global Development Learning Network (GDLN) is currently beingplanned in Cambodia with key sponsors from Canada and other bilateralsources. This global learning network may cover post-baccalaureate offer-ings in agriculture.

In terms of ongoing programmes, an Internet search revealed that thereare four major open universities offering agriculture programmes in the sub-region: Universitas Terbuka in Indonesia; the University of the PhilippinesOpen University.; Sukhothai Thammathirat Open University in Thailand; andthe Ramkhamhaeng Open University, also in Thailand. Collectively thesefour universities offer eight degree programmes dealing with agriculture andrelated sciences. However, most of these programmes are at the baccalaureateand pre-baccalaureate diploma levels. Only two programmes are at the post-graduate level – the Master of Agricultural Extension programme offered bySukhothai and the Diploma in Agriculture offered by the University of the

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Philippines. The latter is the only programme offered in English; however, itis being phased out due to the lack of enrolees.Practical areas of specialization in the asistance mode

The Delphi study identified extension training, specifically participa-tory extension, as the most relevant content for postgraduate agriculturaleducation, particularly in Cambodia and Lao People’s Democratic Republic.But this should be agricultural extension in the non-traditional, non-linearsense. To quote from a member of the panel:

“…Lao People’s Democratic Republic agriculture profession-als understand the needs of farmers but they don’t necessarilyhave the skills or ability to identify and develop programmeswhich are based on these needs and which help farmers solvetheir problems. In addition, there is a huge need for analyti-cal thinking and problem-solving skills that will help the LaoPeople’s Democratic Republic professionals better meet theneeds of farmers…”For Viet Nam, postgraduate programmes should address both re-

search and extension specializations.The key informant interviews tended to agree with these recommen-

dations not only for Viet Nam but for Indonesia, Malaysia and Thailand aswell, though not for Myanmar, where the need was felt for postgraduateagricultural extension education.

The key informant from the Philippines believes that professionalswill be interested in enrolling in GO-AFU programmes if they specialize inhigher-order knowledge and skills such as information management, knowl-edge management, bioinformatics and geographic information systems. Thenumerous state universities and colleges of agriculture in the Philippinesrarely offer degree programmes in these areas. Further, these can be easilytaught via the distance mode unlike research-based programmes such as plantbreeding, agronomy and animal science. This begs the question – Should theGO-AFU focus on postgraduate education or continuing education?Postgraduate education versus continuing education

Agriculture is often regarded as a practical area of study and thishas been reflected in the findings. Some of the respondents, particularlythose in the Delphi panel, felt that postgraduate education may not beaddressing the majority of the practitioners’ needs. Master’s and Ph.D.programmes would only serve the requirements of the minority, consistingof researchers and agricultural scientists based in universities and thenational agricultural research systems (NARS), thus defeating one of theprimary purposes of distance education and open learning – providingaccess to the majority who cannot be accommodated in residentialprogrammes due to resource limitations. Hence, there were many reserva-tions regarding postgraduate education within this panel. Some felt that, if

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indeed, a master’s degree should be offered, then it should focus onextension and not on agricultural science. A Ph.D. programme on agricul-ture science that is offered via the distance mode would be all the moresuperfluous. Instead, a few suggested a series of short courses on practicalaspects of agriculture that would cater to the dominant requirements offood security, food safety, post harvest handling and marketing.

Alternatively, there is always room for a more creative approach. Inthe second Delphi round, one expert volunteered the following regardingthe practicality of GO-AFU programmes:

“… High level manpower training has to be continuous. Sincethere is a presumption that the mode of delivery is by distanceeducation or through e-courses, we have to be creative in howthis can be done considering the constraints… However, thisprogramme need not be for the masses or for a large numberof students. We have to target the ‘elites’, those with highintelligence, who are highly motivated, and have access tocertain resources and interest in graduate education. Startwith a few leaders, others will follow.”Whether leaders or followers, do agricultural professionals require a

postgraduate degree? Reference was made earlier to the UPOU Diploma inAgriculture. It was initially designed in 1980 as an 11-month programmethat would cater to staff members of the Department of Agriculture of thePhilippines. The programme was previously offered at the residential modeby the University of the Philippines Los Baños College of Agriculture buteventually figured among the first programme offerings of the UP OpenUniversity. Although the programme enjoyed substantial patronage duringthe initial years, even including graduating students from other countries,enrolment eventually fizzled out during the 2001-2002 school year. Arelated development was the professionalization of agricultural practice. Inthe Philippines, Bachelor of Science in Agriculture graduates are nowrequired to take board examinations to practice their profession. It is theonly country in South-east Asia that has done so.

On the other hand, an increasing number of agricultural professionalsin South-east Asia are employees of government, private organizations andagribusiness concerns. These professionals require formal degrees and notnon-formal short courses, for their professional advancement. This opinionhas been echoed by most of the key informants who felt that there will be alarge demand for these programmes, particularly in Cambodia, Indonesia, LaoPeople’s Democratic Republic, Myanmar, Thailand and Viet Nam.Summary and conclusions

The findings of the needs assessment study focused on the followingissues:

• Demand for postgraduate education in agriculture• Competition from local education providers

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• Practicality of the distance mode for agricultural sciences andresearch-based degrees

• Medium of instruction• AccreditationIn South-east Asia, English as the medium of instruction did not seem

to be an issue provided that instruction is done at the postgraduate level.1. There are four major open universities offering eight degree

programmes dealing with agriculture and related sciences. Mostof these programmes are at the baccalaureate and pre-baccalau-reate diploma levels. Only two programmes are at the postgradu-ate level, one of which is being phased out due to a lack ofinterest. However, geography has little bearing on Web-baseddistance learning. Professionals from South-east Asia may nowavail themselves of postgraduate agricultural education fromNorth American, European, South African and South Asianinstitutions through e-learning. Further, all ASEAN countrieshave higher education institutions that offer postgraduate degreesin agriculture, natural resources or related fields.

2. Key informants believe that there will be interest in Master andDoctoral programmes offered via distance mode by the GO-AFUprovided the degrees are internationally and nationally accred-ited. Singapore and Brunei will have no demand for GO-AFUprogrammes. However, countries in the Mekong area will have asubstantive demand for postgraduate programmes in agriculturethat will be offered via the distance mode.

3. Prospective enrolees will come from both research and extensionservices of the Ministries of Agriculture and from agriculturaluniversities.

4. With some reservations, key informants from regional and inter-national organizations expressed interest in the CGIAR GO-AFUinitiative and would welcome being involved in the planningand implementation phases.

5. The Delphi study identified extension training, specifically par-ticipatory extension, as the most relevant content for postgradu-ate agricultural education, but this should be agricultural exten-sion in the non-traditional, non-linear sense. Postgraduateprogrammes should address both research and extension special-izations. Professionals will likewise be interested to enroll inGO-AFU programmes if they specialize in higher-order knowl-edge and skills such as information management, knowledgemanagement, bioinformatics and geographic information systems.

6. Some of the respondents felt that postgraduate education maynot be addressing the needs of the majority of the practitioners.Master’s and Ph.D. programmes would serve the requirements ofthe minority, consisting of researchers and agricultural scientistsbased in universities and the NARS, thus defeating one of theprimary purposes of distance education and open learning.

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7. A series of short courses on practical aspects of agriculture thatwould cater to the dominant requirements of food security, foodsafety, post harvest handling and marketing was suggested bysome.

8. A consensus was reached among the key informants that GO-AFU programmes should seek both international and nationalaccreditation.

9. Key informants endorsed the network approach that the GO-AFU will adopt, for example, possessing a global centre withregional nodes in Africa, South Asia and South-east Asia withsome variations in specific countries.

RecommendationsThe study offered the following recommendations:1. CGIAR should push through with its plans to establish a Global

Open Agriculture and Food University offering postgraduateprogrammes in agriculture, natural resources and related sci-ences.

2. These programmes should target prospective enrolees from bothresearch and extension services of the ministries of agricultureand from agricultural universities, as well as agricultural re-searchers and extension workers from the private sector.

3. In South-east Asia, primary sources of enrolees are Cambodia,Lao People’s Democratic Republic, Myanmar and Viet Nam.Secondary sources of enrolees are Indonesia and Thailand. Ter-tiary sources are Malaysia and Philippines.

4. The postgraduate programmes should focus on extension andresearch, in that order of importance. Specialized programmeson higher-order knowledge and skills such as information man-agement, knowledge management, bioinformatics and geographicinformation systems should likewise be considered.

5. A series of short courses on the practical aspects of agriculturethat would cater to the dominant requirements of food security,food safety, post harvest handling and marketing should also beoffered.

6. GO-AFU programmes should seek both international and na-tional accreditation.

7. GO-AFU should adopt a network structure with a global centreand regional nodes. It should involve other regional and interna-tional organizations in the planning and implementation. Further,it should also consider working within the ASEAN frameworkof mutual cooperation in South-east Asia, and it should offerprogrammes jointly with national open universities.

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H. Developing a business plan for community e-centres:operations and management

Mr. S. Senthilkumaran, Associate Director, Informatics Division M. S. Swaminathan Research Foundation, India

Despite outstanding achievements in the areas of ICT and hightechnology, two state governments belonging to two different parties in thegeneral election of India early this year have failed to return to power,largely because the rural poor felt that the benefits of these technologiesdid not reach them. Community e-centres (CeCs) may be one way toimprove the life of the rural community and ensure that the benefits oftechnology are reaching all, including those in rural areas, who need them.

Poverty is not only an absence of money. Often communities whohave lived for generations in poverty develop a sense of utter hopelessnessand lose their sense of self-respect and dignity. They become increasinglymarginalized and excluded. They lose their voice. What can ICT do to helpthe poor? The last few years have seen many initiatives that deploy ICTs inrural communities in many developing countries, but are they working?

Alfonso Gumucio Dagron, development communication specialistwith the Rockfeller Foundation, has written:

“Only one out of every one hundred telecentres are reallyuseful for the local community where they have been set-up,in terms of supporting development and social change. Thismay shock many of those that see ICTs as the ultimate magicsolution for poverty, but I challenge anyone to show me thatI’m wrong. Thousands of telecentres have been planted duringthe past five years and millions of dollars have been investedin buying computers and ensuring Internet connectivity; how-ever, every time we are to mention the successful experiences,the same five or six places come to mind. In other words:something smells very bad in cyberland.”A few successful examples according to Dagron are the Village

Knowledge Centres established by the Swaminathan Research Foundationin Chennai, India. Dagron believes this project is a good example of CeCthat really care about providing appropriate information to their constitu-ency. The concept is articulated around community needs, not the opposite.“Information shops” have been placed in various villages, and a “valueaddition centre” is in charge of building web pages with information that isrelevant to local needs, such as market prices or local weather reports. Thecore concept is to build a “local web” that specifically caters to the needsof local communities, in terms of contents, culture and language.

Mr. Dagron says, “There are too many examples of projects that areonly bombarding the Third World with computers, in the most irresponsiblemanner and for the benefit only of hardware and software companies. On the

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other hand, there are very few, I insist, very few experiences of use of newinformation and communication technologies that are paradigmatic in the waythey contribute to development… this is why the Village Knowledge Centresin Pondicherry are such an important and coherent experience.”The Swaminathan Research Foundation business, operation andmanagement plan for community e-centres

Before setting up CeCs, the Foundation conducted a large-scaleconsultation with the local communities. Participatory rural appraisal (PRA)was used as a method to identify the information needs of the community.Information on district and village profiles, household details, economicactivity of the village, maps, information needs, existing infrastructure suchas government institutions, primary health centre, education institution, wascollected. As was information on how many people are living below thepoverty line.

Information was also collected on weak and strong linkages betweenthe information disseminators and rural community, profiles of underprivi-leged communities, market information, details of artisans and small mer-chants, problems of landless labourers and local interaction patterns. Thishelped to create a micro-plan for the village.

The PRA was also used to assess how far the community was willingto go in operationalizing the local centre, by way of making in-kind or cashcontributions. This was also used in the identification of a group ofindividuals who would be consensually chosen by the community formanaging the local centre. Field experience indicated that three factors arevery important in initiating village knowledge centres, the first of which iscommunity ownership; the community as a whole must endorse the centre.Second, it must be useful; usefulness is more important than the use of latesttechnology. Lastly, it should not be associated with one group or caste.

Community participation is vital in all rural, community-based ICTprojects. Having the right community champions is critical to ensuring projectsuccess. Community participation should be broad-based and representative,regardless of social and economic status and local community participationshould start from the conceptualization stage and be sustained throughout.

The community will need to play a major role in determining thekey resources, such as the project champion, and the right local institutionto partner with. Multi-stakeholder partnerships can be useful for communi-ties, but care needs to be taken in selecting the partners to engage with.

New technologies, especially wireless, are increasingly importantbecause they are easier to deploy and may cost less than conventionaltechnologies. What already exists often determines and can limit futureoptions. For that reason, telephony is still very relevant for rural access.Adequate technical skills are required for ensuring/maintaining a robustconnectivity infrastructure. Internet technologies offer new options to pro-vide cheaper and more flexible services (e.g. VoIP).

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Constraints must be removed on the basis of a malady-remedyanalysis. For example, wired and wireless technologies could be used wheretelephone connections are not adequate or satisfactory. Similarly, solar powercan be harnessed where the regular supply of power is irregular. Theapproach should be based on the principle that there is a solution for everyproblem. Connectivity must be able to address the content requirement to beadequate. Economics of scale matters – connectivity is very expensive butcan be cheaper if shared. However, emerging technologies (such as VSATand direct TV) are changing many of these assumptions. Rural communitiesare typically not attractive for profit-oriented telecommunications companies,and are a result the last mile solution must be self-financed in many cases.Therefore, it is important to assess the various available technology optionsfor the last mile and the first mile (wireless, satellite, VoIP, fibre, etc.), andimplement those that are cost-effective and reliable. Building a resource forthe technical know-how will be useful.

Creation and updating of relevant content to suit local needs is a keyfactor in the e-community programme. The information provided should bedemand-driven and should be relevant to the day-to-day life and work ofrural women and men. Also, semi-literate women should be accordedpriority for trainings to operate the centre, since this is an effective methodof enhancing the self-esteem and social prestige of women living inpoverty. Another important technique is the packaging of appropriate con-tent (e.g. in local languages) for specific community needs and choices.

Content should be delivered in both conventional and electronicmeans (use not only web sites, but also community newspapers or radio).Knowledge dissemination should be linked to access to the inputs neededto apply the knowledge for economic activities. It is important to bestrategic in generating or procuring content in view of the potentially highcost involved. Equally important as understanding the content is to take theappropriate action based on the information provided (figure 8).

E-Community Center

Connectivity Content

Satisfied Clients

Figure 8. Connectivity and content in a community e-centre

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Using the hub and spokes model, CeCs have both connectivity andcontent. This model is designed to empower rural families with newknowledge and skills and should be designed on the antyodaya (unto thelast) model, where the empowerment starts with the poorest and mostunderprivileged women and men. In this model, the local population has asense of ownership of the CeC. It is client managed and controlled, andinformation provided is demand- and user-driven. The local populationshould be willing to make contributions towards the expenses of the CeC,so that the long-term economic sustainability of the programme is ensured.Contributions in cash or in-kind generate a sense of ownership and prideand create an economic stake in the operation of the centre (figure 9).

Figure 9. The hub and spoke model

Hub

Of next importance is management. Involving youth in the manage-ment and decision-making aspect of CeCs is very important. Managersshould be familiar with the technology, willing to learn, and have aninterest in the needs of the community. The management processes shouldbe flexible, collective and where necessary hierarchical with individualaccountability. The community’s role in management should typically beadvisory; functional management by the community is not necessary. It isimportant to find a strong leader with good communication skills whoenjoys the confidence of the community.How to convert the CeC into a business model

CeCs can create long-term, self-sustaining solutions which reflectlocal needs, but they require local entrepreneurship, which in turn, can fuelthe creation of additional local business community enterprises. The CeCsneed to be made available in larger numbers and information exchangemust be available at lower costs if recent ICT advances are to have asignificant impact on development for the world’s poorest people.

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The business of CeCs can be increased through several value-addedservices, for example by providing access to telephone, fax, voice mail, e-mail, SMS and the web. This will increase demand for further IT trainingand access to computers and applications and information about distancelearning programmes and information (weather, government services, news,entertainment), electronic libraries and publications, databases on appropri-ate technologies as well as connectivity and web space for local institutions(schools, health units, local government, NGOs, SMEs, farmers’ and pro-ducers’ associations).

CeCs can also provide administrative, accountancy and bookkeepingservices; resources for offices, such as business development, marketing andtechnical support; telehealth, telemedicine and continued education to localhealth care workers; as well as e-banking, micro-finance and e-commercefacilities; tools and resources for community organization and participationin decision-making; digital recording of multimedia products for localbusiness and culture promotion – examples might include pictures of arts,crafts, tourist accommodation; and local business facilities. Other servicesinclude providing ICT tools (portable computers, wireless telephones, andaudio equipments) for rental, and providing facilities such as printers,photocopying, scanners, digital cameras, conference rooms, library and TV/VCR equipment; and locally relevant services such as birth and deathregistration, land registry, primary produce processing information anddetailed market prices.

People in poorer communities could gain through increased knowl-edge of everything from food prices to new business ideas. By providingsuch services, CeCs could also become more financially self-sustaining bytaking a percentage of payments made for non-free information, such ashoroscopes or business courses.

In every programme, harnessing the power of partnerships is veryimportant. It is only through partnerships that the gap between “scientificknow-how” and “field-level do-how” can be bridged. Therefore, for CeCprogrammes to succeed they need to ensure they bring in partners fromsectors relevant to their users, for example in agriculture, education,weather, health and business.

I. The Rice Knowledge Bank: what is it and can e-communities benefit?Mr. M.A. Bell, Mr. D. Shires and Mr. A.P. Barclay,

International Rice Research Institute

Farmers regularly identify access to credit, good prices and knowl-edge as major limitations to improving their livelihoods. Although infor-mation and communication technology (ICT) is recognized as holdinggreat promise to help meet information and knowledge needs, there have

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been few examples of success. To capture the promise of ICT, theInternational Rice Research Institute (IRRI) developed the Rice KnowledgeBank (RKB)6 – the world’s leading ICT repository of rice-based trainingand technology information. Since its launch in September 2002, it hasreceived over four million hits. This presentation outlines how the RKBis designed to deliver focused, credible, value-added and demand-driveninformation. The presentation also highlights the role of partnerships inensuring that the information available on the RKB reaches those who canbenefit from it. Highly focused, accurate information combined with a setof committed partners makes ICT successful – it is ICT structured forsuccess.Knowledge – a major need for farmers

The major limitations farmers feel they face, almost universally –irrespective of the country they are in – are credit, price and access toknowledge.

While recognizing the need to work with a range of players toaddress the credit and price gaps, IRRI saw a tremendous opportunity tohave direct impact on addressing farmers’ knowledge gap. In particular,IRRI saw the potential of harnessing the power and promise of ICT toaddress the knowledge access problem.Can ICT really help farmers?

The major question for IRRI was, “if we develop an ICT-basedresource, will farmers really be able to access such knowledge and trulybenefit?” While the statistics for personal computer access across most ofAsia suggest that presently there is little hope, the future may be morepromising. Farmers themselves may lack direct access, but IRRI targetsmany research and delivery partners, such as scientists and agriculturalextension workers (who educate farmers to produce better crops at a lowercost), who do have access. ICT tools are, therefore, available to the peoplewho work with and train the farmers. Further, the proliferation and increas-ing use of Internet cafés suggests that ICT does have potential as a tool toreach farmers directly.

Unfortunately, potential alone is of little use. What is the reality?There is cause for optimism in recent informal studies that indicate thatevery single major NGO and government research and extension partnerhas in its offices personal computers with CD drives, and most offices haveat least some machines with Internet connectivity. ICT tools are availableto the people who work with the farmers.

6 Available at www.knowledgebank.irri.org

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IRRI’s response to knowledge needs and the potential of ICT – theRice Knowledge Bank

Seeing the potential and promise of ICT, IRRI developed the RiceKnowledge Bank (RKB), which contains a wealth of information for ricerelated training and extension, and is the world’s first digital extensionservice. The RKB has received critical acclaim as a tool to distil, store andprovide access to the vast array of IRRI’s training and support knowledgefor rice science and extension (for example, BBC Earth Report, September20047; the Further Readings about the RKB section, below, provides morereviews). This success was not accidental: IRRI devised a clear strategy forthe development of the RKB. IRRI staff recognized that creating a digitalrepository was only a start. There were plenty of other projects that alsohad large “shovel-ware” repositories – sites where anything and everythingrelated to an area were placed. IRRI saw that, in developing countries,major issues needed to be addressed if the RKB were to serve its ultimatepurpose of helping rice farmers improve their rice-based livelihoods whileprotecting the environment. In particular, if the RKB was to be usedeffectively by farmers and their intermediaries, it was critical that itscontent be focused, credible, demand-driven and value-added.Focused

A great temptation when using the immense power of ICT is toinclude as much information as possible – the principle that, “if a little isgood, then more is better.” Given more than 40 years of science andresearch, IRRI was well equipped to pursue this strategy. However, theRKB developers recognized early the importance of ensuring that the siteremain focused, containing only knowledge that is relevant to extension andresearch training and support. This way, the target audience can quicklyidentify knowledge that is directly relevant to it without having to searchthrough large amounts of irrelevant information.

Another aspect of focus relates to the target audience – the ricefarmers of Asia are unlikely to gain regular, reliable access to ICT in theimmediate- or medium-term future. The RKB was, therefore, designed totarget the farmer intermediaries – research and development workers whoalready have access to ICT and need access to information to help farmers.Targeting these people is especially effective because many are alreadyeducated and experienced in training farmers.

7 Further readings about the RKB: “Organized free for all”: Rice Today 2(1); “The RiceKnowledge Bank: strengthening capacity”: International Rice Research Notes 27(2);“Rice Knowledge Bank: a review”: www.adbi.org/articles/29.Rice.Knowledge.Bank/default.php.; “How rice farmers benefit from ICT”: www.new-agri.co.uk/04-4/focuson/focuson3.html; “Rice could get a bounty crop, thanks to the Net”:www.expresscomputeronline.com/20030106/indcomp2.shtml

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CredibleA search of the Internet using the keyword “rice” results in some

12.8 million “hits” – but which of these can you believe? To address thisproblem, IRRI ensures that the RKB content is credible and accurate. Toachieve this, IRRI instituted and maintains a rigorous quality-control pro-cess, which involves sign-off on content by the relevant IRRI scientists andreview by RKB staff. With these mechanisms in place, combined withIRRI’s 40 years of proven research results, users can be confident about thequality and relevance of the knowledge in the RKB.Value added

The RKB is value-added because it is available in a range of formssuitable to the needs and circumstances of the target users. All the knowledgeis assembled and then made available either online, on CD-ROM or in print.The RKB’s structure makes it a single-source publishing resource.

It was felt strongly from the beginning that RKB content should notjust be a series of computer files online. Rather, the RKB presentsinformation in forms that make the knowledge more accessible and moredirectly usable. Examples of this include:

• Decision support tools (TropRice and Rice Doctor), which arecomputer programmes that lead users easily through a process tosolve their particular problem and find possible solutions

• Fact sheets that present the distilled essence of topics in one ortwo pages, these “how to” sheets allow practitioners to actuallyimplement practices

• Reference guides on field-related information that are concise andeasy-to-read, the RKB does not include the original scientificpapers but rather draws on best practices in the private sector topresent information in an easy-to-use, fully indexed, book form

• E-learning courses that have been created to capture and presenta selection of key training topics in a form that users can accesswhen and where they want and at a time of their own choosing

Demand drivenThe RKB team recognized that long-term success depended on

access methods and content that is driven by user needs. This is ensuredthrough IRRI’s extensive in-country networks, which continually identifycountry needs and provide feedback on the relevance and ease of use ofthe RKB. In addition, the RKB site has extensive, up-to-date usagestatistics – providing information on the most searched-for topics and keywords – that help refine analysis of needs.

One particular demand-driven innovation is the development ofcountry-specific sites. These sites, the links to which sit under national flagicons on the RKB homepage, contain the best and most relevant localknowledge provided by users in each country. Much of this information isin the local language.

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Utilised – the ultimate definition of success?The ultimate success of the RKB is defined by more than just the

amount of access to the information. It is also dependent on how success-fully the knowledge is applied to farm practices.

One heartening example highlights this process in action. Uponwalking into one of the cramped Internet cafés that dot the roadside in theimpoverished rice-growing areas of north-eastern Thailand, Mr. Ragat Nag,Director General of the Mekong Department of the Asian DevelopmentBank, noticed an enthusiastic group of youngsters taking delight in showingtheir parents how to use a computer. What intrigued Mr. Nag most waswhat the children were showing their parents. Choosing to ignore the latestcomputer games, they were viewing pages from Rice Doctor, a diagnosticprogramme developed by IRRI to help rice farmers manage rice pests anddiseases, and translating the relevant pages into Thai for their parents.

Although encouraged by this type of story, IRRI knows that riceknowledge rarely flows this directly from IRRI, through the Internet, tofarmers. As a result, IRRI focuses its ICT and knowledge-disseminationefforts on the intermediaries – those staff members of national agriculturalresearch and extension systems (NARES) and other partners such as NGOswho run extension services. These are the real target users of the RKB. Inother words, IRRI trains trainers, who then adapt IRRI research methodsand recommendations to local conditions and relay them to farmers.

There is little doubt about the success of access to the RKB. The sitehas registered over five million hits since its inauguration in September 2002and the number of users continues to grow. At present, the RKB averagesjust over 1,000 visits per day at an average of 12.40 minutes per visit. Thisequates to almost 10,000 person-days of “training” per year delivered topeople where they want it, when they want it. Some argue that this form oftraining is even more effective than traditional face-to-face methods, as theparticipants get information on exactly what they want. The access statisticsdo not include internal IRRI traffic or use of the many thousands of RKBCDs already distributed. While the RKB team is happy with these numbers,it aims to turn access into application. Thus, the RKB project continues tolook for better ways to ensure application in both the classroom and thefield. User feedback tells us that such application is happening, and it is infield application that we hope to see continued growth.Future of the RKB – application

This presentation has so far established what the RKB is and that itis being widely accessed, but what of the second question in this presenta-tion – “Can e-communities benefit?” The authors feel that e-communitiescan and are accessing the RKB, but for real success the RKB must bemore cohesively linked to field activities. The RKB team is encouragingeffective application by developing relevant content that grows along within-country partnerships. The RKB will continue to develop: 1) targetedcontent with the addition of more locally-sourced and validated content,

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and 2) extension of RKB application and use in countries across the regionby government organizations, NGOs, universities and training partners,particularly in linking access to field-oriented activities.

All future development will continue to ensure that the RKB’s focusremains strong, its content always targeted, up-to-date and accurate, andthat effective in-country use of this content meets the demands of farmerintermediaries and farmers.

Plans are in place to further improve content and to link the RKB to aparticipatory approach in field delivery, ensuring that knowledge not onlybecomes more widely available, but also more widely applied to help farmers.Success depends on changing old linear delivery modes to participatorymodels that bring together partners skilled in technology (the researchers),delivery (the extension experts) and relevance (inclusion of farmers as keypartners). While such efforts are easy in concept, there is no doubt thatultimate success relies on the hard work of the many field workers who makescience a reality by turning ideas into practice and by supporting the oldsaying that “seeing is believing” or the old Chinese proverb: “When I hear, Iforget; when I see, I remember; when I do, I understand.”

The RKB team will improve participation by:1. Working with selected partners who have ICT access and skills,

and who are also committed to training and field delivery. IRRIwill help make the knowledge and skills gained through the RKBmore accessible to other in-country partners (extension workers,for example) at a time and place of their own choosing.

2. Expanding the quality and scope of the country-specific informa-tion by capturing the best local knowledge available, thus ensur-ing that RKB material remains demand-driven and easy to use.

3. Transferring to national systems the considerable knowledge ofhow to develop, maintain and use ICT-based knowledge banksin agriculture. This will help national systems develop their ownrice knowledge banks with whatever information they decidemeets their farmers’ needs. They will also be able to transferthis knowledge to the field and to other crops. IRRI will helpnational systems develop their own knowledge banks.

The RKB VisionThe vision that IRRI has for the RKB remains essentially unchanged

since its conception – the RKB aims to provide necessary, accurateinformation in the most appropriate form for the target audience. Thecurrent vision states:

“IRRI’s Rice Knowledge Bank is the world’s leading providerof rice-related training and technology information, used byfarmers and people who help them to improve the livelihoodsof rice-dependent communities”.

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J. Stakeholder partnerships for ICT in rural communitiesMr. Sahdev Singh and Mr. Dilip Shinde,

Asian Institute of Technology

IntroductionIn recent years, the term “multi-stakeholder partnership” (MSP) has

gained much currency in development circles. However, there are fewdocumented examples of truly effective MSPs in the realm of Informationand Communication Technologies for Development (ICT4D).

MSPs are about partnerships that are greater than the sum of theirparts and about creating lasting and meaningful impact at all levels ofaction. They are meant to promote a more holistic approach to developmentand better governance. Principles governing the management of multi-stakeholder ICT4D partnerships for sustainable development include:

1. Know when to apply a multi-sector ICT partnership2. Before agreeing to enter into partnership, weigh its merits

against the alternatives and risks3. The interests of all partners should be mutually reinforced4. Successful partnerships are built on complementary competen-

cies and resources that, in combination, meet the parameters ofsome strategic design

5. The resources and competencies contributed to the partnershipshould be drawn from as close as possible to the core businessof the partner organizations

6. Consensus should be sought for a written document identifying:the shared vision of the partnership; the objectives of eachpartner; and the division of roles and responsibilities

7. When evaluating the outcomes of multi-stakeholder ICT partner-ships, care should be taken to identify the incremental contribu-tion of the partnership activities over and above external factorsand the next most likely alternative

Stakeholder perspectivesDifferent types of organizations in society view multi-stakeholder

partnerships in different ways.Business perspective

From a business perspective, no single company can deliver on themyriad of expectations surrounding sustainable development articulated byall its stakeholders: staff, shareholders, customers, suppliers, regulators andlocal communities. The reputation of the business, its ability to managenon-commercial risks, its capabilities to meet both internal and externalrequirements for corporate social responsibility, and its ability to realizeopportunities for growth that benefits those socially excluded, will alldepend on a business model that fully exploits its core competencies, whilst

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concurrently partnering with other organizations who can bring the neces-sary complementarities to form more complete solutions. From this perspec-tive, multi-stakeholder partnerships for sustainable development are thus nodifferent in many of their principles from conventional business-to-businessstrategic alliances.Public sector perspective

In the context of the dual forces of economic liberalization and theproliferation of (or demand for) democratic decision-making, both centralgovernment and municipal authorities find it increasingly challenging toachieve the right balance between their wide range of civic duties relatingto sustainable development. Regulation of the free market is needed toensure corporate responsibility, the promotion of foreign investment tostimulate employment opportunities, social inclusion, environmental protec-tion, the provision of affordable public services, and responsive governance.In this context, it is not surprising that there are increasing numbers ofexamples of government departments and agencies seeking partnering op-portunities with business and civil society organizations in order to enhancetheir capacity to administer the challenges of sustainable development.Civil society perspective

The size and influence of this “third sector” has been increasing inthe last two decades. Recent international studies of its economic contribu-tion have shown it to be significant and growing – particularly in devel-oped countries where a substantial proportion of social services are deliv-ered through civil society organizations (CSOs). Likewise, in developingcountries, an increasing proportion of development aid is being deliveredthrough CSOs. Civil society groups can either play an advocacy or cam-paigning role, or they can become part of the solution, drawing on theirlocal knowledge, capacity for innovation and trust of the general public tocontribute in partnership to sustainable solutions.Definitions of multi-stakeholder partnershipsThe Bali principles

A set of principles for multi-stakeholder partnerships was drawn upin a preparatory conference in Bali, Indonesia8 in 2002 as input to theWorld Summit on Sustainable Development. Designed for so-called “TypeII” partnerships, the principles are as follows:

8 “Annex: Guiding Principles for Partnership for Sustainable Development (‘type 2outcomes’) to be Elaborated by the Interested Parties in the Context of the WorldSummit on Sustainable Development (WSSD)”, in the Vice-Chairs’ summary of theinformal meetings of the Fourth Summit Preparatory Committee (PREPCOM 4), Bali,Indonesia, 7 June 2002, <http://www.johannesburgsummit.org/html/documents/prepcom4docs/bali_documents/annex_partnership.pdf>

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Partnerships should:• Help achieve the further implementation of Agenda 21 and the

Millennium Development Goals, consistent, where applicable, withsustainable development strategies and poverty reduction strategies

• Be voluntary and self-organizing• Be based on mutual respect and shared responsibility of the

partners involved• Have a multi-stakeholder approach, arranged among any combi-

nation of partner• Be international in their impact, beyond the national level

Multi-stakeholder ICT partnerships – a definitionOne of the dangers of the current “partnership” movement is that the

idea is fast becoming an ‘end in itself’, rather than a “means to an end.” Theconclusions of the Digital Opportunities Initiative9 (DOI) suggest that sinceICTs are in practice “enablers” of sustainable social and economic develop-ment, multi-stakeholder ICT partnerships (i.e. strategic compacts betweendifferent ICT players) are likewise enablers and not ends in themselves. TheDOI concluded further that the complexity of meeting the challenge of ICTas an enabler of sustainable development requires a holistic approach. Thefirst stage of any multi-stakeholder partnering process is therefore to identifythe “design parameters” of the desired solution. Only then can one scansociety to find partners with the right suite of competencies, resources andincentives to collaborate in successful implementation. Drawing on theseideas, and the language of the DOI, a new definition for multi-stakeholderpartnerships in the field of ICT sector is proposed:

Multi-stakeholder ICT partnerships are alliances between par-ties drawn from government, business and civil society thatstrategically aggregate the resources and competencies of eachto resolve the key challenges of ICT as an enabler of sustain-able development.

The partnering processMulti-stakeholder ICT partnerships for sustainable development will

invariably involve new forms of collaboration between non-traditional parties.Partners may, therefore, have quite different organizational cultures, ways oftaking decisions, perceptions of accountability, methods of working and modesof behaviour. A key principle of successful partnerships is their ability tosatisfy the drivers and interests of all the partners. Effective partnerships haveto manage cultural differences, build trust and satisfy underlying interests. Thisrequires effort to be placed not only on structural components of the partnership– the objectives and division of roles within a partnership – but also on thedesign of the process of multi-stakeholder partnering itself. Although the“partnering process” is likely to be different for different types of partnerships,there are some common steps (figure 10). These are discussed below.

9 Digital Opportunity Initiative, Creating a Development Dynamic: Final Report of theDigital Opportunity Initiative, DOI Report 2001 <http://www.opt-init.org/framework.html>

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Partnership explorationDrawing on the principal conclusion of the DOI, namely that ICTs are

enablers of sustainable development rather than ends in themselves, the firsttask in developing a multi-stakeholder ICT partnership is to understand whatthe development goal is that the partnership is intended to deliver. In thefirst instance, this is most likely to be chosen by the organization that is selfelected to convene the initial discussions, and is usually developed as asimple and consistent “theme.” Over time this theme often transforms, byconsensus, into the overall vision or leading objectives of the partnership.

A frequent error of any organization contemplating entering into apartnership arrangement is to launch into discussions with others beforefully understanding their own needs and interests. These include:

• The organizational drivers and interests to be served by thepartnership

• Which in-house activity, programme, management system ordepartment the partnering process and resulting partnership willintegrate with

• The organization’s negotiating strategy during the early consulta-tion period

• The anticipated benefits of the partnership weighed against thecosts and risks

Working through these steps will enable each prospective partner tojudge the merits of entering into collaboration. However, once this assess-ment is complete it is still not certain that a partnership will develop.Before this can happen a degree of “buy-in” has to be generated withinsuitable partner organizations. A targeted process of consultation is the bestway to secure this. The consultation should:

• Establish channels of communication with a range of potentialpartners and interested parties

BROKERING

2. Identify the designparameters of initiative

1. Identify the sustainabledevelopment outcomes

9. Evaluate performance andre-negotiate if necessary

1

23

4

5

6

78

9

8. Implement and monitor commitments

3. Identify potential partners

4. Scope the range ofresources and competenciesavailable to deliver designparameters

5. Identify the underlyingstrategic interests ofpartners: business, govt,civil society

6. Negotiate the PartneringAgreement

7. Build capacity toimplement

PARTNERSHIP

EXPLORATION

PARTNERSHIP

MAINTENANCE

PARTNERSH

IP

BUILDIN

GFigure 10. Common steps in the partnering process

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• Develop the strategic design parameters of the partnership dia-logue or solution that will deliver the agreed sustainable devel-opment goal, i.e. “requirements modeling”

• Identify those parties best positioned to bring the right resourcesand competencies to meet the design parameters, and assesstheir likely capacity to implement the future commitments

• Agree on a process by which the partners will consult/ negotiatethe terms of the partnership

Partnership buildingA partnership will not progress unless all parties are able to reach

consensus over how their underlying interests will be fulfilled and who willtake responsibility for what action. What should be avoided is any one partnerdictating the objectives and terms of the partnership. Building agreement overthe details of any collaborative arrangement requires all partners to adopt astyle of negotiation that accommodates differences in both culture andinterests, and still achieves consensus. Conventional “adversarial” styles ofnegotiation often lead to “win-lose” outcomes and are therefore, a poor basisfor developing mutually reinforcing partnerships. More likely to be effectiveis a consensual, “win-win,” style of negotiation, where mutual understandingand a “celebration of difference” are key features.

Central to the effectiveness of multi-stakeholder ICT partnerships is thequality of resources and competencies committed by each party, and the degreeto which these match the required design parameters. In addition to the moreobvious resources and competencies, there are also those that are “hidden” andyet which might play a key part in the success of the partnership. Theseinclude staff secondments, local knowledge, office and other standardequipment, project management skills, administrative services, mediationskills, influence over and access to key individuals, willingness to adopt aleadership role, an ability to borrow capital at low interest rates, and a capacityto leverage resources from others. Once the vision and objectives of thepartnership are agreed upon, along with a work plan outlining the division ofroles and resources and other required structural components, the final task isto ensure that the partners have the capacity to implement their commitments.Partnership maintenance

Whether in networking, dialogue, hardware or software types ofpartnership, as the partners begin to work together there are bound to betensions. Over time, the partners may need to convene to re-negotiatecertain aspects of their original set of agreements, including, for example,the range of resources committed, key roles of certain partners, and theaddition (or deletion) of new objectives or partners. Conventional organiza-tional management tools such as SWOT analysis and decision-trees haveproven to be useful at this juncture.

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The need to adapt the configuration of multi-stakeholder ICT partner-ship over time is likely to derive from one or more of the following causes:

• Unanticipated behaviour of, or between, the different partners• Design parameters that lack the strategic complexity to deliver

the intended sustainable development outcome• Insufficient capacity of a partner organization to implement its

resource commitments or roles• Changes in the external business or political environment• Completion of agreed “milestones” in the work plan (e.g. the

end of the design or construction phase, or the planned reviewof a “pilot” or beta site)

In addition to occasional re-negotiations, the partners need to be inregular communication with each other, to prevent differences from escalat-ing into disputes, and to solve problems jointly and creatively. The more thepartners interact, the more likely it is that the partnership will be successful.Multi-stakeholder ICT partnerships in international developmentThe Global Knowledge Partnership and ICT4D

The Global Knowledge Partnership (GKP), founded in 1997, is aworldwide network committed to harnessing the potential of ICTs forsustainable and equitable development. Within the GKP framework, govern-ments, civil society groups, donor agencies, private sector companies andinter-governmental organizations come together as equals to apply ICTs fordevelopment (ICT4D). GKP recognizes that “access to information andknowledge is essential if the disadvantaged, the marginalized, and the poorare to improve their lives and lives of their children.” In the context ofinternational development, the GKP views multi-stakeholder ICT partner-ships as the combined efforts of the public and private sectors and civilsociety stakeholders to:

• Better inform policy and decision-making on development• Encourage shared commitment to common development goals• Increase the impact and extend the reach of ICT development

initiatives• Leverage human and financial resources• Maximize the outcomes of applying ICTAt the second GKP conference in March 2000, delegates highlighted

the importance of multi-stakeholder ICT4D partnerships, recommendingthat, “the GKP promote the creation of multi-stakeholder partnerships toincrease access to ICTs.”10 In response to this, in January 2003, GKP led a

10 Global Knowledge Partnership (2002). “Report of the Global Knowledge Forum Pro-ceedings”, proceedings of the second Global Knowledge Conference (GKII) (KualaLumpur, 2000), p.51 <http://www.globalknowledge.org.my/gkf_report.pdf>.

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workshop on the theme, “ICT at the service of development – multi-stakeholder initiatives and lessons learned”. As part of the challenge to“create” multi-stakeholder ICT4D partnerships, the GKP has agreed toorganize the ICT4D Platform of the World Summit on the InformationSociety (WSIS). The Platform will showcase a number of multi-sectorICT4D partnerships and, it is hoped, begin the task of developing astrategy for formulating pioneer partnerships integrated with the dual-summit format of the WSIS process.The persistent challenges of ICT4D

ICT can make a significant contribution to poverty reduction anddevelopment in the developing world. ICTs can improve the effectivenessof disaster relief, for example, through speeding procurement of the moreurgent types of humanitarian assistance; enhance the efficiency of healthservices, in the form of improved record keeping, more accurate diagnosisand information exchange on prevention; and provide access to educationalservices, for example through distance learning. ICTs are also a means ofimproving the responsiveness of government to local priorities, disseminat-ing information and opportunities for rural producers and poor urbandwellers to tap into new markets or find employment, and for engagingcivil society and business in the reform of public sector institutions.

Beyond these more obvious applications, there is growing interest inthe value of ICT in international development for two further reasons. Therange of communication types available should mean that different tech-nologies can be strategically selected to offer the closest fit with the needsof poor communities. For example, communities within microwave radioreach of fibre optic cable links can make use of a range of Wireless LocalLoop (WLL) technologies such as the corDECT system. For those moredistant from the countries’ infrastructure backbones, or in hilly terrain, VerySmall Aperture Terminal (VSAT) satellites are now available and activelypromoted by some international development agencies. Connectivity basedon VHF or UHF wireless technology is another, narrowband, option.

The second is concern over the low level penetration of ICT in thepoorer regions of the world. Some interpret this as a future opportunity forbusiness, namely that the mass of rural populations offers an as yet untappedmarket. Others view the lack of ICT penetration less as a business opportunityand more as a moral imperative for poverty reduction. Either way, asChapman and Slaymaker11 argue, “The contradiction between the potential forICTs to address the challenges faced by rural and urban development, and thecurrent failure to harness them for this purpose, is striking.”

11 Chapman, Robert and Tom Slaymaker (2002). “ICTs and Rural Development: Review ofthe Literature, Current Interventions and Opportunities for Action”, Working Paper 192,London, Overseas Development Institute, <http://www.odi.org.uk/publications/working_papers/wp192.pdf>.

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The challenges to achieving greater ICT access for poor communi-ties and the subsequent utilization of this access to reduce poverty aremany. They include the ineffectiveness of the regulatory regime to attractnew investment; the design of ICT transactions with the private sector thatfail to deliver affordable ICT solutions; unprofitable business models forrural ICT access; ICT strategies that fail to exploit the diversity oftechnologies; and content that is irrelevant to the poor communities.

K. A survey of rural kiosks in IndiaMs. Karishma Kiri, Director, Rural Computing

Initiatives, Microsoft Corporation

IntroductionBy some estimates, there are as many as 150 rural PC-kiosk projects

across India, many of which already have, or are planning, thousands ofinstalments. Most of these projects were started within the last five years,riding on India’s booming IT industry. Reflecting the nation’s diversity,these initiatives differ in goals, models, operating paradigms, and geo-graphic distribution. Every sector is involved – large enterprise, entrepre-neurs, universities, government, and NGOs – with motives ranging fromturning a commercial profit, to driving socio-economic growth, to stream-lining government bureaucracy.

Rural kiosks could provide the first computing experience for asmany as 700 million people in India. The sheer number of such people isdifficult to ignore. Indeed, the recent Indian election results are an indica-tion of this segment’s frustration and provide a loud reminder of itscollective influence. In this political climate, rural technology initiativeswill become even more important.

Although the average member of this demographic group lives onless than a dollar a day, even conservative estimates today suggest thatrural India has an aggregate discretionary income of US$ 2 billion per year.Yet, they struggle to obtain basics such as drinking water, food, shelter,electricity, and proper healthcare. Despite this, they will often spend whatlittle they have to purchase goods and services beyond these necessitiesthat promise a better life. One of the questions raised in this presentation iswhether computing technology can play a key role in the socio-economicdevelopment of rural areas.

Early evidence indicates that rural kiosks help impoverished villagersimprove their standard of living by expanding livelihood options andempowering them with information, tools, goods, and services (such aseducation and healthcare). The true challenge is in finding ways to deliverthis benefit broadly and consistently, while making kiosk projects economi-cally sustainable in the long term. As would be expected when the world’smost advanced technologies are dropped in the middle of pre-industrialfarming communities, great innovation is required at the interface, bothtechnically and in terms of sustainable business models.

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Points of entryParticipants in the rural kiosk space enter with different agendas.

One way to segment kiosk projects is by looking at who and why – whostarted the project and for what purpose. Along these lines, we can broadlysplit kiosk projects into commercial initiatives run by large enterprises,community-oriented entrepreneurial projects, and government-led initiatives.Commercial initiatives

Large enterprises see immediate or future opportunities in ruralmarkets. Naturally, increasing the corporate bottom line is a primary driver.Kiosk projects may also raise a corporation’s public profile, as they tend togenerate positive press, especially if the projects demonstrate lasting valueto the constituent villagers. One prominent example of a commercialinitiative is ITC’s e-Choupal, which supplies market information throughvillage kiosks to entice farmers to sell directly to ITC. Similarly, EID-Parryin Tamil Nadu supplies sugarcane farmers with agricultural information.Other examples include ICICI’s rural banking and micro-loan services andHindustan Lever Limited’s e-Shakti online store for rural markets.

Backed by large corporations, these projects tend to be independent,self-reliant, and interested in extending their core businesses. Although,they are not driven primarily by a desire to spread computing technology tovillages, many observers believe that these projects will endure in the long-term, because their business case is soundly established.Entrepreneurial initiatives

Many kiosk projects are run by community entrepreneurs, often in closepartnership with NGOs and non-profit foundations. Although it may seemstrange to lump entrepreneurs and NGOs in one category, they are actuallydriven by similar goals with respect to kiosks: The entrepreneurs are eager toservice their communities’ needs while making a profit, and the NGOs areintent on having social impact that is economically sustainable and scalableover time. Drishtee, for example, was spun off from an IT service company tobetter serve its goal of “connecting India village-by-village.” n-Logue,incubated by a group including university faculty and entrepreneurs, has asimilar vision. TARAhaat is a start-up initiated by a non-profit organizationthat aims to help develop rural communities via Internet-based services.

Most of these projects are experimenting with different services andexpansion plans. One unique characteristic of this group is that they seetechnology as a key component of their mission. They want to see theconnected PC playing a key role in empowering villages. Thus, creativeuses of the kiosk PC are encouraged, beyond any one specific application.Government initiatives

National and state governments have increasingly focused on intro-ducing IT to rural areas. They are driven by a desire to build IT capacityamongst their citizens, to stimulate economic growth in villages, and tostreamline bureaucratic processes. Examples include Kerala’s Akshaya

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project, which seeks to make 100 per cent of the State’s householdscomputer literate, and Bhoomi, in Karnataka state that enable citizen toaccess land records online and through kiosks.

The Government supplies much of the seed investment for theseprojects, and in many cases also subsidizes operating costs. Computerizedgovernment services seem likely to endure, especially where they replaceolder bureaucratic processes or are tied to fundamental government-to-citizen (G2C) needs, such as land records or education.Usage scenarios and benefits

In industrialized nations, the connected PC offers convenient accessto information and services that are already available offline. Inunderserved communities, this benefit is more pronounced and goes farbeyond mere convenience. In many cases, a kiosk brings to the villagerinformation that once was practically unavailable, and services that tookdays of costly travel are now within biking distance. One study showedthat each kiosk typically saves a village US$ 15,000 annually in costs oftrips into town and lost wages.12

So, the value of a connected PC in a village can be immense.Enumerated below are some of the more common usage scenarios. Al-though any given kiosk is unlikely to provide all of these services, noneare able to survive without offering at least a few:

• E-government: National and state governments are both eagerto computerize their bureaucracies where possible, and entrepre-neurs, such as Drishtee, have entered the market to aid theGovernment in making services widely available. Applicationsrange from filling out forms, applying for licenses and birthcertificates, filing petitions and grievances, and printing landrecords (used frequently in official business), and so forth.

• Education: In most cases today, “education” at rural kiosks isabout computer-skills training. Those with even just a basicfamiliarity with word processors and spreadsheets become eligiblefor relatively well-paying data-entry jobs. In some kiosks, typinglessons are also a source of income. In a few cases, a kiosk offerstutoring services or distance learning for academic fundamentals.Results of school entrance exams can be accessed at some kiosks– this service is in great demand during certain times of the year.

• Communication: Projects such as n-Logue offer communica-tion services that leverage their unique connectivity solution.These wireless connectivity solutions also provide some villageswith their only phone. For younger customers who are curious

12 Based on a 2004 study by Digital Partners and Intel that polled 30 kiosks in threestates with village populations averaging 5,000 residents.

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about computers and life elsewhere, e-mail and chat becomeinstant favourites. Less popular, but not unheard of is videoconferencing. In some regions, VoIP is growing in popularity,especially for those who have relatives overseas.

• Agriculture services: Many kiosks are intended to provideaccurate and relevant information to the working villager. Marketprices for agricultural products, discussion boards for farmers, andremote consultation with experts are common applications. Usersmay be suspicious of information delivered through kiosks at first,but will issue test questions to the system to verify its usefulness.

• Entertainment: Video games are a driving application at afew kiosks, mostly among pre-teen kids. Photo services – rent-ing digital cameras and selling prints – are very popular inkiosks that have this capability. In certain areas, listening tomusic, receiving sports updates or watching videos are common.However, at one kiosk visited, the kiosk operator preferred notto allow movie watching, as it dominated kiosk usage.

• Community/religion: Job searches on the Internet are not un-common. Astrology is taken seriously in many communities, andbelievers will pay for computer-generated horoscopes. One kioskoperator was able to post a profit solely from sales of astrologi-cal charts. Matchmaking services are also quite popular – oftenthese services are utilized by the family of the prospectivebrides and grooms.

• Professional services: Health services (telemedicine) can beprovided over the Internet, either through e-mail or video-conferencing. Also, banks and insurance companies have begunto tap into the large rural market, by offering basic servicesonline or at nearby kiosks.

Beyond the obvious surface value of these applications, rural kiosksalso contribute immediate and lasting gains to their local economies. Forone thing, the kiosk itself often provides a new livelihood for the kioskoperator and brings with it both income and respect. Most operatorsexpress unqualified satisfaction with their kiosks – even when struggling tobreak even. Another boost comes from computer-skills education and typinglessons which can make a student eligible for data-entry jobs that payrelatively well. Moreover, timely access to fair market prices can consis-tently bring as much as several percentage points of additional profit tofarmers for their produce (figure 11).

Lastly, kiosks have some less quantifiable, but socially significanteffects. In many cases, a kiosk not only brings the first PC to a village, butthe first tangible presence of state government or local enterprise. Thekiosk can therefore, help to build trust between villagers and the organiza-tion implementing the kiosks. Within the village itself, kiosks can contrib-ute to social cohesion. Often as a result of the entrepreneurial efforts of thekiosk operators, or the nature of kiosk-related activities, groups of villagers

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are brought together, quickly establishing the kiosk itself as a social centre.A final example is increased opportunity for women. Many kiosk operatorsare women, and for them, the kiosk represents an empowering livelihoodoutside of traditional village roles.

Figure 11. Proud kiosk operators in Tiruvallur,Jategao and Ding Mandi

Needs and challengesGiven their placement in rural locations among impoverished popula-

tions, it is not surprising that rural kiosk projects face similar challenges,even amidst the diversity in geography, culture, and language. In projectafter project, the same obstacles arise.

Most projects face the same operational hurdles, first, when setting upkiosks and later, in trying to generate enough revenue to sustain themselves:

• Start-up costs are high: The minimum cost for a single kioskinstallation is typically around US$ 1,000 – the yearly incomeof a rural villager – including both hardware and software. Mostoften, this investment is made by the village kiosk operatorsthemselves, the majority of whom will be required take out aloan (some will take advantage of government loan programmesdesigned for the poor).

• Infrastructural obstacles are severe: Many villages only havepower for a few hours a day and telephone landlines extend at mostto 4 per cent of the rural population. These problems are mosteasily handled with hardware solutions. These solutions, however,add to the total start-up cost for a kiosk (up to US$ 6,000) and itremains unclear whether this cost can be made up in the long run.

• Kiosks are critically dependent on good kiosk operators: At thekiosks themselves, the single most reliable predictor of revenueappears to be the entrepreneurial capacity of the kiosk operator.So, successful kiosk projects expend a lot of resources identifyingpotential operators and training them. Preferred traits include asecondary school education, experience with a business, marketingsavvy, middle-to-high social standing in the village, and a family –children often are quickest to pick up new technology, and siblingsand parents can help run the shop. The better training programmes

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run for at least several sessions and teach skills ranging frommouse usage to basic bookkeeping and marketing.

• Kiosks are sensitive to location and population density: Greaterfoot traffic leads to greater returns. Some of the more profitablekiosks include: one located in a government office complex, andthe other in a successful “mom-and-pop” pharmacy, located righton the town’s main avenue. Some projects will also specifyconditions for a village’s eligibility for a kiosk: a minimumpopulation (e.g. 5,000), greater or lesser accessibility from cities,and relevance to the project leader’s core business (e.g. crop type).

• There is no single killer application: Different applicationsmake different kiosks successful. There is no one class ofapplications that works at all locations, and the primary generatorof revenue at kiosks differs from village to village. Adaptation tolocal needs is necessary if a kiosk project hopes to endure.Diversified offerings also help – gradually, rural kiosks appear tobe converging upon offering a smorgasbord of applications.

Rural kiosks, of course, demand considerable innovations in technol-ogy. Indeed, some kiosk projects claim that their primary contribution isitself technological (as with n-Logue’s connectivity solution). The standardPC set-up that works in first-world white-collar offices works surprisinglywell in rural environments, but there are still a few additional technicalproblems that should be addressed. In hardware, for example, there arechallenges in the following (figure 12):

• Power management: Batteries, solar power, UPS, and genera-tors offer more reliable power, but further innovation in low-power systems and power management is valuable.

• Connectivity: Poor connectivity is handled through VSAT satel-lite dishes or specially developed wireless access solutions (e.g.n-Logue’s corDECT). Mobile wireless, WiFi, and WiMAX tech-nologies are likely to become more important as time goes on.

• Rugged hardware: Rural PCs are often located in dusty roomswith poor ventilation and no air conditioning. Hardware that isrobust to these conditions and to extremes of weather is desir-able. Inexpensive solutions in common use against dust includevinyl covers and plastic bags wrapped over equipment.

Most kiosk operators consistently mention two features they wouldlike to see:

• Language localization: This is a frequently asked-for feature.Some percentage of villagers can read in their local language,but are less than comfortable with English. Even where thekiosk operator is able to understand English, he or she willrequest language-localized versions of software for the sake ofother villagers or for his/her own ease of use.

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• UIs for the illiterate and semi-literate: Many kiosk users wantsimplified UIs that do not require fluent literacy. One kioskoperator, for example, suggested that the PC should be able tosay words aloud when moving the mouse over text.

Other features that could help rural kiosks include the following:

• Automated PC management: Because kiosk operators haveminimal training with PC management, there is a need forsecurity features, system-lockdown capability, and portable pro-file management. Remote management might also be a possibil-ity, but poor connectivity must be taken into account.

• Disconnected or very-low-bandwidth operation: Since connec-tivity can be unreliable, features that offer nearly seamlessoperation bridging connected and disconnected states would appearto be useful (e.g. automatic download of data when connected).

• Transliteration and translation software, multilingual sys-tems: India is extremely diverse in the number of languagesspoken, and no single language is a nationwide lingua franca.Thus, systems which allow communication across language bar-riers and allow easy switching between languages seem useful.

• Speech-based UIs and alternative input devices (e.g. pen):Again, these would address issues with literacy and unfamiliaritywith mouse and keyboard.

These latter features are those that we, as sophisticated computerusers, imagine would be useful given our observations. But rural villagersexhibit a lot of patience with their software. Most seemed quite happy tolearn the sequence of steps required to engage with the PC – for them, anyinconvenience due to deficiencies in power, connectivity, or usability, palesin comparison to the alternatives, which might require lengthy trips into thecity or tortuous dealings with absurd bureaucracies.

Figure 12. Kiosk hardware: n-Logue wireless access tower,solar-charged lamp and UPS, VSAT satellite dish for connectivity

Other salient characteristicsBeyond usage scenarios and challenges, there are a few additional

traits that most kiosk projects share.

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• All projects have the socio-economic development of ruralregions as a goal: This motive extends even to the front lines –one kiosk operator applied his profits toward a community handpump. On the kiosk side, target customers are motivated by adesire to improve their living conditions, in contrast to Internetcafé-goers who mainly seek entertainment or social interaction.

• Government is frequently involved: Many kiosk projects starteither as government initiatives or as entrepreneurial projects tobring government services to rural areas. Even projects thatbegin as purely commercial ventures often end up partneringwith government. Especially as a project scales to hundreds orthousands of villages, the cooperation of government is neces-sary and can expedite expansion.

• The leading kiosk projects develop their own content asweb-based services: This strategy allows the centralization ofdevelopment efforts, easy language localization, and reliabletransaction monitoring.

• Business models are still being tested: Most projects arewrestling with different approaches and offerings; breaking evenas a business is not trivial. On the other hand, if kiosks succeedin achieving economic growth for rural communities, it changesthe business landscape they operate in, possibly weakening theirown raison d’être. Whatever the case, the future of rural kiosksis difficult to predict.

One thing that seems certain is that kiosks will probably evolverapidly and dramatically before reaching equilibrium. Many projects willfail. A few will survive – though not necessarily in their current form.Alternatives to PC-based kiosks

Mobile phones seem the most likely candidate to serve as a viablealternative to PC-based kiosks. In emerging markets worldwide, mobilephones have spread with unforeseen speed. Leap-frogging landline infra-structure, mobile phones are becoming common even among the poor.Providing connectivity at reasonable costs and increasingly greater process-ing power, they could easily supplant PCs as the gateway to informationand electronic services. In particular, of the seven classes of kiosk applica-tions listed above, only one or two are dependent on the PC as such.

It is also possible that the most compelling scenarios will be hybridexperiences, where a shared-access kiosk provides a full Internet experienceoccasionally, and pre-paid mobile phones provide a shallow experiencecontinuously. Neither mobile providers nor computing firms have emergedwith such a solution thus far.

Aside from mobile phones, other hardware that could bring computingto rural populations include TV set-top boxes and other low-cost form factorsthat offer a feature-poor computing experience. Both of these approachesdramatically reduce the cost of hardware, which is the one input cost that has

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a hard lower bound. Such devices could be paired with web services thatprovide much of the frequent-use functionality in PC kiosks.

L. From a small beginning to a mass movement – National Alliancefor Mission 2007: Every village is a knowledge centre

Mr. S. Senthilkumaran, Associate Director, Informatics Division,M. S. Swaminathan Research Foundation

Despite outstanding achievements in the areas of ICT and hightechnology, two state governments belonging to two different parties in thegeneral election of India early this year have failed to return to power, largelybecause the rural poor felt that the benefits of these technologies did not reachthem – a point consistently made by Professor Swaminathan ever since theM.S. Swaminathan Research Foundation (MSSRF) was established in 1991.

MSSRF held an Interdisciplinary Dialogue on Information Technol-ogy: Reaching the Unreached in January 1992 with the support of IDRC.The dialogue revealed that the future of food security in the developingworld, especially South Asia, is dependent less on resource intensiveagriculture than on knowledge intensity. The concept of Information Villagecan be traced to the dialogue in 1992.

MSSRF believes that information and communication technologiescan play a major role in environmentally sustainable rural development, notonly reaching the poor but also helping them to achieve food security andsocial justice. The key step is the value addition made to information inorder to render it locale specific.

The Information Village Research Project was started in January1998 in Pondicherry in Southern India.

There are certain advantages in Pondicherry. The bio-villageprogramme helps the villagers use the available resources in a sustainableway as an additional source of income by using biological tools. The ICTprogramme complements the bio-village programme. Bio-village activitiesinclude fish pond management, mushroom cultivation, rainwater harvesting,cultivation of pulses, and ornamental fish growing. The main aim of theseactivities is to stop the degradation of the existing resource base.

From earlier research in 11 villages, MSSRF found that the reach ofelectronic media, especially television, was reasonably high considering theprevalence of poverty in the villages surveyed. There was less than one phoneper 500 people. This seemed to indicate that the rural families were ready tosubscribe to a cable TV service, even though they were poor. In other words,people are ready to adopt technologies if they see some value in them.

By conducting detailed surveys covering 10 per cent of the residentfamilies it was found that the predominant sources of information were thelocal shopkeeper, the market place, and the input supplier. A considerable

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amount of information transaction takes place between the rural poorhouseholds and this also acts as a primary source of information.

This is the hub-and-spokes model with Villianur as the hub. TheMSSRF field experience shows that community ownership and participationare necessary conditions for success. Setting up of these Village KnowledgeCentres was preceded by large-scale consultation with the local communi-ties. In each case, the community provided an accessible rent-free building,electricity and volunteers, many of them women. In turn, the projectprovided all the needed equipment, training and help in collecting data. Theproject volunteers were not paid, but the rural community did have a senseof ownership over the centres. VHF and Spread Spectrum Technology areused for communications and a hybrid solar photovoltaic power to generateelectricity. With the help of the University of Berkeley, 802.11g technologyhas been installed in one fishing village.

From the field experience, three points were found to be importantwhen starting village knowledge centres. The first is community ownership– the community as a whole must endorse it, it should not be considered ademonstration. Secondly, “usefulness” is more important than the use oflatest technology. Lastly, it should not be associated with any one group orcaste; everyone should be allowed to take part.

Creation and updating of relevant content to suit local needs is a keyfactor in the programme. Prior to commencing content-building activity,extensive consultations were held with the participating village communitiesthrough small group meetings. Based on the requirement of the localcommunity, MSSRF developed several databases to fulfill their require-ments. These are frequently updated. A considerable part of the informationis accessed from the local sources.

Knowledge of grain sale prices in various markets in and aroundPondicherry is critical to farmers during the harvest season. This informa-tion helps the farmers market their produce profitably. Jute bag sellers alsocheck the market information. Farmers, especially before harvesting, andbrick-makers check the weather report. Women vegetable sellers and agri-cultural labourers check the vegetable market prices and where farm workis available. From the user register, it was revealed that most of thevillagers used the entitlement database. Many people look up addresses ofdoctors, especially specialists and ambulance services, for their family, andthe addresses of veterinarians for their livestock. The education databasedescribes the courses available in nearby schools, colleges and alsoneighbouring states along with cost information.

Three Village Knowledge Centres are located at coastal villages with98 per cent of the families involved in fishing. The information require-ments in these villages are different and are more focused on the safety offisherman while at sea and on fish occurrence near shore. These villagesalso receive information on wave heights 48 hours in advance, downloaded

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from the United States of America Navy Web site.13 MSSRF broadcaststhe interpreted information through a public address (PA) system for thebenefit of fishermen. The PA system is also used for announcing variousgovernment schemes related to fishermen on a regular basis, fish marketdetails, employment news, distribution of rice, kerosene, sugar, etc. in thelocal fair price shops. MSSRF is using both traditional and moderntechnologies to spread the information to the villages.

MSSRF also provides potential fishing zone information to thefishing community through the electronic display board. The data is up-dated every three days from the Indiann National Centre for OceanInformation Service (INCOIS) through telephone.

More than half the volunteers are women. This was a deliberatedecision which has positively resulted in an increase in the number ofwomen users. In the evening some Knowledge Centres provide counsellingto women. Many of them form self-help groups and use loans for theeducation of their children and starting up cottage industries. KnowledgeCentres help women get training related to new economic opportunitiessuch as incense stick manufacturing, mushroom production, coir roping,ornamental fish growing, etc. In the fishing villages, Knowledge Centresorganize training in making ornamental artefacts from shells. Bank loanscan also be arranged to the self-help groups to assist them to make marketlinkages for their products by attending government exhibitions.

MSSRF has developed accounting software for self-help groups withthe help of the District Rural Development Agency. This assists the groupsto keep their accounts regularly and submit monthly reports to banks andthe District Rural Development Agency. In the past, it was found thatseveral self-help groups had difficulty maintaining their accounts properly.Now, the groups can scrutinize their accounts.

At present, in Pondicherry, banks and the District Rural Develop-ment Agency largely provide loans to start up dairy units. MSSRF wants tospread information on micro-enterprises to the rural community and, withthe help of rural artisans and the District Information Centre has, developeda multi-media CD that contains information on ten micro-enterprises.

MSSRF has given training to village volunteers on the use ofcomputers – for typing, formatting pages, picture editing, data analysis andpresentation. After the training each village volunteer submits individualproject reports and brochures. Following the training, villagers are able toget work, for instance, designing wedding cards, invitations, and typingcollege project work. Besides providing computer classes for students andconducting computer examinations, MSSRF also provides training in basicsystem maintenance and troubleshooting to the village volunteers.

13 https://www.navo.navy.mil/LIBRARY/Metoc/Indian+Ocean/Bay+of+Bengal/MODELS/SWAPS/Sig+Wav+Ht+and+Dir+Series/index.html

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The impact of the Knowledge Centres improved dramatically when atwice-monthly newsletter called “Nammavur Seithi” [News of our village]was launched in February 2002. Villagers were encouraged to write articlesabout several issues, while village children also submitted drawings andarticles. Government officials, NGOs and private companies are also pro-viding useful information regularly to the newletter. In 2004, the commu-nity newspaper network was expanded to 35 villages based on the demand.Further more, government departments and All India Radio have included“Nammavur Seithi” for dissemination along with regular newspapers. Arural yellow pages carrying advertisements has also been created.

Many village elders have traditional knowledge in various fields, butthey are not necessarily able to share the information with other people, or maynot think that the information is important for others or may even assume thateverybody already knows it. During the “Nammavur Seithi” content collection,village people were approached in search of traditional knowledge, particularlyin the area of health. Several interactive meetings have also been conductedwith Seva Foundation (SEVA), an NGO. So far, more than 600 herbalremedies related to human and animal health have been collected.

MSSRF also worked with the Rajiv Gandhi College of Veterinaryand Animal Sciences (RGCOVAS) in Pondicherry to provide animal hus-bandry knowledge through touch screen demonstrations and field leveltraining. MSSRF has partnered with Aravind Eye Hospital in Pondicherryto initiate a movement to prevent blindness in the rural villages. It hasorganized village-level awareness meetings along with paramedical staff. Inthese meetings, different eye diseases are explained, as are prevention andtreatment techniques through diagrammatic presentation. The Hospital nowprovides training for MSSRF Village Knowledge Centre workers on how toidentify long-sightedness, shortsightedness and cataracts. After KnowledgeCentre workers have conducted an eyesight survey of a village they sendthe electronic patient records to Aravind Eye Hospital along with thedigital photograph of the problematic eyes. An ophthalmology assistantscreens the patient records and finalizes the type of treatment and date.

Another initiative is to create TB-free zones with the help of theTuberculosis Research Centre (TRC). The centre has kindly started toprovide training for village knowledge workers on identifying TB patients.Two experts have been nominated for this purpose by TRC. TRC hasprovided all the education materials.

In the past six years, this project has been the source of severalsuccess stories. For instance, based on government entitlements information,several women have received loans and have started their own businesses.Some have obtained training in new business opportunities. Village womenvolunteers and self-help group members have now established good rela-tionships with government departments and officials and contest localelections. Through market information, farmers are able to get a better

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price for their grains from different markets. Information provided onvarious farming techniques and pest control methods has also helped therural community extensively. Many farmers have learnt about inter-croppingand multi-cropping and now use such techniques in their fields. The animalhusbandry database is very popular as are doctors’ addresses and thewireless phone (in emergencies) facility.

School teachers are using MSSRF’s educational CDs to improvescience and arithmetic knowledge among local children. Teachers are ableto prepare test papers using the computers in the knowledge centres andissue printed question papers to students. Children, students and anyoneelse that is interested can get training in MS Office, Adobe PageMaker andAdobe Photoshop. Teenagers who have computer skills can surf the Internetand develop market linkages for their parents and communities with compa-nies making products needed by their village, such as milk powder andfruit juice. Through the Internet, many students receive their public exami-nation results and marked papers, education course details, software devel-opment details, entrance examination results and medical counselling. Manycollege and research students also prepare their project reports using theknowledge centre computers; as do farmers, especially before harvesting,and brick makers who use the Knowledge Centres to check the weatherreport. Employment news provided by the Knowledge Centres has alsobeen found to be very useful. Private companies and employee unions arealso using Knowledge Centre systems to prepare their accounts, salarycertificates, subscription details, employee details, etc.

This project won the Motorola Dispatch Solution Gold Award andStockholm Challenge Award, and Scientific American recently selected thisproject as one of the best 50 projects from all over the world.

As a result of MSSRF’s experience with Rural Knowledge Centres,the National Virtual Academy (NVA) for Food Security and Rural Prosperitywas developed, which aims to bring together experts and grassroots commu-nities. The main objective of the NVA is to assist knowledge to reach everyhome and hut. The State-level hub located at MSSRF will be the keyknowledge resource that will create and maintain Web sites and databases forthe local hubs in close collaboration with national and international agencies.It will also serve as the primary data provider tied with research institutions,field stations and government extension departments. The State-level hublinks with block level or equivalent hubs in the State. The latter serves acluster of villages. Therefore, we are developing an information system thatconnects lab-to-lab, lab-to-land, land-to-lab and land-to-land.

The Academy aims to bring frontier technology to resource-poor ruralwomen and men and to empower them to take charge of their destinies. It willhelp to create large numbers of knowledge managers in villages, most of whomwill be women. In the initial step, six Fellows of NVA have been selectedthrough a rigorous selection process. A further 1,000 Fellows are in theprocess of being selected from all over India with the help of several partners.

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MSSRF launched the Open Knowledge Network (OKN) in collabo-ration with OneWorld International. OKN is a human network whichcollects, shares and disseminates information in local language and seeks tocontribute knowledge about health, local culture and practices, education,agriculture, government schemes, jobs and markets. Through this network,access points from India and Africa share local news through a WorldSpaceSatellite and Internet. The local news is produced in Tamil and Swahili andthe meta tags are in English.

Until recently the Government of India has not provided permissionfor Community Radio broadcasting. Therefore, to overcome this restrictionand to reach as larger audience as possible, MSSRF have started anInternet radio station.

MSSRF conducted a Policy Makers Workshop on 8 to 9 October2004. The main aim of the workshop was to sensitize policy makers tocritical issues in the use of ICTs to promote human development in ruralareas. More than 60 participants took part. One of the recommendations ofthe workshop was:

“Every village – a knowledge centre: There is a need fordeveloping a master plan coupled with a business plan forextending the benefits of ICT to all the 600,000 villages in Indiaby 2007, which marks the 60th anniversary of our Independence.The master plan should help to link technology-knowledge-ruralwomen and men in a symbiotic manner. The investment needswill have to be estimated and business plans prepared. ANational Alliance for ICT for Poverty Eradication may beestablished for launching the Every Village – a KnowledgeCentre movement. Such an alliance should include the privatesector, cooperatives, NGOs, R&D institutions, women’s associa-tions, mass media and appropriate government agencies.”A Jamsetji Tata consultation on forming a National Alliance for Agenda

2007: Every Village a Knowledge Centre was conducted on 19 to 20 May2004. Some of the important outcomes of the National Consultation were:

• The National Alliance for Mission 2007, representing a coalitionof the concerned will facilitate and accelerate the spread of therural knowledge centre movement and will function, like theConsultative Group on International Agricultural Research(CGIAR), without a legal structure.

• At the village level, on the basis of local dynamics, a committeewill be formed in consultation with the Gram Sabha14 formanaging the knowledge centres. This committee will help toorganize training, capacity building, and peer-to-peer learning

14 Gram Sabha are Indian traditional village councils. It is a body consisting of personsregistered in the electoral rolls of a village or group of villages.

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among the knowledge workers and local entrepreneurs. Thesemay be Panchayats, self-help groups, common interest groups,human networks or community-based organizations.

• There are numerous ICT tools – Internet, cable TV, radio,cellphone and the vernacular press. The National Alliance doesnot believe in the absolute superiority of any particular tool, butrather that using an appropriate mix of these tools would benefitthe people the most.

The Steering Committee for Mission 2007 comprises governmentaland civil society organizations and the media, private sector, professionalsand academia. The Mission is to be implemented on the principle of socialinclusion, social relevance and gender equity. Transaction costs will be keptlow, and fostering the growth of an ICT-self-help movement will create asense of ownership.

This research project was initiated on a small level and expandedduring the process from covering 12 villages to now over 600,000 villages inIndia. Partners include academia, research institutions, government depart-ments, Panchayat Raj institutions, civil society organizations, banks, privatecompanies and industry associations. As the task is large and the time islimited, the only way to achieve the goal is through forging partnerships andforming networks. Through ICT self-help groups, the Alliance will operaterural knowledge centres, community newspapers, Internet and cable radio, e-education, e-health and ICT-based business activities.

Under the National Virtual Academy three block level offices havebeen connected with the help of ISRO. Through this network, services suchas e-education, e-medicine, online decision support, interactive farmers’advisory services, Tele-fishery, e-governance, and weather and water man-agement services can be provided. This programme will cover both farmingand fishing families, based on the motto: “Food, water, health, literacy andwork for all and for ever”.

Under Mission 2007, ISRO, the Farmers Commission, the PlanningCommission and the Ministry of Rural Development are in the process ofsetting up Village Resource Centres in 150 districts, identified as FarmersDistress Hot Spots.

Currently, Mission 2007 is setting up regional chapters in fourdistricts with two guiding principles – Antoyodaya and Trusteeship.

M. Models of community e-centres for the poorMr. Wimal Gunawardena, Chairman/Managing Director,

TEAMS (Pvt) Limited

Introduction: a specific projectIn the Information Age where information is considered to be a vital

resource for achieving our missions and needs, both individually andcollectively. Information and communication technologies (ICT) can provide

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a wide array of information, accurately and quickly, to meet people’srequirements, facilitating the building of constructive social capital from thepoint of view of the rural poor. ICT can strongly contribute to povertyreduction by enhancing income generating opportunities including employ-ment for people with a low income. Information plays a crucial role in thelivelihood of people, while integrating them into communities, nations andglobal economies.

In Sri Lanka, like in most of the developing countries, the use ofICT has been limited to a small segment of the population, which isconsidered to be the privileged group. The community at large and espe-cially people with low incomes in Sri Lanka have not benefited from ICTdue to the high costs of service providers coupled with the lack of suitableand accessible facilities.

Recently, there have been some attempts to introduce ICT to thepoor, especially those living in rural areas. One such attempt, under theauspices of the Asian Development Bank and the Ministry of Education,was the Community Information Project for the Poor (CIPP) of Sri Lankawhich was commenced in September 2003. The project involves thetransfer of ICT to members of low-income communities.

The main purpose of the CIPP project is to create opportunities forpeople with low incomes to participate in economic growth by providingthem with vital information. This is a pilot project, in the form of aTechnical Assistance (TA) grant given by the Asian Development Bank.The project is implemented by TEAMS Consultants. The Government ofSri Lanka has developed a vision statement “e-Sri Lanka: An ICT Develop-ment Roadmap,” with the goal of taking ICT to every village, business andcitizen. In these terms, the CIPP could be seen as a way of assessing thefeasibility of achieving this goal.Organization of community information centres and models used

CIPP involves three major components: (1) Establishment of commu-nity information networks (CINs) in each selected district for the provisionof information services for the poor; (2) capacity building and skillsdevelopment among local stakeholders for managing CINs and for the poorto use information services; and (3) social preparation for sustainability ofthe ICT services by local stakeholders beyond the project period.

The project has established community information networks in threeselected districts of Sri Lanka – the Gampaha, Ratnapura and KalutaraDistricts. Each network has one district community information centre(CIC) and ten village information centres (VICs). These three networks arecoordinated by a project implementation unit (PIU) operating from theMinistry of Education (figure 13). The project period is 15 months fromSeptember 2003.

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The target group of the project are those who receive a monthlyincome of less than Rs. 3,000 (US$ 30) and low income groups such asfarmers, labourers, plantation workers and fishermen. The aim of CIPP isthe provision of vital information to the poor for their livelihood improve-ment, not simply providing ICT skills training for the people. However, theproject involves providing basic computer literacy for the beneficiaries toaccess information. Extensive training is also provided to the operators ofCICs and VICs and members of stakeholder groups on the use of computerhardware and software and the Internet. This is to ensure that the localoperators can handle the operation and maintenance of the networks by theend of the project. The project also explores ways in which people of lowincome can access public and private sector services at a minimum cost.The maximum contribution from the communities of the relevant districts istapped to ensure their ownership and active participation.

At the inception, the three CINs were established with three differentservice provision models in mind. The network of the Gampaha districtwas initiated as a model of e-governance linking public entities such asdivisional offices, public extensions service centres, government training/skills development centres, public health centres and state enterprises. Thenetwork of the Ratnapura district started as a model of e-commerce linkingprivate entities such as private clinics, private schools, businesses, etc. Themodel used for establishing the Kalutara district network was a combina-tion of both e-governance and e-commerce. The project anticipated to learnfor future projects from these three networks by taking these as casestudies. In other words, as a secondary project objective, it was envisagedto learn lessons on how e-commerce and e-governance could effectivelyreach the low income people.

PIU(Ministry of Education)

CICGampaha District

CICRatnapura District

CICKalutara District

10 VICs10 VICs10 VICs

Figure 13. Structure of community information centres

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The CICs and VICs were established in locations that could beserved by various agencies without charging a rent. In choosing thelocations the following criteria were taken into account:

• Readiness of the agency to provide a suitable area• Degree of accessibility to members of poor communities and

degree of centrality of the location• Provision of appropriate space and infrastructure by the relevant

agency to establish the CIC or VIC• Safety and security aspects of the location• Geographical location• Distribution of VICs to represent different rural communities

and/or different community cross-sections, economic activitiesand resources in the district

• Likely contribution to future sustainabilityAll three CICs are situated in locations provided by Local Authori-

ties (Town Councils) in those districts. The VICs are situated in a widerange of locations such as divisional secretariats, local authorities, publiclibraries, market complexes, cooperatives, NGOs, Buddhist learning centresand divisional education offices. There is one VIC focusing specifically onsoldiers with disabilities which is located at an Army Rehabilitation Centre.

The PIU, CICs and VICs were structured with the relevant technicalexpertise. In addition to the project staff, the Government of Sri Lankaappointed a counterpart staff for the project (a manager at the PIU leveland coordinator for each district). With ADB funding, each CIC has beenequipped with 18 computers including a local server, fax machine, scanner,photocopier, digital video camera, multimedia projector, printers, PDAs,mobile phones, telephone, Internet connection etc. The transport require-ments of CICs were facilitated by providing them with a vehicle and fivemotorcycles. Each VIC has been provided with a computer, fax machine,telephone and Internet connection.Operational details of community information centres

In accordance with the vision of the Project, the exact profile ofinformation services to be provided by each CIN was fully tailored to meetthe priorities of the community and to be continuously updated. For thispurpose, an information needs assessment survey was undertaken at anearly stage of the project to understand and prioritize the communityinformation needs of each project district.

From the inception, it was recognized that in order to attract thetarget group (those with a monthly income of less that Rs. 3,000) there wasa need firstly to attract certain “opinion leaders” who could act as catalystswithin the rural community to make use of the services provided by theCIPP. These opinion leaders included teachers, Grama Niladharis (villagelevel officials) Samurdhi officials, agriculture extension officials, membersof the clergy, officials of people’s organizations (such as farmers’ organiza-tions, rural development societies and women’s groups). Action was taken

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to attract these village opinion leaders and then in turn to attract the targetgroup with their assistance. The information needs assessment surveyconducted in the three districts included a sample encompassing the targetgroup as well as the opinion leaders mentioned above.

The information needs assessment survey provided some insights intothe status of accessibility of ICT services for the poor in rural communities inthe Gampaha, Ratnapura and Kalutara districts. The availability of and accessto ICT for members of rural and poor communities was found to be verylimited in all the three project districts. The survey revealed that for theGampaha district, only five per cent of the respondents had access tocomputers and only seven per cent considered themselves computer literate;for the Ratnapura district only three per cent of the respondents had access tocomputers and only six per cent considered themselves computer literate; forthe Kalutara district only four per cent of the respondents had access tocomputers and only five per cent considered themselves computer literate.The survey also revealed that very few of the respondents in the threedistricts had access to the Internet, e-mail, or facsimile. For example, inGampaha only two per cent of the respondents had access to the Internet ande-mail; only three per cent had access to a fax; while 47 per cent had accessto telephone facilities. A large percentage of the respondents had access toradio, television and newspaper modes of communication.

The number one priority category of information required for eachproject district differed, but overall the ten most sought-after informationcategories in these districts were: (i) education; (ii) employment; (iii)agriculture; (iv) business; (v) banking; (vi) industry; (vii) health; (viii)prices of commodities;(ix) public services; and (x) subsidies.

At the very early stage it was recognized that a reasonable quantumof information desired by the poor was not available in electronic form inthe Web sites operated by different institutions and departments. Suchinformation was available only in “hard form” as leaflets, booklets, manualsand brochures. The CICs were instructed to collect these sources ofinformation. It was decided to serve the poor with information available inboth electronic and hard form to meet all their needs.

The survey clearly indicated that the great majority of peoplerequired information from both the private and public sectors. As the mainpurpose of the project was to serve the poor with the information requiredfor livelihood improvement based on their needs, the views of the benefi-ciary groups were given prominence over the second objective of theproject which was to learn lessons by trialling the CINs using threedifferent service models. As a result, all three CINs have been serving thepoor with both public and private sector information, a combination of e-governance and e-commerce models. In other words the project recognizedthat community information services for the poor should be based on themodel of the people’s needs rather than being limited to preconceivedmodels such as e-governance and e-commerce.

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The Community Information Networks (CINs) in the project districtshave linked district offices, schools, training institutes, job placementcentres, hospitals, markets, private companies and villages, in order to sharevital information with local communities, using cost-effective and feasiblecommunication modes. The types of information provided include jobopportunities, education and training opportunities, agriculture services,health and medical information, weather and disaster warnings, publicannouncements, commodity and crop prices, and banking.

Based on the information needs assessment, the project has estab-lished a national level community web site as well as three district levelcommunity web sites to collect and disseminate information required by thelow-income groups. In each district, important information is collected dailyby the information collectors at the CIC, utilizing motorcycles. Similarly,the information collectors attached to the PIU are responsible for collectingimportant information at the national level. These project web sites arecontinuously updated by obtaining the views of the district level steeringcommittees. However, there are limitations as many departments and insti-tutes with vital information have no Web sites that could network to theproject Web sites.

Important information is collected daily by information collectors,based on an analysis of the demand for information by the target group.The collected information is analyzed, verified and uploaded to the websites of the project districts immediately. Newsflashes are prepared daily ineach district to highlight news and important information in the district.This news is disseminated daily to VICs through electronic mail (e-mail) orfacsimile, to ensure that key information reaches target beneficiaries with-out delay. Monthly newsletters are also published in three languagesproviding further information services to the target groups. Informationcollectors continually feed back information from community groups interms of their information requirements.

Several activities were undertaken to attract target groups to thecentres and to assist capacity building and skills development for managingCICs and VICs. The main activities undertaken were: (i) Setting-up andactivating steering committees in all the CICs and VICs; (ii) conductingcommunity awareness and promotional programmes; (iii) conducting train-ing programmes for CIC operators and VIC operators; (iv) conducting basictraining programmes for improving the computer literacy of members oflocal communities; and (v) developing strategies for the future sustainabilityof the project.

Awareness raising strategies have been developed and implementedin order to create community awareness and promote community participa-tion in the project. The community awareness strategies that have beenadopted so far include creating awareness through: (a) the media; (b)ceremonial inaugurations at the CICs and VICs; (c) special workshops; (d)project leaflets, posters, banners; and (e) training programmes.

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Achievements and future sustainabilityOver the past year, CIPP has served a significant number of rural people

in the districts of Gampaha, Kalutara and Ratnapura. According to the recordsmaintained in the CICs and VICs, approximately 31,000 members of the ruralcommunity in the Gampaha district have used the services provided by theGampaha CIN. Among these users about 41 per cent belong to Samurdhirecipient families (Samurdhi recipients are people with a monthly income ofless than Rs. 1,500, who are given special government assistance for povertyalleviation). These families live below the poverty threshold and are thusclassified as the poorest of the poor. Also, according to the records, over 75per cent of the users of the CIN are classified as poor (i.e. have an income ofless than Rs. 3000) and the most sought-after information categories/types bythe information seekers using the Gampaha CIN were information onemployment opportunities; information related to education; and informationrelated to industries. Although the majority of the users (about 58 per cent)were served with electronic information, about 42 per cent were served withinformation available at the centre in “hard form”.

The CIN of the Ratnapura district has been patronized by over17,000 rural poor of whom about 36 per cent are Samurdhi recipients. Hereagain, the majority of the users obtained their specific information require-ments via the Web/Internet, while the others were served with informationavailable in the centres in hard form. According to the records maintained,the most sought-after information categories by the information seekersusing the Ratnapura CIN were information on employment opportunities;information related to education; and information related to agriculture.

About 18,500 rural poor have visited the CIN of the Kalutara districtof which about 32 per cent are Samurdhi recipients. Once again themajority of the users visiting the centres obtained specific informationusing Web/Internet sources. According to the records maintained, the mostsought-after information categories by the information seekers using theKalutara CIN were information on employment opportunities; informationrelated to education; and information related to agriculture.

The performance of the CICs and VICs and the overall progress of theproject was monitored continuously. A mid-term project review was con-ducted by the ADB and the Ministry of Education together with the projectconsultants. While progress in general was acceptable, project achievementsin terms of providing important information to the project target group wasfound to be inadequate. Consequently, the organizational structure of theproject and the implementation strategies were re-structured. In this process,the terms of reference of the consultants (the project team) and the requiredqualifications of the consultants were re-formulated focusing on “socialmobilization”, “outreach to the poor” and “social preparation at the commu-nity level for sustainability of CINs”. With these changes, social mobilizationand associated work became the main focus of the project. The project periodwas extended by four months, until the end of April 2005.

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It is anticipated that gradually, the community operators will takeover information collection, analysis and verification, information uploadingto the Web site, publication of news and services to the rural poor so thatby the conclusion of the pilot project, the information network can besustained by the community. Cost recovery measures will also be exploredextensively by introducing user fees, paid advertisements, soliciting dona-tions. These measures will be determined by the steering committee of eachdistrict. This process is currently taking place.

At present, ICT services are provided to the community via CICs andVICs at no charge. Although the main focus is to serve the target groupmentioned earlier, any rural Sri Lankan can visit the CICs and VICs and usethe computers if they are unoccupied. The project team recognized that acharge levying system needs to be implemented on a cost recovery basis forthe CICs and VICs. In order to formulate the rates of the charging system, arate survey was carried out in the three project districts. The rates are basedon the lowest commercial rates for communication services. The main aim ofthe fee levying system is cost recovery, with no profits anticipated. Further,following the objectives of the project, subsidised rates are proposed for thetarget group members. It is proposed that the money collected by this chargelevying scheme should be deposited in a separate account for each CIN andthat proper accounting procedures should be maintained.

The analysis of the results of the rate survey revealed that 80 percent of the survey respondents were willing to pay for the servicesprovided at the Gampaha district CIN, while 67 per cent were willing topay for the services provided at the Ratnapura district CIN and 62 per centof the survey respondents were willing to pay for the services provided atthe Kalutara district CIN. This is an important factor when considering thedesign of strategies for the future sustainability of the project.

From the very inception of the project, it was recognized thatsustainability measures are important to guaranteeing the continuity ofcommunity ICT services to the poor. The following sustainability strategieswere identified by the project team:

1. Ensure the active involvement and participation of relevantstakeholder organizations, institutions and the community inoperating CINs;

2. Promote among the stakeholder organizations and the beneficiarygroups the value of the services provided by the project andenhance community participation to improve the utilization ofICT services via community awareness programmes and com-puter literacy training programmes;

3. Establish and activate steering-committees of the CICs and VICsto improve the functioning of CICs and VICs and to facilitatethe future sustainability of the CICs and VICs;

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4. Develop workable and efficient cost-recovery measures for thesustainability of the CICs and VICs;

5. Encourage commitment by stakeholder organizations to take overthe operation and running of the CICs and VICs; and

6. Undertake capacity building measures for CICs and VICs tooperate by themselves and minimize the “dependency syndrome”on the TA team, towards the end of the TA.

Currently, these strategies are being developed into an action planwith the help of the steering committees of the CICs and VICs.Issues faced and lessons learned

There are many socio-economic and cultural barriers that need to beovercome to ensure that members of poor local communities freely adoptinformation and communication technology. Some of the main barriers thathave been encountered by the project team during the course of the projectinclude: (a) a general lack of computer literacy; (b) a fear of moderntechnology and a natural reluctance to use new technology; (c) languagebarriers; (d) access problems in very remote rural areas; (e) frequent poweroutages, especially in the remote rural areas; (f) the costs involved inadopting information and communication technology; and (g) natural disas-ters including floods, landslides, etc. which cut off entire villages from therest of the world. These socio-economic and cultural barriers that need tobe overcome to ensure that members of poor local communities freelyadopt ICT, narrow the existing digital divide and empower poor ruralcommunities to seek and achieve a better quality of life.

One of the main difficulties faced during the project was the selectionof appropriate locations for setting up the district CICs and VICs. This hasbeen difficult because the sites had to meet certain minimum project criteriaor requirements. Locating and acquiring sites that meet these requirements orcriteria has been difficult. Thus, a number of site evaluations, reviews andchanges had to undertaken in order to set-up the CICs and VICs.

Another important constraint, especially in establishing the VICs, hasbeen the technology scarcity in some areas in the project districts. Becausethe aim of the project is to reach poor people, there has been a need toestablish the VICs in very rural areas, where services such as telephoneconnections, Internet connections. are scarce or even non-existent. Thistechnology barrier has delayed the setting up and operation of the VICs inall three districts. Also, undertaking activities such as building renovationand repairs and the provision of services such as electricity, telephoneconnections, Internet connections is quite a time consuming process. Thishas also delayed the setting up and operation of the VICs.

The computer literacy of members of poor communities is very low.Hence, the need for more effective computer literacy training programmes andcommunity awareness programmes has been identified. Several computerliteracy training programmes and awareness strategies were implemented andare continuing to be implemented for communities of the project districts.

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A reasonable volume of information desired by the rural poor was notavailable in electronic form due to limitations of web sites maintained byvarious institutes and departments. Therefore, the users visiting the centreswere served with information both in “electronic form” and in “hard form”.In setting up the project web sites, some technical difficulties were encoun-tered. This was mainly in relation to establishing the Web sites in the nationallanguages of Sinhala and Tamil, where the consultants experienced sometechnical difficulties in adopting existing computer software to construct theWeb sites. However, these problems were resolved subsequently.

As mentioned earlier, each of the CINs was established with apredetermined model in mind, models on e-governance, e-commerce and acombination of the two. However, the need as expressed by the CIN users,i.e. the rural poor, was to receive information covering aspects of both e-governance and e-commerce. Thus, perhaps the most important lesson fromthe project so far is that in a community information system such as theone explored in this project, the service model should be demand drivenand user centred rather than predetermined. This is important in order toachieve its mission and to ensure user support for sustainability.

N. Economic analysis of community e-centres for rural developmentMr. Jeong-Dong Lee, Associate Professor, Seoul National University

and Ms. Hyunjung Lee, Economist, Asian Development Bank

Most rural people have much lower levels of economic developmentand health, education, and general well being than their urban counterpartsbecause of lack of access to universal services and markets. This is due topoor infrastructure provision such as transport and communication networksand deficient institutional systems for financial operations. The ultimateobjective of rural development is improvement in the quality of life forrural people by removing the impediments of developing rural economiesand providing basic infrastructure in rural areas. Information and communi-cations technology (ICT) is one of the most effective tools for assistingrural communities to leapfrog over such hurdles to development.

ICT is defined as a set of activities that facilitate the processing,transmission, and display of information by electronic means. Generally, ICThas made a great impact on economic growth and social development by: (1)enhancing the productivity and efficiency of existing sectors and industries; (2)creating new business and/or development opportunities, which would not bepossible without ICT; (3) facilitating an open economy and promoting acompetitive market environment through enhanced information accessibility;and (4) improving quality of life and human well-being through accessibilityto various new e-services. However, in order to fully exploit those benefitsfrom applying ICT to the existing economy, it is important to strengthen a setof complementary factors that assist the necessary socio-economic transforma-tion of the economy. These include the mind-sets of people, ways ofcommunicating, the structure of the economy, and the level of literacy.

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To provide public access to ICT-based services and applications,community e-centres (CeC) have been recognized as a cost-effective facil-ity, especially in rural areas, given the limited resources and number ofpeople who can afford ICT-based services. However, previous experiencegained in establishing CeCs raises the issue of CeC sustainability as themost critical issue. Experiences show that although CeC is seen as sustain-able in the long-term once its socio-economic impact is realized, survivingup until that point is difficult due to the lack of a self-sustainabilitymechanisms and its inevitable reliance on public support. Therefore, dueconsideration should be given in the beginning, when designing and estab-lishing CeCs, to the long-term sustainability of the operation. In view ofthis, this presentation emphasizes the importance of flexible investmentplanning and decision-making processes.

As an effective economic analysis tool to analyze flexible decision-making processes, the “real option” approach is introduced and explored inthis presentation. Real option is defined as the right, but not the obligation,of investment to get the payoff from the investment decision in real assetsand thus, it is a contingent claim on its value, which is dependent onuncertain future demand. The establishment of CeCs can be viewed as aninitial investment for increasing e-awareness among local communities thatcreates a variety of follow-on commercial and social development opportu-nities. In this sense, investment in CeC can be regarded as a real option onfuture development and commercial impact. The real options valuationapproach is useful, especially in situations where a high degree of uncer-tainty exists and large up-front investment is needed that will be followedby several subsequent investment opportunities like investment in CeC.The role of ICT for development

In the shift from the Industrial Age of the 20th Century to theInformation Age of the 21st Century, there has been a convergence ICTwith the market and government. The result is that the commerce sector,through the impact of a number of interlinked forces, has become e-commerce, and at the same time has become globalized and more valueoriented. The same is true of sectors such as manufacturing, agriculture,finance, education, health and even governance. The result of this conver-gence has been the facilitating of an open economy and promotion of acompetitive market environment; the creation of new businesses and/ordevelopment opportunities; and the enhancement of productivity and effi-ciency in existing sectors and industries.

Along with the traditional economy, there is now the ICT (Network)Economy. Keywords for this new economy include network externality,path-dependency (lock-in), increasing returns (positive feedback) and criti-cal mass. These keywords both characterize and dictate the success of ICT.

In terms of rural development ICT can play an important role inimproving the quality of life for rural people. However, that promise has yetto be realized due to the lack of connectivity and accessibility to universal

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services and markets among rural communities. Therefore, it is necessary toremove the impediments faced by the developing rural economy and providebasic infrastructure in rural areas to enable the spread of ICT. This wouldenable ICT to be part of a comprehensive socio-economic developmentstrategy for rural development as a means, not an end.

In rural areas, CeC’s are a crucial element and key instrument inefforts to bridge the digital divide. CeCs can be defined as shared premiseswhere the public can use basic telecommunications services, access theInternet and utilize ICT applications for their interests. Its functions includeincreasing accessibility to basic telecommunication services such as tele-phone, fax; expanding access to universal services such as education,health, government and social services through ICT connectivity; andproviding information and services for the commercial interest of thecommunity through ICT connectivity.

Whilst CeCs hold much potential, sustainability is a serious chal-lenge. This is due to a lack of self-sustainability mechanisms; CeCs’inevitable reliance on the public supports; and “high uncertainty in demandand complementary factors”.

Given the high uncertainty in demand, flexible investment planningand a strategic decision-making process is needed for CeC establishmentand management. Further, comprehensive economic analysis is needed toincrease the value of investment by increasing flexibility in the decision-making process.Key elements in designing a sustainable CeC model

The major elements required for economic analysis of CeCs in orderto design a sustainable CeC model include the analysis of local demand,the supply condition, and the demographic characteristics of the area. Inaddition, the economic impact of CeCs can be affected by the existenceand intensity of a range of complementary factors that support the socio-economic transformation of rural communities into the one that able tomeet the demands of the information age.

The supply condition refers to the potential network, terminal, andapplication options. A local demand analysis must be conducted first to selectthe optimal mix of those three options. Based on the local demand analysis,the expected impact of a CeC can be measured, including quantitative andqualitative; direct and indirect; and short-term and long-term impact.

Generally, for rural economies much higher investment and operatingcosts are required for utilizing broadband connection. This is caused by thedifficulty of accessibility to backbone infrastructure and despite rapiddevelopments in wireless technology and PLC technology, it still remainsas one of the greatest physical hurdles in designing CeC’s investment plans.One way to address this is to expand the broadband infrastructure based onthe demands and readiness of rural communities.

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The difficulty in using this approach is that it is much more difficultto judge what the estimated revenue from several ICT applications mightbe in rural communities as there is much higher uncertainty in localdemand. Compared to urban communities where potential consumers can berelatively easily captured, users in rural areas have often never sat down infront of a computer before, know little about traditional information searchmethods (perhaps owing to a lack of rural libraries), have little schooling,and have no experience using the Internet or e-mail. To offset the riskcaused by this high uncertainty, CeC investment and management planningshould be more flexible.

Flexibility is the mechanism by which an alternative route to successcan be obtained should the preferred route fail because of a risk. Flexibilitytherefore, implies the potential of bringing a benefit to a project andincreasing its value. The more flexible an investment is, the more themanagement of a project can take advantage of a beneficial event andoffset an adverse event. The value created by flexibility is turned into areal financial benefit, thus resulting in stronger sustainability.The real options valuation approach (ROVA)

The real options valuation approach (ROVA) is an emerging economicanalysis tool, which challenges traditional approaches such as discounted cashflow method and decision-tree analysis. The objective of a traditional economicanalysis is to assess the impact of a project on the local, regional or nationaleconomy to see if the investment of the project can be justified in terms ofeconomic net present value (NPV) or internal rate of return (IRR) using thediscounted cash flow method. This is done by defining the project objectivesand rationale; forecasting demand for the project output; choosing the least-costdesign or alternative to meet project demands; quantifying economic benefitsand costs by NPV or IRR; and establishing that a project will be sustainablein financial, environmental or social terms over its operating life if theeconomic NPV is positive or IRR exceeds the minimum hurdle rate.

These traditional methods tend to undervalue investment opportunitiesdue to the basic assumption that the investment opportunity is not totallyreversible or is a now-or-never opportunity. Therefore, one of their majorlimitations is that they do not consider the flexibility of the investment, suchas altering the pace of investment, or stopping investment at some point ifconditions are unfavourable without revisiting the issue of uncertainty and riskreduction. This kind of single-point decision process obviously raises the costof projects that turn out to be failures. The real options approach, on the otherhand, can incorporate such flexibility into its decision process as a monetaryterm and suggest ways to increase the value of flexibility given highuncertainty to make a strategic and forward-looking investment.

Real options can be defined as the right to get the payoff from thebusiness or organization’s investment decision on real assets. It is a contingentclaim on value, which is dependent on uncertain future demand and/oruncertain output volume. It is not only a valuation tool but a way of thinking.

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The real options methodology emerged from the theory of financialoption pricing (table 1).15 Application of real options includes design,evaluation and optimal timing analysis of project or investment plans innatural resources development projects, real estate, manufacturing and infra-structure investments and R&D projects.

Table 1. Parameters of financial options, real options and CeCs

Financial Option Real Option CeC

S Current stock Present value of possible Present value ofprice future earnings economic impact

through ICT applications

X Exercise price Further Investment Cost for ICT applicationsExpenditure development and necessary

infrastructure investment

T Maturity date Expected time of second Expected time forstage investment e-awareness of rural

population

σ Standard Standard deviation of Standard deviation of ratedeviation of rate rate of return on future of return on economicof return on stock earnings impact

d Dividend rate Cash flow net of Cash flow net ofdepreciation depreciation

CeCs can be considered a real option. For example, the establish-ment of a CeC can be viewed as an initial investment for increasing the e-awareness of local communities, creating a variety of follow-on commercialand social development opportunities in the future. In this sense, investmentin CeC can be regarded as a real growth option, call-like type, on futuredevelopment and commercial impact (figure 14).How to design a sustainable CeC model

The procedure for designing a sustainable CeC model is: (1) demandanalysis and impact measurement; (2) technological feasibility study and costestimation; (3) complementary factor analysis; (4) business model design; and(5) pilot test and feedback. In the analysis, the rural economy is divided intofarming and non-farming economies, where the latter includes service, trade,and household manufacturing activities except for the farming activities.These activities depend to a large extent on local and regional demand andtend to grow rapidly in the context of agricultural growth.

15 Black and Scholes (1973) and Merton (1973)

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The characteristics of the CeC investment process include:1. Staged investment: providing telecentres and training, computer

centres, network centres, e-service centres;2. Uncertain outcome: Different outcomes for different regions

depending on the associated idiosyncrasies; and3. Possibility of changes in decision.It is suitable for the ROVM framework (e.g. no further investment

or change to alternative form of investment if negligible expected outcomefrom the earlier stage investment).

An example of the real options approach in action is shown in figure 15.

-X

+G

Zero G

Success

Failure

Lose XSave KLose X

V>K

V<K

Spend K

Go

Stop

T = 0 T = t1 T = t2

G : Growth OpportunityX : First Stage InvestmentK : Second Stage InvestmentV : Present Value of Cash Flows Project

Figure 14. An example of a real growth option

Figure 15: Process of establishing CeC as stage investment

Example process of establishing CeC as stage investment

TelecomInvestment

with Training

Success:Computer literacy

improved

InternetInvestment

with Training

Success:e-awareness

improved

E-applicationDevelopment

Abandon

Abandon

Abandon

Abandon

AbandonNo

Investment

NoInvestment

NoInvestment

Failure

Failure

Decision Outcome

T_1 T_2 T_3

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Policy implications of economic analysis of CeCs using the real optionsvaluation approach

The key points for institutionalization of the real option model for asingle project are the need to have a plan reflecting the contingentdecision-making and to conduct periodic reviews to assess the strategy inthe following-on stage based on the revealed information in the previousstage. For multiple projects, the key point for institutionalization is estab-lishing the staircase for successful projects to develop further with largerinvestment. The SBIR (Small Business Innovation Research) Programme inthe United States is a good example of this.

Sustainability is the most critical issue in establishing, managing,and operating CeCs. In this sense, a new economic analysis paradigm suchas the real options valuation approach enables CeC policy makers oroperators to enhance its sustainability by creating more options (or opportu-nities) through stage-wise investment, comprehensive periodic reviews, vari-ous e-applications provisions and strengthening of complementary factors.

O. Local knowledge management through community e-centresMr. Sahdev Singh and Mr. Dilip Shinde,Asian Institute of Technology, Bangkok

IntroductionLocal knowledge is knowledge held locally, held by local people.

This may appear straightforward, but it is actually more complex than itseems. The focus is on two aspects of local knowledge: “formal informa-tion” (i.e. information written following the tradition of scientific method)about a local situation (e.g. epidemiological information about the health ofa defined community, and local journal literature), and “indigenous” knowl-edge, or knowledge that is imbedded in local traditions, stories, and otherrepositories of local wisdom. This presentation explores how to combineand integrate such “local” knowledge with “global” knowledge to facilitatethe actions of health workers and managers at the community level.Particular emphasis is given to the role of information and communicationtechnologies (ICTs), specifically the Internet, in this endeavour.

Knowledge is the product of many minds, spread over generationsand geographical areas, being added to or adapted as it develops over time.Many indigenous practices are spread across a number of countries, orregions, or even parts of the globe, and it is hard to tell where thesepractices are really local, and where they have been imported.

Equally, with the increasing travel and emergence of diasporas, thephenomenon of “globalization”16 has arisen, where local practices travel

16 Riggs, F. W. (1999). Globalization, Diasporas and Area Studies: A Think Piece.Updated: 13 October 1999 http://webdata.soc.hawaii.edu/FredR/glocal.htm

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with the movements of the labour force or refugees to very distant places,where they may be shared by expatriate communities, modified and thenre-imported to the mother country.

Beyond that is the distinction between local formal knowledge – suchas locally published books and journals, locally generated epidemiologicalinformation and medical patient records – and local indigenous knowledge,which embraces local customs and practices, often in oral or other traditionalforms of expression, including storytelling, song, theatre and dance (table 2).

Formal Indigenous

Global Explicit knowledge: written books As such, there is no recognizedand journals, scientific method, “indigenous global knowledge”.academic and research literature, Global databases of indigenousemphasis on Internet, CD-ROM, knowledge are being created, andand other electronic methods the scientific method is being

applied for analysis. Electronic,Tacit knowledge: little video and audio media capture

indigenous knowledge.

Local Explicit knowledge: written books Explicit knowledge: little written,and journals, scientific method, mostly transmitted orallyacademic and research literature, (storytelling, song, theatre)emphasis on print and paper

Tacit knowledge: Considerable,Tacit knowledge: little conveyed through traditional

practices

Table 2. Global-local knowledge matrix

Knowledge that is generated locally increasingly comes into contactwith, and is influenced by, externally produced knowledge. Such externalknowledge is provided in journals, through radio and television and, morerecently, electronic media such as CD-ROMs and the Internet. This externalknowledge can be either:

• Of generic relevance (clearinghouse information, standards andnorms from such bodies as WHO)

• Knowledge that refers to the local health situation (papers andreports about, or directly relevant to, the local situation, butproduced externally). In practice, such external knowledge canbe seen as an extension of local knowledge, even though it wascreated outside the country or region

• Finally, there is the category of information produced by othercountries and locations in the region, which is likely to be ofrelevance locally, given some adaptation

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Local knowledge may originate locally, be recognized as relevant andcollected for dissemination – written up, drawn or photographed, recorded orfilmed – and then transmitted to others. Equally, knowledge can originateelsewhere and be transmitted to the local setting on paper or electronically.Once it arrives, it may be localized (adapted to make it locally appropriate).Local non-formal or indigenous knowledge

According to the World Bank, indigenous knowledge (IK) is simply,“local knowledge” which is unique to every culture or society and whichserves as the basis for local-level decision-making in agriculture, healthcare, food preparation, education, natural resource management and a hostof other activities in communities.

The World Bank17 believes IK is important because firstly, it pro-vides problem-solving strategies for local communities, especially the poor.It represents an important component of global knowledge on developmentissues. Secondly, indigenous knowledge is an under-utilized resource in thedevelopment process.

Increasingly, local knowledge is being collected into digital reposito-ries. The effect of such collection is both to help preserve the knowledge andto spread it more widely. By collecting indigenous knowledge in databasesand applying the techniques of comparative analysis and scientific method,the value of such knowledge is coming to be appreciated more widely. Thissometimes has unwelcome consequences – when, for example, a foreigncompany attempts to obtain a patent for an item of indigenous knowledge.For example, there have been battles fought over patents granted to someforeign companies for medicinal uses of leaves from the neem tree, whichgrows in many parts of South Asia – even though such medicinal uses havebeen known in the traditional culture for over a thousand years.Examples of Western science methods used to assess IK

The following are some examples of Western science methods thatcould be used to assess IK. This list shows that approaches developed indifferent disciplines can be used. These methods should be combined withinsiders’ assessment.Animal production and healthcare

If a community wishes to expand and improve its livestock produc-tion system, the following Western science methods could determine theefficiency of local animal production and healthcare practices and indicatewhich aspects of the indigenous system could be used, improved, orblended with Western practices:

• Measure productivity of animals, recording both inputs and outputs

17 World Bank. The IK Initiative at a Glance, (World Bank: http://www.worldbank.org/afr/ik/broch.pdf)

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• Observe the condition of livestock kept in the community (thiscould be done by visual inspection, weighing and measuringanimals, etc.)

• Test for parasites by investigating faeces of randomly selectedanimals (this will require some laboratory tests)

• Identify medicinal plants used by the community and test theirefficacy. The medicinal qualities of some plants have alreadybeen established in the scientific literature

Indigenous paper making

• Calculate amount of raw materials and energy used in theproduction process

• Test quality of paper in the laboratory (do not forget to keep thelocal use in mind when making any statement about the paper’squality)

Effect of IK on environment

• Assess biodiversity in the environment of the study community(e.g. count number of species in an area of a certain size)

• Measure nutrients in soil• Measure runoff and soil erosion from fields

Indigenous birth attendants

• Collect data about course and outcome of deliveries assisted byindigenous birth attendants and analyze results using statistics

• Investigate condition of instruments used by local birth atten-dants (e.g. whether the instruments are clean, which bacteriathey contain, etc.)

Indigenous communication

• Assess number of persons reached by messages transmittedthrough indigenous channels

• Measure time needed for transmissionKnowledge management and the field of development

Contemporary development debate centres on the over-arching issue of“globalization” – the idea that the global economy either is, or should be, orshould not be, global in scope. With the global economy comes a host ofother global issues – global culture, global standards, global legislation,global development – and global knowledge. There are many aspects to thisdebate. Suffice it to say that many people believe that globalization can bedestructive to local economies, cultures and environments.

Addressing the Global Knowledge II Conference via a video link,World Bank President James Wolfensohn said, “Knowledge is perhaps theonly unquestioned value of globalization”. Even that may have been over-optimistic, as the relationship between local and global information remainsto be fully clarified.

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To introduce this topic, the work of two key exponents of “localiza-tion” – Stiglitz18 and Hines19 – is summarized below.The end-users

Who are the end-users of locally relevant knowledge? The categori-zation of target audiences for health information as an example presentedbelow was drafted at a meeting held at WHO’s Eastern MediterraneanRegional Office20:

1. Policy-making levels in the Ministry of Health2. Health professionals with university training3. Health professionals with full, normal training but not university4. Policy-making levels in the government5. Professionals in health-related fields with university training

(managers, accountants, nutritionists, etc.)6. Technicians in various fields7. Paramedics, health technicians8. Health auxiliaries9. Traditional birth attendants and traditional healers10. Other auxiliary staff, community workers and local NGOs11. Community leaders (religious, social leaders, teachers, etc.)12. Public opinion leaders (including social writers)13. The general public, educated (secondary school level and upwards)14. The general public (including village communities, etc.)The breadth of this classification is worth noting – from politicians

and civil servants, academics and researchers, to practitioners at all levelsin the public health infrastructure (from central services to community-based services) and right down to the general public.

Each group requires information and knowledge tailored to its needs.This is true throughout the world, and is a particularly significant issue indeveloping countries.Knowledge integration

The key question is how to bring together global and local knowl-edge, and “expert” and indigenous knowledge.

18 Stiglitz, J. (1999). “Scan Globally, Reinvent Locally: Knowledge Infrastructure and theLocalization of Knowledge. Keynote Address”, First Global Development NetworkConference, December 1999, Bonn, Germany. Stiglitz’s papers can be found at: http://www.worldbank.org/knowledge/chiefecon/articles/undpk2/

19 Hines, C. (2000a). Localization: A Global Manifesto, (London and Sterling, VA:Earthscan Publications Ltd.)___________(2000b). There is an Alternative to Globalization: It’s Localization – AGlobal Manifesto. Paper prepared for Working Group C3, INES Conference, Stockholm,June 2000. Available at http://www.inesglobal.org/hines.html

20 Adapted from: World Health Organization, Eastern Mediterranean Regional Office,Cairo, Egypt, unpublished report EM/PUB DOC/4, 1984

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A number of initiatives are working on this, some focusing onbringing external information into the local sphere and adapting it to makeit locally appropriate. Others are strengthening the capability of localinformation to be recognized and operate locally and to participate in theinternational flow of information. Still others focus on making huge collec-tions of formal health information available. Some of these will be de-scribed below.Information waystations and staging posts: electronic-print chaining

The information waystations and staging posts activity provides anumber of examples of how knowledge networking can be applied informulating large collaborative projects. From 1998, INASP-Health hasmanaged the Health Information Forum (HIF), a regular series of meetingsbringing together many organizations interested in health information. Rightfrom the start, HIF participants considered technological options for gettinghealth information to health workers in developing countries. The challengewas to develop a coherent, cost-effective approach. An e-mail list was usedto extend the discussion as widely as possible (over 2,000 messages weresent), and gradually two concepts arose:

• Information waystations: local points of access to health infor-mation received electronically

• Staging posts: “relay stations”, translating and adapting informa-tion materials in order to make them locally appropriate

Thus, information waystations are concerned with bringing the tech-nology to developing countries and training people to use it to obtainhealth information, while staging posts focus on adapting the informationmaterials received in such a way as to make them more appropriate forlocal use.The open knowledge network: local content creation and exchange

The Open Knowledge Network (OKN) arose from work done by theG8 DOT force between 2000 and 2002. Representatives from government,civil society and the private sector in both developed and developingcountries worked on a wide range of initiatives to help bring digitalopportunities to the South. Among these initiatives, the creation andexchange of local content was identified as a keystone in any bridge acrossthe digital divide. Without appropriate local content, users could arrive atcommunity access points only to find little of relevance to their lives,almost nothing in their own language and few ways to use this newtechnology to increase their chance of an improved livelihood. The GenoaPlan of Action therefore called for a “national and international effort tosupport local content and applications creation” that would in particular:

1. Encourage networking among bodies which acquire, adapt anddistribute content on a non-commercial basis;

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2. Encourage governments to provide widely-available free-of-charge access to state-owned information and local content,except where it is private or classified; and

3. Encourage commercial publishers to explore possible businessmodels to enhance greater accessibility for poor people torelevant content21.

The consultation process began under the chairmanship of OneWorldInternational (the civil society DOT force delegate from the UK) withsupport from the Department of International Development (DFID) in theUK. What emerged from six months of consultation and research intoexisting best practice was a proposal that came to be called the “OpenKnowledge Network” (OKN). The purpose of the OKN is to promote boththe creation and the exchange of local content as widely as possible acrossthe South. Local content development is closely tied to human develop-ment, and the ultimate goal of the OKN proposal is the empowerment oflocal communities.

The following key concepts are included in OKN:

• Connect to the Internet without going online, using local publicaccess points/CeCs to upload or download information in short,inexpensive bursts

• Focus on content, not technology, which is always changing.The forms best adapted to one Southern context may be inap-propriate in another

• Agree on using standards for exchanging digital content world-wide

• Network knowledge workers and translators across the South• Use a network of knowledge hubs to support the local access points• Encourage circulation of works that are affordable by Southern

users, while still allowing such users to profit from their owncontributions to the knowledge base. This will require an OpenKnowledge License for proprietary material, which will includethe rights to copy, modify and translate information, to offer itfor public distribution among members of the OKN network,and to circulate it further in non-digital formats such as hardcopies, radio broadcasts and community bulletin boards

• Encourage a market for local information, while maintaining theprinciple that knowledge for development should, wherever pos-sible, be free at the point of use in poor communities

21 OKN (Open Knowledge Network). 2002. The Open Knowledge Network (OKN): Aproposal for local content creation and exchange. Available at http://www.dgroups.org/groups/okn/index.cfm

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P. Harmonizing ICT with integrated community development:the Sarvodaya experience in Sri Lanka

Mr. Vinya S. Ariyaratne, Executive Director,Sarvodaya Shramadana Movement

The Sarvodaya Shramadana Movement of Sri Lanka started in 1958when a high school teacher, A.T. Ariyaratne, took his class and some fellowteachers to one of the poorest outcast villages in the country.22 Their goal wasto live, work, learn and share their youthful energy in service.

Now in 15,000 rural villages, this people’s self-help movementintegrates cultural, social, spiritual and economic development. Sarvodayaserves as a model and inspiration for similar programmes and movementsthroughout the world. The movement’s vision is the creation of a societywithout poverty or affluence based on the Gandhian values of truth, non-violence and self-reliance. Rooted in indigenous cultural and religioustraditions, Sarvodaya villages are governed by the ideals of participatorydemocracy.

The hallmark of the Sarvodaya Movement is its “bottom up” approach.Organized through village-level groups of farmers, women, children, youthand elders, a five-stage development model includes leadership training,technical assistance and ongoing organizational support provided through anetwork of 34 district centres, backed by a secretariat at the Sarvodayaheadquarters in Moratuwa, on the outskirts of Colombo, Sri Lanka.

After nearly five decades, the Sarvodaya Shramadana Movementengages nearly a half of the rural communities of Sri Lanka in social,economic and technological empowerment. Throughout changes in thenational government, violent ethnic and political conflict, and rapidlychanging international pressures, Sarvodaya has served as a source ofstability and peace. It offers models of integrated development useful tocultures around the world, including “high tech” societies as well asdeveloping countries.This presentation outlines how this unique people’sdevelopment movement in Sri Lanka uses information and communicationtechnology (ICT) as a “tool for the awakening of communities”.Status of ICT in Sri Lanka

The introduction of ICT has not only been slow in Sri Lanka, but ithas also been concentrated in the urban centres. However, the very highliteracy rate amongst its population and the presence of large numbers ofunemployed youth provided an opportunity to use the potential of ICT forsocial development in Sri Lanka. Despite significant advances in the

22 http:/www.Sarvodaya.lk

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telecommunications sector, it is evident that up until recently there was noorganized mechanism to promote interaction with the rural communitiesthrough IT for their self development.

A recent pilot study carried out by the Department of Census andStatistics in Sri Lanka23 revealed that the percentage of households owningcomputers in Sri Lanka is 3.8 with a large proportion confined to theWestern Province and the district of Colombo.

An estimation of computer literacy of the household population inthe age group 5-69 years was also assessed as part of this study. At thenational level, 10 per cent of the above population is computer literate.Western Province reported the highest computer literacy rate of 15.3 percent, and the lowest percentage of five per cent was reported from Uva andNorth Central provinces (figure 16).

Figure 16. Computer literacy in Sri Lanka by province

The highest computer literacy rate of 20 per cent was reported fromthe Colombo district. Over 10 per cent literacy rates were reported fromGampaha, Kalutara, Kandy and Matara districts. The Monaragala districtreported the lowest computer literacy rate of three per cent.

It is therefore very clear that an overwhelming majority of the ruralcommunities in Sri Lanka, which comprise over 70 per cent of the totalpopulation, do not presently have access to the benefits of ICT.

23 (2004). Computer Literacy of Sri Lanka: 2004, A Pilot Study, (Colombo, Department ofCensus and Statistics).

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A comprehensive report by the UNDP (2004) also highlighted theimportance of involving the rural sector in ICT development in Sri Lanka.24

The flagship ICT programme of the Government of Sri Lanka, known asthe e-Sri Lanka initiative, was launched in 2002.25

The ICT programme of Sarvodaya has therefore focused on the ruralareas of Sri Lanka, and has adopted an integrated approach to introducingICT which is described in this presentation.ICT in Sarvodaya

The Sarvodaya Movement was quick to perceive the widening of thegap between the information rich and the information poor. Therefore, theconcept of Multipurpose Community Telecentres (MCT) concept was born.Multi-purpose community telecentres26

Each MCT has its own unique qualities, yet all share a commitmentto technology access and a belief that a MCT can be a means forparticipants to increase their self-sufficiency. A successful MCT modeloffers opportunities to improve education levels, gain job-related skills, andbuild personal and community capacity. It can offer a place where partici-pants gather together and link with the entire community. An importantcriterion for success is the degree to which the MCT becomes an integralpart of its community. Participants can and should take part in the planningprocess and have a real role in directing and sustaining center operations.

Rural regions face special challenges when they try to adopt informa-tion and communication technology. A rural community technology centre isa central location within a rural community or region equipped with computerand telecommunication equipment and services shared by users from a varietyof sectors. For Sri Lanka, the MCT was a new concept with considerablepromise for facilitating the use of these technologies. It was hoped that, giventhe various provisions made in the MCT concept, the pilot phase in the late1990s would not only lead to full ownership, but also help identify self-reliantand self-sustaining management/operations models.Sarvodaya telecentres – the beginnings

The “ICT for Community Development” programme of Sarvodayawas formally launched in 1998 as a pilot project to set up a rural MCT inthe district of Ratnapura, located 110 miles away from the capital cityColombo. This small experiment has today grown into a multifaceted

24 United Nations Development Programme (UNDP) (2004). Promoting ICT for HumanDevelopment in Asia 2004, Realizing the Millennium Development Goals, Sri Lanka,Regional Human Development Report, (Colombo, UNDP).

25 http://www.esrilanka.lk26 Community telecentre is often used to refer community e-centre.

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comprehensive rural IT programme which is operational in seven out of the25 administrative districts of Sri Lanka.

These rural MCT allow the Sarvodaya staff members and volunteersto add new dimensions to their conventional development activities. Ini-tially they used the facility for word processing of reports, graphic illustra-tions of village maps, and PowerPoint presentations to educate groups ofvillage residents. Now, the MCT have opened up an extensive array ofvillage development-oriented activities ranging from leadership training,biodiversity conservation and better access to market prices and jobs.

At a typical district MCT, people feel at home because it does notstress “high technology” as much as real problem solving. A computer,photocopier, fax machine and telephone sit in a tiny room without airconditioning, for a reason – if rural youth had to push the door open toenter, they would feel less welcome. At the centre, they meet young peoplelike themselves who communicate through body language and local termi-nology instead of strict “computer-talk.” With help, village youth who havenever touched a keyboard or made a phone call can contact a hospital inthe city. They can send a fax to the Government office that serves them ore-mail a message to a family member working in the Middle East.

It was not easy, however, to identify the best strategies to introduceICT to rural areas. Anyone visiting the countryside can recognize thedaunting obstacles. Despite the high literacy levels countrywide, as de-scribed earlier, computer literacy is extremely low. Even if utilities areavailable, buying a computer is still beyond the imagination for many SriLankans, given the high cost of computer equipment and often unreliabletelecommunications. Monthly incomes are barely sufficient to meet basicdaily needs.

Despite such barriers, social mobilization has found a new life inthis Sarvodaya Telecentre experiment. It allows users to bypass geographicand socio-economic barriers with two-way communication compatible withparticipatory development.Village information circles (VICs)

Although the MCT function at the district level at present (the “T”in ICT), the foundation for the centre (the “I” of ICT) in terms ofinformation generation and use is the village and it is the primary unit ofall Sarvodaya development activities. This is facilitated by the VillageInformation Circle (VIC).

VICs are identified as key components for organizing villages to-ward these opportunities. They have become an integral part of existingvillage societies where people get together to think, act and take decisionscollectively. Once it is coupled with other ongoing village developmentactivities such as pre-school education, nutrition, community health, micro-

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credit and enterprise development, IT leads to a uniquely appropriateinformation culture within the village. The core values of Sarvodayapermeate each step in the process.

Ironically, the most important element is not necessarily the elec-tronic superhighway but rather young people who are living miles awayfrom the MCT. Originally called “human interfaces,” they are energeticyouth from the local community itself. In keeping with Sarvodaya’s inte-grated village development philosophy, they are not automatically givenextensive computer training. Instead they are given a chance to learn aboutthe benefits of ICTs by serving as bridges between their families,neighbours and peers, the world of Sarvodaya and beyond.The current status of MCT

Initially, five district centres were chosen to pilot test the usefulnessof ICT in the context of village development. To date, several sites havebeen established through support received from the Novartis Foundation ofSwitzerland and the Nippon Foundation of Japan. Since 1998, the firstMCT at Ratnapura has served as a learning site to establish the foundationsfor expansion nationwide. Through this pilot programme, villagers wereable to obtain access to the following information and services:

• Information on markets, banking and education, technical assis-tance for economic development

• Communication via e-mail to other villages, districts,programmes and with relatives abroad

• Production and presentation of education and training materials,publications, curriculum aids, promotional literature

• Hands-on training for young people and adults interested incomputers and technology-related employment

Ratnapura’s MCT has attracted a cadre of youth whose high motiva-tion and enthusiasm have enabled them to serve as “human interfaces” forthe rest of the community. They have become the bridge over the dividebetween high and low technology; the often overwhelming virtual wealth ofthe Internet and the reality of daily living in rural Sri Lanka.

Service to villages is carried out through “person power” despite thelack of sophisticated technology. It is precisely that human interface,however, that Sarvodaya can count upon to serve as a bridge between theneeds of villagers and the information resources of the world around themin Sri Lanka and abroad. Telecommunications and distance education canprovide opportunities for outreach that works both ways, sharing theindigenous knowledge of rural Sri Lankans with their peers throughout thenation, and offering skill-building in collaboration with other educationalinstitutions and NGOs.

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Lessons learnedThe main objective of the Sarvodaya ICT programme was to pro-

mote, through the centre, connectivity, access, capacity-building and contentcreation. Ideally, it was intended to lead to the emergence of a network ofknowledge communities linking Sri Lankan villages.

Within this overall context, the ICT programme of Sarvodaya has:1. Successfully demonstrated the feasibility of, and gained experi-

ence with, the operation of MCTs as a national modality toprovide telephone and consequently Internet connectivity to un-der-serviced communities in rural districts.

2. Provided access to communication networks, information, dataand knowledge for unconnected and under-serviced communitiesand made possible avenues for other customers (e.g. NGOs, civilsociety organizations, private businesses – as a possible incomesource for sustainability).

3. Assisted in the building of the following needed capacities inthe context of the centre programme:• Reinforced institutional capacity to manage the centre’s sub-

programme and enabled the communities to directly linkwith national programmes such as e-Sri Lanka programmethrough VGKs (Vishva Gnana Kendra)

• Provided managerial (including financial and accounting),technical and maintenance skills for staff selected to manageand operate MCTs, with an emphasis on the training-of-trainers approach (at the central and district levels)

• Contributed to broadening computer literacy at the commu-nity level

• Introduced e-mail and networking skills and tools, includingdiscussion groups, virtual conferences/list-servers at the com-munity level

• Imparted Internet usage and browsing skills at the commu-nity level

• Tested training for the creation and management of Websites at the community level.

4. Worked in a participatory approach with Sarvodaya villagegroups and other intended beneficiaries so as to raise awarenessabout the objectives and possibilities of the centres, to developthe operations and scope of the centres, to design knowledgeaccess and management strategies, to assess the acceptance bythe intended beneficiaries and to refine in an ongoing manneruser/access guidelines.

5. Contributed towards empowering youth and women’s groupsthrough the acquisition of ICT skills, such as computer, e-mail andInternet usage, networking and content creation and specifically, tosupport Sarvodaya in fulfilling its mandate and remit, enhancing its

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capacity to contribute more effectively to a broad-based nationaldialogue, including remote areas, and various decision-makingprocesses requiring input of community groups’ views.

6. Laid the groundwork to create and provide access to content inlocal languages, in the framework for the centres and theservices offered by them, thereby promoting the emergence ofnew livelihoods and employment.

7. Developed curricula, information, programmes and other materialfor a number of social development-related applications, envi-ronment, education, health, promotion of electronic commerceand support to small, medium-sized and micro-credit enterprises.

8. Developed a basis for evaluations to assess the extent to whichcentres actually help to empower members of the community,create employment and livelihoods, engender or enhance partici-patory activities and promote national as well as internationalnetworking.

Finally, through the activities of the pilot MCTs it was realized thateffective management of information requires professionals who understandinformation and how it is created, organized, sought and used by people inboth their work lives and their personal lives. One of the most importantactivities in an Information Society is to maintain a cadre of qualifiedinformation personnel.Future prospectsExpansion and consolidation

With the experience gained so far, Sarvodaya has now establishednew partnerships with several international agencies to further expand,improve and consolidate its ICT programme.

The most recent partnership is with the Microsoft Corporation whichprovided a grant of Rs.13 million to Sarvodaya as part of the company’sthird round of Unlimited Potential (UP)27 grants to recipients around theworld. This will help to improve Sarvodaya’s centre network to provideincreased access to rural underserved communities.

Through the Microsoft UP grant, Sarvodaya will be able to expandthe facilities to 12 district MCTs. These centres will serve the communitiesand help to provide basic computing courses that can enable rural youth topursue new job opportunities and contribute fully to their local communi-ties and to the country at large. The grant will also facilitate 240 scholar-ships for village youth from underserved areas to acquire basic computerskills. A fully equipped and staffed Multipurpose Community Telecentre

27 http://www.microsoft.com/mscorp/citizenship/overview/uprecipients.asp.

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will also be established in the North-east to carry out training in the formerconflict areas. Through this expansion, the telecentres will provide scholar-ships in computer training to students and those out of school over the nexttwo years. This in turn will provide nearly 2,000 young people with newskills and open doors to a new future.

The programme supported by Microsoft will directly create newopportunities for 2,400 youth and adults in 480 villages in the country’s 12districts, and indirectly for 48,000 village people per annum. Theprogramme will outreach to nearly 200,000 people indirectly through thepromotion of info-culture at grassroots.Research on the use of WiFi technology at the village level

Sarvodaya has partnered with the IDRC to develop a pilot project toinitiate two virtual villages, in which the potential of ICT will be harmo-nized with the traditions and the development of the rural community. It isplanned to be based upon the ongoing Sarvodaya MCT programme. Thepresent project will develop an extension to two selected centres, toestablish two “Virtual Villages” equipped with wireless technology whichwill further develop the use of ICT for development within a traditionalvillage environment.

Two “tele-huts” will be established in each village neighbouring the“village-community-bank”/CBO office (community based organization), andwill be networked (externally) to the district centres. Wireless networks willbe established in each village (internally), networking village access points;three “static” ICT points at a temple, school, and ayurvedic practitioner andtwo “mobile” ICT points, which will provide access to women, farmers andentrepreneurs. The ICT network will be made functional as a supportingmechanism for the ongoing community development work.

Two leading academic institutions in Sri Lanka – the School ofComputing of the University of Colombo (UCSC) and the Faculty ofAgriculture of the University of Peradeniya – and a leading women’sresearch organization – CENWOR – will be collaborating partners in thispioneering applied research programme which will investigate through twoacademic research protocols; ICT technological aspects and socio-anthropo-logical aspects, based on the performances of the two virtual villages. Thetechnology research team will concentrate on the aspects of adaptability ofnetworking technologies to the rural environment, adaptability of opensource technologies and technological bottle-necks. The socio-anthropologi-cal research team will study the aspect of response patterns of diversecommunity groups including gender, behavioural changes and impact madeby ICT on community life. The replicability and sustainability of the projectconcept will also be evaluated. The research findings of this two-year projectwill be made available to the policy makers and development workers.

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ConclusionICT has tremendous potential to help improve living conditions of a

large segment of impoverished communities in Sri Lanka. The high literacyrate, the availability of skilled ICT personnel, strong government commitment,vibrant civil society actors and more importantly the enthusiasm of villagepeople, especially of the youth, to experiment and innovate through ICT, areall ingredients which could be positively harnessed for effective use of ICT fordevelopment. The ongoing MCT programme of Sarvodaya is a model of thesuccessful use of ICT as a tool for community awakening.

Q. Conducive environments for promoting community e-centresMr. Jonathan Kushner, Global Strategic Accounts Executive,

Microsoft Corporation and Mr. Peter Chong, Corporate Attorney,Far East Region, Microsoft Law and Corporate Affairs

Key public policy challengesBridging the Digital Divide in terms of race, gender, age, income,

and location is one of the busiest challenges facing governments and policymakers today. Factors that contribute and exacerbate this divide include:

• Geographic: terrain, distance and infrastructure• Economic: ICT infrastructure remains cost-prohibitive for many

communities and nations• Technological: Increasing skills required to participate in the

ICT economy• Cultural: Inequalities in access and participation• Political: Long-term investments versus short-term political cycleSensible and well implemented public policy can do much to bridge the

gap between the information “haves” and “have-nots.” By introducing policiesand incentives to encourage the acceleration of broadband deployment,increasing research and development (R&D) investment, embracing “AnyTime, Anywhere” learning, developing a world-class digital workforce,updating legal and regulatory systems, and ensuring that the political will isthere to support these initiatives. ICT can play an integral role in supportingeconomic development in developing countries, regions and communities.

To achieve this, a conducive and enabling environment is needed.The key characteristics of such an environment include:

• Pro-innovation policy environment: support for market liberal-ization; supportive investment and tax policy and a regulatoryframework

• Secure online environment: this includes network security,encryption and privacy in place to protect digital commerce andprotections for Intellectual Property

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• 21st century e-government vision and infrastructure: whatapproach to take depends on a nation’s stage of developmentand resources available, but should encourage public-privatepartnerships, and should be implemented at municipal, regional,national and supranational levels

Market liberalization is the key to the growth of the ICT sector. It isimportant therefore to promote market access for private as well asgovernment telecom service suppliers through deregulation. Deregulation canpromote competition, lower costs and improve quality of service – particu-larly in telecoms. Studies have shown a positive link between deregulationand ICT usage. As part of market liberalization, fixed line and mobilesectors should be liberalized and more spectrum should be allocated forwireless broadband devices. Fast and affordable broadband access should beavailable to allow citizens, businesses and governments to connect over thepublic networks. Encouraging multiple providers can help to make broad-band more affordable and accessible, creating a situation where ultimately,end-users have unfettered access to Internet content and applications.Business environment

Hand-in-hand with market investment, private and government in-vestment in infrastructure and innovation is also needed. Pro-innovationbusiness polices are beneficial as they promote connectivity by encouragingnew businesses. Examples of policies include minimizing business regula-tions; offering tax breaks for initial start-up years; providing governmentseed money for rural IT projects; promoting rural banking and micro-creditfor entrepreneurs; and removing cultural roadblocks to entrepreneurship.

Other ways to stimulate new business include encouragement to privateinvestment and R&D in new generation technologies by providing tax creditsand other incentives and through good governance. Good governanceencourages business investment in ICT by reassuring investors that domesticlaws and policies are administered in a transparent and fair manner.Local economic development

Microsoft’s Economic IT Development Programme is a comprehen-sive framework that incorporates relevant programmes, Microsoft’s technol-ogy vision, and opportunities for Microsoft’s partners that are executableand measurable. The benefits to partners of this programme include:

• Help government policy makers to understand Microsoft’s con-tribution to the local software ecosystem

• Allow policy makers to identify new areas for cooperation andpartnership

• Provide government decision makers with data about the impactof the commercial software industry and the local ISV commu-nity to help shape policy decisions

The programme elements are aligned with national IT and economicdevelopment policy priorities to provide an integrated and locally appropri-ate approach.

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Pro-competitive regulatory environmentThe elements of a pro-competitive regulatory environment include

that it should be industry-led, voluntary open standards, be based on merit-based procurement, have no preferences for specific technology solutions orplatforms, provide technology neutrality funding for research and develop-ment to enable inter-operability.

The use of industry-led, voluntary and consensus based open stan-dards promotes inter-operability, interconnection and data exchange whichencourages more competition. This allows users, both the private andpublic sectors, to use a diverse range of IT products and services.

Merit-based procurement is performance based and has no prefer-ences for specific technology solutions or platforms. Mandating specifictechnology can freeze standards at a certain time. Therefore, it is importantto have technology neutrality for funding for research and development toenable inter-operability. These should be key components of e-governmentinitiatives as they promote choice, competition and innovation.Digital commerce

New technologies have a great deal of potential, but when misusedthey can threaten national security and public safety, compromise criticalinformation, disrupt vital services and erode trust in computing.

Threats to e-commerce from new technologies come in a number ofdifferent forms. They can be unstructured threats such as hackers and viruswriters, or they can be structured threats such as “hacktivists,” organizedcrime, “phishers,” fraudsters, or professional spammers.

Junk e-mail makes up 60 per cent of e-mail content. There has been asignificant increase in junk e-mails in recent years – just three years ago itwas only three per cent. Of further concern for this region, more and morespam is originating from the Asia Pacific. Fourteen billion spam e-mails aresent every day, with Microsoft blocking three billion spam e-mails every day,as does AOL. The cost of that is enormous in terms of the extra storage spacethat is required to hold all this mail and the bandwidth to transmit it. The costto business is as much as US$ 20 billion every year, in the form of timewastage in filtering out spam. It is now a more costly problem to businessthan absenteeism. Beyond those costs, there is an alarming convergencebetween spam and more serious fraud. The real impact is that it leads to anerosion of trust in the overall computing environment. People may stopaccessing the Internet because filtering through spam is becoming tooburdensome. Spam is the number one problem for e-mail users, and 29 percent reduction in using e-mail as a result.

One solution to protect against spam in particular is for industry/companies to build the best possible software to screen spam. Anothersolution is to share solutions and expertise in beating these Internet threats

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to e-commerce. More generally, governments can dramatically reduce theabove problems and protect the online environment, while at the same timeencouraging e-commerce through:

• Technology and training• Industry self-regulation• Legislation and policy initiatives• Enforcement

Secure online environment: encryption and authenticationStrong encryption improves online security and increases consumer/

citizen confidence, while authentication and electronic contracting allowsnetworks to verify information about users and ascertain whether they havea right to enter the system. E-signatures are one way to authenticate theidentity of a user – they should be based on non-discrimination, technologyneutrality, and respect for party autonomy.

Most countries are committed to providing secure online environ-ment and laws to achieve this have been implemented in many Asia-Pacificjurisdictions:

• Hong Kong – Electronic Transactions Ordinance (2000)• India – Information Technology Act (2000)• Japan – Law Concerning Electronic Signatures and Certification

Authorities (2000)• Korea – Basic Law on Electronic Commerce, which covers e-

signatures• Malaysia – Digital Signatures Bill (1997)• Philippines – Electronic Commerce Act (2000)• Singapore – Electronic Transactions Act (1998)• Thailand – Electronic Commerce Law (2000)

Intellectual property (IP)In many countries in the region, trade in physical counterfeit goods,

including high-quality product designed to deceive consumers, is highlyorganized, sophisticated and well-financed, often by global counterfeitingorganizations. Recently there has also been an exponential increase inInternet piracy. Therefore, there is a strong need to enforce of IntellectualProperty Rights (IPR) that will encourage companies to create and innovate.

Legislation protecting IPR should aim to protect consumers from illegalgoods and achieve cooperation between the private sector and law enforcementto disrupt, deter, and punish major counterfeiters and online pirates.E-government vision

All of the above is consistent with the Brunei Goals and e-APECstrategy. In Brunei in 2000, APEC Leaders set out what have become knownas the Brunei Goals for access to the Internet – these goals still remain relevant:

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“We commit to develop and implement a policy framework whichwill enable the people of urban, provincial and rural communi-ties in every economy to have individual or community-basedaccess to information and services offered via the Internet by2010…Governments alone cannot achieve this vision. We recog-nize that it will require massive infrastructure development andhuman capacity building, and technologies which are only nowin their formative stages. It will require a regime of outward-looking and market-oriented policies which can attract businessinvestment and the cooperation and skills of our universities,training and research institutions, colleges and schools”.

The cornerstone of the digital economyTo use technology to promote rural ICT development and usage, it is

necessary to think about what programmes, technologies and experiences areneeded to move rural communities forward on the Information Highway.The role of Government

Government has a key role to play in providing services to ruralcommunities. Through government CeCs, the government can bring educa-tion, economic development, health and efficient and secure government torural communities.Education and training – a widening skills gap

Education changes lives, families, communities, and, ultimately, na-tions, countries, and territories. Yet, despite real improvements in access to,and use of, information and communication technology (ICT) around theworld, many students and teachers still lack basic access to training andtechnology. The result is a widening ICT skills gap that contributes todisparities in quality of life, competitiveness, and economic development.

Since launching Partners in Learning in September 2003, Microsofthas worked hard at establishing the groundwork for success of the five-yearinvestment. Working with governments worldwide, Microsoft has created 95public/private partnerships through MoUs, in 74 countries.

Microsoft has started to build an ecosystem for success, by creatingpartnerships with 563 government, NGOs, education and commercial part-ners, ranging from the World Bank, UNDP, UNESCO, to local universitiesand training partners.

Through the Fresh Start for Donated PCs programme, over 700,000donated computers have already been re-licensed. But the work has justbegun, and it is ultimately the local impact that counts. The followingexample is one story of the local impact of Partners in Learning:

Story from Ban Houysalao School (Thailand)Ban Houysalso school in Buriram province (410 km from Bangkok)

is one of the schools that participates in Microsoft’s Partners in Learninginitiative. Participants in this programme have developed ICT literacy,

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moving from no PCs to now having a small computer lab equipped withthe Internet via satellite. Now, the team of teachers and students areworking together creating their school’s Web page.

Previously, many parents transferred their children out of BanHouysalao to other schools. But now, as a result of the school’s computerlab, students from other schools are transferring to Ban Houysalao school.This phenomenon is the result of the changes in the learning environmentin the school, based on the Partners in Learning initiative. Following thesuccess of a pilot training programme for 2,000 teachers, official training isnow commencing for 50,000 teachers nationwide on basic IT skills. Train-ing will be conducted using a combination of e-learning and instructor-ledprogrammes to better cater to individual learning curves as well as toprovide an opportunity for group learning and interaction. There will be astrong focus on real-life examples and experience-based learning to enablemore efficient and effective transfer of knowledge and skills learned fromteacher to pupils in the classrooms.Microsoft digital inclusion programmes

Education creates opportunities and employment options for youthand allows for the renewal of workplace skills to ensure that the labourforce is properly prepared to meet the challenges and opportunities that theInformation Society presents. Disproportionate investments in, and accessto, education invariably results in rising disparities in quality of life andeconomic development.

Microsoft has developed two programmes which is broken down intotwo categories – what one learn at school, and what one learn outsideschool. These are two very different needs. The flagship digital inclusioninitiatives for Microsoft are its Partners in Learning and Unlimited Poten-tial programmes. Together, the programmes aim to provide IT skills trainingto 500,000 individuals around the world by the year 2008.Partners in learning

Governments need to focus on key issues around digital literacy,creating education and competitive workforces and improving the quality oflife for their citizens. These goals can be addressed through focusing ondigital inclusion. There are two key issues which must be addressed inorder to eliminate the ICT skills gap in schools: access and capacitybuilding. Consequently, the Microsoft Partners in Learning initiative in-cludes three distinct yet integrated core programmes, each of which can becustomized and implemented based upon the educational objectives of acountry, state or province (figure 17). The programmes are detailed below:

1. Partners in learning grants programme: Over the next fiveyears, these learning grants will provide investments to create asustainable model for improving the use of technology in teachingand learning. They focus on key issues identified as challenges forschools: teacher/school leader training and development, access to

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quality digital content, and assessment and certification resourcesand low-cost technical support. One area that funding will supportis the establishment of local Microsoft IT Academies for TeacherTraining through joint partnerships with education institutions,local community organizations, and training providers.

2. Fresh start for donated computers: Donated computers are aneconomic necessity for educational programmes around theworld as they provide access to technology to students. How-ever, these PCs often lack installed or properly licensed operat-ing systems. To remove this barrier to computer utilization,Fresh Start provides K–12 schools with Microsoft® Windows®98 or Windows 2000 licenses for donated PCs at no charge.

3. School agreement subscription licensing programme: To sup-port schools, Microsoft offers academic pricing and provides aneasier way to manage valuable technology resources under theMicrosoft School Agreement. In addition, Partners in Learningoffers eligible28 primary and secondary schools the opportunityto receive even lower pricing for Microsoft Office XP Profes-sional and Windows XP Professional Upgrade licenses throughthe Microsoft School Agreement.

Figure 17. Partners in learning

28 The World Bank’s Gross National Income (GNI) index was used to establish the criteriafor eligibility for reduced prices for Windows XP Professional Upgrade and Office XPProfessional. GNI is an objective measure of wealth that is updated frequently anduniversally accepted by governments and a variety of international funding organiza-tions. The World Bank list of economies by Income Group is available atwww.worldbank.org/data/databytopic/CLASS.XLS

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Unlimited potential programmeThe cornerstone of Microsoft’s lifelong learning strategy is much

broader – it is called “Unlimited Potential.” It is a natural evolution ofMicrosoft’s community investments during the past 20 years, which ismuch more focused on a single goal – offering technology-related skillstraining for disadvantaged young people and adults through community-based learning centres.

There are already community technology learning centres or CeCs inmany cities, towns and villages around the world – Microsoft is partneringwith those centres to enhance the IT skills programmes they offer, to helpthem improve access to that training, and to give them access to thetechnology they need. The goal is to transform even the poorest ruraltechnology centres into community hubs for lifelong learning.Local language programme

Local and regional governments around the world are facing a greatchallenge in today’s global economy – the need to quickly build a stronginformation technology industry. Microsoft is committed to providing thetools and technologies required to develop, enhance and expand local ITeconomies and enable language groups of all sizes to participate in thisgrowth. The Local Language Programme is designed to provide theseopportunities to people of all regions, cultures and languages in closecollaboration with regional and local governments and universities.

The Local Language Programme addresses several critical goals oftoday’s national and regional governments:

• Developing a robust local IT economy• Building universal IT solutions for multi-language cultures• Enabling the use of regional languages in technology to facili-

tate the preservation of language and cultureSolutions sharing network

One of the key challenges is duplication. To address this, the SolutionsSharing Network (SSN) was launched by Microsoft at the end of 2004.

The SSN provides customers with an environment within which theycan share and collaboratively build solutions and knowledge alongside theirpeer organizations. The SSN platform is provided to a government agency orassociation as a component of a partnership agreement; under the agreement,Microsoft works with them to encourage wider use of their technology assets.

Customer benefits include the provision of a managed and securemechanism to customers that allows them to leverage their existing invest-ments in IT. Further, as content builds within the online communities,government customers will have a central source for knowledge andsolutions that will help them reduce cost, and reduce the risks associatedwith building ICT systems.

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R. E-health in rural communities through community e-centresMr. Ashok Jhunjhunwala, Professor, Indian Institute of

Technology, Madras, India

E-health-care is an electronic healthcare management project inBihar, founded and managed by a NGO to computerize existing medicalrecords of patients and to provide continuity in treatment by enablingaccess to medical history. The e-health-care model provides villagers with ahealth card at a nominal cost of 10 cents. Using the health card asidentification, a remote physician is then able to access the medical historyof the villager and provide suitable treatment. The health card is theproject’s primary revenue stream, with the potential to increase revenuethrough the provision of health insurance. Since its establishment in Bihar,it has expanded to Sirsa, Haryana and now to Madhya Pradesh(Hoshangabad, Harda) in alliance with IBM Canada/BSNL/SaskatchewanTelecom and funding from CIDA. Each location has a server which ispurchased and maintained through grants. The long-term scalability andsustainability of the project is in question as presently the operational cashgap is too high and grants are the primary source of funding.Rural telemedicine projects

The Apollo Hospitals project is a pilot project in Aragonda, AP. Theproject, which was established in a 40-bed fully equipped hospital, wasstarted in 2000. The project provides tele-consultation through a webcam/ISDN/VSAT link with Chennai for “specialty and super specialty consulta-tions.” It provided 200 tele-consultations in its first year of operation. Thehospital is linked to health insurance. So far it has undertaken limited scalingup – setting up 70 telemedicine centres, of which around 15 are operational.

Another example is the Amrita Telemedicine project, which isconnecting Lakshadweep to different hospitals through ISRO (satellite) link.However, this project is not very rural in nature.Overview of telemedicine projects

The common thread for most of these projects is the provision of“specialty” or “super specialty” consultations with experts located in hospi-tals. The projects are generally funded by government or through grants.However, in most, sustainability and scalability is uncertain.

Rural India has 700 million people in over 600,000 villages livingon a per capita income of 40 cents per day. Can ICT make a significantdifference in the life of such people? Can it bring health and education torural communities, and can it significantly enhance their incomes? If thebenefits of ICT are to make a difference, then the sustainability andscalability of rural health and community projects needs to be improved.Can the efforts scale?

To enhance the scalability of rural models, there is a need fortechnology, a sustainable business model and an organization which thinksand acts “rural”.

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TechnologyWireless systems can be used to connect most villages. As technolo-

gies continually evolve, costs are coming down and bit rates are increasing.In India, fibre connectivity to most county towns (talukas) is provided bystate-owned incumbents. Fibre has capability for infinite bandwidth – a majorbenefit. Eighty five per cent of villages lie within a 20 kilometres radius oftalukas, and there are typically 300 villages in 30 kilometre radius.

One innovation which could increase access and connectivity is thecorDECT WiLL. The corDECT WiLL costs about US$ 150 per line. So far2 million lines have been deployed. The corDECT WiLL was developedjointly by Indian Institute of Technology (IIT) Madras and Midas Commu-nications. It provides simultaneous voice and dedicated Internet connectivityof up to 100/200 Kbps for each user, as well as always-on Internet, andenables a wide range of services suited for rural needs even at bandwidthsof 64 Kbps. The corDECT WiLL is provided through an exchange andtower in town and provides coverage for a radius of up to 35 kilometres. Itis well suited to India’s climate, as it is able to work at even 55ºC and haslow power requirements (1 KW) and extremely low start-up costs.Business models

Projects based on aid and grants generally do not scale up verysuccessfully, but successful enterprises do, and can scale to all villages.Therefore, using local entrepreneurs to drive ICT can increase its chancesof success and sustainability.

One example of this is the entrepreneur-driven operator assistedtelephone booths (STD PCOs) introduced into urban areas of India in 1987.Today, 950,000 such PCOs have been established, covering every street ofeven the smallest town. The PCOs generate 25 per cent of India’s totaltelecom income and are used by 300 million people.

The lesson for rural communities from this initiative is that to serverural people with incomes of less than US$ 1 a day, it is best to aggregatedemand and let entrepreneurs drive it.

The following example of n-Logue Communications is a goodbusiness model for entrepreneur-driven ICT service provision. The n-LogueCommunications business model has three key components: (1) it gets anentrepreneur in every village to set up a telecentre-style kiosk; (2) it assiststhe establishment of the kiosks by providing a multi-media PC with Webcamera, printer, power back-up, software, training, and 6 months unlimitedaccess to the Internet at a cost of just US$ 1,000; and (3) it partners withthe government, NGOs, private enterprises, schools, hospitals to offervarious services through the kiosk.

The local entrepreneurs must have completed schooling, at least tograde 10, but need not have seen a computer. They must also be able toeffectively communicate and network in the community. Their kiosk must

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provide telephony, Internet access and various services to the local commu-nity and should channel the information need of their community to theapplication and content providers. To be sustainable, the kiosks needs toearn US$ 75 per month by providing computer education, photography,DTP (Desktop publishing, typing, e-mail, voice/video mail, e-governanceand other services.E-health through kiosks – it started with e-mail

The potential impact of ICT on the health of rural communities wasdemonstrated when an impending epidemic of chickenpox in a remotevillage was halted by a simple e-mail to the right people and an instantresponse from government doctors.

ICT applications for healthcare are many. The examples below helpto demonstrate its potential and existing benefits.Eye care

India has more blind (9 million) than any other country in the world.Yet, 80 per cent of this blindness is due to a treatable problem – cataracts.Currently, Screening Eye Camps are the most common method of outreach.But these camps are only held twice a year at best, and always in the sameplace. Using ICT, the Screening Eye Camps could be replaced by a moreregular and accessible method of identifying preventable eye diseases suchas Remote Eye Care using video-conferencing (figure 18).

Through video-conferencing, the patient and counsellor are able tointeract, even though they may be hundreds of kilometres from each other.

Video-conferencing allows health counsellors to provide online tele-counselling, identify serious problems (triage) and conduct online follow-upafter a patient’s visit to the hospital.

Tele-counselling is conducted by patient counsellors (who may callupon a doctor). Their role is to impress upon people the importance oftaking timely treatment for eye-related ailments. They can also provideimmediate solutions to non-serious problems (eye drops) and follow-upconsulting for patients who have already undergone treatment in thehospital.

An online patient database has been developed, which allows pa-tients to register in advance, and helps the hospital to schedule and trackthe patients who go through the system. These online applications are alsoprovided in local languages.

Following the success of the online eye care, general medicine hasfollowed, with online consulting with local doctors such as general practi-tioners, paediatricians and gynaecologists now available. There is also anOnline Clinic with a general physician.

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How does it work?Through the uptake of the Remote Medical Diagnostic Kit (or

ReMeDi), the level and quality of healthcare to rural areas will increase(figure 19). This will facilitate a more complete process that comprises:

• Remote diagnosis and prescription• Delivery of medicines• Online post-treatment follow-up• Electronic medical recordsRural people in developing countries desperately need better health

services. Currently, affordability is very low, and expensive gadgetry andequipment is unlikely to make an impact. What is needed is low costsustainable ICT infrastructure, and low cost tele-diagnostic equipment. Thiswill require local and indigenous development efforts and local doctors innearby towns to provide remote health care.

Figure 18. Videoconferencing diagnosis

Figure 19. The remote medical diagnostic kit

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S. Evaluation and monitoring of the performance of community e-centresMr. Wimal Gunawardena, Chairman/Managing Director,

TEAMS (Pvt) Limited

Introduction and project backgroundAny project achieves its objectives in terms of a set of “cause and

effect” relationships through which project resources and interventions aretransformed. In this sense, inputs lead to outputs and outputs expect togenerate effects, which are closely related to the immediate objectives of theproject. Performance of a project can be seen as a function of “relationships”between “inputs and outputs” and “outputs and effects”. Hence, evaluation andmonitoring of performance (EMP) can be seen as a process of reviewing these“relationships.” Such relationships should be evaluated and monitored continu-ously in order to ensure that the project moves forward, achieving itsobjectives by generating desirable outputs and effects. EMP involves review-ing actual outputs and effects in terms of expected outputs and effects and thenadjusting project inputs such as resources and interventions to minimize thegap between expectations and outcomes. This presentation is based on theexperience of an on-going e-community centre project in Sri Lanka.

The Community Information Project for the Poor (CIPP) was initi-ated in September 2003 under the auspices of the Asian Development Bank(ADB) and the Ministry of Education (MOE) of Sri Lanka.29 The projectinvolves the transfer of information and communication technology (ICT) tomembers of low-income communities. The objective of the project is tocreate opportunities for people with a low income, those who receive amonthly income of less than Rs. 3,000 (or US$ 30) and groups such asfarmers, labourers, plantation workers and fishers to participate in economicgrowth by providing them with vital information. This is a pilot project, inthe form of a Technical Assistance (TA) grant given by the Asian Develop-ment Bank for 15 months and implemented by TEAMS Consultants.

As a pilot project, CIPP is to serve the poor by establishing CommunityInformation Networks (CINs) in three specific districts of Sri Lanka, namely,the Gampaha, Ratnapura and Kalutara Districts. Each network involves onedistrict Community Information Centre (CIC) and ten Village InformationCentres (VICs). The overall project implementation and the functioning ofthese three networks is coordinated by a Project Implementation Unit (PIU)operating from the MOE. It is anticipated that the stakeholders, together withlocal operators, will take over the operation of these centres after the projectperiod and sustain the service provision to the poor.Approach used for evaluation and monitoring of performance

In accordance with the methodology and implementation strategyadopted by the project, implementation was visualized in two stages. During

29 The project was detailed in another presentation of this workshop.

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the first stage the focus was on: establishing CICs and their VICs with relevanthardware/software; assessing community needs; and initial capacity buildingof CIC/VIC operators to serve the community while attracting the rural poorvia awareness and promotional programmes. The second stage involvedimprovement of ICT services to the poor; further capacity building of localoperators for efficient management; and activating sustainability measures. Atthe end of the first Stage, a mid-term project review was undertaken by theADB and the MOE together with the consultant. Based on this review, majorproject changes were brought about, including changes to the organizationalstructure and implementation strategies of the project. Therefore, it is usefulto present the procedures of EMP here in terms of the first and second Stageseparately after explaining some points corresponding to EMP in general.

As mentioned previously, the objective of the project is to provide thetarget group, the poor, with vital information for livelihood improvement. Inthese terms, the EMP approach of the project has been to re-organize therequired monitoring and evaluation activities to ensure that the centres areestablished and as many members as possible from poor communities areserved at the CICs and VICs and the poor are served at the centres withinformation required by them for livelihood improvement. As per the projectdocument, CIPP is constituted of three major components:

• Provision of information services for the poor by establishingCINs (as mentioned before)

• Assisting local stakeholders to manage CINs by capacity building• Social and institutional preparation for sustainability of informa-

tion services beyond the project periodHence, the approach adopted for monitoring and evaluation of

performance recognizes the need to focus on these three dimensions. Thisimplies that the EMP work undertaken by the project was continuouslydirected towards the outputs and effects generated by the project in theseareas while closely monitoring and adjusting project inputs.

The approach used for EMP was based on the information requiredfor performance improvement at different levels. Certain guidelines wererequired at the levels of VIC, CIC and PIU for evaluating and monitoringperformance and to generate the necessary information. The main guide-lines for these different tiers were based on the action plan or work plandeveloped by the consultant at the inception. Based on the action plan, aset of monthly targets were defined for each CIN in terms of its CIC andVICs. Similarly, monthly targets for the entire project and its three CINswere identified. Performance was evaluated and monitored using thesetargets. The team leader and the CIC managers met periodically to discussthe information required for and resulting from EMP. The PIU, CICs andVICs generated a set of periodical reports for EMP and further communi-cated with the MOE to brief the project progress.

In the process of EMP, steering committees were seen as an importantelement. steering committees were set up for all the CICs and VICs in the three

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project districts of Gampaha, Ratnapura and Kalutara from the inception. Themain functions of the steering committees were the following: (1) to formulatestrategies to increase the number of users of CINs from poor community targetgroups and thus penetrate into the different sections of the community, such asSamurdhi beneficiaries, unskilled workers, casual labourers, unemployedyouth, tenant farmers and seasonal farmers; (2) to obtain suggestions on howto improve the project Web sites; (3) to formulate sustainability measures toensure the continuity of the project after the end of the TA implementationperiod; (4) for consultation on the provision of community ICT services; and(5) to monitor the overall progress of the TA activities in the CICs/VICs. Allthese functions are directly relevant to the EMP work of the project.

The steering committees met once a month and the main topics fordiscussion were based on the objectives of the project. The views of thesteering committees were taken into account in order to: (1) reach the poor;(2) improve the services to suit the community needs; and (3) prepare forsustainability. The steering committees for all the CICs and VICs werecomposed of representatives of the relevant stakeholder organizations, insti-tutions and community groups. Members of the steering committee typicallyconsisted of the following: divisional secretary of the area, chairperson ofthe local authority, representatives of NGOs and members of village levelcommunity organizations such as farmers’ organizations, women’s societies,school development societies and cooperative societies. In addition, govern-ment divisional level officers representing social services, youth services,education services, samurdhi services were also members of a steeringcommittee.Evaluation and monitoring during the first stage

At the first stage of the project (the first eight months), the focus ofEMP work was to evaluate and monitor progress of the project in relation tofive major activities undertaken at that stage: (1) establishing CICs and VICs,(2) collection of information required by the poor, (3) motivating the ruralcommunity – especially the rural poor to visit the centres, (4) provision of ICTservices, and (5) initial capacity building of operators of CICs and VICs.

The process of EMP began by setting a monthly action plan andmonthly targets for each district CIN in the light of the overall action planof the CIPP and was based on the five main project activities mentionedabove. Based on these action plans, the CIC manager briefs the CIC staffand the VIC operators. During this early stage of the project, each CIC wasequipped with a manager/community development specialist, Web designer,network analyst, hardware specialist, two newsletter writers, five informa-tion collectors and an administrative assistant/operator.

The technical staff attached to the CICs were occupied in refurbishingVICs and installing equipment and ensuring the functioning of the networkwhile setting the project Web sites. Information collectors (ICs) wereresponsible for assessing and collecting information requirements of the poor,

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rural community via a needs assessment survey and collecting the informa-tion required. At the inception, it was also recognized that certain informationthat the rural poor required was not available in electronic form such as inthe project web sites or in the web sites operated by different institutions anddepartments. Such information was available only in the form of booklets,manuals and brochures. ICs were instructed to collect these sources ofinformation from various institutes, departments, enterprises, etc. Theseactivities were evaluated and monitored daily. Although certain informationcollected by the ICs were converted into electronic form into district websites, others were stocked in each VIC in the form of hard documents. Thus,from the inception there were two major sources of information available atthe CICs and VICs: (1) information in electronic form (on Web sites andInternet based); and (2) information in hard form (manuals, booklets,newsflashes and newsletters produced in each CIC).

In order for the project to be successful, it is crucial that the membersof the target beneficiary group are motivated and attracted to use the CICsand VICs. From the inception of the project, this was undertaken byencouraging village opinion leaders to act as catalysts to the rural, poorcommunities to make use of the services provided by the centres. In addition,from the commencement of the project, a series of community awarenessstrategies and promotional programmes were implemented for the opinionleaders while conducting basic computer literacy programmes for them. Theeffects of these strategies and programmes were continuously monitored andthe content and the approach used for delivering the outputs was continuouslyimproved. These programmes and strategies helped opinion leaders to gainconfidence in the value of the services provided by the centres as well as forthem to act as catalysts to motivate the rural poor to visit the centres.

Based on the EMP work during the first stage of the project, a seriesof focus group discussions were conducted with community opinion leadersand community organizations to promote and enhance their role as catalystsand to refine the information to be provided to the rural poor. Although theinitial district information was prepared based on the outcome of the needsassessment survey, these information profiles were refined for the purpose ofimproving performance. The steering committees were activated and commu-nity opinion leaders and community organizations were encouraged to attractthe target group and to refine the information required by the target group.

Basic computer literacy programmes conducted for the target groupand the opinion leaders in the project areas in each district were alsoevaluated and monitored to assess their effectiveness by means of evalua-tion procedures attached to the programmes. In addition, the awarenessprogrammes undertaken for the rural poor were also evaluated and moni-tored at the end of each programme.

The VICs are the key components of the CINs in terms of providingservices to the rural poor. Thus, from the inception of the project, the activitiesof the VICs were evaluated and monitored on a daily basis. Each VIC was

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required to transmit a Daily Progress Report to its corresponding CIC. Theprogress reports normally consisted of two parts. The first component of thereport dealt with the status/situation relating to computer hardware, software,Internet and telephone connections and electricity supply. This was importantat the initial stage of the project, as most of the operators were not veryfamiliar with these aspects of the project, and also failures with Internet andtelephone connections and electricity supply were common. The secondcomponent of the reports from the VICs dealt with information on the usersof the VICs in terms of “the poor” and “others”. Since the users were assistedwith Web/Internet-based information as well as with information available inhard form, the users were categorized in these terms in the daily VIC reports.

The CICs monitored the project inputs in the form of resources andproject interventions required by the VICs, based on these daily VIC reports.Simultaneously, each CIC prepared weekly progress reports and monthlyperformance reports utilizing the information given by the VICs whileevaluating and monitoring its performance in terms of the monthly action plan.The daily reports of the VICs also acted as a supervisory and control tool forthe CICs, as the VICs are scattered and located far away from the CICs.

Monthly performance reviews of VICs and CICs were undertaken intwo different ways. First, internal reviews by the CIC managers with theparticipation of VIC operators were undertaken; and second, reviews of theVICs and CICs were undertaken with the participation of the correspondingsteering committees. The team leader undertook overall EMP work of theproject on a monthly basis with the participation of the CIC Managers.Progress review exercises triggered the adjustment of the project inputs andpreparation of new monthly action plans and new project targets for theincoming month.Evaluation and monitoring during the second stage

As mentioned earlier, a mid-term project review was conducted bythe ADB with the MOE and the consultants. The review concluded thatalthough the project achieved its targets in terms of establishing CICs andVICs and serving the rural community in the project areas, it had notsufficiently achieved the main objective of providing the poor with accessto vital information for livelihood improvement. Based on this review, amajor restructuring of the project was undertaken by changing the composi-tion of the project team and by reducing the technical staff. It was decidedto re-formulate the terms of reference and qualifications of the consultantsby focusing on “social mobilization,” “outreach to the poor” and “socialpreparation at the community level for sustainability of CINs”. The projectperiod was extended by four months, while restructuring the project team.

The focus of the project during the second stage of the project (afterthe mid-term review) were the following tasks: (1) increasing the coverageof the target group via social mobilization; (2) improving the provision ofinformation services to the poor; and (3) social and institutional preparation

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for sustainability. The new team leader/community information specialistprepared an action plan for the second stage of the project with the help ofeach member of the restructured consultant team in terms of the above-mentioned tasks. This action plan included sub-plans for each CIN and foreach member of the project team.

In accordance with the process of EPM adopted in the second stage,at the beginning of each month, the project team with supervision from theteam leader, prepares a monthly progress report and Action Plan for theoverall project with specific plans and targets for each district CIN. Basedon these overall plans, each CIC in the project districts prepares its ownaction plan including one for each VIC in terms of the three major tasks.In turn, each VIC reports its performance daily to the CIC, giving informa-tion on the number of target group members visiting the centre and thetype(s) of information sought by them.

The VICs also prepare a weekly progress report using the same formatused for the daily progress reports, while providing cumulative figures for theweek. The performance of the VICs is also closely monitored by the “districtfield group” headed by the social mobilizer and includes the informationcollectors. This field group prepares an independent weekly performancereport covering all the VICs of the district and indicating progress achieved interms of the district action plan. This includes the performance of each VICin terms of the project targets set and achievements made. The field groupprepares its observations in collaboration with a sample of VIC users (i.e.target group members) and hence the reporting provides insights from therural, poor communities in terms of EMP. In this report, the social mobilizeralso indicates the weekly project achievements in the district relevant to thethree main tasks of the second stage of the project.

The above mentioned sources of performance information arrivingfrom the field to the CIC are evaluated by the CIC manager weekly forEMP purposes in the light of the CIC action plan. Based on these reviews,the CIC prepares its weekly performance report while analyzing andsynthesizing field information.

The team leader at the PIU receives the performance reports of CICsweekly on Monday of each new week. The same day, a weekly progressreview meeting is conducted by the team leader with the CIC managers,social mobilization specialists, benefit-monitoring and evaluation (BME)specialist, web designers and newsletter writers. The problems and setbacksencountered during the week are discussed and action to overcome these isdetermined. The measures required for the incoming week for increasingthe coverage of the beneficiary group, improving the provision of informa-tion services including web sites and newsletters and social and institu-tional preparation for sustainability are also determined at these meetings.

Each CIC prepares its monthly performance report in terms of theproject action plan by indicating the anticipated outcomes and the actualprogress. A monthly performance evaluation meeting was held at each CIC,

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conducted by the team leader. At these performance reviews, progress forthe month is evaluated and the action plan for the incoming month isprepared while taking into account the deviations of the past month and theanticipated results to be achieved prior to termination of technical assis-tance. Steering committee members also contributes significantly in thesemonthly reviews. In addition, the work of the social mobilization specialistand the BME specialist attached to the PIU are fully tailored to this EMPprocess. The BME work, which aims to assess the outcome of the projectand the benefits that have accrued to the target group, make use of thedaily, weekly and monthly performance reports described above and formsan important part of EMP. The social mobilizer and the BME specialistalso prepare their own monthly progress reports and the team leaderprepares a brief monthly performance report based on the EMP activities,which is used for discussions with the MOE.Conclusions and lessons learned

The experience of EMP on this project is interesting, as one couldsee the process vastly improved from first to the second stage. Simulta-neously, with the improvement of the EMP process, one could easilyrecognize the improvement of project performance in the different stages.The most important element in the EMP process of the project is theweekly performance reporting during the second stage. Here the VICs (thenucleus of the CIN) submit their performance reports based on theirrecords, which are more quantitative in nature. In parallel, the “field group”submits its own report reflecting on the performance of the VICs, which isbased on its qualitative field observations by having met some of the usersof VICs. This combination provides a “rich picture” for performance.

Recently, through the initiatives of the EMP process and socialmobilization work, each district has identified a set of users of the CICsand VICs who need different categories of information and are likely tocontinue using the CINs. For example, there are users who are also fromthe target group of rural poor with a family income of less than Rs. 3,000per month, who are very small-scale entrepreneurs engaged in activitiessuch as mushroom cultivation, production of coir products, production ofcurd, production of handicrafts, etc. These users are being encouraged touse the CINs to seek both technical information to improve their productioncapabilities and marketing information for business expansion. Specialseminars are conducted with these groups to create awareness on how theCINs could help them in their small business ventures. IT users clubs arebeing established with such user groups in different areas in the threeproject districts. More and more active rural poor are being encouraged tobecome members of these clubs. These user clubs have activated “actioncommittees” among members, which can play an important role in futureEMP work and ensure the sustainability of the community ICT centresonce the TA period is over. Recently, the steering committees have in-cluded representation of these clubs and hence it is anticipated that thiswill contribute to the management of the CICs and VICs.

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Monthly EMP work undertaken by the project involve the activeparticipation of stakeholders, especially the local agencies that have pro-vided the locations to establish CICs and VICs. This process has helped togain the confidence of these agencies on the usefulness of CICs and hencethe need for their sustainability. In fact, a number of these agencies havealready indicated their willingness to take over the operation of thesecentres once the TA period is over.

The EMP process involving steering committees has also helped theproject to identify volunteers to take over the functions of informationcollectors, newsletter writers and VIC operators in the near future. Thepotential volunteers are currently being given training and such measuresare a part of the overall social and institutional preparation for projectsustainability. Stakeholders who have provided locations for CICs and VICshave also been motivated continuously to take over the functioning of thesecentres. Many have already indicated their willingness to take over thefunctions. From the beginning of February 2005, management of CICs andVICs, and their EMP will be undertaken with stakeholders. This willminimize the dependency syndrome on the project team while building thecapacity for stakeholders to operate the centres once the technical assis-tance of the ADB is over.

Undoubtedly, evaluation and monitoring of performance (EMP) is acrucial aspect for any project to be successful in achieving its objectives.The establishment and operation of CeCs in developing countries is reason-ably new. Thus, EMP of CeCs is more important than in other projects toensure their success.

T. Technological options for community e-centresMr. Rezwan Alauddin, Head of IT, Grameen Telecom

Community e-centreThe technological options for community e-centre (CeCs) largely

depends on the services that a centre wishes to provide, as there is no needto spend money on high-end hardware if there is no use for it within thecentre. Therefore, the centre must:

• Have a minimum standard hardware and software configurationso that services are similar and delivered in the desired manner

• Be networked and connected to the Internet to get the fullbenefits of the network

• The technology chosen should be adaptable and extendable, as itdoes not make economic sense to choose hardware that is notadaptable, as updates can be costly. Therefore, modular designsare the best option

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Technology choicesTechnological choices can be broken down into the following:Power supply:

• A constant reliable power supply is needed• Uninterruptible power supply (UPS) back up is essential for the

centres• Solar power supply stores energy car batteries – this is one optionHardware:

• Computer hardware specification has to be chosen wisely, andshould be largely dependant on the software that will run on thecomputer as the hardware should be capable of running thesoftware

• Peripheral devices appropriate for the local demand for servicesare also a good option

Connectivity:

• There are a variety of options in terms of connectivity. Theoptimal choice has to be made based on factors such as reliabil-ity, bandwidth, speed, availability and cost

Software:

• The need to choose between licensed and open source software• The benefits and drawbacks of each have to be weighed before

choosing what application and operating systems to runHardware configuration

Personal computers (PCs) are affordable and widely available andcomputing power is constantly increasing. Therefore, CeCs should have atleast two PC’s with Internet access for the initial phase, but with the optionto expand later, if more resources become available, or client needs change.

Multimedia computers are most beneficial for the centres. Multime-dia computers have graphics cards, which allow users to play videos anddisplay high-powered graphics. They also have CD/DVD drives, speakers,microphones and software for playing rich content.

Fortunately, computing processing power is increasing everyday andhigh-powered processors are now available at reasonable prices. IBMcompatible machines may be used with processors such as the Intel Pentium,AMD Athlon or more affordable processors such as Celeron, Duron, Geode,Sempron. The correct processor has to be chosen based on the workload. Atpresent a minimum of 256MB RAM (memory) and storage capacity of atleast 40GB disk space is quite reasonable for each machine.

In areas where the power supply is unreliable, an uninterruptedpower supply (UPS) is essential to prevent damage to the computer systemand loss of data.

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Peripheral devicesPeripheral devices such as a web camera and microphone to enable

video conferencing with family and friends abroad can provide a criticalservice for rural or remote communities.

Other useful additional devices include a digital camera, which canenable the centre to provide photographic services. A scanner for digitizingphotographs and documents such as land records is a worthwhile additionalso, as it enables documents to be recorded, e-mailed or sent off togovernment departments as needed. A further, important addition to a CeCis a printer able to do both document and photographic printing. There area number of options, including an inkjet printer, which is cost effective,produces good quality prints, and has low consumable costs. A secondoption is a laser printer. It prints at a higher speed, produces excellentquality prints and is ideal for high-volume printing.

Touch screen monitors should be considered also, particularly incentres where guided information is presented to users.Connectivity

Connection to the Internet and other networks is a necessity for CeCto function. Centres should have Internet-enabled PC’s and should benetworked through a LAN for connection and file sharing.

Where there are fixed landline telephone connections available, adial-up networking connection is ideal. Dial-up connections are a low cost,relatively reliable option. If this is not available, there are other alterna-tives, such as store and forward networks. Using this option, a form ofasynchronous communication as messages are stored on the local machineuntil a physical transport module (bus, motorcycle) uploads and downloadsthe messages as it goes past the e-centres. Dial-up is ideal for areas wherefixed landline telephone connections are available.

Other options include VSAT, which is a high speed satellite connec-tion. This is effective, and even essential for remote or mountainouslocations. However, there is a high initial setup cost. Fixed line broadbandis a high speed, reliable solution. It too, however, requires a great deal ofinitial investment in laying cables and forming large networks. Fixed linebroadband is suitable for e-centres in areas where e-centre density is high,and competition between centres is greater.

A General Packet Radio Service (GPRS) is a non-voice value-addedservice that allows information to be sent and received across a mobiletelephone network. This option enables fast data transfer of up to 171 kbps,which is three times faster than dial-up connections over fixed line net-works. It is an effective communications medium for e-centres in areaswhere GSM coverage is present (ideal for countries like Bangladesh).

Wireless LAN (WiLAN, cordect) is broadband wireless access(BWA) technology that extends short range Wi-Fi to larger areas, within anarea up to 35 km in radius. It is still relatively expensive, but is very

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suitable for CeCs. It enables rapid deployment of networks that are highlyscalable and extendable, which can be ideal for CeCs particularly wherethere is no landline connectivity.

Other considerations include deciding whether to choose a licensed orunlicensed frequency. With a licensed frequency there is no interference, butusers have to pay a fee to the government. With an unlicensed frequency, usersmay get interference, which may decrease the bandwidth and bit rate.Network architectures

The type of network architecture used should be based on thechosen connectivity method. For example, a hub-centric network has acentral server and all CeCs in a certain area are connected to this centralserver which acts as a proxy and provides data services to the e-centres.This network is most appropriate for a wireless broadband service, as itrequires high speed connections between the hub and e-centres. However,the costs of hardware are reduced using this option, as fewer expensiveservers are required.

An alternative to the hub-centric network is the localized server, whichhas a service in each centre. Using this system, the local server connectsdirectly to the Internet. This is suitable for areas where high-speed connectiv-ity in unavailable. It enables all information to be concentrated in each e-centre. However for any external information, centres have to go online.E-community – service delivery methods

The localization of the computer system is essential for the effectivedelivery of services. Centres need a local graphical user interface (GUI) inlocal languages, which will make computers more accessible to people who arenot proficient in English. It is important to use software that has a localizedinterface in the language most applicable to the community using the centre.

If GUI is not possible, an audio interface in the local language,which could be provided for the dissemination of information is analternative. The audio interface can work as either text-to-speech or voicerecognition. When using text-to-speech, words highlighted on the screen areread out to the user. This can help illiterate and visually impaired people ingetting access to information. Voice recognition enables computers to beoperated using voice commands to open applications and for typing. Thiscan also be used by illiterate people or people without proficiency intyping. Users can also control computer using voice recognition. Thesystem is not yet completely effective, but it is an option to consider.Currently, R&D is being carried out into ways to make text-to-speech andvoice recognition services available in a wider array of languages.Choice of operating system (OS) – the software side

The choice of the operating system is the key factor in determiningthe cost of software systems for the CeCs.

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CeCs have the choice between licensed operating systems suchas Windows XP or open source software such as Linux, which is avail-able for a nominal cost. Currently, 80 per cent of desktops run onMicrosoft Windows, and most users are familiar with the Windows envi-ronment. Windows-compatible software is most widely available. Licensedoperating systems have a heavy initial acquisition cost and requireenhanced PC configurations. The benefits, however, include technicalsupport and frequent updates. Open source operating systems such asLinux are more affordable, and can be customized, but need more usertraining.

CeCs could consider combining the two systems by having a cen-tral server architecture running Linux at the back end and have CeCclients running Windows XP starter editions in the centre. The startereditions are cheaper than the normal version and designed for low-cost,entry-level desktop PCs. This combination could be a satisfactory com-parison, saving costs and ensuring user-friendly interfaces and technicalsupport.Application software options

The application software options are dependant on the operatingsystem platform that is chosen. Customized software will have to bedeveloped according to the services that the centres provide. Software hasto be designed in a manner in which it can constantly evolve with theneeds of the people. It should be designed so that it can be added to andchanged frequently. Content-driven web portals can also be used to dissemi-nate information and services.Diagnosis system utilities, preventive maintenance

Regular diagnosis and preventive measures have to carried out toensure continued high performance of the CeCs’ computer systems. Utilitiessuch as firewalls, spyware removers, and anti-virus software are essentialfor computers connected to the Internet, as they are prone to maliciousattacks. Regular backups also have to be carried out to ensure that data isnot lost in the event of system crashes.Technology – the critical success factor

The technological option chosen for an e-centre is one of the criticalfactors in determining the success of the centre. Technology has to bechosen very carefully so that it supports the services offered by the centres.Technology is just the means – service is the most critical factor. Further,the technology has to be extended gradually as the centre grows andservices increase; having the latest hardware and fastest connections doesnot mean that the e-centres will succeed. It is the content and services thatare most important for the success of the centres.

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U. Marketing and types of services provided through community e-centresMr. Ashok Jhunjhunwala, Professor, Electrical Engineering Department,

Indian Institute of Technology (IIT), Madras, India

The Internet can empower rural India by providing access to educa-tion and healthcare and by increasing livelihood options either throughagriculture or micro-enterprises. Technology can impact on lives providedthat there is a big enough vision behind it – the dream should be to doublethe per-capita rural GDP. To achieve this, a large number of innovativetechnologies and applications need to be developed catering specifically torural areas. In this presentation, some innovations that have already beendeveloped and put into use will be detailed.Health

One successful example of the application of ICT in improving thehealth of rural communities is n-Logue (figure 20).30 n-Logue is a ruralservice provider set up by a group including a university faculty andentrepreneurs and is a good business model for entrepreneur-driven ICTservice provision. n-Logue kiosks are established in villages with anaggregate demand in each village with a population of 1,000 or more. It isowned and driven by a local entrepreneur, and the start up costs are US$1,000 per kiosk, to enable it to provide telephones, Internet, multimediaPCs with Web cameras, printers and power back-up. Kiosks are also givenIndian language software, video conferencing software, training and mainte-nance and six months unlimited Internet access.

Figure 20. The n-Logue network

30 See Mr. Jhunjhunwala’s previous presentation – e-health in Rural Communities and thepresentation by Ms. Karishma Kiri for more details.

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EducationThrough the CeCs, courses for various age groups can be provided

in the local language. The CeCs can also function as school classrooms forremote teaching services. Remote teaching is designed to tutor childrenwith limited access to regular schooling in different subjects.

Limited access can be the result of a number of factors such as theremoteness of a village, the lack of good teachers in the area, the economicsituation of a child’s family and so on. Recognizing that these factors canhave an impact on the schooling of a child, the courses aim to helpstudents pass their school examinations, enabling them to graduate fromschool, an achievement which is highly valued in rural India. In a pilotproject conducted in several villages in 2003, the courses significantlyimproved the pass-percentage of participating students.

Social studies and geography are widely used subjects for onlinelessons, with the most popular tutorial being the Spoken English course,which is designed to train student to learn spoken English. All the coursesare multimedia and online (figure 21).

Figure 21. A remote teaching class

E-government servicesMany government services can be provided through Internet kiosks

to villages. One application that has worked particularly well is Web-Durbar. Web-Durbar allows decision makers in towns and city centres totalk to multiple villages via single and multi-party video-conferencing. Thisenables more inclusive and participatory decision-making, and an outcomethat is satisfactory to both citizens and government.

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LivelihoodThe livelihood applications of ICT and CeCs have the largest

potential of all the CeC services. Rural micro-enterprises can be the wealthenablers, but villages need assistance in starting up micro-enterprises. Fourcomponents that are required for micro-enterprises:

• Finance – not traditional micro-finance which has veryhigh charges, but rather finance with industry-based rates isneeded

• Knowledge support and training – quality control, packagingis key in many areas, especially in crafts and even agriculture.More training and support is needed on this

• Buying, selling and logistics – village entrepreneurs need helpto move goods from rural to urban areas, transport infrastruc-ture, at a low cost

• Risk sharing – the ability of rural people to take risks hasdecreased considerably in recent years, so there needs to be risksharing

It is better to leverage the skills of rural producers. Through ICT, avirtual university can be set up in every district, which can have a majorimpact on the skills base of a district. The enabling elements are trainingand development for the creation of new skills and the increase ofknowledge. To do this, the following are needed:

• Education and Training Centres – to impart distance educa-tion, with some contact programmes

• Knowledge Centres and Clearing Houses – for all types ofproblems and questions to offer expertise on a variety of sub-jects

• Information Dissemination Centres for – best practices, FAQs,R&D and innovations

Agricultural initiativesFarmers need daily market information for the National Commodities

and Derivatives Exchange (NCDEX). Through the kiosks, NCDEX pricesare provided and automatically refreshed four times a day on local services.Data on spot and futures prices of various commodities are also providedas is guidance on growing crops based on market demand and expectations.In the near future, commodity brokerage services will be provided togroups of farmers to hedge their risks (figure 22).

Agriculture insurance provided by ICICI Lombard has already beenintroduced and weather insurance is being tested. This could be useful fordry land farmers. Training partnerships with companies with expertise inmicro-irrigation and drip irrigation systems are also being explored.

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ConclusionThere is little doubt that with access to and some training on ICT,

much can be achieved. A clear demonstration of this is the greeting cardsproduced by rural children using desktop publishing programmes, all ofwhom had less than six months exposure to computers.

With 700 million inhabitants, rural areas can be a large internalmarket for goods and services, but currently incomes are largely spent onsustenance items such as food, housing and education. Additional incomewill be spent on goods and services however, and a potential market forIndian as well as multinational products does exist. Kiosks are alreadydistributing Indian oil; lubricants; new and second hand motorcycles;tractors and spare parts; and fertilizers and other products. Further, theInternet can empower rural India by providing access to education, healthcare and livelihood opportunities. Therefore, innovative technologies andapplications need to be developed that cater specifically to rural areas.

Harvest &Transportation

of ProduceFacilitation

Risk & Insurance• Production Risk• Price Risk

MarketInformation &

LinkageFacilitation

StorageFacilitation

Knowledge &Extension

Facilitation

IrrigationFacilitation

CreditFacilitation

Inputs Facilitation• Seeds• Fertilisers• Pesticides• Farm Machinery

THE FARMER

Marketing and types of services provided through community e-centres

Figure 22. What does the farmer need?

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PART TWO

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SUMMARY OF COUNTRY REPORTS

A. Bangladesh

More than two-thirds of Bangladesh’s population live in rural areasand is engaged predominantly in agriculture and other non-farm agriculturalactivities such as fish culture, cow and goat rearing, food processing andhandicrafts productions. Internet and ICT related services are provided by theGovernment-run telecommunications organization, the Bangladesh Telephoneand Telegraph Board (BTTB), and other private Internet Service Providers(ISPs). The independent Telecommunications Regulatory Commission hasgiven licenses to 19 private operators to establish telecommunicationslinkages in different parts of the country other than the capital. Some of theoperators have already started establishing telephone exchanges and there ispotential, through these operators, to provide ICT services to rural people astheir services are targeted to areas not fully covered by BTTB so far.

The Government has given priority to the development of the ruralpopulation and particularly to poverty alleviation of rural people. Povertyalleviation through IT education and use of ICT related services has beenemphasized in the National ICT Policy 2002. The concept of the commu-nity e-centre (CeC) has not been developed in Bangladesh. Currently, cybercafés largely provide access to ICTs. The most frequent users of the cafésare students, graduates, job seekers, service holders and business people.The Internet cafés are often overcrowded and provide only limited services.

B. Bhutan

The majority of the Bhutanese live in rural communities, mainlycomposed of scattered settlements, which are difficult and expensive toaccess with conventional roads and basic telecommunications. This hascreated a critical mass of “haves” and “have-nots’’ among rural and urbancommunities. The Ministry of Information and Communications has identi-fied community e-centres as the best method to address this divide byassisting connectivity and access in rural communities.

The first CeC was established in Bhutan in 1998 in the town of Jakar.Unfortunately, it did not do well and was eventually shut down. The majorreason for the failure of the CeC was a lack of public awareness. Anotherhurdle was the unwillingness and fear of people to learn about newtechnologies. Despite the failure of the first centre, Bhutan Post has established17 public kiosks in 17 different districts on a pilot basis to study the viabilityof e-post and to increase the overall efficiency of internal communications.These public kiosks were established with financial aid from the InternationalTelecommunication Union (ITU). Further, the Department of InformationTechnology is currently carrying out pilot implementation of CeCs in threerural locations in the eastern district of Tashiyangtse.

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C. Cambodia

Cambodia is a late comer to the Internet era with commercial servicesonly launched in 1997. It has the lowest Internet penetration in South-eastAsia as well as the highest prices. Apart from the obvious barrier of poverty,exasperated by exceptionally high Internet prices, Cambodia faces a combi-nation of factors that inhibit the expansion of the Internet in the country.These include the lack of a vibrant academic community that could helpnurture and sustain computerization of written Khmer language, extremeshortage of dial-up telephone lines needed to access the Internet, andgovernment policies that have restricted Internet supply.

Despite these challenges, Cambodia has an estimated 13,000 Internetusers, most of them in Phnom Penh and Siem Reap. There are about 100Internet cafés throughout Cambodia, these also mostly located in PhnomPenh, Siem Reap, Sihanoukville and a small number in other tourist centres.In every provincial capital, there is generally at least one Internet access pointeach. Most of them offer web and e-mail access and some also offer voiceover Internet Protocol (VoIP) at a very low cost. Although VoIP was declaredillegal by the Ministry of Post and Telecommunication (MPTC) in 1998, sofar it has not been consistently suppressed. Not many of keyboards orwebsites can handle Khmer fonts so a certain level of English languageknowledge is a prerequisite for accessing the Internet. There are threeInternet Service Providers (ISPs) in Cambodia – Big Pond, set up by Telstra,Australia in 1997, Camnet, operated by MPTC (following its initial establish-ment with Cambodia assistance) and TeleSurf (operated by MOBITEL).

D. China

Since 1978, communication infrastructure construction in China’srural areas has been developing rapidly. By 2002, there were 101.967million telephone subscribers in rural areas and TV viewer rating hadreached 94.6 per cent. However, the development of information communi-cation technology (ICT) is still in the primary stage. According to a ChinaNational Network Information Centre (CNNIC) census, there were only 87million Internet users till the end of 2003, and less than three per cent ofusers were from the agricultural, forestry and fishery sector.

Currently, there are nearly 3,000 agricultural web sites in China:most are owned by public service units, research institutes, agriculturaluniversities, Internet enterprises as well as private companies. Their contentnormally focuses on specific products (e.g. flowers, tea, poultry, pig raising,fruit and vegetable production). The users are mainly extentionists, brokers,processors and farmers’ technical associations. The main challenges toimproving rural information services and building rural community e-centres are weak IT infrastructure construction at the county level; depen-dence on Government financial input for the installment of IT apparatus

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and operational costs at township level information service stations; com-paratively low educational levels in rural areas; and the huge variation inthe information needs of small scale farms.

E. Fiji

The rural maritime and inland areas are home to the majority of Fiji’spopulation and Fiji’s key exporting and service industries. However, there hasbeen an absolute decline in the rural and outer island population as rapidurbanization has taken place over the last years. This is due partly to the lowerlevel of service provision in some areas owing to remoteness and the lack oftransportation services. This lack of services constrains the development ofrural businesses and the commercialization of agriculture. The provision ofcommunity e-centres in Fiji is a key policy for the development of rural andouter islands, and ICT services was stated in the Strategic Development Plan2003-2005. This plan provided the basis for the implementation of the firstseries of rural CeCs in 2003 by the Government and Telecom Fiji Limited.

The performance of these centres is being monitored as a pilotproject. The initial response has been generally positive. However, one ofthe major constraints is the level of computer literacy in the rural areas.Although training is being provided through the project, the lack ofknowledge in the operation of computers and use of the Internet hasaffected the operation of the centres in terms of the required level of usertraffic for sustainable operations. Another constraint is the management ofthe CeCs finances. The Government is working towards providing basictelecommunications services to connect the remaining 600 villages to thenational telecommunication network. This will enable the upgrading ofservices to a much better level with Internet connectivity. The GovernmentDepartment of Information Technology and Computing Services (ITCS) istargeting the establishment of one to two community e-centres per year.

F. India

Three-quarters of the Indian population lives in rural and remoteareas and has little to no access to information. Due to the variation inlandscape and climate throughout India, the needs of rural communities canvary greatly. Further, India has 22 official languages and more than 45spoken languages (approximately 350 dialects) across the country – there-fore, one of the major challenges in providing efficient services throughcommunity e-centres is the availability of appropriate content in locallanguages. Other concerns include connectivity, reliable power, appropriateuser-friendly technology, training and above all, changing the mindset ofpeople to adapt and absorb new technologies and business processes.

The Department of Information Technology has been working on awider proliferation of ICT-enabled community e-centres (integrated servicedelivery centres) with a focus on improving rural service delivery. A policy

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framework is being evolved which would outline and calibrate governmentinterventions to establish a large number of such centres across the countrywithin a specific time period. Records available for the last five yearsreport that at least 200 initiatives in the field of citizen services, education,health, and e-governance-related ICT kiosks/community centres have beenset up in rural India. These have been initiated by both government andnon-government agencies. The Department of Information Technology is thelead agency spearheading the Government’s initiatives. The success of theseinitiatives has varied, but among these projects there have been someencouraging successes which are scalable and replicable. These include thefollowing projects: Rural Access to Services through the Internet (RASI), e-Chaupal, AKSHAYA, TARAhaat, community information centre (CIC), e-Seva, and Drishtee.

G. Indonesia

According to statistical data from the Indonesian Statistic Centre, 58per cent of Indonesians live in rural areas. Along with the large gap betweenurban and rural dwelling, there is also the gap between urban and ruraldevelopment, with rural areas generally considered to be poorer than urbanareas. The exploitation of natural resources in rural areas in Indonesia has notonly resulted in an economic gap, but also uneven development distribution.Moreover, environmental conservation is neglected. Hence, the consequencesare natural catastrophes that cause the rural community to suffer even further.

To address the imbalance in development between urban and ruralareas the Public Works Department and the Agriculture Department insti-tuted the “agropolitan” approach in 2001. The “agropolitan” approach isfocused on rural areas with a population between 50,000 to 150,000 peopleand its activities are designed to increase access to and distribution of ruralcommunity products. In 2004, the “agropolitan” programme was expandedto 30 provinces in Indonesia. The introduction of information technologyinto rural communities, via community e-centres is necessary for thesuccess of the “agropolitan” project and for enabling rural communities tobe more competitive.

H. Mongolia

Since the 1990s, Mongolia has been moving from a centrally-planned economy to a market economy. In the past, the rural economy wasa reservoir not only for employment and livelihoods, but also forMongolia’s economic growth and exports. Figures from 2004 show that44.5 per cent of all workers are employed in the agricultural sector and theagricultural sector accounts for 20 per cent of GDP. At the same time,more than half of the rural population belongs to poor and vulnerablegroups, who are mostly engaged in agricultural production.

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The National Agricultural Extension Centre was established severalyears ago by the Ministry of Food and Agriculture, and is working towardsthe development of an extension network throughout Mongolia. Currently, allaimags have provincial branch offices. These extension centres play animportant role in disseminating information and technology and linkingproducers and researchers. However, due to limited finance and poorinfrastructure (no electricity, bad roads), the more remote communities arenot included in such activities. The National Agricultural Extension Centre’sproposed Midterm Action Plan plans to expand its service to the soum andbag level (lowest administrative unit) and build more modernized, highlyequipped centres. There is an urgent need to build community e-centres withthe aim of facilitating people’s participation at all levels of the developmenteffort. Poor infrastructure and costs are the main constraints.

I. Nepal

Nepal is a land-locked country with 85.8 per cent of population livingin rural areas. Analysis of the rural household economy in Nepal indicatesthat only 40 per cent of the income of an average rural household comesfrom farming and the remaining 60 per cent comes from other incomesources (Statistical Pocket Book, Nepal, CBS 2002). Nepal’s 10th Five YearPlan has four broad based objectives: (a) economic growth; (b) social sectordevelopment; (c) social inclusion; and (d) targeted programmes and goodgovernance, which emphasis the development of ICTs and establishment ofcommunity e-centres (CeCs) in rural areas. The Plan also focuses onovercoming the information gap in rural areas by using ICTs.

Nepal’s first community e-centre was officially inaugurated on 29August 2003 at Bhimphedi Rural Market Centre. Seventeen such CeCshave been established in selected wards. Another pilot project to install 15rural CeCs in 15 different Village Development Committees (VDCs) innine districts is also already under way, under the joint management of theMinistry of Science and Technology’s (MOST) National Information Tech-nology Centre (NITC) and the UNDP-funded ICT for developmentprogramme. Issues facing the widespread establishment community e-cen-tres include low penetration of ICTs; relative novelty of the concept; andcapacity gap of local institutions.

J. Philippines

Community e-centres (CeC) in the Philippines are still in theirinfancy. The Philippine Government has undertaken efforts to promote ICTin business, education, governance and infrastructure. However, these aremostly in urban areas. Most CeCs have been established through the jointefforts of the public and private sectors. The precursor of CeCs in thePhilippines were established through the Department of Science and Tech-nology (DOST)-Philippine Council for Health Research and Development

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(PCHRD). It established two CeCs in Mindanao in 1999. The DOST-National Computer Corporation (NCC) also launched the e-LGU Projectwhich has CeCs as a component, while the Department of Transportationand Communication (DOTC) through its Telecommunications office pro-vides basic communication services in almost all localities in the country.

The Medium Term Development Plan of the Philippines (2001-2004)states that access of regions to basic ICT shall be expanded through CeCsand that Filipinos shall at anytime have faster and wider access toinformation necessary for learning and knowledge creation. As such, sev-eral initiatives have been undertaken by the Government: (1) TelehealthNetwork Services in Community Partnership Programmes; (2) setting up ofthe Commission of Information and Communications Technology (CICT), acommission with a private sector advisory body established by the Presi-dent of the Philippines, to promote and develop ICT in the Philippines; (3)e-governance for Local Government Units (LGU); (4) Barangay.Net, aproject piloted with the aim of setting up CeCs in communities that wouldserve as a one-stop resource centre for constituents providing access tobarangay information and other subject-specific information; and (5) theCommunity Information Centre which was set up as a way of bringing ICTto remote communities to improve their socio-economic conditions.

K. Sri Lanka

Agriculture is the key economic sector in Sri Lanka. It constitutes 20per cent of the GDP and employs more than one-third of the local work force.In agricultural communities, largely in rural areas, usage of ICT is minimal,affecting their ability to get the maximum price for their products and theirawareness of new technology. The ICT infrastructure development programmewithin the Government’s e-Sri Lanka initiative will address the current ICTconnectivity issues in rural areas. This programme plans to establish accesspoints known as Vishva Gnana Kendra (VGK) or Global Knowledge Centresin rural areas in order to offer a range of ICT-related services. This project willbe implemented in two phases. Under the first phase, it is expected that 100VGKs will be established selected districts in southern, northern and easternparts of the country. These CeCs will not only have Internet facilities, but willalso be provided with local content relevant to the community.

The issues to be resolved to realize the full potential of these centresinclude: low rates of computer literacy; language barriers; lack of aware-ness and skill; lack of skilled people to manage the Internet environment;reliability and high-speed communication; and privacy and security. Anotherproject, the Regional Telecommunication Networks Project seeks to enableInternet access in remote and rural areas by providing a subsidy to serviceproviders to construct telecommunication networks and requiring them toprovide mandatory service in the form of telephone, fax, Internet accessand e-mail to the rural populations through CeCs.

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L. Thailand

IT2010 is the policy framework for Thailand’s ICT development forthe year 2001-2010. It was endorsed by the Cabinet in March 2002. IT2010sets the key development objectives in order to exploit the benefits ofinformation and communications technology to move Thailand to a“Knowledge-based” society and economy. In addition to this framework,there is a need for the National ICT Master Plan to identify more specificstrategies. The ICT Ministry is expected to spearhead and coordinate allpolicy, strategies and work programmes as declared within IT2010 and theNational ICT Master Plan. One important strategy is the utilization of ICTto enhance the quality of life and society, emphasizing the development andapplication of an equitable information infrastructure for areas such aseducation and rural development.

There are several organizations in Thailand which are working withthe CeC concept. These organizations, together with the National Electronicsand Computer Technology Center (NECTEC), the Ministry of Informationand Communication Technology, the World Bank and the Ministry of Interior,have started to work together in sharing ideas and implementing them.Several CeCs for rural development have been established in recent years, forexample, the Government has invested in four pilot CeCs managed byNECTEC. The objective of the pilot project is to experiment and make theseCeCs a gateway to electronic commerce for communities. Another notableproject was initiated and run by a joint-effort between Thailand andMassachusetts Institute of Technology (MIT) (the Suksa-Pattana Foundationand the Thaicom Foundation). The project is located in Ban SamKha villagein Lampang Province, and aims to empower communities through project-based learning experiences. Other e-community projects include InternetTambon, CATNet, one temple one e-learning centre (OTEC) and thebroadband e-learning project of His Majesty, the King of Thailand.

M. Uzbekistan

Uzbekistan is situated in the centre of Eurasia on the Great Silk Road,serving as the gate between the East and the West. With a population of morethan 25 million, its GDP grew by 8.4 per cent between January throughSeptember 2004. The number of mobile phone users reached 396,000 inJanuary 2004. Rapid development of ICT is one of the main State goals andhas been supported by a Decree by the President of the Republic of Uzbekistanin May 2002, “On further development of computerization and ICT implemen-tation” and a Resolution by the Cabinet of Ministers of the Republic ofUzbekistan in June 2002, “On measures of further computerization and ICTimplementation”. Under this resolution the Computerization and ICT Develop-ment Programme for 2002-2010 was adopted.

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The main goals of the programme are: development of up-to-datetelecommunications infrastructure and national Internet network; creation ofenvironment for computerization development; development of a domesticsoftware exporting industry; formation of national information resources;training of highly skilled specialists in ICT; perfection of legislation; andproviding information security.

N. Viet Nam

Viet Nam is an agricultural country. More than 75 per cent of thepopulation lives in rural area and the main income is generated throughagriculture. The Ministry of Agriculture and Rural Development (MARD)of Viet Nam is the Government agency responsible for management ofagriculture and the rural development sector in Viet Nam. The need forinformation exchange between MARD and the agriculture administrativeagencies and other ministries is huge. From 2002, with the assistance ofUNDP, MARD has carried out a pilot project aimed at improving informa-tion exchange between MARD and provincial agriculture and rural develop-ment departments.

MARD has also been carrying out a pilot project on buildingcommunity e-centres (CeCs) in provinces in the north, central and southregions. Thirteen CeCs in rural areas will be set up to serve the informa-tion needs of farmers and to support agricultural production and ruraldevelopment at the grass roots level. These centres are supported by theNational Agriculture Extension Centre and MARD who will supply infor-mation to an agricultural experts’ network with the capability of deliveringelectronic information to farmers and representative’s offices through theCeCs. Some NGOs have also started to establish CeCs for informationexchange in remote areas, however these non-government activities are onlyin their beginning phase and are limited at present.

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ANNEXES

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ANNEX I

WORKSHOP AGENDA

Wednesday, 8 December 200408:30 – 09:00 Registration09:00 – 09:30 Opening Ceremony

Welcome Remarks by: Chief, ICT ApplicationsSection, Information,Communication and SpaceTechnology Division,UN ESCAP

Opening Remarks by: Dr. Raymond Renfro,Director, Capacity Buildingand Training, ADBI (byvideoconference fromTokyo)

Election of OfficersGroup Photo Session

09:30 – 10:00 Coffee break10:00 – 10:40 Introduction to the Workshop and of Participants

and Resource Speakers by Mr. Jeoung-Keun Lee,Senior Capacity Building Specialist, ADBI

10:40 – 12:00 Overview of Community e-Centres in Asia and thePacific by Chief, ICT Applications Section, Infor-mation, Communication and Space TechnologyDivision, UN ESCAP

12:00 – 13:00 Lunch13:00 – 14:30 Country Reports of Cambodia, Indonesia,

Kazakhstan, Lao People’s Democratic Republic,Mongolia, Nepal, Philippines and Sri Lanka (Chair-person)

14:30 – 15:00 Coffee break15:00 – 17:00 Country Reports of Bangladesh, Bhutan, People’s

Republic of China, Fiji, India, Thailand,Uzbekistan, and Viet Nam (Chairperson)

Thursday, 9 December 200408:30 – 10:00 Use of Satellites for Rural Development by Mr.

Eui-Kon Koh, President, Asia-Pacific SatelliteCommunications Council (APSCC)

10:00 – 10:30 Coffee break

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10:30 – 11:15 Connecting People in Rural Communities throughICT: The Grameen Telecom Experience by Mr.Rezwan Alauddin, Head of IT, Grameen Telecom

11:15 – 12:00 Social Capital and the Network Effects: Implicationsof China’s e-Learning and Rural ICT Initiatives byMr. Alexander G. Flor, Dean and Professor, Facultyof Information and Communication Studies, Univer-sity of the Philippines Open University

12:00 – 13:00 Lunch13:00 – 14:30 Economics of Satellite-based E-community

Networks by Mr. Adi Adiwoso, Chief ExecutiveOfficer, ACeS (Asia Cellular Satellite), PT AsiaCellular Satellite

14:30 – 15:00 Coffee break15:00 – 16:30 Digital Inclusion: Public and Private Partnerships

by Mr. Akhtar A. Badshah, Senior Director, Com-munity Affairs, Microsoft Corporation

Friday, 10 December 200408:30 – 09:15 E-learning in Rural Communities through Commu-

nity e-Centres by Mr. Kyosuke Yoshimura, LearningSolution Executive, Learning Solution, IBM GlobalServices, AP, IBM Asia Pacific Service Corporation

09:15 – 10:00 South-east Asian Needs Assessment for a GlobalOpen Agriculture and Food University by Mr.Alexander G. Flor, Dean and Professor, Faculty ofInformation and Communication Studies, Univer-sity of the Philippines Open University

10:00 – 10:30 Coffee break10:30 – 11:15 Developing a Business Plan for Community e-

Centres: Operations and Management by Mr. S.Senthilkumaran, Associate Director, InformaticsDivision, M. S. Swaminathan Research Foundation,India

11:15 – 12:00 The Rice Knowledge Bank: What Is It and Can E-communities Benefit? by Mr. Mark A. Bell, Head,International Programs Management Office, TrainingCentre, International Rice Research Institute (IRRI)

12:00 – 13:00 Lunch13:00 – 13:45 Stakeholder Partnerships for ICT in Rural Commu-

nities by Mr. Sahdev Singh, Assistant ExecutiveSecretary, Asia-Pacific Association of AgriculturalResearch Institutions (APAARI), FAO Regional Of-fice for Asia and the Pacific

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13:45 – 14:30 A Survey of Rural Kiosks in India by Ms.Karishma Kiri, Senior Product Manager, MicrosoftCorporation

14:30 – 15:00 Coffee break15:00 – 15:45 From a Small Beginning to a Mass Movement:

National Alliance for Mission 2007 by Mr. S.Senthilkumaran, Associate Director, InformaticsDivision, M. S. Swaminathan Research Foundation,India

15:45 – 16:30 Models of Community e-Centres for the Poor byMr. Wimal Gunawardena, Chairman/Managing Di-rector, TEAMS Consultants

Saturday, 11 December08:30 – 10:00 How To Draft Action Plans by Ms. KyeongAe Choe,

Senior Project Specialist, Agriculture, Environmentand Natural Resources Division (MAKE), ADB

10:00 – 10:30 Coffee break10:30 – 11:15 Economic Analysis of Community e-Centres by

Ms. Hyunjung Lee, Economist Regional Coopera-tion Team, Operations Coordination Division,South Asia Department (SAOC), ADB and Mr.Jeong-Dong Lee, Associate Professor, Techno-Eco-nomics and Policy Programme, College of Engi-neering, Seoul National University

11:15 – 12:00 Local Knowledge Management through Communitye-Centres by Mr. Sahdev Singh, Assistant Execu-tive Secretary, Asia-Pacific Association of Agricul-tural Research Institutions (APAARI), FAO Re-gional Office for Asia and the Pacific

12:00 – 13:00 Lunch13:00 – 16:00 Study TourMonday, 13 December08:30 – 09:15 Harmonizing ICT with Integrated Community De-

velopment: The Sarvodaya Experience in Sri Lankaby Mr. Vinya Shanthidas Ariyaratne, ExecutiveDirector, Sarvodaya Shramadana Movement

09:15 – 10:00 Korea’s Effort to Build Telecenters as a Tool toClose the Digital Divide by Mr. Cheung-MoonCho, Director, Division of International Coopera-tion Planning, Korea Agency for Digital Opportu-nity and Promotion (KADO)

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10:00 – 10:30 Coffee break10:30 – 11:15 Conducive Environments for Promoting Commu-

nity e-Centres, Mr. Jonathan Kushner, Global Stra-tegic Accounts Executive, Microsoft Operationsand Mr. Peter Chong, Corporate Attorney, Far EastRegion, Microsoft Law and Corporate Affairs

11:15 – 12:00 E-health in Rural Community through Communitye-Centres by Mr. Ashok Jhunjhunwala, ElectricalEngineering Department, Indian Institute of Tech-nology (IIT)

12:00 – 13:00 Lunch13:00 – 13:45 Presentation of Group Work on Information Needs

Assessment13:45 – 14:30 Evaluation and Monitoring of Performance of

Community e-Centres by Mr. Wimal Gunawardena,Chairman/Managing Director TEAMS Consultants

14:30 – 15:00 Coffee break15:00 – 15:45 Technological Options for Community e-Centres by

Mr. Rezwan Alauddin, Head of IT, GrameenTelecom

15:45 – 16:30 Marketing and Types of Services ProvidedThrough Community e-Centres by Mr. AshokJhunjhunwala, Electrical Engineering Department,Indian Institute of Technology (IIT)

Tuesday, 14 December08:30 – 10:00 Presentation of Action Plans (Mr. KyeongAe Choe)10:00 – 10:30 Coffee break10:30 – 12:00 Presentation of Action Plans (Mr. KyeongAe Choe)12:00 – 13:00 Lunch13:00 – 14:30 Finalization of the Action Plans and Workshop

Evaluation (Mr. Jeoung-Keun Lee)14:30 – 15:00 Coffee break15:00 – 15:40 Closing Ceremony

Handing Out CertificatesVote of Thanks by Participants

***************

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ANNEX II

LIST OF PARTICIPANTS

BANGLADESHMr. Mesbah Ul Alam, Ministry of Science and Information and Communi-cation Technology, Room #907, Bldg #6, Bangladesh Secretariat, Dhaka(Tel.: +880-2-7167274; Fax: +880-2-7169606; E-mail: most@ bangla.net)

Mr. Md. Mahmudur Rahman, Economic Relations Division, Ministry ofFinance, Block #8, Room #28, Sher-E-Bangla Nagar, Dhaka (Tel.: +880-2-9133467; Fax: +880-2-8113088; E-mail: [email protected])

BHUTANMr. Jigme Tenzing, Department of Information Technology, Ministry ofInformation and Communications, P.O. Box 482, Thimphu (Tel.: +975-2-323215; Fax: +975-2-328440; E-mail: [email protected])

CAMBODIAMr. Chhay Seng, Deputy Director of Department of Planning and PublicRelation, Ministry of Rural Development, Corner of Street 169 and RussianBlvd, Phnom Penh (Tel.: +855-12-812211; Fax: +855-23-881450; E-mail:[email protected])

Mr. Ney Samkol, Customer Service Office, Ministry of Posts and Telecom-munications, Angkor Telecom Center, Corner Street 105 & SihanoukMakara, Phnom Penh (Tel.: +855-23-220017; Fax: +855-23-220016; E-mail:[email protected])

CHINAMr. Zhang Junping, Division of Information Service, Agriculture TradePromotion Center, Ministry of Agriculture, Rm 805, Bldg. 20 MaizidianStr., Chaoyang District, Beijing 100026 (Tel.: +86-10-6419-4563; Fax: +86-10-6419-4571; E-mail: [email protected])

FIJIMr. Mosese Tavaga Qasenivalu, Sectoral/Regional Planning Division, Min-istry of Finance and National Planning, Level 8, Ro Lalabalavu House, P.OBox 2351, Government Buildings, Suva (Tel.: +679-331-3411 ext 2317;Fax: +679-330-4809; E-mail: [email protected])

INDIAMr. Ashis Sanyal, Department of Information Technology, Ministry ofCommunications and Information Technology, Electronics Niketan, 6 CGOComplex, Lodi Road, New Delhi 110003 (Tel.: +91-11-2430-1282 /-2436-5422; Fax: +91-11-2436-3079; E-mail: [email protected])

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INDONESIAMr. Zainal Arifin, Ministry for Communication and Information, Jl MedanMerdeka Barat #9, Jakarta 10110 (Tel.: +62-21-3843628; Fax: +62-21-3843628; E-mail: [email protected])Mr. Sudarwanto, Chief, Finance Division Secretariat, Directorate General ofUrban and Rural Development, Ministry of Settlement and Regional Infra-structure, Jl Pattimura No.20 3rd floor, Kebayoran Baru, Jakarta Selatan(Tel.: +62-21-725-1743; Fax: +62-21-725-1743; E-mail: [email protected])

KAZAKHSTANMs. Saule A. Yessengeldinova, Department on Regional Policy andInterbudget Relations, Ministry of Economy and Budget Planning, Pobedy33, Astana 473000 (Tel.: +7-3172-718133; Fax: +7-3172-718128; E-mail:[email protected])

LAO PEOPLE’S DEMOCRATIC REPUBLICMr. Douangmala Chanthalangsy, Department of International Cooperation,Ministry of Foreign Affairs, Thatluang Road, Vientiane (Tel.: +856-21-416572; Fax: +856-21-416572; E-mail: douangchanthalangsy@yahoo. com)

MONGOLIAMs. Burmaa Badral, Crop Production Division, Ministry of Food andAgriculture, Government Building #9. Enkhtaivan Avenue 16A, Ulaanbaatar(Tel.: +976-11-262835; Fax: +976-11-453121; E-mail: [email protected])Ms. Oyundelger Nataa, Strategic Planning and Policy Department, Ministryof Food and Agriculture, Government Building #9, Enkhtalvan Avenue16A, Ulaanbaatar (Tel.: +976-11-261908; Fax: +976-11-452554; E-mail:[email protected]; [email protected])

NEPALMr. Kapil Dev Ghimire, Ministry of Local Development, Pulchowk,Lalitpur (Tel.: +977-1-553-6170; Fax: +977-1-552-2045; Email: [email protected])Mr. Sushil Ghimire, Ministry of Information and Communication, SinghaDurbar, Kathmandu (Tel.: +977-1-424-2562; Fax: +977-1-422-1729 /-426-1979; E-mail: [email protected]; [email protected])

PHILIPPINESMs. Soledad Emilia de Jesus Cruz, Corporate Affairs Group, Department ofFinance, 5th floor Executive Tower Bldg., Bangko Sentral ng PilipinasComplex, Roxas Blvd., cor V Cruz, Manila 1004 (Tel.: +632-5257427; Fax:+632-5251313; E-mail: [email protected])

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Mr. Ferdinand Constantino Ortilla, International Finance Group-BilateralAssistance Division, Department of Finance, 5th floor Executive TowerBldg., Bangko Sentral ng Pilipinas Complex, Roxas Blvd., cor V Cruz,Manila 1004 (Tel.: +632-5239911-17 local (105); E-mail: [email protected])

SRI LANKAMs. Mohaneswaran Ranjithamalar, Ministry of Relief, Rehabilitation &Reconciliation, District Secretariat, Jaffna (Tel.: +94-21-222-2774; Fax:+94-21-222-2774; Email: [email protected])Mr. Dushmantha Thotawatte, Samurdhi Authority, Ministry of Samurdhi &Poverty Alleviation, 4th Floor “Sethsiripaya”, Battaramulla (Tel.: +94-11-286-9742; Fax: +94-11-286-9742; E-mail: [email protected])

THAILANDMs. Phontip Warunyooratana, Office of Permanent Secretary, Ministry ofInformation and Communication Technology, 89/2 Building 9, TOT Corpo-ration, Chaeng Wattana Road, Bangkok 10210 (Tel.: +662-505-7108; Fax:+662-568-2519; E-mail: [email protected]; [email protected])

UZBEKISTANMr. Sakhib Saifnazarov, Division of Communications and InformationTechnologies, Ministry of Economy, 45 A Uzbekistan Ave, Tashkent700003 (Tel.: +998-71-132-6457; Fax: +998-71-139-8644; E-mail:[email protected]; [email protected])

VIET NAMMr. Nguyen Anh Minh, International Cooperation Department, Ministry ofAgriculture and Rural Development, No. 2 Ngoc Ha St., Ba Dinh District,Hanoi (Tel.: +844-7332205; Fax: +844-7330752; E-mail: [email protected])

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RESOURCE PERSONS

Mr. Adi Adiwoso, CEO, ACeS (Asia Celullar Satellite), PT Asia CellularSatellite, Cyber Bldg. 5th Floor, Jl. Kuningan Barat No. 8, Jakarta 12710(Tel.: +62-21-520-9810; Fax: +62-21-520-9811; E-mail: adiwoso@ aces.co.id)Mr. Akhtar A. Badshah, Senior Director, Community Affairs, MicrosoftCorporation, One Microsoft Way, Redmond WA 98052, U.S.A. (Tel: +1-425-722-6653; E-mail: [email protected])Mr. Alexander G. Flor, Dean and Professor, Faculty of Information andCommunication Studies, University of the Philippines Open University, LosBanos, Laguna 4031, Philippines (Tel.: +63-49-536-6001-6; Fax: +63-49-536-6014; E-mail: [email protected])

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150

Mr. Ashok Jhunjhunwala, Professor, Electrical Engineering Department.,Indian Institute of Technology (IIT), Madras, Chennai 600036, India (Tel:+91-44-2257-0120 /-8366; E-mail: [email protected])

Mr. Cheung-Moon Cho, Director, Division of International CooperationPlanning, Korea Agency for Digital Opportunity and Promotion (KADO),645-11, Deungchon-1Dong, Kangseo-ku, Seoul 157-715 (Tel.: +82-2-3660-2641; Fax: +82-2-3660-2649; E-mail: [email protected])

Mr. Eui-Kon Koh, President, Asia-Pacific Satellite Communications Council(APSCC) & President, ASA Technologies, 627-A Aljunied Road, #08-07,BizTech Center, Singapore (Tel.: +65-6748-1619; Fax: +65-6748-9335; E-mail: [email protected])

Mr. Jeong-Dong Lee, Associate Professor, Techno-Economics and PolicyProgram, College of Engineering, Seoul National University, San 56-1,Shinrim-Dong, Kwanak-Gu, Seoul 151-742 (Tel.: +82-2-880-8892; Fax:+82-2-880-8389; E-mail: [email protected])

Ms. Jessica Rothenberg-Aalami, Research Associate, Berkeley Roundtableon the International Economy (BRIE), University of California, Berkeley,Berkeley CA, U.S.A (E-mail: [email protected])

Mr. Jonathan Kushner, Global Strategic Accounts Executive, MicrosoftOperations Pte. Ltd., 22-01 One Marina Boulevard, Singapore 018989 (Tel.:+65-6882-8923; Fax: +65-9128-9102; E-mail: jonkush@ microsoft.com)

Ms. Karishma Kiri, Senior Product Manager, Microsoft Corporation, OneMicrosoft Way, Redmond WA 98052, U.S.A. (Tel.: +1-9811222987 (mo-bile); E-mail: [email protected])

Ms. KyeongAe Choe, Senior Project Specialist, Agriculture, Environmentand Natural Resources Division (MKAE), Asian Development Bank, 6ADB Avenue, Mandaluyong City, Manila 0401 (Tel.: +63-2-632-6899 /-5834; Fax: +63-2-636-2301; E-mail: [email protected])

Mr. Kyosuke Yoshimura, Learning Solution Executive, Learning Solution,IBM Global Services, AP, IBM Asia Pacific Service Corporation, 3-2-12Roppongi, Minato-ku, Tokyo 106-8711 (Tel.: +81-3-5572-2603; Fax: +81-3-5572-2457; E-mail: [email protected])

Ms. Lori Forman, Regional Director, Community Affairs, Asia Pacific,Greater China, Japan, Microsoft Operationa Pte. Ltd., 22-01 One MarinaBoulevard, Singapore 018989 (Tel.: +65-6882-8614; E-mail: [email protected])

Mr. Mark A. Bell, Head, International Programs Management Office,Training Center, International Rice Research Institute (IRRI), Los Banos,Laguna, Philippines (Tel.: +63-2-580-5600/-845-0563; Fax: +63-2-580-5699;E-mail: [email protected])

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Mr. Peter Chong, Corporate Attorney, Far East Region, Microsoft Lawand Corporate Affairs, 13/F Cyberport 2, 100 Cyberport Road, HongKong, China (Tel.: +852-2804-4344; Fax: +852-2560-6247; E-mail:[email protected])

Mr. Rezwan Alauddin, Head of IT, Grameen Telecom, Grameen BankComplex, Mirpur 2, Dhaka 1216 (Tel.: +88-2-9005-387, 801-9618; Fax:+88-2-9005-388; E-mail: [email protected])

Mr. S. Senthilkumaran, Associate Director, Informatics Division, M. S.Swaminathan Research Foundation, 3rd Cross Road, InstitutionalArea, Central Polytechnic Campus, Taramani, Chennai 600113, India (Tel.:+91-44-2254-2791/-2698/-1229; Fax: +91-44-2254-1319; E-mail: [email protected]; [email protected])

Mr. Sahdev Singh, Assistant Executive Secretary, Asia-Pacific Associationof Agricultural Research Institutions (APAARI), FAO Regional Office forAsia and the Pacific, 39 Phra Atit Road, Bangkok 10200 (Tel.: +66-2-697-4372; Fax: +66-2-697-4408; E-mail: [email protected])

Mr. Vinya Shanthidas Ariyaratne, Executive Director, SarvodayaShramadana Movement, Sarvodaya Headquarters, Damsak Mandira, 98Rawatawatta Road, Moratuwa, Sri Lanka (Tel.: +94-1-655669 (direct) /-647159 /-655255; Fax: +94-1-656512; E-mail: [email protected])

Mr. Wimal Gunawardena, Chairman/Managing Director, TEAMS Consult-ants, 14 Sunethra Lane, Off Thimirigasyaya Road, Colombo 05 (Tel.: +94-11-259-2877; Fax: +94-11-259-8713; E-mail: [email protected];[email protected])

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UNIVERSITAS UDAYANAMr. I. G. B. Wijaya Kusuma, Director, GDLN Universitas Udayana, Jl. PB.Sudirman Denpasar 80114, Indonesia (Tel.: +62-361-229406; Fax: +62-361-263293; E-mail: [email protected], wijaya_kusuma@telkom. net)

Mr. I. G. P. Wirawan, Vice President Cooperation and Information Affairs,University of Udayana, Kampus Bukit Jimbaran, Badung, Bali, 80361,Indonesia (Tel.: +62-361-704625; Fax: +62-361-701907; E-mail:[email protected]; [email protected])

Dr. I. Wayan Wita, President, University of Udayana, Kampus BukitJimbaran, Badung, Bali, 80361, Indonesia (Tel.: +62-361-703140; Fax: +62-361-701907, E-mail: [email protected])

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OBSERVERSMr. Dinesh Kumar Thapaliya, Ministry of Local Development, LalitpurPulchowk, Nepal (Tel.: +977-1-5526-437; Fax: +977-1-5552-226; E-mail:[email protected])

Mr. Mahesh Kumar Karki, Ministry of Finance, Singha Durbar, Kathmandu(Tel.: +977-1-421-1304; Fax: +977-1-425-7110; E-mail: [email protected] ; [email protected])

Mr. Ramesh Adhikari, Rural Urban Partnership Programme (RUPP), UNDP,G.P.O. Box 107, Kathmandu (Tel.: +977-1-5530-123; Fax: +977-1-5530-881; E-mail: [email protected])

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WORKSHOP SECRETARIATMs. Hyunjung Lee, Economist, Regional Cooperation Team, OperationsCoordination Division, South Asia Department (SAOC), Asian Develop-ment Bank, 6 ADB Avenue, Mandaluyong City, Manila 0401 (Tel.: +63-2-632-5731; Fax: +63-2-636-2221; E-mail: [email protected])

Ms. Ja-Kyung Yoo, Chief, ICT Applications Section, Information, Commu-nication and Space Technology Division, UN ESCAP, The United NationsBuilding, Rajadamnern Nok Avenue, Bangkok 10200 (Tel.: +66-2-288-1332;Fax: +66-2-288-1085; E-mail: [email protected])

Mr. Jeoung-Keun Lee, Senior Capacity Building Specialist, Capacity Build-ing and Training, Asian Development Bank Institute, Kasumigaseki Bldg.8F, 3-2-5 Kasumigaseki, Chiyoda-ku, Tokyo 100-6008 (Tel.: +81-3-3593-5512; Fax: +81-3-3593-5587; E-mail: [email protected])

Ms. Nicole Jecks, Consultant, Media and Information Specialist, Flat K,The Palmyra, 34 Soi Nantha, Thanon Sathorn Tai Sathorn, Bangkok 10120(Tel.: +66-7015-2605; E-mail: [email protected])

Ms. Tomoko Doi, Program Assistant, Capacity Building and Training,Asian Development Bank Institute, Kasumigaseki Bldg. 8F, 3-2-5Kasumigaseki, Chiyoda-ku, Tokyo 100-6008 (Tel.: +81-3-3593-5544; Fax:+81-3-3593-5587; E-mail: [email protected])

Ms. Joohee Noh, Intern, Poverty and Development Division, UN ESCAP,United Nations Building, Rajadamnern Nok Avenue, Bangkok 10200(Tel.: +82-16-248-2970; E-mail: [email protected])

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ANNEX III

PROJECT PROPOSALS

Country Project title Proposer Proposedbudget (US$)

Bangladesh Building community e-centres: action plan for Mesbah Ul Alam 1,053,930Bangladesh

Bangladesh Building community-based pilot e-centres Md. Mahmudur Rahman 572,170in rural areas of Bangladesh

Bhutan Pilot CeC study: towards empowering Jigme Tenzing 808,500rural Bhutan

Cambodia Chunnaboth-net: linking Cambodia for rural Chhay Seng 24,521,450development through Cambodian rural Kelly Hutchinsoninformation centres Pauline Tweedie

Cambodia Great Mekong telecommunication backbone Ney Samkol 9,580,000network project 2004-2008

China Building multi-purpose community e-centres in Zhang Junping 26,532,210rural China

Fiji Establishment of rural community e-centres Mosese Tavaga Qasenivalu 750,000in Fiji

India Building 20,000 community e-centres for Ashis Sanyal 53,500,000rural India

India (M S Reaching the unreached: making science S. Senthilkumaran 4,781,058Swaminathan relevant to the people’s needs – throughResearch community e-centresFoundation)

Indonesia Model CAP for the development of Small Ministry of Communications Not DetailedMedium Enterprises (SMEs) and Information

IRRI Improving the impact of research: using Mark Bell 754,320e-learning to improve agricultural extension

Kazakhstan E-government formation in Kazakhstan Saule A. Yessengeldinova Not Detailed

Lao People’s E-community centre for rural development in Douangmala Chanthalangsy 800,000Democratic the Lao People’s Democratic RepublicRepublic

Mongolia Mongolian e-project-2004 Oyundelger Nataa 25,150,000Burmaa Badral

Nepal Multipurpose community centre, a tool to Sushil Ghimire 1,595,000alleviate poverty in Nepal

Nepal A proposal on ICT for rural-urban Kapil Dev Ghimire 20,000,000linkages in Nepal Dinesh K. Thapaliya

Mahesh Kumar KarkiRamesh Adhikari

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Country Project title Proposer Proposedbudget (US$)

Philippines Technical assistance and loan to the Philippines Soledad Emilia de Jesus Cruz 20,000,000for building sustainable rural community Ferdinand Ortillae-centres to reduce poverty

Sri Lanka Establishment of community e-centres Dushmantha Thotawatte 717,000in rural areas

Sri Lanka Strengthening and expanding ICT facilities Mohaneswaran Ranjithamalar R. 12,000,000/to rural areas in Sri Lanka centre

Thailand Building 152 community e-centres for Phontip Warunyooratana 8,614,000villages in rural areas

Uzbekistan The modernization programme of the postal Sakhib Saifnazarov 11,400,000service network based on informationcommunication technologies (ICT)

Viet Nam Development of e-community centres for Nguyen Anh Minh 926,000rural development in the central regionof Viet Nam

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Title: Building community e-centres: action plan for BangladeshProposer: Mr. Mesbah Ul Alam, Ministry of Science and

Information and Communication TechnologyCountry: BangladeshDate: December 2004

I. INTRODUCTIONOne of today’s challenges of information and communication tech-

nology (ICT) expansion is the spontaneous participation of rural people inelectronic communications. About 80 per cent of the total population ofBangladesh is living in rural areas. They are a poor and neglected group ofthe society. Accessibility to ICT devices is much lower in rural areas thanin urban area.

Very often the farmers are deprived of minimum earnings from theirproductions due to lack of proper information. ICT enabled services coulddisseminate information on agriculture, health and sanitation awarenessfaster, and for the betterment of the livelihood of the rural people.

There are several models of community e-centres (CeCs) includingcivic telecentres, telecentres franchises, phone shops and multipurposecommunity telecentres. Among these, the public telephone shops are commonin Bangladesh. There are telephone, fax, e-mail and Internet service centresin urban areas of Bangladesh. The number of such centres is rapidly growingand encouraging as is the use of mobile phones in Bangladesh. InBangladesh, Grameen Phone – a private mobile phone company, along withother mobile phone companies, have expanded their telephone services toalmost every village in the country. These phone shops facilities are highlyvalued by users and the general community, and are adding commercial andsocial value to the economy. However, rural areas are still largely withoutICT-enabled services and proper ICT infrastructure in such areas are neededto match what is available in urban areas of the country.

ICT has been declared as the thrust sector of the country by theGovernment. The Government of Bangladesh emphasizes greatly the imple-mentation of the national ICT policy for achieving the Millennium Devel-opment Goals (MDGs). The national ICT policy envisions building aknowledge-based society by 2006, where equalized access to informationallows empowerment of citizens, enhanced democracy and sustainableeconomic development. Major objectives of the national ICT policy are to:extend Internet facilities to all district headquarters and subsequently to itsadjacent areas up to sub-district level; provide Internet to the educationalinstitutions and libraries; and to ensure public access to information, settingup cyber kiosks in all Post Offices, Sub-District and Union complexes.

The Ministry of Science and Information and Communication Tech-nology (MOSICT) in Bangladesh is implementing the mandate of theGovernment in the ICT sector.

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II. BACKGROUND, ISSUES AND RATIONALEThe majority of Bangladeshi citizens live in rural areas, where

accessibility to ICT is much lower than in urban areas.Agriculture including fisheries and livestock is the main source of

earnings for the majority of the people and hence the use of ICT in thesesectors can help agriculture-based, rural communities to reap theirunutilized potentials, thereby improving their socio-economic conditions.

In order to address rural poverty, the Government is implementingvarious projects. Despite all these efforts however, about half of the populationis below the poverty level. The majority of the large population engaged inagriculture do not have sufficient access to the market and market information.

Bangladesh has a very low teledensity (2.9 per cent). This level ofteledensity is due to:

• Low telecommunications infrastructure• Low literacy rate• Low ICT literacy rate• Poverty• Lack of awareness• Lack of technology• Absence of initiativesAt present Bangladesh Telephone and Telegraph Board (BTTB) is

providing countrywide telecommunication coverage. Grameen Phone is alsocovering 61 out of 64 districts. Bangladesh Telecommunication RegulatoryCommission (BTRC) is issuing new licenses to some private institutions forestablishing fixed phones lines in some regions in the country. People ofBangladesh are now waiting for Fiber Optic Submarine Cable Network whichis expected to be available by 2005. It will enable fast data communications.

III. THE PROPOSED PROJECTThe proposed project will target the rural community regardless of

their income or wealth. It will also address the above-mentioned issues.The lack of existing telecommunications infrastructure poses great chal-lenges in providing Internet connectivity to rural population. Through theimplementation of this pilot project, accessibility to ICT will be increasedwhich will enhance education and skill, promote agri-business and ruraldevelopment, healthcare facilities, etc.A. Purposes and objectives

The goal of the project is to create an ICT oriented society wherethe poor have access to ICT and thereby benefit, as economic growth isenhanced and the vicious cycle of poverty broken. The purpose of theproject is to empower rural people by increasing ICT accessibility andproviding ICT applications for their socio-economic activities.

Under this project 10 CeCs will be established in Bangladesh. ICTis the most effective tool for acquiring information needed for socio-

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economic development, particularly in rural communities. It is expected thatthis project will enable the rural people to develop their livelihood andempower the community with ICT.

The main objectives of the projects are:1. To empower rural communities by increasing ICT accessibility;2. To provide ICT applications for socio-economic activities;3. To design a sustainable CeC model according to community

type and needs;4. To emphasize public-private partnership in financing and com-

munity ownership in management;5. To implement pilot CeCs in the rural areas as designed;6. To develop community-based ICT applications that could create

employment and business opportunities in communities;7. To develop local Internet content by translating existing content

into local languages; and8. To build capacity through training programmes and regional

workshops.The major outputs of the proposed project will be:1. Locations of CeCs within the community have been identified;2. Community needs have been identified;3. National initiatives, resources and services are identified;4. ICT applications and local content for local communities have

been developed;5. Operators of the centres have been identified; and6. CeCs will be equipped with hardware and required software to

meet the needs of the community.

B. Scope of the project, components, methodology and key activitiesTwo CeCs will be established in each of Dhaka, Chittagong,

Rajshahi, Khulna divisions and other CeCs will be established in each ofSylhet and Barisal divisions.

Dhaka is the largest division. It has the largest population, rivers, andmarshy lands. Chittagong has hilly areas and islands. Very often it facescyclones and tidal bores. Rajshahi is the second largest division in terms ofpopulation and area. Khulna has a sea-port and vast forest area. Barisal has alot of river and coastal area. Sylhet consists of hills and marshy lands.

Communities and locations will be selected on the basis local needs.For this, a need assessment survey will be required. A consultant will beengaged for this purpose. Projects will be implemented on a pilot basis fortwo years. If the performance of these is found satisfactory, the programmemay be extended throughout the country.

The project will have different components. First, the project area willbe selected and a need assessment will be conducted by the internationalconsultants with the help of local consultants. It will be carried out by a localsurvey, meetings with the local people, different government and non-

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government organizations. Preference for setting up of the CeCs will be givento existing schools or local government organizations, so that students and therest of the community can jointly enjoy the facilities. During the needsassessment survey, operators will also be selected. After the needs assessmentsurvey, local conferences and meetings will be held with the community andrecommendations from these meetings will be taken into consideration whendeveloping local content and during implementation. The operators will begiven skill development training and a study tour will be organized.

C. Implementation arrangementsThe MOSICT will implement the project. A project director will be

appointed by the Government. The expertise of the Bangladesh ComputerCouncil (BCC) will be utilized in this project. At the top level, a projectsteering committee, headed by the Secretary, MOSICT, will oversee theproject. A project technical committee, consisting of representatives ofdifferent technical organizations such as T&T Board, Bangladesh Universityof Engineering and Technology (BUET).

At the grass-roots level, a local managing committee, headed by thehead of the local sub-district, will be formed to: (a) supervise the projectand coordinate with the Project Director in implementing the project; and(b) monitor running and management of the centre. The operators will beselected from the locality. If schools are found suitable for establishingcentres, preference may be given to school teachers or school staff forselection as operators. Existing school buildings will be used on a rentalbasis to avoid major construction work. A study tour will be conducted forthe implementing team.

The proposed project will be implemented on the basis of therecommendations of the consultants. The concerns and needs of localcommunities will also be taken into account. This will increase itssustainability as the community will be more prepared to pay for theservices provided by the centre if they meet their needs.

D. Cost and financing (US$)

Item Qty. Government Donors Total cost

1. Consultantsa. International consultants 1 50,000 50,000b. Domestic consultants 1 6,000 6,000

2. Manpower (operators) 4,800 – 4,8003. Equipment and software 24,558 24,558

a. Equipmentb. Software

4. Building and furniturea. Buildings 4,000 – 4,000b. Furniture 2,700 2,700

5. Trainings, seminars and conferences 5,000 5,000

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159

Total for each centre = US$ 105,393Total for 10 centres = US$ 105,393 x 10 = US$ 1,053,930

E. Sustainability, viability and expected impactThe proposed project will be implemented on the basis of the

recommendations of the consultants. The interest of the local people willalso be taken into account. So the project will be viable. Common peopleare interested to pay for the services given by the centre. They will getnecessary information regarding their commodities and their socioeconomicconditions will also be improved. Their new skills will flow on to manypeople. This will obviously have a positive impact on the society. Thus,this impact will be propagated throughout the country.

Bangladesh

Visual inspectionBeneficiary opinionsStatistical reportsPoverty impact assessmentProject evaluation reports

Project evaluation reportsImpact evaluation

Project evaluation reportsLocal inspectionMeetingStudy tourTraining programme

Project framework

Design summary Performance Monitoring mechanism Assumptions and risksindicators/targets

Government andcommunities are fullycommitted to the projectobjectivesStable political conditionLaw and order remainsnormal

Law and order remainsnormalTypes of ICT applicationsand content are relevantto farmersInfrastructures areable to support CeCs

Increased communitybased infrastructureEconomic growth has beenincreased in target area andpoverty has been reduced

10 CeCs established’At least 50 per cent peopleuse ICT accessories andtheir profit fromcommodities increasedIncreased income of theusers

10 communities identified10 CeCs established

Needs of 10 communitiesidentifiedSoftware and hardwareinstalled

GoalReduction of poverty inrural community

PurposeCeCs are establishedPublic awareness raised

Income generation

OutputCommunities identifiedLocations of CeCs selected

Community needsidentifiedHardware and softwarepurchased and installed

Item Qty. Government Donors Total cost

6. Research, development and surveys 3,334 3,3347. Miscellaneous administration and 3,334 3,334

support cost8. Contingencies 1,667 – 1,667Total 13,801 91,592 105,393

160

Bangladesh

Design summary Performance Monitoring mechanism Assumptions and risksindicators/targets

Local content developed

Local operators trainedStudy tour conducted

ActivitiesAppointment ofconsultantsConduct communityneeds assessmentDevelopment of localcontentsPreparation of communitytraining module andimplementation oftraining programmeProcurement andinstallation of softwareand hardware

Dissemination of lessonslearnt

InputsFunding internationaland local consultantsEquipment and machinery

Local contents for 10communities developedLocal operators for 10CeCs selected and trained

Procedure starts forappointment of consultantsNeed assessment workstartsLocal contents developedfor 10 localitiesTraining modulesdeveloped for 10 CeCs

Tender floated forpurchase of machineries

Dissemination documentsOperators for 10 CeCsselected

Fund allotment by donorsConsultants selected

Progress reports

Review missions

Participating communitiesand entrepreneurs remaininterested and committed

Office documentsphysical verification

Timely availability offundsConsultantsEquipment and machineries

161

Title: Building community-based pilot e-centres in rural areas ofBangladesh

Proposer: Mr. Md. Mahmudur Rahman, Assistant Chief, EconomicRelations Division, Ministry of Finance

Country: BangladeshDate: December 2004

I. INTRODUCTIONInformation and communications technology (ICT) may be consid-

ered as the engine of the economy in any country. It can stronglycontribute to poverty reduction by enhancing income-generating opportuni-ties, including employment for poor people. Like other countries in SouthAsia, Bangladesh understands the reality and, consequently, the way for-ward to build an ICT-based society. It has been emphasized through theformation of a Task Force. The Prime Minister of Bangladesh, herself,chairs the Task Force to ensure the implementation of the activities takentowards building an ICT-based society.

Bangladesh, like other developing countries, faces problems in ex-panding ICT to different parts of the country. Though it has experiencedthe benefit of ICT, it is limited to urban areas and rural areas are largelywithout coverage. In order to transfer technology and distribute the benefitof ICT to all parts of the country, the Bangladeshi Government plans tostart addressing the issue in an integrated manner. In addressing the issue,the project articulated here could be the first step. The project is planningto be implemented under the umbrella of Rural Development and Coopera-tives Division (RDCD), a Division of Ministry of Local Government, RuralDevelopment and Cooperatives, the Ministry of Science and Informationand Communications Technology (MOSICT) with the help of theBangladesh Computer Council. The Ministry of Post and Telecommunica-tions will implement the project along with the RDCD. The mandate ofRDCD is to look after rural development activities in the country, whileMOSICT is responsible for ensuring capacity building of the nation in thefield of Information Technology (IT) and to attain a sustainable growth inthe ICT Sector of Bangladesh. The Ministry of Post and Telecommunica-tions is mainly involved in telecommunications infrastructure and postalservices. The project has been designed to provide various services and theRDCD will coordinate all activities to be implemented under the project.

II. BACKGROUND, ISSUES AND RATIONALEIn Bangladesh, about 80 per cent of the population lives in rural

areas, where a majority of the poor are also based. The poor lag behindeconomically and in terms of every opportunity. In order to address ruralpoverty, the Government is implementing several projects to reduce andalleviate poverty. In order to fulfill its constitutional obligations, theGovernment has been trying to build a poverty-free society since its

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162 31 The area will be selected on the geographical region and poverty situation of the country.

independence. Despite all efforts, about half the population is below thepoverty line, even at this moment. This is not because of illiteracy. It isbecause the large population engaged in agriculture including livestock andfisheries does not have better access to markets. They are not receiving theright price for their labour and products. There is a strong intermediarygroup making profit from this sector. The rich enjoy educational facilitiesmore than poor people. They also enjoy other facilities more. It has notbeen possible as yet to reach the rural poor with the modern technology.

Tele-density in Bangladesh stands at only 2.9 per cent (mobile plusfixed line). Here, one thing is important – mobile lines have exceededlandlines, the ratio is 3.25:1. The use of ICT-based technologies is alsoless. For example, there are only 500,000 personal computers inBangladesh, and only 82,000 computers with Internet connection.

The poor have only minimum access to these technologies. As aresult they are less advanced, doing their job and business in a sub-modernway. They are deprived of modern education, modern health facilities andin turn living a sub-standard life. The Government therefore, has beentargeting the rural poor to pull them out of the vicious cycle of poverty.The RDCD as mandated by the State is playing an important role in ruraldevelopment. It has already taken the initiative to adopt technology with itsongoing efforts in poverty alleviation. This proposed project will be arevolutionary addition to the present initiatives, which will directly associ-ate the rural poor with the technology and will try to pull them out of thepoverty and make them sustainable.

III. THE PROPOSED PROJECTThe proposed project will target rural communities regardless of

their income or wealth but give emphasize to the rural poor. The project isto set up community e-centres (CeCs) and has been designed to provideservices as much as possible to the rural areas. The services will be offeredaccording to the needs of the community.

The goal of the project will be to examine the sustainability of CeCsthat will bring sustainable economic growth and poverty alleviation in ruralareas of Bangladesh with the help of ICT.A. Purposes (or objectives)

The main objectives of the project will be as follows:1. To examine the degree of sustainability of CeCs in rural areas

of Bangladesh;2. To establish 20 pilot CeCs in different parts of the country31;3. To provide technology and ICT-based services;4. To provide selected primary consultancy services for filling out

of different government application forms;

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5. To keep birth and death record of selected areas;6. To form of ICT user groups; and7. To train elder citizens of the society at night.The major outputs of the project would be as follows:1. Critical regions are covered on a pilot basis for introducing ICT

based services;2. Rural population is more confident in production and marketing

their product, and thereby profit more through the use of ICT;3. Corruption in the public sector will be reduced;4. The cost of doing business will be reduced and therefore the

profit will be higher that contributed to sustainability of smalland medium enterprise (SME);

5. Public services will be available at the community level; and6. Economic activities be increased and income of rural people will

be increased and thereby economic growth sees a positive impact.

B. Scope of the project, components, methodology and key activitiesThe project will cover 20 communities in different regions in

Bangladesh. Through these communities the sustainability of the centres canbe tested over a two to three year period. Thereafter, the lessons learned fromthe pilot cases will be reviewed and a suitable model be designed to replicate.The priority areas will be selected according to the density of population.Here, different criteria will be applied. For six divisions, three rural areas fromDhaka, Chittagong and Khulna will be selected on low density and three ruralareas from Rajshahi, Barishal and Sylhet will be selected on high density. Theurban areas from six divisions will be selected in a reverse way. Other areashave been selected on the geographical nature of that region as geography hasdetermined the density of population in those areas.

The project will also test different areas of sustainability in order toprepare a sustainable model to be used in setting up CeCs across thecountry. Three approaches will be followed in addressing the ownership ofthe projects, they are: (a) solely government owned; (b) public-privateownership; and (c) a cooperative model. Private entrepreneurs interested insetting up a CeC will also be encouraged and the Government will givethem policy support, tax exemptions etc. The impact of those centres willalso be reviewed after two and half years.

The project will have three different components. Firstly, a needsassessment will be done. An International Consultant will be deployed alongwith a local consultant to study the priority of selected areas. Consideringthe geographical importance, consultants can change the location of theproposed centres. Their recommendations will be reviewed and the govern-ment will make the final selection. After selection and finalization of theareas for implementation of the project, the consultants will do a survey forthe needs assessment of the selected community. A baseline economic surveywill also be done during this period. It will take three months. During thesurvey, the exact location for the centre will be selected in consultation with

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local government bodies, civil society and other stakeholders. It will belocated in an existing building, either a government or private building.During the needs assessment, CeC operators/volunteers/technicians will beselected from the selected communities by the community and governmentoffices jointly and they will be trained for six months on different servicesto be provided by the centres. After the needs assessment survey, theconsultant will be deployed to assess sustainability issues with regard tofinancial/technological options. Thereafter the second component will bestarted. This is related to physical establishment of community e-centres.

Tenders will be floated according to the needs of the centres. It willtake about one month to purchase and install the equipment in thosecentres. During this work the local content will be created for certain areas.Contracts will be given to private firms through local competitive biddingto do this job. During this time, local conferences and workshops will beheld in the selected areas. The recommendations of those workshops willbe taken into consideration while implementing the project. The advertisingand awareness programme will be conducted during this period. On thesixth month, the centre will begin trial operation. From the seventh monththe centre will start full-fledged operation.

The third component will be the review of the sustainability of thecentres. A joint mid-term review including local government bodies andnon-governmental organizations (NGOs) will be conducted on the perfor-mance after the centres complete 18 months of operation. An impactevaluation will be conducted to see the effectiveness and sustainability ofthe project. For this purpose, one local consultant and one internationalconsultant will be deployed. The consultants will assess the possibility ofexpansion of the project in a larger fashion throughout the country.

A major consideration in implementing the project is communityparticipation. If the community is not mobilized, the project will not besustainable. Localization of product is also important. The services to beoffered will be converted into local language within the shortest possibletime. Otherwise people may loose interest in using those services. Thereare some risks involved in using the computers and other facilities. Peoplemight be more interested in approaching new, private e-centres if one isopened near to presently located CeCs. In that case both centres will beturned to a losing concern. Another risk is that the Government may not bewilling to subsidize the centres for a long period, and may tell thecommunity to take over the centres if they do not make profit.C. Implementation arrangements

The project has been designed to be implemented on a pilot basis bythe Government. The management may be different in different areas. Thedifferent types of management are:

1. Solely government owned, in which it may deploy its ownpeople with some remuneration. In this case, monitoring will bethe responsibility of the Government;

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2. Public-private partnership, in which the Government provideequipment and connectivity, and the community manage thecentre. The community take 35 per cent of the profit, 45 percent of the profit reserved for maintenance and recurring costsand the remaining 20 per cent go to the Government as itprovides all the equipment free of charge; and

3. Cooperative association, in which cooperative association willmanage day-to-day activities. The Government will providespace, equipment and connectivity as a loan to the cooperativeassociation. The cooperative association will run the e-centreson a commercial basis, and will pay back the loan on weeklybasis. Operational costs and other recurrent costs will be borneby the cooperative association.

In setting up of such centres, the Government may consider adoptionof some regulatory policies. It may not need to pass a law in theParliament; rather it can do it by issuing some office orders.

The project duration will be four years. The executing agency of theproject will be the RDCD. The Bangladesh Rural Development Board(BRDB), the MOSICT and its affiliated organization, Bangladesh ComputerCouncil (BCC), and the Ministry of Post and Telecommunications (MOPT)will be the implementing agencies for the project. The MOSICT will equipthe centre with necessary equipment, MOPT will arrange connectivity andBRDB will arrange funding for the e-centres.

Three levels committee will monitor the project other than privatesector. At the top there will be a Project Steering Committee (PSC). It willsee the progress and advise the project authority according to the need/adjustment. It will meet every quarter. There will also be a TechnicalCommittee consisting of members from directly related agencies. A LocalLevel Committee consisting of local government and community representa-tives shall monitor the day-to-day project activities.D. Cost and financing (US$)

The proposed budget and cost-sharing arrangement is furnishedbelow (for four years for each centre in US$):

Government/cooperative/

Item Qty. local Donors Total cost

community

1. Consultantsa. International consultants 3 (17 person 100,000 100,000

months)b. Domestic consultants 3 (17 person 50,000 500,000

months)2. Human resources 11,970 – 11,9703. Equipment and software 289,200 289,200

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E. Sustainability, viability and expected impactThe services to be offered will be selected based on the need of the

community and that will of course ensure the market of the CeCs. The secondpoint for sustainability is related to the fees/charges taken from the customers.The services for local content and other information may charge in a judiciousway. So, the centres will be able to generate income to cover the day-to-dayoperational cost. But, here the critical issue is the investment cost needed forestablishing the centres. Here the advantage of the centres will be that they willget government support in different forms. Tax exemption for equipment willmake their investment cost less than any other project run by private sector.Tax Holiday advantage and lower rate of electricity and lower interest rate willalso make the proposed centres sustainable. However, the mishandling of thecentres may create new problems for the poor. This problem can be minimizedwith the help of local government institutions, local leaders and by thecommunity itself. The user group can also be pressure group.

Bangladesh

Project framework

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

GoalTo examine how ICT-based CeCs help reducepoverty and minimizethe digital divide

Improved community-basedICT infrastructure in 20communities by 2009 andpoor people are usingthose technologiesIncreased income foragriculture producersReduce gap between theurban and rural poor in20 communities

Visual inspectionBeneficiary opinionStatistical reportsIndependent povertyimpact assessmentProject evaluation report

Government/cooperative/

Item Qty. local Donors Total cost

community

4. Building and furniture 42,000 – 42,0005. Trainings, seminars andconferences 30,000 – 30,0006. R&D, surveys/impact 5,000 5,000

studies/mid-term review7. Local content preparation 20,000 20,0008. Miscellaneous administration and 4,000 – 4,000

support cost9. Contingencies 20,000 20,000Total 127,970 444,200 572,170

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Bangladesh

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

PurposeTo examine thesustainability of CeCsin all geographicalregions of Bangladesh

Economic activitiesare increased by 30 percent in all areas coveredby CeCs by 2009Income of 4,000 ruralpoor households increasedby 25 per cent by 2005Market informationavailable to pilotcommunities by 2007Agriculture is 45 per centof GDP in selectedrural areasCeCs profit is 24 per centby 2009All governmentforms and information areavailable to 20 selectedcommunities by 2009

Visual inspectionBeneficiary opinionStatistical reportsIndependent income andexpenditure surveyProject evaluation report

Government support notwithdrawnPolicy support from theGovernmentCommunity participationNo natural disastersNo political disturbancesAgriculture productionwill not fall

OutputsTelecommunicationconnectivity established

20 CeCs established andconnected to Internet andother telecommunicationsfacilitiesCeC operators joined and24 hours operationTelephone/fax are used bythe communityFees/charges are paid bycommunityInternet connectivityis establishedConnectivity is available24 hours at dayFarmers, fishermen andother poor peoplefrequently use the centreElder people are trainedin ICT and are moreenthusiastic

CeCs are being used by4000 poor householdby 2009

Communication withrelatives in cities andabroad has been increasedby 40 per cent by 2009

50 elder persons knowcomputer by 2009. Theyare mobilizing theirchildren to learn how touse the computer

Progress reportReview mission reportRecords of projects,ministries, ImplementationMonitoring and EvaluationDivision (IMED)Beneficiary opinionVisual inspection

Community participationincreases within 6 monthsof establishmentNo disturbances inelectricity and telecomsconnectivityRural people are payingfees/charges for usingservicesAgriculture productionwill not fall

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Bangladesh

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

Job information isregularly used byyoung personsLocal people usee-government

Local educated personsuse Internet instead ofwasting time in otherplacesReading newspapers viaInternet increasesPublic awareness increases

200 educated job seekersget information at theright timeGovernment forms are soldevery day. Revenuegeneration is increased by25 per cent every yearNews, national andinternational events arecloser to the rural people,more than 75 times

Anybody in selected ruralareas can tell where theseservices are availableSustainability issue hasbeen analyzed andgovernment decision forfurther expansion of thecentre is in place

ActivitiesConsultants recruited andengaged in needsassessment and preparingreports

Government employeesjoin the project and startworking with consultantand local governmentbodiesConsultant report reviewedand areas selected forCeCsConstruction begins,spaces given by thecommunity handed overto local committee

Volunteers/centre operator/technicians identified andsent for training

Two local and twointernational consultantsengaged by January 2005and two months latersubmit a need assessmentreport including areaselectionFour trained and qualifiedpersonnel identified andtransferred to the project

Start working with theconsultant and other projectpersons by January 2005Government confirmationon area selection byMarch 2005Content preparation worksgiven priority some contentdeveloped by June 2005

Volunteers trained and jointhe centre by June 2005

Progress reportReview mission reportRecords of projectsIMED report

Government will notinterfere in the selectionprocessAppropriate selection oflocationSpaces available are freefor establishing CeCsConnectivity by thestipulated time

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Bangladesh

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

Sustainability examinedand consultant preparesa report

Review of report bygovernment and release offinanciers fundsTender floated, received,reviewed and work orderissuedEquipment and suppliespurchased and installationworks started

Baseline survey completedand report preparedLocal content preparationAwareness buildingcampaign/workshoporganizedTrial operation of e-centre

Mid-term review started

Impact evaluation of theproject started

Sustainability reviewedby April 2005 andrecommendation examinedby Government byMay 2005

Work order placed by 30May 2005 and equipmentsand supplies enableconnectivity by 25June 2005

Trial operation starts inJuly 2005. The centre isopened for 12 hours a day,five days a week

Mid-term review inApril 2007

Impact evaluation inAugust 2009

InputsConsultant

Government employees

Voluntary worker/CeCoperator/technician

Government contributionDonor contributionCommunity contribution

Consultants recruited byJanuary 2005Identification of fourgovernment employeesby January 2005 and theirtransfer to the projectIdentification of voluntaryworker and centreemployees by January 2005and sending for trainingGovernment/donor/community fund committedby January 2005

Project monitoring dataReview missionProject accountsVisual inspection

Funds committed shallbe available timelyProcurement of consultantand transfer ofgovernment employeesshall not be delayedOther inputs will beavailable timely

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Bangladesh

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

Civil works/spaces forcentreEquipment and supplies

Telecoms connectionInternet connectionTraining of centreemployeesAwareness campaign/workshop/ conferenceFurniture

Needs assessment andbaseline survey foreconnomic activities

Sustainability assessment

Project management

Civil spaces for CeCsidentified by March 2005Equipment and suppliesinitially identified byJanuary 2005MOPT ready forconnection by June 2005

Awareness campaign readyby February 2005Furniture found by March2005Baseline survey completedby June 2005

Need assessment surveycompleted by February2005Project managementcommittee set up byFebruary 2005

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Title: Pilot CeC study: towards empowering rural BhutanProposer: Mr. Jigme Tenzing, Department of Information

Technology, Ministry of Information and CommunicationsCountry: BhutanDate: December 2004

I. INTRODUCTIONInformation and communications technologies (ICT) have played a

vital role in the development of rural communities around the globe.Recent developments in ICT have cut cost of technology substantially, andhave increased the effective range of communication equipments makingthem ideal for a country like Bhutan. WiMax, Power Line Communications,and cheap satellite communications are some of the recent developments.

The Royal Government of Bhutan, through its incumbent telecomoperator, Bhutan Telecom, has set out on a noble quest to provide communi-cation connectivity to all 201 blocks within the country by 2007. Further, theMinistry of Information and Communications, noting the importance of“access to information” for economic and social development, has startednumerous pilot telecentre projects to determine the best approach to commu-nity e-centres (CeCs) for Bhutan: the Department of Information Technologyhas started three telecentre pilot studies in eastern Bhutan putting the lessonslearned from an earlier telecentre pilot carried out in Jakar Bumthang; andBhutan Post is developing 17 public kiosks to study the effectiveness of e-post.

This proposal seeks to take the previously mentioned initiatives tothe next level, by consolidating all the lessons learned from the pilotstudies and further incorporating the best practices of international andregional initiatives.

II. BACKGROUND, ISSUES AND RATIONALEBhutan, lying in the Eastern Himalayas, is a country of mountains

and rivers with 79 per cent of its population still surviving solely onagricultural production. Due to the mountainous nature of the land, ruraldwellers have created small pockets of settlements which range from a fewhundred households down to even a single household.

The Royal Government of Bhutan finds it extremely difficult togather enough funds to invest in such regions due to extreme costs requiredfor development in such regions and also due to the low impacts of suchventures. Imagine establishing a school costing hundreds of thousands ofdollars for only 50 children, or building a 100 kilometres mountain roadthat reaches only 100 households.

Even so, the Royal Government of Bhutan is slowly pumping enormousfunds for the development of these regions by building feeder roads (that giveaccess to a number of villages), community schools and basic health unitsevery year. Even so the rate at which development is taking place leaves amajor portion of the population waiting for motorable roads, better health care,

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easier access to education, seamless connectivity to communication networks,and in general, the ability to have better quality of life.

Due to this unavoidable fact, there is a major segment of the populationthat is less empowered, and has a lesser quality of life as compared to the 21per cent urban dwellers. This has sadly created a society of “haves”, and “havenots”, in a country that believes in “Gross National Happiness”.

Noticing the rapid widening gap of development between the urban andrural population, the younger generations from rural communities fail to returnto their communities further displacing vital skilled human resources from thecommunities and, in addition, creating a steady rise in rural to urban migration.

To mitigate this problem, the Royal Government of Bhutan has starteddecentralization – empowering local governments so that development takesplace in an even manner in all the 20 districts within Bhutan. Realizing theimportance of communications for development, the Royal Government ofBhutan has announced that “all 201 blocks within the country will have accessto at least 10 telecommunication lines by the end of 2007”.

ICT can also be a means to overcome these barriers, if not totally, toa great degree. The cost of ICTs has dropped substantially, while at the sametime their effectiveness has increased in leaps and bounds. The RoyalGovernment of Bhutan understands the vital role that ICT can play in thedevelopment of rural communities, and has already launched few pilotcommunity e-centres around the country. Though the desire is to have at leastone pilot study for each unique settlement within the country, lack of funds hasforced the pilot studies to be limited to a very few in few selected locations.

III. THE PROPOSED PROJECTA. Purposes (or objectives)

The goal of this project is to “empower rural Bhutan and create aknowledge base on CeCs for the global community” using ICT as a means.

The objectives of this project will be:• To gather vital information of successful models of CeCs for all

unique types of community settlements within the country• To develop a knowledge resource centre based on the above

research and make it available (online/offline) for all countrieswith similar situations

The outputs of this project will be:• Globally accessible knowledge base of case studies of successful

CeC initiatives based in Bhutan• Self sustained CeCs managed entirely by the community• Training programmes developed and institutionalized in local

languages• Heightened awareness about the benefits that can be gained

from ICT in rural communitiesB. Scope of the project, components, methodology and key activities

The project will work with selected local rural communities of aunique nature (in terms of accessibility, population density and proximity to

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urban areas) in Bhutan. The scope of the project in terms of benefits isbroader as the results will be available online to a global audience. Themethodology of the project is to diversify the different types of CeCs tocome up with best approaches to different community settings withinBhutan and further to share that knowledge with a global audience.

The key activities include:1. Determining different categories of communities in Bhutan;2. Determining the best CeC approach for each category of com-

munity; and3. Making the research data available online for a global audience.Considering the huge costs involved in the development of CeCs

throughout the country, a pilot-based implementation of eight centres willbe carried out.

A general survey will be carried out to determine similarities be-tween different communities throughout Bhutan. This will help determinethe different categories of rural settlements that exist, and will be used todetermine the different types of centres to pilot.

A single community of each type will be selected keeping in mindthe following criteria: (1) The settlement has the highest population withinthat category of settlements; (2) categories of CeCs will not exceed eightnumbers; and (3) preferably located near a school.

A team of survey people composing of one international consultant willvisit the selected communities to carry out a comprehensive survey to determinethe needs of the settlements. Once determined, services will be designed basedon the findings of the survey. Along with that, training mechanisms, andawareness schemes will be developed. Trainings will be conducted before andduring the implementation so as to be effective. Trainings will include but notbe limited to: hardware maintenance, software operations, Internet use,knowledge management, and basic business management. Awareness schemeswill include pre-designed video clip and graphical brochures.

After the services have been rolled out in the eight communities, bi-annual evaluation surveys will be carried out to study the progress andimprovements required within the community. Further, ad hoc responseteams will visit sites that face economic or technical problems and willdetermine solutions if possible. The response team will try alternativecombination of services, and if the problem persists, that initiative will bedropped, taking note of the reasons why the initiative failed.

According to the experiences of many CeCs initiatives around theworld, it takes about five years to mature. Since this is a pilot study, the projectwill run for three years. This will include the time, starting from conductingthe surveys till information website is published. The actual research periodwould be for about two years. Once it has been determined that a CeC isfunctional and operates without any financial or technical problems for oneyear, the data collected on that CeC will be compiled. This would be the casefor all other pilot CeCs. The compiled research of all successful CeCs withinthis project will then be published on a website accessible to all.

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Item Government Donors Total cost

1. Consultantsa. International consultants 150,000b. Domestic consultants 120,000

2. Equipment and softwarea. Equipment 90,000b. Software 20,000

3. Building and furniturea. Buildingb. Furniture 5,000

4. Local and regional training, seminars andconferences 100,000

5. Research and surveys 170,0006. Miscellaneous administration and support cost 80,0007. Contingencies 735,000Total 808,500

C. Implementation arrangementsThe main agency implementing this project will be the Ministry of

Information and Communications, which is the main organization within theGovernment overseeing all ICT (including media) developmental activities.

Since the project entails major training and human resource develop-ment components, it would be advantageous to involve the Ministry ofEducation. This Ministry is the main body which looks after educationwithin Bhutan and has in place infrastructure and logistics for non-formaleducation for the rural sector. This would be ideal for the project.

From past experiences of CeCs around the world, it has beenwitnessed that CeCs are generally successful in cases where a previousnetwork already exists, and the CeCs are superimposed over them. There-fore, to take advantage of that knowledge, and also because agriculturaldevelopment is primarily looked after by the Ministry of Agriculture, itwould be wise to include them in the project.

Lastly, but not the least, have the Ministry of Home and CulturalAffairs, being the main body looking after rural development, administra-tion units in place in all the blocks will be a major benefit for thesuccessful implementation of the project.

D. Cost and financing (US$)

Bhutan

E. Sustainability, viability and expected impactThe pilot project will provide invaluable information on successful

implementations of CeCs within Bhutan. This will give the Government a

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road map to follow and also provide further proof of the benefits of ICTfor rural development.

Further, the information collected from this research will be madeavailable online for all to access and will be an invaluable knowledge basefor other similar communities around the world.

Bhutan

Project framework

Design Performance Monitoring (mechanisms) Assumptions and riskssummary (indicators/targets)

Goal Economic growth withinselect communities

Survey data collected in each ofthe CeCs in terms of economicand social improvement

Purpose Collect information onsustainability of CeCs indifferent communityenvironments within BhutanMake this available for othersimilar communities aroundthe world

Survey data collected ateach CeC: what worksand what does not

Website available globally

Pilot study can bereproduced effectivelyon a mass scaleThere are similar communitiesaround the world

Outputs Establishment of eightsuccessful CeCs in differenttypes of communitysettings throughout BhutanKnowledge of successful CeCimplementations compiled andavailable online

Eight CeC establishments

Globally accessible web sitepublishing the CeC research

Local entrepreneurs continuesthe CeC business

Activities Determine different categoriesof communities in BhutanDetermining the best CeCapproach for each categoryMake the research data availableonline for a global audience

Survey data of communitiesaround BhutanResearch data of successfulCeCsWebsite

CeCs are sustainable in harshenvironments found in Bhutan

Inputs Local consultants conduct surveyof communities around BhutanNational government officialsdetermine eight differentcategories of rural communitieswithin BhutanInternational consultant toconduct need assessment withineight communities in BhutanLocal consultants developweb siteLocal consultants to developtraining material in locallanguages

Record of consultant selectionand contract agreements

Skill of local consultant is ofappropriate levelAble to employ aninternational consultant ofappropriate skills

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Title: Chunnaboth-net: linking Cambodia for rural developmentthrough Cambodian Rural Information Centres

Proposer: Mr. Chhay Seng, Deputy Director, Department of Planningand Public Relation, Ministry of Rural DevelopmentMs. Kelly Hutchinson, ICT Consultant, SilkRoad CambodiaMs. Pauline Tweedie, ICT Project Officer, The Asia Foundation

Country: CambodiaDate: December 2004

I. INTRODUCTIONEighty five per cent of the population live in rural areas and 80 per

cent of Cambodia’s workforce is employed in the agricultural sector. TheMinistry of Rural Development (MRD) works to improve the social andeconomic wellbeing of rural populations in Cambodia. The rural develop-ment approach adopted by the Royal Government of Cambodia is based onpartnerships and cooperation in development. This encompasses cooperationbetween the government (line ministries and local authorities), internationalorganizations, non-governmental organizations (NGOs), the private sector,community organizations and the rural people.32 It is with this approach inmind that this proposal has been developed.

The project is a joint effort between MRD, SilkRoad Cambodia(SRC), the Asia Foundation (TAF) and its network of local NGO partners.It is presented as an example of how government, NGOs and the privatesector can work effectively to harness the potential that ICT presents fordevelopment projects.

SRC worked with the Asia Foundation on the Community InformationCentre (CIC) project providing monitoring and evaluation of the technicalsupport of the local NGOs. TAF is exploring how to build on the success oftheir CIC project. Both organizations believe that ICT is best used as a tool toachieve development objectives. As the Ministry of Rural Development isdevelopment driven, it was a natural partnership. This project aims to provideleadership and initiative, to link relevant partners, and the strategic use oflimited resources to bring benefits to rural Cambodians.

II. BACKGROUND, ISSUES AND RATIONALEAs a least developed country, Cambodia is ripe for the potential that ICT

can bring to rural development. The e-ASEAN (Association of South-east AsianNations) Readiness Assessment in 2001 classified Cambodia as an “emerging”e-readiness country and ranked eighth out of the 10 ASEAN countries in termsof e-infrastructure, e-society, e-commerce and e-government.33

32 Ministry of Rural Development. Second Five-Year Socio-Economic Development Plan,2001-2005.

33 e-ASEAN Readiness Assessment, 2001 http://unpan1.un.org/intradoc/groups/public/docu-ments/APCITY/UNPAN007625.pdf

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A number of other international organizations, multilateral agencies andNGOs such as the United Nations, the International TelecommunicationsUnion (ITU) and U.S. Agency for International Development (USAID) haveconducted research into the adoption of ICT in Cambodia.34 The ITU study ofthe Khmer Internet in 200235 placed Cambodia’s e-readiness as embryonic andthat it will still take a while before the rest of the country is connected. Witha population of an estimated 13 million, there are 800,000 mobile phonesubscribers which accounts for 81 per cent compared to only 14 per cent forfixed-line. The majority of these connections are in the capital and this splitbetween urban and rural is paralleled by educated and uneducated, affluent andpoor, illustrating how in a country with 85 per cent of the population living inrural areas, the gap between information rich and poor is still a significantissue. It is within this context that this project proposal is developed.

III. THE PROPOSED PROJECTIn considering how best to use limited resources and still achieve

best outcomes, the project team proposes that this project starts with theMinistry of Rural Development. Given the vast number of Cambodiansliving in rural areas, this Ministry is ideally positioned to have the mostsignificant impact on the micro-level. The model proposed uses the existingstructure of a selected ministry to scale up the activities to a national levelfocusing on decentralization, deconcentration and institutional strengthening.In doing so, this project model can be successfully transferred and adaptedto other ministries, eventually ensuring that all Cambodian governmentministries have effective rural development programmes through utilizingICT to connect and communicate.

TAF has been the most active in the field of community e-centres (CeCs)in Cambodia supporting the establishment of 22 provincial CICs, (PormeanSahakum in Khmer) across Cambodia. As the largest ICT project in Cambodiato date, the CICs aim to provide a public space for local members of the communityto access news and information and to communicate with people outside of theirimmediate community. Located in provincial capitals, the CICs are providingresidents outside Phnom Penh an alternative source of information.36 Thisproposal aims to build on the successful provincial project and acknowledgesthat the CICs are in fact a pilot for any rural ICT project in Cambodia. As such,TAF and their local NGO partners are integral to successfully expanding ICTsand establishing the Chunnaboth-net Rural Information Centres.A. Purposes (or objectives)

Goal: Support and enhance the activities of MRD to increase thewellbeing of rural communities through effective use of information andcommunication.

34 USAID ICT Assessment, 200135 ITU e-Readiness Assessment, 2002. http://www.itu.int/asean2001/documents/pdf/Docu-

ment-30.pdf36 Internet access on wheels brings knowledge to Cambodia’s poor communities. Alecks P.

Pabico http://www.pcij.org/imag/Technology/cambodia.html

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Objectives: In order to improve the effectiveness of MRDprogrammes this project aims to:

• Promote the benefit of information to stakeholders• Identify and provide relevant information and communication

channels• Create linkages to exchange information amongst stakeholders• Develop skills of MRD staff to best meet the information and

communication needs of their programmes• Improve communication channels both vertical and horizontal

amongst stakeholders• Capture and share the expert knowledge within MRD and

disseminate amongst stakeholdersB. Scope of the project, components, methodology and key activities

This project aims to improve and develop basic services as recom-mended in the recent Asian Development Bank (ADB) assessment of needs,readiness and possibilities in Cambodia conducted in June 2004.37 Commu-nity outreach is a core objective of the project in order to educate ruralpopulations of the benefit of access to information and communicationchannels. Specifically the project aims to promote ICT among Community-based Organizations (CBO) such as self-help groups, fertilizer banks, ricebanks and farmer associations.

Involving these target populations is critical in expanding bothvertical and horizontal information and communication flows. Key toachieving this is primary research on the information needs of thesecommunities and the preferred methods of communication: oral, written,aural or visual. Allowing for flexibility of content delivery will ensure theeffectiveness of MRD programmes. Posters, radio and comic books are alleffective information, education, communication materials that are currentlyutilized in MRD programmes such as HIV/AIDS and sanitation. Thisproject aims to transfer these materials to digital format to maximize reachof vital information that directly impacts on rural livelihoods.

The proposed project is nationwide with the aim to link the MRD atcentral, provincial, district and community levels across Cambodia. Takinglessons learned from the CIC project, initial Rural Information Centres willbe established in all districts of one province as the first phase. Onceissues are identified and problems solved, nationwide roll out will beundertaken. Consideration of scale suggests that the target province may bePailin or Svay Rieng. A key success factor of this project is the identifica-tion and inclusion of a variety of stakeholders. At the start of the project, athorough stakeholder identification and needs analysis will be conducted toensure that the project meets their information and communication needs.

This project poses two key components – access and content.

37 Bestle, Lars H. (2004) “Improving basic social service delivery with ICTs in rural areasof the Mekong Region”, conducted for the ADB.

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1. Infrastructure/accessTo meet this infrastructure challenge, this proposal recommends

developing partnerships between government and the private sector in orderto expand connectivity outside of the provincial capitals. The predominanttechnology connecting Cambodia is wireless. Given the current success ofsuch wireless technology, it is proposed that this be the focus of any ruralexpansion of ICTs. TAF worked in partnership with local Internet serviceprovide (ISP) Telesurf to test new technologies in geographically remoteareas of Cambodia. It is this partnership that this project seeks to build onto expand ICT connectivity to rural Cambodians.

MRD ICT infrastructure:• Establish ICT system for MRD with a centre (hub) in

Phnom Penh as the main server, which will share informa-tion to target communities country wide

• Purchase and install equipment for all departments in MRDat central, provincial and district level offices

Chunnaboth-net rural information centres:

• Establish Rural Information Centres in the District Office ofRural Development locations or other negotiated locationssuch as schools or district health services

• Infrastructure set up using wireless technology. Equipmentincludes: computers, printer, photocopier and scanner

• Develop management and service provision framework inconsultation with TAF to learn from CIC experience toensure relevance and sustainability

Capacity building and training programme:

• Develop and conduct local language training programmes onICTs for relevant stakeholders including: MRD staff at pro-vincial and district levels

• The capacity building would also focus on the staff of theMRD IT department to operate and monitor the ICT system.Specifically to promote the capacity building and train thelocal Chunnaboth-net staff

2. Content and deliveryThe other component of the project is content in the form of an

online rural-net “Chunnaboth-net” which focuses on relevant, timely andlocal language content. Based on a user-centred design, the informationstructure would require users to identify who they are in order to best presentthe information most relevant. Key to this will be the establishment of acentralized web presence for the MRD who has to date been unable to securefunding despite two feasibility studies being conducted. The Department ofPlanning and Public Relations is ideally placed to manage the MRD websitehowever they would require training and support. This is a core activity ofthis project for without the centralized repository of information on ruraldevelopment, any decentralized activity will be lacking.

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Currently Cambodia has a number of other ICT focused initia-tives such as the Government Administrative Information system (GAIS)administered by National Information Communications Technology Devel-opment Authority (NiDA) and the Ministry of Land Management, UrbanPlanning, and Construction (MLMUPC) is also working on a land registra-tion database. This project aims to provide the linkages to these otherprogrammes through the MRD site, CICs and Chunnaboth-net. The ruralaccess points created as part of this project will also create a vital linkbetween rural communities and centralized government activities. The MRDwill also work to increase coordination with other line ministries.

A nationwide marketing campaign needs to be devised andimplemented to promote the various elements of this project such as theaccess point locations, content availability, and benefits of information forrural communities and provincial departments. This could take the form ofposters, radio advertising, workshops and education programmes for schools.

C. Implementation arrangementsThe project will be under the leadership of MRD who will oversee

the project and involve their network of MRD staff from its verticalstructure, both centrally and in provincial and district levels: ProvincialDepartment of Rural Development (PDRD) and District Office of RuralDevelopment (DORD). In particular the proposed entry point for expandingrural access is to DORD across Cambodia.

TAF, as the leading NGO working in ICT in Cambodia, will functionas the capacity building and supporting agency through their network onCICs. TAF’s CIC network is made up of six local NGOs who currentlyoperate the CICs in 22 provincial capitals. It is this focus on local partnershipthat will bring strength to the expansion of ICT services into rural Cambodia.

SRC, as a leading ICT consulting firm, will provide inputs indesign, implementation, monitoring and evaluation of the project. Throughtheir network of ICT consultants, SRC has expertise in the areas ofplanning, project management and technical installation of ICT projects indeveloping countries, in particular Cambodia and Viet Nam.

D. Cost and financing (US$)

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Item Government/ Donors Total costcommunity

1. Consultantsa. International 1,750,000 1,750,000b. Domestic 240,000 2,400,000 2,640,000

2. Equipment and softwarea. ICT framework 0 1,745,000 1,745,000b. Software 0 635,000 635,000c. Internet subscription 0 5,362,000 5,362,000d. Repairs and maintenance 50,000 1,160,000 1,210,000

3. Buildings and furniturea. Buildings 1,000,000 590,000 1,590,000b. Furniture 0 267,500 267,500

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E. Sustainability, viability and expected impactThe value of CeCs is their network effect which enables communi-

ties to connect, create and share value. The key value proposition of theproposed Rural Information Centres (RICs) and ICT for rural developmentin Cambodia is twofold: access and content. These need to be developed inpartnership ensuring both the physical and virtual needs are harnessed touse ICT to enable development in Cambodia.

Cambodia

Project framework

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

GoalIncrease well being ofrural community througheffective use of ICTthrough MRD programmes

MRD programmes haveincreased impact inachieving theirdevelopment objectives

Surveys/questionnairesReport/statistics

Continued stability andsupport of the RoyalGovernment of Cambodiato achieve MRD objectives

PurposePromote the benefit ofinformation to stakeholderswith an aim to improverural developmentSupport and improve theeffectiveness of MRDprogrammes

Capture and share theexpert knowledge withinMRD and disseminateamongst stakeholders

Increased range of relevantinformation available

Increased access to ICTinfrastructure in order todisseminate informationand communicate withstakeholdersKnowledge is captured andshared amongst MRD staffand stakeholder

Information needsassessmentKnowledge managementauditSurveys/base line datacomparisons of MRDprogrammes

Community info needsMRD willingness to shareknowledge develop contentLack of support from lineministryPrivate sector supportAffordable technology

OutputsEffective MRD ICTimplementation nationwideEffective Rural InformationCentres established andworking in 260 districtoffices of rural development

Improved service deliveryto rural communitiesBroader public participationin MRD programmesAvailability of MRDservices obtained at RIC

Surveys to assess impactMonitoring reportsProgramme reportsStakeholder feedbackKnowledge audit

Hard to coordinatebetween line ministryCapacity of RIC staffLow education, literacylevels of rural populationHarnessing communitysupport

Item Government/ Donors Total costcommunity

4. Training, seminars and conferences 0 4,550,000 4,550,0005. Research, development and surveys 0 1,550,000 1,550,0006. Administration and support costs 0 1,110,000 1,110,0007. Contingencies (10 per cent) 0 2,111,950 2,111,950Total 1,290,000 23,231,450 24,521,450

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Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

Expanding vertical andhorizontal informationand communication flowsamongst stakeholders

Linkages created andknowledge shared

Content of MRD andChunnaboth-net websitesIncreased communication:vertical and horizontalKnowledge is capturedand shared amongst MRDstaff and stakeholders

ICT infrastructure auditand inventory database

ActivitiesChunnaboth-net RuralInformation Centres

Capacity Building andTraining of MRD staffEstablish MRD ICTInfrastructure nationwideCreate MRD website anddepartment webpages

Create Chunnaboth-net –Cambodia’s Rural Net

Formulate the ICTsupporting policy (MRD)Linkages with othergovernment ICTprogrammesMarketing andPromotional Campaignto raise profile of RICs

Number of RIC successfullyestablished and workingto meet the needs oftheir communityNumber of trainingcourses and participantsMRD ICT infrastructure inplace and inventory databaseMRD website anddepartment webpageavailableChunnaboth-net is availableand updated regularlywith relevant informationMRD ICT supporting policydeveloped and approved

Community awareness onvalue of information

RIC user surveysSurveys/questionnairesTraining assessmentsICT infrastructure auditand inventory databaseFeedback via MRD andChunnaboth websitesCommunity awarenesssurvey

Security of equipmentCommunity engagementwith project and RICsStaff training has limitedimpact if education levelstoo lowWeb content must beupdated and relevantMRD programmes supportSupport/integration fromline ministry

InputsICT infrastructure, equipmentand other resources

Trainers, content andknowledge from MRDand CICsBuilding and office spacefrom MRD at all levelsICT consultants from projectteam from SRC and TAFworking in partnershipwith MRD staffStaff from MRD at alllevels

Number of componentof ICT infrastructureMaintenance and care ofICT equipment andother resourcesImpact of trainers andprogrammes

Access and use of suitablebuilding/office spaceSuccessful counterpartprogrammes implemented

Increased capacity ofMRD staff

Inventory/assetmanagement databaseMaintenance/repairassessmentTraining assessmentCounterpart reviewCapacity assessment

Resources are valued bystakeholdersInvolvement of MRD staff

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Title: Greater Mekong telecommunication backbone networkproject 2004-2008

Proposer: Mr. Ney Samkol, Ministry of Post and Telecommunication(MPTC)

Country: CambodiaDate: December 2004

I. INTRODUCTIONInformation and communications technologies (ICT) are playing an

increasingly important role in Cambodia. Although the country variesgreatly in its readiness to use ICT and infrastructure in the country is notso good, all sectors have embarked on the development of ICT as a toolfor business and education. In particular, many ministries, non-governmentaland private organizations across the country are looking to e-learning as atool for capacity building to respond to its need. Community e-centres havebeen developed in many locations and there is great potential for thesecentres to help deliver high-quality information to the community.

II. BACKGROUND, ISSUES AND RATIONALEThere are currently more than 30 universities and institutes in

Cambodia, mostly in Phnom Penh. Since new technology is a preconditionfor most employment, almost all are taking computer related courses suchas e-mail use, Internet Explorer, word processing and spreadsheet design,programming and the like which cover basic to advanced knowledge ofcomputers. Since there is a demand, all university and education institutionsare offering computer related courses from application usage to program-ming.

Unfortunately, there are currently very few telecom centres in ruralareas due to the lack of a backbone network from the city to the rural areas.Most people in the rural area are farmers and they need up-to-date informationon market prices and information. However, most government web sites are inEnglish and aimed at the foreign community. Providing needed information inlocal languages should be done as a matter of urgency in order to attractinterest to the Internet and create a reason for using it. In addition, connectionbetween ministries, municipalities, districts and communities are done viafibre optic. Fixed line services are provided mainly by the Ministry of Post andTelecommunication (MPTC). The network has a maximum switching capacityof approximately 30,000 lines, but currently it has only about 25,000subscribers because of limitation imposed by the copper access network.

Recognizing the importance of ICT, the MPTC has requested a loanfrom the Government of Japan and the Greater Mekong Backbone NetworkProject has been designed in order to establish a telecommunications centrein the provinces as well as to extend ICT services throughout the country.

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E. Sustainability, viability and expected impactThis project is viable and will be sustainable since the project is not

to build something new. Rather the strength of the project lies in addingvalue to existing activities. Improving the impact of research will bringmore work opportunities to people in the provinces and this will clearly bea benefit of this project.

Firstly, the project will improve community skills in ICT. Secondly,people will receive training on specific aspects of information managementand communication skills. Difficulties in extending knowledge prevents peoplein rural areas obtaining information that they need to improve their lives.

The new information technology will be transferred to all throughoutthe country. People in the provinces will be able to access more information,faster, and will be better able to use information to improve their lives.

Item Government Donor Total cost

1. Consultantsa. International (Japanese Telecom expert

from Nippon Telegraph andTelephone (NTT) 2,000,000 2,000,000

b. Domestic (Telecom national staff ) 1,000,000 1,000,0002. Equipment and software

a. Equipment 1,000,000 1,000,000b. Software 10,000 10,000

3. Buildings and furniturea. Buildings 3,500,000 3,500,000b. Furniture 1,000,000 1,000,000

4. Training, seminars and conferences 1,000,000 1,000,0005. Research, development and surveys 25,000 25,0006. Administration and support costs7. Contingencies (10 per cent) 45,000 45,000Total 9,580,000

Cambodia

III. THE PROPOSED PROJECTD. Cost and financing (US$)

Project framework

Design Performance Monitoring mechanisms Assumption and risksummary indicators/targets

Goal Network trunk-fibre optic fromthe city to the provincesTelecommunication centrein every province

Inspecting the residential dataSurvey data collected in eachtelecom centre

MFN has agree on thispropose projectMPTC submit the proposeproject to council minister

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Cambodia

Design Performance Monitoring mechanisms Assumption and risksummary indicators/targets

Purpose Extend capacity oftelecommunication in thecountryExtend subscriber andsustainable (ICT) in ruralareas

Collect data as well astelephone subscriber inevery telecom centre

MPTC strategy is continue todevelop the telecom centrethroughout the country

Outputs Telecommunication centrein every province40 Participants are trainedin extension at each centre

Inspecting telephone subscriberin each province

MPTC will provide new jobto the rural areaEach telecom centre isready to reply to currentlydemand

Activities Seven telecommunicationcentres have been establishedin seven provincesEach province that has atelecom centre can provideapproximately 500telephone subscriber

Extend ICT in rural areas

Inputs International consultantfrom NTTMPTC staff include telecomengineer, switching expert,online service provider

Create new strategy to increasebenefit to people in therural area

The government encourageMPTC to act this projectby cooperate with localauthority

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Title: Building mutipurpose community e-centres in rural ChinaProposer: Mr. Zhang Junping, Division of Information Service,

Agriculture Trade Promotion Center, Ministry ofAgriculture

Country: ChinaDate: December 2004

I. INTRODUCTIONThe Chinese Government reckons that “IT application is a logical

choice if industrialization and modernization of our country are to beaccelerated”, and takes stimulating IT application as the main task for thefirst 20 year economic development and reform in 21st century. IT applica-tion in agriculture is a major part in IT applications to national economy.Therefore, a series of policies have been worked out to stimulate ITapplications in agriculture. The importance of rural market informationsystem was stressed in “10th Five-Year Plan (2001-2005) for NationalEconomic and Social Development”. China Ministry of Agriculture (MOA)initiated “10th Five-Year Action Plan for improving rural market informa-tion system” in 2001. In 2002, MOA released “Directive of extendingmarket information system and human resource development for improvingrural information services”. Under the direction of these policies, Chinarural information services have developed rapidly.

Since 2001, MOA has started to overcome the low informationpenetration to farmers. It is called the “last one kilometre problem”.Currently, agricultural information management and service institutions havebeen set up in all county, prefecture, provincial and national agriculturaladministratives. Forty-seven per cent of township governments have estab-lished information service centres.

Currently, there are nearly 3,000 agricultural web sites in China.Most of them are owned by public service units, research institutes,agricultural universities, Internet enterprises, as well as private companies.Their content provisions normally focus on specific products, e.g. flowers,tea, poultry, pig raising, fruit and vegetable production. The users aremainly extentionists, brokers, processors, farmers’ technical associations.These Internet content providers (ICPs) have formulated their own annualforum and developed their business well.

II. BACKGROUND, ISSUES AND RATIONALEIt is no doubt that the building of e-community is facing many

challenges in rural China. The foremost issue is lack of knowledge manage-ment experience. Most of agricultural ICPs in China are more likelyfocused on similar information. Some of them are too theoretical or onlyrelease their research achievements. Some of them are too general to beused in practical production and rural social needs. Farmers need to findpractical “know-how” techniques for farm management such as pest/weeds

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control, fertilization methods, environment resource protection, harvest stor-age, proper market and marketing methods. Good agricultural knowledgemanagement in proper ICPs is key to solving this issue. Currently, it isnecessary to diversify the ICPs’ services.

The second issue is that China lacks human resources for runningcommunity e-centres (CeCs), especially at the township level. Currently, mostrural information trainings are mainly for computer skills – positive organiza-tion or management skills are seldom taught. From this view, even asgovernment increases its inputs to build up CeCs, it will be difficult to besustainable and is not economical. To use participatory method to train trainersand set up pilot projects is a practical measure for solving this problem.

The third is that financial input is mainly from government: theagitation and motivation mechanism for NGO and involvement of theprivate sector are weak. Therefore, it is important to help and introducenon-government organizations (NGOs) and the private sector to participatein building CeCs in rural China.

The fourth issue is that China is still lack of a proper infrastructurefor Internet connection in rural areas.

Finally, China lacks experience in building rural CeCs. It will bevery helpful to improve substantial international cooperation and exchangethe experiences with other countries.

III. THE PROPOSED PROJECTA. Purposes (or objectives)

In order to improve the information service efficiency, establish apractical mechanism for running a sustainable rural e-community, and toincrease CeC development in rural China, it is necessary to achieve thefollowing:

1. Improve ICPs’ knowledge management capability substantially inChina;

2. Organize regularly, two different types of training for trainercourses – ICP knowledge management training and rural infor-mation service manager training; and

3. Set up pilot CeCs for rural development in China throughinternational cooperation.

The project duration is four years. The estimated outputs are:1. A national platform, which can provide linkages to main portals

for building multipurpose rural CeCs, is developed. This plat-form could supervise all county centres to build their owndownstream CeCs, especially in pilot counties. It can hence leada national experience exchange platform;

2. Sixty pilot rural CeCs are set up that can be used for trainingand providing work place for volunteers, with and 10 of themare especially for HIV/AIDs prevention;

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3. Seventy government ICPs and 20 large non-government ICPs aretrained to setup knowledge management system;

4. Three hundred ICP information managers and 300 volunteers aretrained;

5. Six hundred local information service managers are trained; and6. Trained volunteers can work in selected township information

service centres for one year and train 50 local trainees.

B. Scope of the project, components, methodology and key activities1. To develop a national rural e-community platform

To develop a good platform for both government and non-government shareholders using browser-web server-database server (B/S)technology. The shareholders of the project are mainly from government,NGOs as well as private ICPs.

2. To build pilot rural community e-centresIt is suggested that the pilot project is mainly for upgrading 60

township level centres according to the current development situations. Thereplaced apparatus can be used to equip village level centres. This is morepractical and suits to the local situations in rural China. The centres shouldhave the following functions:

• Provide stable access to the Internet, and the national rurale-centre platform

• Provide comprehensive information services: specially havethe capability of organizing “information market”, that pro-vide intensive services every 15 days through distributing“hard form” information materials

• Supervise village information services, and organize trainingfor village level information service people

• Conduct information needs survey and collect feedback in-formation on national rural e-community platform

It is suggested that the centres for HIV/AIDs prevention beestablished by the Ministry of Health, or expand this project to a larger oneto cover this area.

3. To organize different type of training coursesIt is essential to provide comprehensive and easy-to-use informa-

tion to farmers through community e-centres. Therefore, building capacity ofthe future ICPs should be strengthened. To use strong international expertisewill be a good choice in this aspect. The best way is to organize trainingcourses for large ICPs on agricultural information service. These trainees arenormally well educated and it is essential to make them understand themethodology of knowledge management and to teach them how to organizetheir information. Different training courses need to be organized fordifferent types of trainees in order to improve exchange of experiences.

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ICP information managers or volunteers are mainly trained bythe trainer trainees with the assistance from domestic experts. It can bedivided into five specific training courses and held simultaneously.

Another level of training is for grassroot trainer trainees. Thetrainer trainees will be from county or township information service centres orvolunteers. The main task for this kind of training course is to provide a basiccomputer skills, and more importantly, train them on how to manage theirservices, training local trainees, and identifying local information needs.

4. Development of softwareBesides the national platform, it is necessary to develop e-

learning applications and databases.The databases may include: knowledge bank for sustainable

development, land management, animal immune, book and VCD ordersystem, special product online promotion system, labour force registrationsystem and information survey system. The development can be carried outjointly by government and non-government ICPs.C. Implementation arrangements

The Department of International Cooperation of MOA will be respon-sible for the coordination of the project. It is suggested that the centres forHIV/AIDs prevention be established by the Ministry of Health, or to formulatea larger project. The implementation phase is four years. Training for ICPs andproject managers should be conducted in the first year, together with thepurchasing and installation of the equipments and necessary software. Trainingfor volunteers will be carried out in the second year. MOA will organizeannual seminars jointly with NGOs. The midterm and final evaluation of theproject will be carried out by the end of the second project year and the endof the forth year respectively. During the last year of the project, it is suggestedto organize an international conference on rural CeCs in China.D. Cost and financing (US$)

The total cost estimate is around US$ 1.07 million. For technicalassistance, the Government will cover the cost of local accommodation anddomestic travel arrangement; the donors will provide fees for both interna-tional as well as local experts.

Generally, organizing training courses and seminars can be done bythe Government, while the organization of an international conference willbe done by the international organizations.

Government at different level will be responsible for the substantialconstruction of buildings of 60 rural CeCs. Donors will be asked to inputto servers, PCs, Internet connection apparatus, multimedia equipments andB/S platform development.

Chinese institutions involved in the project will carry out researchon CeCs impact on farmers in terms of marketing and resource manage-ment, and conduct offline or online survey to identify information needs.

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And it is a good way to set up a joint research with donors. The costs arelisted as in following table.38

Item Government Donors Total cost

1. Consultantsa. International consultants 120,000 1,200,000 1,320,000b. Domestic consultants 120,000 336,000 456,000

2. Equipment and softwarea. Equipment 6,506,024 6,506,024b. Software 300,000 300,000

3. Buildings and furniturea. Buildings 3,614,458 3,614,458b. Furniture 722,892 722,892

4. Training, seminars and conferences 192,771 72,289 265,0605. Research, development and surveys 722,892 5,000,000 5,722,8926. Miscellaneous administration and support costs 5,783,133 578,313 6,361,4467. Contingencies 563,807 699,631 1,263,439Subtotal 11,276,145 3,992,627 25,268,771Total 11,839,952 14,692,258 26,532,210

E. Sustainability, viability and expected impactIt is obvious that building CeCs in rural China can gain benefits:1. The project will cover ICPs from the very beginning for the

information services. It will lead an information diversificationfrom the source; the farmers will have more choices of usingthe information.

2. Different CeCs will share a common platform, formulating avirtual rural community through the Internet. The exchange ofexperiences and lessons learned will be more quick and direct,and this may bring big changes to farmers in their communica-tion and community life.

3. Training both ICPs and grassroot trainees will increase thenumber of people working for rural CeCs, forming the newforce for agricultural extension, and will change the traditionalagricultural marketing ways and learning habits.

4. Computers are the thinking toys for teenagers. The trainedvolunteer group will play an active role in extending the e-community experiences to different locals, especially in easternpart of China.

38 All cost listed as following are not being discussed with related local government andrelated administrative departments. However, the discussion door will open for thefuture planning and it is sure that the detail will be finalized in the future stage of thetangible project formulation

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Along with the implementation of the project, a practical mechanismthat attracts private IT enterprises to be involved with rural CeCs constructionwill be developed; this may lead to a sustainable development of rural CeCs.

China

Project framework

Design Performance Monitoring mechanisms Assumptions and riskssummary indicators/targets

Goal To setup multi-purpose CeCsthat can use government servicesefficiently and hence toimproverural social and economicconcordant development andcontribute to increasing farmer’sincome through ICT applications

Selected ICPs setup theiragricultural knowledgemanagement system and formthe service capabilityTraining trainers courses areorganizedThe pilot CeCs have been setup providing five kinds ofinformation services

No good mechanism formotivating ICP sparticipation

Purposes ICPs knowledge managementcapability is improvedsubstantiallyHuman resources for managingrural CeCs enlarged andpromoted substantiallyTo use international experiencesin all-around way to improvethe capability of buildingCeCs in rural China

Good programme plan andadopt into national agriculturalinformation service evaluatingsystem

Outputs A national platform, providinglinkages to main portals forbuilding multipurpose rural CeCs,is developed. The platformsupervises all county centres tobuild their own downstreamCeCs, especially in pilot counties60 pilot rural CeCs ar set up,and can be used for training andprovide work place for volunteers;10 for HIV/AIDs prevention70 government ICPs and 20large non-government ICPsare rained to setup knowledgemanagement system 300 ICPinformation managers/300volunteers are trained600 local information servicemanagers are trainedTrained volunteers can work inselect township info servicecentre for one year and train50 local trainees

Setup strict login and useranalysis systemProgramme mid-term evaluationand final evaluation

No good mechanism formotivating ICPs participationLack of inputThe long term runningmechanism is not welldeveloped

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China

Design Performance Monitoring mechanisms Assumptions and riskssummary indicators/targets

Activities Develop a national rurale-community platformBuild pilot rural CeCOrganize different typeof training coursesDevelopment of software

Programme mid-termevaluation and final evaluation

No good mechanism formotivating ICPs participationand lack of input

Inputs International and domesticconsultants, specializing inmarket and marketing services,production and landmanagement, sustainabledevelopment services, ruralemployment info services,public health services, hardwareengineers and softwareengineersCeCs equipmentBuilding and other constructionsLogistic supportsContingency

Programme mid-term evaluationand final evaluation

No good mechanism formotivating ICPs participationand lack of input

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Title: Establishment of rural community e-centres in FijiProposer: Mr. Mosese Tavaga Qasenivalu, Sectoral/Regional Planning

Division, Ministry of Finance and National PlanningCountry: FijiDate: December 2004

I. INTRODUCTIONThe establishment of community e-centres (CeCs) in Fiji is a key sector

policy for the development of rural and outer islands and the information andcommunication technology (ICT) services stated in the Strategic DevelopmentPlan 2003-2005. From this broad framework, a National ICT DevelopmentPolicy formulated by the Ministry of Information and Communication (MIC)was endorsed in July 2004 to realize three strategic outcomes focused on: (1)e-government (government online); (2) e-business (or e-commerce); and (3) e-community (or community e-empowered).

Although the National ICT Development Policy has now beenadopted as the guiding document for the ICT industry, a few telecentreshave already been established under the “Putting people online strategy” ofthe Department of Information Technology and Computing Services’ (ITCS)E-government Strategy Plan (EGSP)39 2003-2005. The MIC is currentlyrealigning the EGSP to the National ICT Development Policy.

The National ICT Development Policy outlines the strategies, keyresult areas and action items of the three “Es” stated above. The setting upof telecentres falls under the overall e-community strategy of “AffordableUniversal Access aligned with the Millennium Development Goals (MDGs),and WSIS Declaration of Principles and Plan of Actions”. The related keyresult areas include: (1) increase access via physical connectivity for allcitizens; and (2) Internet access to all educational institutes.

In order to realize the e-community strategy and the relevant keyresult areas above, the action items to be undertaken include: (1) theprovision of at least 400 more villages by 2005; (2) an additional 10schools per year with computers and Internet access; (3) community accessthrough library centres and centres of excellence; and (4) the provision of agovernment subsidy for rural connectivity, Fiji TV and satellite link.

This provides the basis for this proposed action plan to strategicallyformulate an e-Community Development Plan (ECDP) outlining a pipelineof CeC projects in the rural areas based on the opportunities and develop-ments taking place in those areas.

39 The e-Government Strategy Plan (EGSP) was designed exclusively by ITC under anADB technical assistant well before the endorsement of the National ICT DevelopmentPolicy in July 2004.

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II. BACKGROUND, ISSUES AND RATIONALEFiji has good economic potential in mining, fishing, forestry and

agriculture. These industries are rural based and provide a great potential forfuture development and prosperity. However, the major impediments are: (1)poor access to markets in many rural areas and low participation of ruralpopulation in the national economy; (2) remoteness and sparse scatter of islandsspread over 500,000 square kilometres of ocean; (3) shortage of skilled humanresources; and (4) limited transport, power and communication infrastructureserving the small and widely dispersed population of about 820,000.

Among the services mentioned under item four above is the problemof limited access to IT facilities in the rural areas. The significance of thisproblem is due to four major reasons:

• High cost of Internet connectivity – The relatively highInternet access charges from the monopoly ISP

• High cost of computer hardware and software – The F$2,500 (US$ 1,250 package costs of personal computer, printerand Internet access is still too high for most Fijian families.Some families don’t even have telephones

• Absence of ICT in schools – Most schools do not havecomputer labs, and if they do, only very few have Internetaccess that is slow and expensive

• Lack of awareness and training on ICT – The commonconservative attitude the Fijian society has is that ICT is notrelevant nor is the education of ICT important. Therefore noteveryone is proficient with ICT in Fiji as a majority could notafford to pay for training on the use of ICT

In the past, not much has been done to address the limited access toIT facilities in the rural areas. However, a lot of effort has been put in bygovernment to provide the pre-requisite infrastructure services that wouldenable increased IT access to the rural areas. This includes the provision ofrural fisheries and market centres for marine and agricultural products;access to a reliable supply of electricity through the subsidized ruralelectrification programme and the Rural Telecommunications programme fortelephone and Internet connectivity. As of to date about 60 per cent of thetotal number of rural villages already have access to a reliable source ofelectricity and the basic telephone network. This provides a strong founda-tion for setting up rural telecentres aimed at closing the information gapand empowering the rural population for sustainable livelihood.

III. THE PROPOSED PROJECTA. Purposes (or objectives)

The overall goal of this project is to improve the enabling environ-ment for economic growth and poverty reduction in the rural areas. Themain purposes of this project are to:

• Increase reliable and affordable access to ICT services in se-lected rural areas of Fiji

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• Improve access to agricultural, fisheries and forestry marketsand information

To achieve these objectives, this project specifically proposes thesetting up of multi-purpose community telecentres in rural and outer islandcommunities consisting of personal computers, local area networking, a phoneand Internet connection, appropriate content and training per telecentre. Theproject is an attempt to rationalize the fragmented approach to the establish-ment of CeCs in Fiji, by identifying all existing and potential CeCs in a centralECDP document that would be updated annually to achieve the overall e-community strategy in the National ICT Development Policy (NICTDP) andthe key performance indicators in the SDP 2003-2005.

Other associated means that would achieve these objectives havebeen currently addressed by government such as phasing out the monopolystatus of the Internet Service Provider, provision of tax incentives forsuppliers of computer hardware and software and the provision of Internetlibraries for school children under the EGSP 2003-2005.B. Scope of the project, components, methodology and key activities

The project mainly covers the rural maritime and inland areas andtargets those areas where opportunities for further development exist suchas agriculture, fisheries and forestry. The approach proposed to achieve theexpected output consists of three essential steps:

1. A survey and analysis on pilot CeCs in Fiji and informationneeds of the rural population focusing on agricultural farmersand fishermen;

2. Costing and design of e-centres to be replicated; and3. Implementation.The key activities associated with the above methodology include:1. Identification of suitable and strategic locations of all proposed

telecentres in rural Fiji based on opportunities available in thoseareas, the activeness of the community, and the current status ofaccess to regular electricity supply and telephone connectivity;

2. Costing and design of identified CeCs to be replicated;3. Ranking of identified CeCs for implementation;4. Funding of proposed projects based on consultations among

stakeholders (government, Telecom Fiji Limited (TFL), Depart-ment of ITCS and other interested financiers); and

5. Implementation.The key assumptions and risks of this methodology for consideration

include:1. Some of the identified rural areas may have access to electricity

but the capacity may only allow them to use limited electricalappliances. Other alternatives must be developed to ensure areliable electricity supply to the identified areas;

2. Funding maybe a risk if any of the co-financiers pull out; and3. Insufficient IT personnel for implementation on a national scale.

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C. Implementation arrangementsThe Department of ITCS will be the project’s main executing

agency. The Director of ITCS will be responsible for overall projectmanagement. The National Planning Office and the Ministry of FijianAffairs and Regional Development will assist in the identification andranking of telecentre projects to be implemented.

No international consultancy will be required as technical inputs areavailable domestically through ITCS and other reputable IT consultants.The project will be implemented over the period specified in line with thetotal number of rural CeCs identified from the survey.

In terms of dissemination of the project outputs, the two pilot CeCsprojects are currently being monitored and evaluated as a basis for duplica-tion in other rural locations. This will continue as an ongoing process witha view to improve the implementation and service content for futuretelecentre projects in the rural areas.

ITCS will provide the ADB and the Government with quarterlyprogress reports concerning financial aspects of the project, the design andinstallation. At the end of each year, ITCS will provide review reports ofthe telecentres set up during the year and will advise the ADB on anyprogress achieved in addressing the issues described in Part II.

D. Cost and financingThe total cost of the project in the first year is approximately US$

0.75m (F$1.5m) broken down as follows:

Project component Government ADB Total(US$ million) (US$ million) (US$ million)

Survey, Costing and Design 0.00 0.50 0.50Implementation 0.25* 0.00 0.25Total 0.25 0.50 0.75

* Cost to be finalized from the survey

Fiji

It is proposed that ADB fund the survey, costing and design whilethe Government funds the implementation of the first five CeCs identifiedfrom the study. The estimated figure for the Government component isprovided based on piloting cost of US$ 50,000 per telecentre for personalcomputers, local area networking a phone and Internet connection andtraining. This figure is subject to review based on the outcomes andrecommendations of the proposed survey in the first phase, which will alsoestablish a clear time frame of implementation.

E. Sustainability, viability and expected impactThe commitment from all stakeholders particularly the private sector

to support the development of the rural areas and the substantial direct andindirect benefits of this project indicates that the project is viable. Informa-

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tion and Communication Technology (ICT) services have immense potentialfor boosting Fiji’s economy particularly the rural community. At present,the majority of the rural population is equipped only with basic telephoneservices for voice communication. Providing a better level of servicethrough Internet access to the remote areas of Fiji will be a majorbreakthrough to the wide rural-urban digital divide enabling the ruralpeople to obtain information for empowerment and life improvement in-cluding those around them. The setting up of rural CeCs is expected toderive the following related benefits:

• Rural telecentres would allow instant contact with the outsideworld and the two flow of information

• Faster, reliable and cheaper means of accessing information forthe rural population – (information is readily available as ruralpeople will not travel to the urban areas)

• Improved delivery of government services and information to therural community

• Increased computer literacy rate in the rural areas and at thenational level

• Improved market access for agriculture, fisheries and forestryproducts – allows the ability to promote and sell locally pro-duced goods or services

• Improved farming standards due to access to information onbetter farming methods

• Improved health standards due to easy access to information onmedication and other health services

• Reduced poverty• Improved enabling environment for economic growth in the rural

areas• Reduced rural-urban migration (urban drift)

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Project framework

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

GoalImprove the enablingenvironment foreconomic growth andpoverty reduction in ruralareas of the Fiji Islands

Increase the percentagecontribution of the ruralsector to overall economicgrowthReduce the national andrural poverty levels

Reserve Bank of Fiji(RBF) Quarterly Reviewand economic outlookMTC GDP ForecastingReportBureau of Statistics(BOS) National Accounts

PurposeIncrease reliable andaffordable access to ICTservices in selected ruralareas of Fiji

Increased Internet usage inthe rural areasIncrease rural householdPC ownership

Government statisticsHIES survey (ruralcomponent)

The economicand politicalenvironment arestable

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Fiji

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

Improve access toagriculture,fisheries,forestry and SMEmarkets and information

Improved farmingmethods, productivityIncrease in incomegenerating activities, otherlivelihoods

Government quarterlyproject performance reportSectoral review reports foragriculture, fisheries,forests and SMEs

The Government is committedto rural developmentSufficient capacity inITCS and the TelecomFiji Limited (TFL)

OutputsRural Telecentresestablished

Provision of ICT servicesto more rural people.Five CeCs set up in ruralmaritime and inland areasper year

TFL/ITCS and MICReportsADB ICT StrategyImplementation ReportFiji National ICTDevelopment Policyreview report

Sufficient implementationcapacity in ITC

ICT and TFL haveenough financial resourcesADB funds proposed surveyRural customers have theability to buy for the serviceElectric capacity in ruralareas

ActivitiesDetailed identificationand design of CeCs

Costing and ranking ofrural telecentre projects

Procurement of PCs, localarea networking andphone and internetconnectionInstallation of ICTequipments, software andinternet connectivityConduct comprehensivetraining on how to usethe internet and how toenhance commercialactivities using the internet

Survey ReportDetailed project design 2005Listing of ranked andcosted rural e-communityprojectsFive PCs and connectivityinstalled per telecentrefor five years

Increase level of computerliteracy in therural areas

Regular ITC and TFLprogress reportsOther executing agencyreports

Adequate human resourcesCooperation of involvedagencies and localcommunitiesQuality of hardware andsoftwareAvailability of counterpartresources

InputsLocal ITCS consultingservices (includingreview and survey)InstallationEquipment and supply

Total cost of consultancyservices ($)Cost of installation ($)Cost of equipmentand supply ($)

Government budget RIEdocumentsNational Planning Office(NPO) quarterly projectperformance reportOther co-financiersfinancial disbursementdocuments

Close monitoringTimely procurement anddelivery of ICTequipments andconnectivity

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Title: Building 20,000 community e-centres for rural IndiaProposer: Mr. Ashis Sanyal, Director (e-governance), Department of

Information Technology, Ministry of Communications andInformation Technology

Country: IndiaDate: December 2004

I. INTRODUCTIONIt is evident now that information and communication technologies

(ICT) will change the way people live, work, learn and entertain themselves.It will also change the way that governments operate worldwide. In India, theimpact of rapid proliferation of ICT on economic, social and communicationstructures has been significantly visible for the last decade or so. However, avast majority of the rural population has yet to benefit from this greattechnological revolution. The Government of India has appreciated the factthat without active interventions from the Government in the first place andfrom the other civil society organizations, this increasing impact of ICT wouldresult in the creation of a host of divisions in the society. For a country likeIndia where 72 per cent of its one billion citizens live in more than half-a-million villages, this would surely result in increasing disparity, alienation andsocial tension and further marginalization of a large number of its people invillages. On the other hand, ICT, if wisely deployed, with its inherentadvantages, could very well be the most effective instrument to reduce thedivide between “haves’ and ‘have not’s” in this part of the world.

The Government of India has taken up the National e-GovernanceAction Plan (NEGAP) to proliferate e-governance in a faster way fordelivering Government-to-Government (G2G) and Government-to-Citizen(G2C) services within a stipulated period. For this purpose, NEGAP hasidentified 22 Mission Mode Projects (MMP), which are to be implemented ina phased manner over the next three to four years by the various line Ministriesand Departments concerned at the Central and State levels, as applicable, inaddition to the various other e-governance initiatives being undertaken by therespective States and Central Ministries. An Integrated Citizen Service Centreor Community e-Centre (CeC) has been identified as an element of the supportinfrastructure, one of the MMPs in the NEGAP, which would function as thedelivery outlet for some of these e-governance initiatives. The Department ofInformation Technology (DIT) has been identified as the nodal department toimplement this Mission Mode Project of Community e-Centre. This projectconcept proposal has been prepared on behalf of DIT for the consideration ofADB for supporting this activity, by way of creating an enabling environmentso that roll out of the hitherto successful pilot CeCs running in rural areas invarious states, takes place at a much faster pace across the country. It isintended that various State Governments would be the prime-implementingagency for this pilot project, which would establish 20,000 CeCs across thecountry in a project duration period of 24 months.

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II. BACKGROUND, ISSUES AND RATIONALEThe telecommunication revolution in India is now primarily riding

on mobile communications technology which is wireless at its majorsegments. Presently, every month, two million new mobile subscribers areadded to the net, including rural India also. It may be mentioned here thatout of over 600 districts in India, about 510 are classified as rural districts.However, Internet connections are at 400 per 10,000 and broadband con-nections two per 10,000, which are very far from the critical mass requiredfor full exploitation of its advantages.

Local “economic opportunity” is fast pulling the power of computinginto communities, creating new types of work, increasing access to thecapital and reducing the opportunity costs associated with various servicesand access to information. The cost of computing capacity is dropping andthe growing capacity of computing is being incorporated in a wide varietyof form factors that are differentially accessible to Indian people with awider variety of income and assets. Cellular networks are helping toovercome barriers of difficult terrain and distance, primarily for voicecommunications. Newer technologies like Wi-Fi, corDECT, Wi-Max etc. aregoing to overcome additional challenges of terrain, infrastructure, capacitybuilding, government procedures etc. With device convergence and ad-vancement of multimedia applications, computing is now taking on formsthat fit with the life styles and environment characteristics of Indian peopleliving in less developed rural conditions.

Presently there is a nationwide awareness of growing economy inrural India. There are increased interactions between rural areas and citiesand even between rural areas and other nations. Large Indian corporatebusiness houses, multinational corporations and smaller, more targetedbusiness entities, are increasingly and directly touching the lives of ruralIndians with valued products and services.

Against this backdrop, some state governments in India, various civilsociety entities, non-government organizations and local entrepreneurs havestarted, independently, building up ICT-enabled CeCs. Although these arefunctioning with various nomenclature, they all rely on ICT, in combinationwith innovative and unique business models (including government-sponsoredcentres), to catalyze local economic development and bring various productsand services to rural Indians. Some of these successful pilot initiatives havebeen rolled out in limited ways across the states. At this point of time, thereare about 10,000 such community e-centres established under differentinitiatives, serving a limited population of villages across the country.

It may be mentioned here that due to vast geographical spread ofIndia and all possible terrestrial, environmental and climatological condi-tions prevailing in the half-a-million Indian villages, the local need of therural people for various citizen-centric services varies widely. Further, asIndia has 22 scheduled official languages and more than 45 spokenlanguages (approximately 350 dialects) across the country, one of the major

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challenges in providing efficient services through rural CeCs is the avail-ability of appropriate content in local languages. There are other areas ofconcern as well, including connectivity, reliable power to keep connectivityavailable, appropriate user-friendly technology, training for the huge staffneeded and above all, changing the mindset of the people to adapt andabsorb new technology and business processes.

III. THE PROPOSED PROJECTThe proposed project is to implement a pilot scheme for establishing

20,000 community e-centres across the Indian States within two years. Thescheme is devised basically, to demonstrate a proof-of-concept, for furtherrolling out at much larger scale. It is felt that if 20,000 pilot CeCs can beestablished within two years, then the project can be rolled out at a muchfaster pace with active interventions from various other stakeholders (finan-cial institutions and credit societies, for example) to cover all 600, 000villages in the country.A. Purposes (or objectives)

To create and implement a sustainable platform of entrepreneurshipfor enabling the development of the rural economy and society across theIndian States through the use of ICT by setting up 20,000 CeCs in a pilotphase, within 24 calendar months.

In a broad sense, objectives of these CeCs are:• To create a low cost vehicle for government institutions so that

easy, direct and cost-effective delivery of e-governance servicesto the rural citizen can be possible

• To develop, test and demonstrate, portfolio of products andservices which can be delivered through these centres

• To customize and deliver standard products and services as perlocal needs;

• To build capacity for support system for new enterprise andinfrastructure

• To provide a platform to Civil Society Organizations (CSOs)andNGOs to reach and communicate with remote and isolatedcommunities

• To demonstrate that to bring sustainable economic and socialgrowth in underserved rural India by using the benefits ICT, onehas to take sustainable business approach and not merely aphilanthropic approach

• By meeting all these objectives above, to create significant andlasting impact on rural livelihood in the areas of empowerment,equal opportunity, gender equity, social inclusion, better gover-nance, employment generation and human development

B. Scope of the project, components, methodology and key activitiesThis pilot project will provide the owners of 20,000 pilot community

e-centres across the States the aspects of development of entrepreneurshipabilities.

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The programme would also demonstrate complete understanding ofrevenue generation mechanisms in their typical capacities and settings.

The Project will further deliver services ranging from e-government,private and commercial services to its target group, with adequate controlof the service delivery mechanism. The CeCs will manage and provideservices and information to the end-users in a flexible and cost effectivemanner. It will generate the scope for capacity building, updating andcreate/build new entrepreneurs. It will bring the dynamism and speed of thegrowth of the umbrella of services, by improving the quality as well asquantity of delivery.

The process steps described below in this methodology is drawn upfor establishing one CeC at one location which can be concurrently carriedout at all the targeted locations. The process steps describe the CeC lifecycle ending at the roll-out expansion programme. The wholeoperationalization process cycle is expected to take 90 days from theinitiation of the activity to the selection of a location for the CeC.C. Implementation arrangements

Central Government – Department of IT:

• Policy interventions, e.g. issuing Advisory to the State Govern-ments to allow State WAN (SWAN) to be used by network channelorchestrator (NCOs) with required bandwidth capacity free of cost

• To provide grant to state-designated implementing agency for CeC• To explore the possibility of arranging financial incentives from

Department of Revenue – Government of India, through taxconcessions etc. for the NCOs

• To provide assistance to State Governments in selection of NCOs• To closely monitor implementation and progress at a programme

levelState Government:

• To evolve appropriate institutional mechanisms for implementation• To empower the District Authority to take decisions to fast track

implementation• To provide SWAN connectivity to CeCs free of cost• To arrange for delivery of all possible government services

through CeCs• Selection of NCOs• To assist NCOs in selection of village entrepreneurs• To work out mutually agreeable model for revenue sharing with

NCO and village entrepreneur• To arrange for any other logistic support to NCO for operation

of the CeCs• To launch appropriate awareness campaign at village and district

level for CeCs

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Government DonorsItem (state and (ADB) Total cost

central)

1. Consultants 5.52a. International consultants – 0.20b. Domestic consultants – 5.32

2. Equipment and software 22.92a. Equipment (hardware ) – 19.52b. Software (software license) – 3.40

3. Buildings and furniture 9.80a. Buildings 9.00 –b. Furniture (office set-up cost) 0.80 –

4. Training, seminar and conferences 2.70a. Local service partner identification – 0.20b. EDP (capacity building) – 1.50c. Village interactions – 1.00

Network Channel Orchestrator:

• To select and train village entrepreneurs• To provide and update appropriate contents for all application

packages• To create institutional mechanism so that CeCs are up and

running on all working days• To operate and run CeCs as per conditions of the projectVillage Entrepreneur:

• To run the CeCs in the spirit of an entrepreneur• To innovate new services as required by the community• To keep updated regarding activities of other CeCs in the region• To demonstrate leadership qualities, communication skills and

act on behalf of fellow villagersConsultants:

• To evolve appropriate Project Management Framework at theApex (DIT) level for initiating, implementing and monitoring thepilot project

• Evolve appropriate Fund Management Framework at the Apex(DIT) level for management of funding of the project implemen-tation period

• To prepare Project Management Manual at the project leveldelineating the roles and responsibilities of all stakeholders

• To identify and customize (if required) a suitable web basedProject Management software tool which would help monitor allthe projects

• To assist the NCO (implementing agency) to evolve appropriateImpact Analysis model for expansion and roll-out of the projects

D. Cost and financing – for 20,000 centres (US$ million)

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E. Sustainability, viability and expected impact

Benefits to government include transparent functioning, increasedefficiency, and localized, quick access to rural community.

To the kiosk owner (entrepreneur), the benefits include stable in-come (Rs. 4,000 to 6,000 from sixth or seventh month), own business,development of skills, knowledge, and personal satisfaction.

To private players (NCO), benefits include applications and productpresence in rural areas, increased income and geographical spread ofapplications and products.

To the community at large, benefits include strengthening of ruraleconomy, reversal of “rural migration” and saving of time, effort andmoney to feel globalization at the doorstep.

India

Project framework

Design Performance Monitoring mechanism Assumption and riskssummary indicators/targets

Goal To create a sustainable platformof entrepreneurship in ruralIndia for enabling thedevelopment of rural economyand society through the useof ICT

Management informationsystems (MIS) of Departmentof Information Technology,Government of India and NCO

Government policy remainscommitted to uplifting therural economyPerpetual budget allocationfor proliferation of ICT inrural area till all 600villages are coveredEquitable geographical spread

Government DonorsItem (state and (ADB) Total cost

central)

5. Research, development surveys 6.04a. Need and demographic surveys – 0.92b. Service development 2.24 –c. Benchmark survey – 1.44d. Impact assessment survey – 1.44

6. Miscellaneous administration and support cost 2.02a. Advertisement and promo of community

e-centres 0.01b. Incentive on community kiosks 1.00c. Public announcement and advertisement 0.50 –d. Service promotional campaigns 0.50 –

7. Contingencies 4.50 – 4.50 Total 18.56 34.94 53.50

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India

Design Performance Monitoring mechanism Assumption and riskssummary indicators/targets

Purpose The villages covered under theproject would have the benefitof accessing the services, whichwill be provided by thesecommunity CeCs on sustainablebasis

Demand estimation andpackage of services matchingChange management possibleby entrepreneurQuality of service as designed

Outputs Setting up of 20,000 CeCswith facility of servicesfferings and equitable spreadacross the states in the pilotphase

Effective segmentation ofvillages and value propositionof servicesAdequate number of eligibleNCOs for target regionsUninterruptible powerand high uptime of networkEffective after sales servicesfor equipment/systems

Activities Selection of the locationNeed assessment surveyGovernment agreementVillage meetings/interventionsSelection of entrepreneurTrainingsOperationalizationOperation awarenessBaseline survey for impactassessment

Effective segmentationEnthusiastic response fromrural citizensPro-active functioning of stategovernment machineryContinuity of governmentproject officials duringimplementation period

Inputs ConsultantsVillage entrepreneurTechnical, administrative andfinancial inputs fromGovernmentsTechnology, supervisory andtraining input from NCOHardware/software system

Continuation of governmentsupportSupply of hardware in timeMatching grant available ontime

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Title: Reaching the unreached: making science relevant to thepeople’s needs – through community e-centres

Proposer: Mr. S Senthilkumaran, Associate Director, InformaticsDivision,M S Swaminathan Research Foundation

Country: IndiaDate: December 2004

I. INTRODUCTIONIndia’s economy, particularly agriculture, has often been described as

“a gamble in the monsoon”. This is because of the growth linkagesbetween agriculture and industry, on the one hand, and the dependence ofnearly 66 per cent of the cultivated land on rainfall for raising crops, onthe other. Climate management is key to managing water, energy, health,agriculture, biodiversity and ecosystem management.

Information and Communication Technology (ICT) provides uncom-mon opportunities for reaching the unreached and including the excluded interms of knowledge and skill empowerment. Poverty persists under condi-tions where the human resource is under valued and material resources areover-valued. Several countries in our region have experienced rapid eco-nomic and social development only because of education and the acquisi-tion of skills relevant to market driven enterprises.

ICT is already playing an important part in every-day life, and willcontinue to expand its impact. Exciting and innovative developments in thefast moving world of ICT have huge implications on every field ofagriculture. Recent advances in ICTs, when combined with application ofcontemporary instructional methods of open and distance learning, offerunprecedented opportunities for large number of people to gain access toeducation over an extended period of time. The recent enhancement intechnology availability for connectivity in India can now be combined withnational achievements in distance learning in higher education to establish anew paradigm of virtual education for large masses of people. To make ituseful in the immediate context, it is needed to identify topics that are indemand by the rural communities who stand to gain in a considerablemeasure by such a combination of approaches.

The challenge now is to enlist technology as an ally in the move-ment for economic, social and gender equity. The most important andinteresting issue relating to the rapid expansion of new ICTs in ThirdWorld countries is not the Internet by itself, but the potential of itsinteraction with other electronic media, such as radio and television. Thisconvergence between radio and the Internet provides useful examples onhow to create local content, relevant to local needs and local culture, andprovide this content in local languages. These contents should be dissemi-nated through community e-centres (CeCs) to the rural community.

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II. BACKGROUND, ISSUES AND RATIONALEThe M. S. Swaminathan Research Foundation (MSSRF) chose the

imparting of a pro-nature, pro-poor, pro-women and pro-livelihood orienta-tion to technology development and dissemination to the rural and tribalareas as its main mandate when it started functioning in Chennai in 1989.

In order to assist in the articulation of concepts, opportunities andoperational strategies which can help to “reach the unreached” in knowl-edge, skill and technological empowerment, an annual inter-disciplinarydialogue has been organized since 1990, under the generic title, “NewTechnologies: Reaching the Unreached”.

The 1992 Dialogue was on information technology, which gave birth tothe Information Village Research Project in the Union Territory ofPondicherry, with financial support from the International DevelopmentResearch Centre (IDRC) and Canadian International Development Agency(CIDA). Since information, to be of value to rural women and men, should belocation and time specific, the term “knowledge centre” was used to stress theneed for converting generic into location specific information and for traininglocal women and men in adding value to information. Value-added informationis appropriately referred to as knowledge and “Rural Knowledge Centres” cangenerate opportunities for educated youth in villages to take up a career inknowledge management and dissemination. Close to 50,000 people living inthese villages benefit from this programme. Although the programme uses avariety of technologies, the focus is on the people, their contexts and theirneeds. This project is empowering everyone with knowledge and opportunityby an inclusive use of local language and multimedia format. Its purpose is toimprove lives through enhanced livelihood opportunities.

This project won the Motorola Dispatch Solution Gold Award andStockholm Challenge Award. Many journals cover this project. RecentlyScientific American is selecting this project is one of the best projectamong the 50 projects all over the world.

From the experience of seven years, the project has gained someuseful insights on how access to information and the use of ICTs can helpin poverty eradication and empowering women. The bottom up approach,unlike many telecentre projects, is an integrated development approach inwhich ICTs are used wherever necessary in every aspect of development.

It is such a network, linking experts and the grassroots level people, thatMSSRF wants to build as a Virtual Academy. The new initiative, the NationalVirtual Academy for Rural Prosperity (NVA), which was inaugurated inAugust 2003 and will use ICTs in building the assets of the rural poor in theareas of knowledge, market-driven skills, management and marketing.

Most of the farming community urgently needs dynamic market,fertilizer and pesticides information. Most of the government researchinstitutions have rich data. But unfortunately the mechanism to reach the datato the poor is rather weak. Our country is data rich but action poor; field levelaction lags far behind academic know-how. Therefore, the initiative to harnessmodern ICT for bridging this knowledge and skill gap is a timely one.

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The NVA will exemplify such an approach and will enable ruralfamilies and local administrators and policy makers to prepare effectiveresponses to the emerging problem of climate-induced disasters. This willalso help to empower the farm women and men in dry farming regionswith information, knowledge and skills relevant to the enhancement of theproductivity, profitability and sustainability of the major farming systems ofrain fed, semi-arid areas.

III. THE PROPOSED PROJECTA. Purposes (or objectives)

The overall goal of the proposed project is to enable the five states,namely, Tamil Nadu, Pondicherry, Kerala, Orissa and Rajasthan to becomethe Millennium Development states in the country based on United NationsMillennium Development Goals. In the proposed project, greater attentionwill be paid to the most crucial aspects of development, viz. education (ofboth farming community particularly rural women), nutrition and healthcare.

Reaching science to rural women and men is more important nowthan ever before. The main goal of the community e-centres is promotionof human security and happiness in all its dimensions.

We will initiate the community e-centres project under Jamsetji TataNational Virtual Academy for Rural Prosperity.B. Scope of the project, components, methodology and key activities

The main aim of the NVA is that knowledge should reach every homeand hut. The State Level Hub located at MSSRF will be the key knowledgesource that will create and maintain web sites and databases for the localhubs in close collaboration with national and international agencies. Thesewill also serve as the primary data providers tied up with researchinstitutions, field stations and government extension departments, and willprovide access to various models for analysis and prediction of climatechanges in small or micro regions. The state level hub links to block level orequivalent hubs in the state. The latter hubs serve a cluster of villages.

In the local hubs (block level), interactive computer-based instructionalmodules will teach rural families the best farming practices and livelihoodopportunities. The hubs will also act as training locations for farmingcommunities, school children, discussion places for both farmers and policymakers, counselling point for rural women, diagnosis centre for simple cataractsand refractive errors. The local hubs will also gather and maintain data on soiland hydrology and will make them available to the public domain for analysisusing appropriate models. From the local hubs the knowledge will bedisseminated through CeCs. The local hub also acts as a rural electronic library.

In the proposed CeCs, the project plans to use the Internet, cableTV, community ham and Internet radio, VSAT, wired and wireless network,direct PC and community newspaper in an integrated way for launching aknowledge revolution in rural India.

The project also plans to use traditional technologies such as publicaddress system, notice boards, and bulletins to spread information to therural community.

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D. Cost and financing (budget in Rs.)

I Year II Year III Year Total

PersonnelProject Coordinator [5] 1,200,000 1,344,000 1,545,600 4,089,600Web and Multimedia Developers [10] 1,440,000 1,612,800 1,854,720 4,907,520[Two persons for each state]Social Scientists [10] 1,680,000 1,881,600 2,163,840 5,725,440Technical Assistants [10] 1,200,000 1,344,000 1,545,600 4,089,600

Sub-total I 5,520,000 6,182,400 7,109,760 18,812,160ConsultantsKnowledge Management [5] 550,000 600,000 650,000 1,800,000Graphic Designer [5] 450,000 500,000 550,000 1,500,000Wireless Network [5] 450,000 500,000 550,000 1,500,000Anthropology/Social/Market IntelligenceExpert 650,000 700,000 750,000 2,100,000

Sub-total II 2,100,000 2,300,000 2,500,000 6,900,000EquipmentWeb Server [Internet radio and localcontent] [2] 2,000,000 300,000 400,000 2,700,000PCs [275] 13,750,000 2,062,500 2,750,000 18,562,500Connectivity [250] 12,500,000 1,875,000 2,500,000 16,875,000Software 5,500,000 825,000 1,100,000 7,425,000Web Camera/Scanner/Power Backup/Modem [250] 5,625,000 843,750 1,125,000 7,593,750Hub-Web Camera/Scanner/ PowerBackup/Connectivity 6,720,000 1,008,000 1,344,000 9,072,000Printer/Photocopy [275] 4,125,000 618,750 825,000 5,568,750

Sub-total III 50,220,000 7,533,000 10,044,000 67,797,000Research ExpensesTraining/formation [rural community] 9,000,000 1,080,000 1,350,000 11,430,000Databases/data collection 9,000,000 1,080,000 1,350,000 11,430,000Video production [project] 0 0 1,500,000 1,500,000Publications 6,000,000 6,720,000 7,728,000 20,448,000Document production 7,500,000 8,400,000 9,660,000 25,560,000Site office maintenance/communication/etc. 720,000 806,400 927,360 2,453,760Travel [contect collection/connectivity] 10,500,000 11,760,000 13,524,000 35,784,000

Sub-total IV 42,720,000 29,846,400 36,039,360 108,605,760Grand total (I+II+III+IV) 100,560,000 45,861,800 55,693,120 202,114,920Support services [IV*12 per cent] 5,126,400 3,581,568 4,324,723 13,032,691Net total 105,686,400 49,443,368 60,017,843 215,147,611Net total (US$) 1 US$ = Rs.45/- 4,781,058

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E. Sustainability, viability and expected impactMSSRF aims at reaching frontier technology to the resource poor rural

women and men and enabling them to become masters of their own destiny.Jamsetji Tata National Virtual Academy for Rural Prosperity intends to

elect one million NVA fellows by 2010, at least one woman and one man inevery village. The Mission is to help Self-Help Groups (SHGs) to evolve intoSustainable Self-Help Groups (SSHGs) rooted in the principles of economics,ecology and gender and social equity. The bottom line of the ICT movementin rural India should be “food, health, literacy and work for all”. Credit,management, market and technology are the four pillars of Sustainable Self-Help Groups for job led economic growth. The community e-centresprogramme will help MSSRF to create more fellows and ICT Self-HelpGroups. Through ICT SHGs, MSSRF will continue this important programme.

The outcome of the e-community centre project will be a model for theuse of modern ICTs to promote sustainable rural development with severalpartners and rural community. The ultimate goal is to develop a user-controlled, owned and managed network, which will help to reach theunreached and include the excluded in terms of information, knowledge andskill empowerment. This Academy aims to connect frontier technology withresource poor rural women and men and enable them to become masters oftheir own destiny. It will help to create large numbers of knowledge managersin the villages, most of whom will be women. Thus, bridging the digital dividewill also become a powerful instrument for bridging the gender divide.

This Virtual Academy emphasizes the critical role of ICTs in achievingthe United Nations Millennium Development Goals in the areas of hunger andpoverty elimination as well as in gender equity and health security. With thehelp of a large number of partners in different parts of India, it is desirable tobuild a family of Fellows of the Virtual Academy, who will be the torchbearersof knowledge for a hunger and poverty-free India movement. The aim is toachieve a sustainable reduction in hunger and poverty by 15 August 2007,which marks the 60th anniversary of India’s independence.

Project framework

Design Performance indicators Monitoring mechanisms Assumptions and riskssummary

Goal To enable the five states,namely, Tamil Nadu,Pondicherry, Kerala, Orissaand Rajasthan to become theMillennium Developmentstates in the country based onUnited Nations MDGs

Consultations will be held withlocal communities beforeimplementationParticipatory rural appraisalwill be doneManagement committees set upin each village

The relevance and timelinessof the content willdetermine the ultimatesuccess of the project.

Purpose Build skills and capacitiesof the rural poor to enhancinglivelihood opportunities

Participatory Rural Appraisal(PRA)

Community participation

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Design Performance indicators Monitoring mechanisms Assumptions and riskssummary

Empower vulnerable people tomake better choices and havebetter control of their owndevelopmentSet up of 500 CeCs infive statesImprove and sustain farmproductivity and livelihoodopportunities amongvulnerable communitiesEnhance information andknowledge flows amongstakeholders on climatemanagementEstablish a virtual networkof policy makers, researchers,educators, service providersand farm communitiesCreate eco-jobs such asorganic horticulturists,climate change analysts,energy specialistsMaintenance, updating anddissemination of informationon water, health, energy,agriculture and biodiversityto rural families using anappropriate channels ofcommunicationConduct impact assessment

Through user register MSSRFregularly monitor and analyzethe programmeImpact assessment based onsurveys, participatory ruralappraisal, and other appropriatemethods of data gatheringEstablish a virtual network ofpolicy makers, researchers,educators, service providers andfarm communities

Multi-stakeholder partnershipscan be useful for communities,but need to be carefulin selecting the partnersConnectivity must be able toaddress the contentrequirement to be adequate

Outputs Large numbers ofknowledge managers invillages, most of whomwill be womenBy the end of three years,produce 50,000 knowledgemanagers

Social anthropologist willcarry out case study onempowering women

Activities Testing different, innovativeICTs which can be used inthe villagesDevelop and testing newrural applicationsCreating local contentrelevant to local needs andin local languagePromoting open sourcesoftware among the ruralcommunity

MSSRF will take care of bothconnectivity and contentthrough several partners

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Inputs With the partners Consultants will carry out(government departments, case study on activitiesNGOs, research institutions, planned, including a studyhospitals, traders), collect on impact of theand disseminate information government policiesthat can improve lives of and relationshipfamilies and farmers throughCeCs

Design Performance indicators Monitoring mechanisms Assumptions and riskssummary

Training women and menas knowledge managers,including at least 50 percent womenDemonstrating the powerof partnershipDisseminate researchfindings from the projectwith an emphasis on thepolicy makers

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Title: Model CAP for the development of Small Medium Enterprises (SMEs)

Proposer: Mr. Zainal Arifin, Ministry of Communications andInformation

Country: IndonesiaDate: December 2004

I. INTRODUCTIONThe low level of ICT penetration in rural areas around Indonesia (0.2

per cent) is seen as the main obstacle for Indonesia to quickly take part in thedevelopment of the Information Society. Initiatives based on the collaborationof government, private sector, civil society and civil society groups haveincluded numerous efforts to increase the ICT penetration level. Efforts havebeen arranged in both ways, creating the demand, i.e. creating an increasedlevel of awareness through socialization activities, as well as, to some extent,creating the supply, i.e. providing some level of infrastructure availability – orat least creating pilot activities in making technology available.

The World Summit on Information Society (WSIS) has targeted by2015 half of the world’s population will have access to the Internet –which is seen as the backbone of the Information Society. Indonesia,through the commitments made in December 2003, has taken this commit-ment and is now conducting a number of initiatives to ensure that thosetargets are reached. WSIS recognizes Community Access Points (CAPs) asone of the solutions in providing access to the community, which has beenfamiliarized in Indonesia through the WARNET concept.

Even though access is the direct key measure of success, there havebeen views and approaches where CAP or specialized CAPs have beenseen as the key to the opening up of SMEs in rural areas to the regionaland global market. More than 90 per cent or Indonesia’s business turnoveris in the hands SMEs and informal businesses, and it is for that reason thatduring the monetary and economical crisis in 1997, the stagnancy ofbusinesses in general affected a lot of the large corporations, but not theSME and informal business. The nature of the flexibility and durabilityallowed them to quickly adapt to the new situation and later carried thecountry through the difficult times.

The idea of using CAPs is not a totally new idea. However,implementing CAPs in a controlled situation where conducive conditions arecreated to support the SMEs in Indonesia have not been done. This is part ofthe problem in creating a sustainable CAP, in addition to other problems suchas infrastructure access and awareness of the business community.

This project is made of a few components: planning, purchasing andimplementation, setup and impact review process in the implementation ofCAP in an area where SMEs are the predominant business activities. To

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prove that the concept is working, two locations will be chosen and installedwith CAP facilities, according to the CAP model for SME which have beenset by the CAP Programme of the Ministry of Communications andInformation. The CAP programme will collaborate with the local governmentand a local non-government organization (NGO) who will be given trainingpreparation to ensure they are able to facilitate the CAP facility.

II. BACKGROUND, ISSUES AND RATIONALEThe following points are issues which need to be resolved prior to

the installation:

• Selection of CAP area• Implementation of CAP Model• Selection of NGO to support the activity• Maintaining the equipment and facilities• Making available relevant applications for SMEs• Keeping long term sustainability• Measuring the success of the implementation

III. THE PROPOSED PROJECTA. Purposes (or objectives)

The project has the following purposes:

• To implement two CAP sites for SMEs in a chosen rural area• To review the implementation of the CAP site• To have a modified, reviewed working CAP site to support SMEs• Research report answering the following research questions:

– “How effective is the CAP SMEs site for local SMEs?”– “What is the effect of CAP SMEs to the community?”– “What is (if any) the multiplier effect of CAP SMEs?”

CAP Model:The project is implemented based on the assumptions that the

following CAP model for SMEs as according to the Kominfo CAP model,and the following will be the setup (note that there will be two sites withthe same specification):

• Ten computers networked (LAN) – with the appropriate Operat-ing System

• One computer – networked and used by the CAP facilitator –this will also act as a fax send/receive station

• One server connected to the LAN with the appropriate Operat-ing System

• Two printers (laser printers for durability)• One scanner – which will also be used as a fax sending interface• One telephone line (also used as fax machine – send/receive)• Internet connection (paid for one year for the duration of the

project)• CAP software to maintain usage and printing

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• Fax send/receive software• Relevant SME applications (depending on the type of SME

chosen)• One trainer/SME facilitator (this must come from the NGO)• One CAP manager (this must come from the NGO)

Note: Outside the formal hours of SME usage, the CAP facility willbe open to the public where they will be able to use the facility for generalInternet use. To use the facility, there will be a minimal amount of feewhich will be used to pay miscellaneous costs of the CAP. This income,together with the income received from the use of CAP by SMEs (modelto be determined in the planning stage) will be the base of sustainability ofthe CAP.

B. Scope of the project, components, methodology and key activitiesThe project approach made up of a few stages, consisting of the

activities:

Stage A: Planning stage (1 month)

• Establishing a selection criteria for the two CAP sites• Choosing the CAP sites• Identifying a local NGO which will take part in the activity• Arranging collaboration with the local government• Arranging collaboration with the local NGO• Planning and selection of CAP sites (physical location)• Planning for the application (relevant content) usage• Planning for the equipment usage and room layout

Stage B: Preparation and procurement stage (1 month)

• Training the NGO in determining work practice• Preparation of the CAP sites• Installation of equipment• Installation of software• Approaching the SMEs and creating first level awareness

Stage C: Commissioning stage (1 month)

• Training the NGO in determining work practice• Installing SME trade expert on-site for SMEs• Ongoing training (every day – morning) for SMEsStage D: Monitor and review process (9 months)

• Conduct review of process using a predetermined set of reviewmeasures

• Modify model and CAP site operations to reflect the measures• Measure sustainability of the CAP sites

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C. Implementation arrangementsThere are five (5) parties to the project: (1) donor; (2) Central

Government (CAP Programme Owner); (3) local government; (4) localNGO; and (5) researcher.D. Cost and financing

Cost components:1. International consultants: This will be required at the start of

the project to oversee the overall plan (implementation andreview) and provide quality assurances input. These resourceswill be shared across the two (2) locations;

2. Domestic consultants: This will be done through the NGO. Theywill oversee the implementation and the review of the project;

3. Equipment: As described in the model above;4. Software: As described in the model above;5. Building: This should be supplied by the NGO; however there

will be costs for fixing and modifying the building;6. Furniture: Furniture will be required for the 10 computers

(table and chairs), the facilitator’s computer, printers and fax,teaching board (white board);

7. Training, seminars and conferences: For the site, there will bean ongoing training everyday (or every other day) conducted bythe NGO. That is why the training will be given to the NGO(train-the-trainer mode). After one (1) year, there will be aseminar in Jakarta, to display the implementation results;

8. Research, development and surveys: Research will be con-ducted in conjunction with an Indonesian university. Surveysand other research instruments will be used accordingly;

9. Miscellaneous administration and support costs: There willbe traveling costs to the site, both air and land. This willdepend on the location chosen; and

10. Contingencies.E. Sustainability, viability and expected impact

• To have a proven implementation of CAP for SMEs• To bring economical benefit to the SMEs around the CAP area• To bring economical benefit to the people living around the

SME area• To expose the SMEs to technology which may benefit them in

the long run• To prepare the SMEs and other members of the society to take

part in the information society

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Title: Improving the impact of research: using e-learning toimprove agricultural extension

Proposer: Dr. Mark Bell, International Rice Research Institute(IRRI)

Country: Bangladesh, Cambodia, Indonesia, India, Laos, Myanmar,Nepal, Philippines, Sri Lanka, Thailand and Viet Nam

Date: December 2004

I. INTRODUCTIONInformation and communication technology (ICT) is playing an

increasingly important role in country development throughout Asia. Al-though countries vary greatly in their readiness to use ICT, and even withinany country there are great variations in the availability of ICT infrastruc-ture, all countries have embarked on the development of ICT as a tool forgovernance, business and education. In particular, many governments, non-governmental and private organizations across the region are looking to e-learning as a tool for capacity building and increasing the capacity of acountry to respond to its needs. Community e-centres (CeCs) have beendeveloped in many locations and there is great potential for these centres tohelp deliver targeted, high-quality information to the community.

Rice plays a part in achieving many of the United Nations Millen-nium Development Goals (MDGs), and two in particular – eradicatingextreme poverty and hunger, and ensuring environmental sustainability –depend heavily on continued and strengthened efforts to help farmers growrice more efficiently and profitably in a sustainable manner. Improvementsin rice farming help not only farmers, farm workers and their families, butalso millions of rice-consuming poor. It is difficult to achieve real, sustain-able improvements without effective delivery of the results of rice research.

This three-year project will bring together ICT and rice productionto improve agricultural extension workers’ ability to deliver new, validatedpractices to farmers. The project will achieve greater impact by improvingextension workers’ management and communication capabilities, thus ensur-ing that good practices are more effectively transferred to farmers. Buildingthese skills – which are urgently needed in many rice-dependent communi-ties – is essential if CeCs are to help deliver agricultural training andinformation about the latest farming technologies.

Over the past four years, the International Rice Research Institute(IRRI) has developed the Rice Knowledge Bank (RKB) and captured withinit a wealth of rice-farming information aimed at extension officers across theregion. The RKB also contains information about the process of extensionand the skills required by extension officers. Promotion and training acrossthe region has seen the RKB used widely by national agricultural researchand extension services (NARES), non-governmental organizations (NGOs)and universities. However, the value to rice farmers of the RKB’s information

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has not been fully realized. This project is designed to open another channelfor both accessing RKB information and effectively delivering it to farmersvia CeCs and similar Internet access points.

This project will operate for three years in IRRI’s partner countriesof Bangladesh, Cambodia, Indonesia, India, Lao People’s Democratic Re-public, Myanmar, Nepal, Philippines, Sri Lanka, Thailand and Viet Nam.The project will complement the existing IRRI activity with these coun-tries’ respective government agencies.

II. BACKGROUND, ISSUES AND RATIONALEIRRI conducts research with national partners that produce technolo-

gies that improve rice farming and, hence, the livelihoods of farmers, farmworkers and rice consumers. Many of the millions of rice producing poorare unable to grow enough rice to feed themselves and their families. Theresults of IRRI’s research can help farmers improve their food securitythrough better rice production, which increases the opportunity for crop andincome diversification through greater availability of land, labour andcapital. To realize this potential and further improve livelihoods, theeffective transfer of new ‘know-how’ to farmers is essential.

Unfortunately, access to information by farmers is often weak,hindering the use of the new information and technologies by those whocan benefit most from them. This knowledge gap is compounded by a lackof essential skills, particularly in communication and management, that arerequired by people working in extension if they are to effectively transfertechnologies to farmers in a manner that leads to sustainability. It isimportant to realize that the information that extension workers need, ifthey are to genuinely help farmers, includes not only technical knowledgebut also knowledge and skills that increase the effectiveness of delivery.Improving access to these vital extension skills will lead to better designed,delivered and supported technologies, thereby improving uptake by farmers.Furthermore, because these skills include basic management and communi-cation, they are applicable beyond rice farming extension to other aspectsof agriculture and to other sectors.

Many previous projects have addressed extension quality and effec-tiveness, and have aimed to improve extension services, particularly thosemanaged by governments. Although these have had some success, theyhave not fully addressed the issue because they have not been part of aholistic programme. A successful programme needs to provide extensionworkers not only with access to relevant, up-to-date information at a placeand time of their convenience, but also teach them how best to access theinformation they need and how to most effectively deliver it to farmers.This project will bring together, through CeCs, training in extension skillsand the most up-to-date, accurate farming information available, as well asimproving the content and transfer to farmers of vital information. Theproject will strengthen CeCs by helping them to better meet the needs ofan important sector of the people and communities they service.

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III. THE PROPOSED PROJECTA. Purposes (or objectives)

International Rice Research Institute (IRRI)

Activities: output 1

(1) The syllabus and courseoutline for each of thenine management andcommunication coursesare available

(2) The syllabus and courseoutlines have beenvalidated with contentand extension experts

(3) Design of the e-learningcourses has been completed

(4) The e-learning courses areavailable on the RKB

(5) The e-learning courses havebeen tested with a selectedaudience and modified fromfeedback.

(6) The e-learning train-the-trainer course has beendesigned

(7) The e-learning train-the-trainer course isavailable on the RKB

OUTPUT 1Nine management and commu-nication e-learning courses thatprovide training in essentialextension skills, as well as atrain-the-trainer online trainingcourse, are available through theRice Knowledge Bank (RKB).

Activities: output 2

(1) In each country, anawareness seminar forcommunity e-centresand other interestedorganizations has been held

(2) Three partner centres ineach country have beenselected from expressionsof interest

(3) Intensive training for eachof the selected centres onthe use of the RKB hasbeen conducted

(4) Training for each centre onthe principles of extensionmethodology has beencompleted

(5) Training for each centre onthe organization and conductof e-learning courses usingthe train-the-trainer e-learning course has beencompleted

Activities: output 3

(1) Each partner has conductedan advertising campaignamong its users to identifyparticipants for each course

(2) Each centre has successfullyconducted and reported oneach of the nine courses

(3) Each center has conductedan awareness course forneighbouring centresexplaining the advantagesof the RKB and itse-learning resources.

(4) Monitoring and evaluationof extension effectivenesshas been reported

OUTPUT 2In each of the target countries,three CeCs partners aretrained to effectively use thee-learning courses and theRice Knowledge Bank.

OUTPUT 3Effectiveness of each CeCshas been assessed throughmonitoring and evaluation ofdelivery of the nine e-learningcourses to at least 30 partici-pants and other e-learningcenters and telecentres.

PROJECT GOALExtension workers deliver better information and technology more effectively to

farmers, resulting in improved livelihoods for farmers and their families.

PROJECT PURPOSEExtension has been made more effective by the ready availability through CeCs

of the latest, accurate farming information and technology, and associated trainingin extension management and communications.

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B. Scope of the project, components, methodology and key activitiesThe project will work with rural communities with linkages to rural

development partners in the major rice producing countries of Asia. Thusthe scope of the final project will be user-driven as it will involve onlythose countries committed to success. The methodology of the projectbuilds on three important assets of IRRI: its extensive in-country networks,which will identify and support local partners; the existing volume ofknowledge contained in the Rice Knowledge Bank; and extensive experi-ence in delivering ICT training across the region. The outputs will beachieved by selecting e-centre partners to work with the relevant IRRI staffto promote RKB use through the centres. The implementation arrangementsbelow describe further how the project will unfold.

The key activities include:

• The nine management and communication courses have beendesigned, coded, tested and revised

• Each CeC has two staff who have been trained to use the RKBand its e-learning

• Each CeC has conducted the nine e-learning blended courses for30 participants

C. Implementation arrangementsIRRI has considerable contact with government agricultural structures

and through these it will be able to attract support for the wider use of the RKBthrough CeCs. IRRI also ensures that the information in the RKB is validatedfor each country and modified as appropriate. Where necessary, informationwithin the RKB is translated into local language and stored in country-specificsections, where other local, relevant information is also stored.

The project requires international consultancy from extension andtraining experts both within IRRI and beyond. These experts will bring thelatest information to the materials, ensuring that the information in the RKBis the latest and most accurate available. Local consultant input would berequired to work with the partners to identify priority material that needs to betranslated and loaded onto the country specific Knowledge Bank sites. Eachgovernment partner will identify and ensure adequate support for thecollaborating CeCs. They will also facilitate the linkages to the relevantdevelopment partners in each country to ensure that the primary needs of thecommunities are known and the e-communities are being used to provide therequired information. The key workers at each CeC will document theprimary knowledge needs, work with the relevant staff to access theknowledge and feed it back in the relevant form to the knowledge seekers. Incases, where the knowledge is not available they will provide the feedback toIRRI and other relevant partners to ensure that the knowledge gap is filled.IRRI will manage the project and act as the executing agency.

All of the e-learning courses will reside in the IRRI-maintained RKB.The RKB is designed for use by people within the extension community andis accessed over two million times per year. The RKB is available on CD-

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ROM for people with limited Internet access. IRRI also promotes the RKBthrough in-country offices and partner networks. E-learning within the RKBwill be promoted and disseminated via these extensive regional networks andthe major consortia that operate through IRRI across the region.

Project outputs will be monitored and evaluated against a baseline ofdata collected at the beginning of the project. The social science staff atIRRI will define the framework for monitoring and evaluation, and overseelocal staff who will collect and report on the data.D. Cost and financing*

Item Total cost

1. Consultantsa. International consultants [incl: IRRI staff input] 90,000b. Domestic consultants [incl: IRRI national staff] 211,000

2. Equipment and softwarea. Equipment 99,000b. Software 0

3. Buildings and furniturea. Buildings 0b. Furniture 0

4. Training, seminars and conferences 203,5005. Research, development and surveys 25,0006. Miscellaneous administration and support costs 80,8207. Contingencies 45,000Total 754,320

* This draft budget is for two years and four countries.

E. Sustainability, viability and expected impactBuilding on existing committed partners and relationships means that

this project is viable and will be sustainable. There is no desire here tobuild something new, but rather the strength of the project lies in addingvalue to existing activities.

Improving the impact of research will see more than 8,000 agricul-tural extension workers receive training that will have two clear benefits,from which many other benefits will flow. First, participants will improvetheir knowledge and skills in information and communication technology.Second, participants will receive training on specific aspects of communica-tion and management essential to effective extension. In many countries,extension management and communication skills are weaker than they needto be. This creates a knowledge gap that prevents farmers obtaining theinformation they need to improve their production.

The target group of the project is trainers. Their new skills will flowon to many thousands of farmers and farm workers. After participating inthe course, trainers and extension workers will be better able to find

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information that meets farmer needs and more effectively deliver it tofarmers. New information and technology will be transferred from researchto the field in a sustainable way. More farmers will be reached more often.They will learn faster, retain more information and will themselves bebetter able to pass information on to their colleagues, workers and families.Ultimately, this will help farmers improve their food security through betterrice production and increased opportunity for crop and income diversifica-tion due to greater availability of land, labour and capital – real progresson the path to improved livelihoods for the millions of poor people wholive in rice-dependent communities.

Project framework

Design Performance indicators Monitoring mechanisms Assumptions and riskssummary

Goal Volume of use of CeCs foragricultural extension informationEffectiveness of use of CeCs

Survey data collected in each ofthe partner centres

Analysis of RKB user statistics

Governments and theiragriculture departments remaincommitted to the developmentof ICT as a tool

Purpose Use of CeCs by extensionworkers

Survey data collected at eachcentre, detailing participants’purpose for using the centre.

Extension workers continue tosee CeCs as sources of extensiontraining and information

Outputs Availability of the nine e-learningcourses or high priority supportmaterials on the RKBEach CeC is able to effectivelyuse the RKB effectively30 participants are trainedin extension at each centre

Access the RKB to view anduse each course

Staff demonstrate their skills

Training timetable and participantrecords

The trained staff remainavailable to the project and thecentres remain committedto project aimsEach CeC has sufficient interestfrom its target audience tofill the online courses

Activities The nine management andcommunication courses have beendesigned, coded, trialed and revisedEach CeC has two staff whohave been trained to use theRKB and its e-learningEach CeC has conducted thenine e-learning blended coursesfor 30 participants.

Access the RKB to view anduse each course

Staff demonstrate their skills

Training timetable andparticipant records

Inputs International consultancy byIRRI staff in course designIRRI local staff input intoprogramming and testing e-learningLocal consultancy in contentvalidation and/or adaptationLocal consultancy through CeCsin target needs identificationLocal consultancy in deliveryof online courses

Records of consultant selectionand work schedules

Sufficient, quality localconsultancy is available who areprepared and able to operatethrough the CeCs

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Title: E-government formation in KazakhstanProposer: Ms. Saule A. Yessengeldinova, Ministry of Economy and

Budget PlanningCountry: KazakhstanDate: December 2004

I. INTRODUCTIONThe first step in the creation of e-community will be the programme

of electronic government. The programme will provide citizens and organi-zations with fast and qualitative access to state services, and increasedefficiency of functioning of state bodies by wide application of informationand communication technologies.

The objectives of the programme will be:

• Provide rural areas with a population of over 200 which cur-rently do not have telephone lines, with telephone services

• Modernize present rural telecommunication network to provideagriculture complex with modern telecommunication services

• Modernize present rural telecommunication network to developthe Internet, e-mail and mobile telecommunication services.

II. BACKGROUND, ISSUES AND RATIONALEWith the view of enabling automated information interaction between

state bodies, development of information infrastructure based on introduc-tion of common e-document circulation is under way as well as develop-ment of other information systems:

• State database: “Natural persons”, “Legal persons”, “Addressregister”, “Real estate register”

• Information systems of e-document circulation, e-archives• Web-portal for Government• Departmental information systems with e-government elements

(integrated tax information system, register of taxpayers andtaxation objects, customs automated information system, infor-mation system of State Center for pension payment and others)

The introduction of e-government in Kazakhstan aims to improvequality of services, reduce time of state services for citizens and organiza-tions, provide access to the information database of state bodies, and toimprove administrative system to form efficient and optimum state apparatus.

The priorities for e-government are: provision of Internet access;improvement of education level in information technology (IT); and mod-ernization of public administration system.

The introduction of e-government will enable the government toimprove the public administration system, as formation of e-state services

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envisages reengineering in administrative processes. Taking into account worldexperience in e-government formation, it will be implemented in three stages:

The first stage – e-government infrastructure formation – aims atinitiation of such base components as a portal and gateway for e-govern-ment that include: development of a payment gateway for interaction withthe banking system, a national identification system, a common transportsphere of state bodies, formation and development of interdepartmentalsystems, establishment of central and local executive bodies, promotion ofaccess to e-services, introduction of measures to reduce information accessinequalities, and improvement of IT education levels. Provision of informa-tion and interactive services will be implemented at this stage.

The second stage – e-government services – aims at development ofdiverse services for citizens and functioning of state bodies and full-scalereengineering of administrative processes. Transaction services will beimplemented at this stage.

The third stage – information community formation – envisagestransformation of state bodies and organizations, information communityformation including implementation of such programmes as e-medicine, e-education, e-culture, e-democracy and others.

III. THE PROPOSED PROJECTA. Purposes

The programme goal is to provide fast and qualitative access to stateservices, and improved functioning of state bodies by means of wide use ofinformation and communication technologies (ICTs).

The goal requires the following tasks to be implemented:

• Initiation of normative legal and methodological base enablingstate, citizens and organizations to function in information com-munity conditions

• Formation and development of e-state services• Access to e-government services, reduction of information ac-

cess inequalities and improvement of education levels in IT• Formation of base components of e-government infrastructure

and optimization of information infrastructure of state bodies• Protection of e-government information infrastructure

B. Scope of the project, components, methodology and key activitiesThe programme will be implemented on the following directions:

• Improvement of normative legal and methodological base• Formation and development of e-state services• Access to e-government services, reduction of information ac-

cess inequalities and improvement of education levels in IT

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• Formation of base components of e-government infrastructurecomprising of portal and gateway of e-government, paymentgateway for interaction with the banking system, national identi-fication system, and common transport sphere of state bodies

• Formation and development of interdepartmental and typicaldepartmental information systems

• Formation and development of information resources and sys-tems of local executive bodies

• Protection of e-government information infrastructure in compli-ance with international standards

• Public support for programme implementationD. Cost and financing

Pre-calculation have indicated that the programme will need about30 million dollars. Financing of the programme is provided by the statebudget for the period 2005-2010.E. Sustainability, viability and expected impact

Programme implementation will result in:

• Initiation of conditions to optimize administrative procedures instate bodies

• Integration of information systems and resources of state bodies• Organization of common protected multi-service transport sphere

of state bodies. Return of investment is forecasted during eightyears after programme implementation

• Optimization of expenses for informatization of state bodies• Implementation of 15 per cent of state services in e-form during

2005• Time reduction of state services• Introduction of common e-document circulation among state

bodies in 2006• Initiation of no less than 50 special points with the view of

wider access to e-state services• Increase in taxes and other compulsory payments resulting in

increment in the revenue from simplification of proceduresbetween taxpayers and fiscal bodies

• Connection to telephone of all rural districts with populationnumbering over 50

• Provision of nine phones per 100 citizens• Internet access for all schools by 2007• Decrease in number of pupils per one computer from 54 to 36,

increase in schools accessing satellite distance education from8.7 per cent to 20.8 per cent within improvement of educationlevel in IT

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Project framework

Design Performance indicators Monitoring mechanism Assumptions and riskssummary

Goal Fast and qualitative access tothe state services by wideapplication of information andcommunication technologies

System of e-documentcirculation

Purpose Initiation of normative legal andmethodological base

Normative legal andmethodological base

Outputs Installation of telephones in allrural areas and connection tothe Internet of all schools

Installation of telephones 100per cent rural area andconnection to the Internet 100per cent schools

Activities Formation and development ofe-state services

Formation and development ofinterdepartmental and typicaldepartmental informationsystems; formation anddevelopment of informationresources and systems of localexecutive bodies

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Title: E-community centre for rural development in the LaoPeople’s Democratic Republic

Proposer: Mr. Douangmala Chanthalangsy, Department ofInternational Cooperation, Ministry of Foreign Affairs

Country: Lao People’s Democratic RepublicDate: December 2004

I. INTRODUCTIONIn Lao People’s Democratic Republic, e-community is just at the

starting point and community e-centres (CeC) have not yet been establishedin the country. Sharing knowledge, experiences, and information throughthe Internet nationwide is still a problem, especially at provincial anddistrict levels, where the connection is very slow. In provinces and districts,reliable dialup connections from the local Internet Service Provider (ISP),Lao Telecommunication Company (LTC), can not be guaranteed, becausethe local ISP lines are insufficient to meet the demand of the growingcustomer base. Connecting to the Internet through a modem takes a lot oftime. The only solution is to make a long distance dialup to Vientiane, thecountry’s capital, but it’s expensive and very slow.

Another constraint is the slowness of dialup Internet access. Unlikedigital telephone lines in Vientiane, the analogue telephone lines arecapable of supporting up to only 24 kbps of data transfer. So, transferringbig files may take days to complete.

One of the state enterprises, the Enterprise of TelecommunicationsLao (ETL), has been laying a fibre optic network in Vientiane Municipal-ity. The fibre network has been spreading out to the other provinces. TheETL is a 100 per cent state owned enterprise. The following provinceshave the ETL fibre infrastructure already: (1) Vientiane; (2) Luangprabang;(3) Champasack; and 4) Savannakhet.

The ETL has been helping the Science Technology and EnvironmentAgency (STEA) to setup government provincial Internet gateways in theseprovinces by laying out the lines required. The provincial Internet gatewaysare connected to the ETL fibre network via copper wires. The other end ofthe fibre network is connected to STEA which provides the Internetbandwidth. All the network traffic will pass through one of the two STEAgateways to get to the Internet.

STEA has two separate Internet gateways. One gateway is connected tothe existing ThaiCom satellite while the other is connected to CAT TelecomPublic Company Limited (CAT Telecom) in Thailand. The CAT Telecom linkis sponsored by Thai Government for a year. The ministries in Vientianecontinue to use the ThaiCom gateway while provincial Internet gateways areusing the CAT Telecom gateway. The remaining provinces may have theprovincial Internet gateways installed in around three or four months’ time.

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In a separate issue, STEA has also obtained funding from the SwedishInternational Development Cooperation (SIDA) to setup an Internet exchangegateway. Right now, Sweden University’s master degree students are helpingSTEA and the other ISPs to configure and setup the exchange. The first phasewas initiated by International Development Research Centre (IDRC) grant.

Currently, ETL does not provide local dialup Internet access in the threeprovinces. Planet Online ISP is using ETL infrastructure, so it is not an optiontoo. GlobNet ISP does not have the Internet presence in the provinces. Theonly company that is present in the three provinces is Lao Telecom Company(LTC). LTC is a joint venture company between Lao government andShinawatra International Plc. LTC offers both local dialup and broadbandservices. The broadband service is based on satellite technology. The LTC’scheapest broadband plan will provide one public IP address. An IP sharingrouter is required to support more than one PCs surfing the Internet.

II. BACKGROUND, ISSUES AND RATIONALEThe steps towards rural development in the Lao People’s Democratic

Republic are considered to be: (1) agricultural development; (2) ruralinfrastructure development; (3) income diversification; (4) rural financialservices; and (5) capacity building and strengthening.

The main goals of rural development are to alleviate poverty,stabilize shifting cultivation and stop opium production in rural areas whereprojects intervene. The implementation of these components therefore areto: (1) provide permanent jobs to communities; (2) facilitate communitiesto access markets and environments outside their premises; (3) introducenew activities that foster communities’ income generation; and (4) buildand enhance not only capacity of relevant government line agencies butalso communities for the sustainability of project activities.

Market facility establishment, market information dissemination,knowledge and experiences sharing are considered the second step of ruraldevelopment. Establishing markets will help communities to have places tosell their products whereas market information dissemination will help themto better set up prices for their products. Allowing communities to shareknowledge and experiences will not only give communities the new ideasbut also ways to improve their capacity and development their communities.

How can communities effectively share information, knowledge andexperiences? Information technology is considered a key factor for thispurpose. Through the Internet, information can be disseminated faster.

For reading electronic messages and surfing the Internet, the districtoffices can dialup two telephone lines in the central provincial offices or LTCtelephone lines. For transferring bigger files, the district offices can deliverthese big files to the central provincial offices in writable compact disks (CDs)or universal serial bus (USB) thumb drives provided. The location betweencentral provincial offices and the district offices are not very far apart.

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III. THE PROPOSED PROJECTA. Purposes (or objectives)

One purpose of this project is to enable information, experiences andknowledge sharing nationwide specially connecting information to ruralpoor people in Lao People’s Democratic Republic. In order to do so, allprovinces and districts need to be able to easily connect to the Internet.B. Scope of the project, components, methodology and key activities

To achieve the goal there are four main activities need tobe undertaken: (1) construction of building; (2) procuring equipment;(3) procuring software; and (4) setting up of networks in provinces anddistricts.C. Implementation arrangements

STEA will be the executive agency for the proposed study. Lineministries will form a steering committee. The Steering Committee mem-bers will include representatives of the Ministry of Foreign Affairs(MOFA), the Committee for Planning and Investment (CPI), the Ministry ofAgriculture and Forestry (MAF), the Ministry of Health (MOH) and otheragencies concerned. The focal agency will be the Department of Informa-tion and Technology under the STEA.D. Cost and financing

The total cost is estimated at US$ 800,000 equivalent. Donors willfinance US$ 728,000 in grants. The Government will provide the remainingUS$ 72,000, largely in kind. Detailed cost estimates are given as follow:

Item Government Donors Total cost

1. Consultants 170,000 170,000a. International consultants 192,000 192,000b. Domestic consultants

2. Equipment and softwarea. Equipment 95,000 95,000b. Software 45,000 45,000

3. Buildings and furniturea. Buildings 50,000 50,000b. Furniture 22,000 22,000

4. Training, seminar and conferences 35,000 35,000

5. Research, development and surveys 40,000 40,000

6. Miscelleneous administration andsupport costs 90,000 90,000

7. Contingencies 61,000 61,000

Total 72,000 728,000 800,000

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E. Sustainability, viability and expected impactNowadays, information technology (IT) has a great role to the

success of every organization. It helps to expedite the work process,decision-making, increase productivities, enable sharing information veryeffectively and efficiently and communicate with each other very fast.Working in the offices, without the computers seems to be disable. Estab-lishing community e-centres in the country will stimulate the developmentof the country; connect all the provinces and districts together, expeditingthe process of decision-making, and so forth.

Lao People’s Democratic Republic

Project framework

Design Performance Monitoring mechanisms Assumptions and riskssummary indicators/targets

Goal Establish CeC based povertyalleviation by providinginformation to the rural poorinvolved in agriculture inthe countryEffectiveness of use of CeCs

Survey data collected in eachof the provinces and districtscentres

Analysis of information userstatistics

Government and Informationand Technology Departmentnder the STEA remaincommitted to the developmentof ICT as a tool

Purpose Enable information, knowledgeand experiences sharingnationwide among rural people,government and businesses.

Survey data collected at eachcentre, detailing rural poorpeople purpose for using thecentre

Rural poor people continue tosee CeCs as sources ofinformation

Outputs Availabilities of the CeCs torovide information to the poorpeople in the rural area

Rural poor people demonstratetheir skill

Each CeC has sufficient interestfrom its target audience to fillthe online courses

Activities Construct buildingsRecruit personnelProcure equipments and softwareSetup networks for provincesand districts

Rural poor people demonstratetheir skill

Inputs Government contributionDonors’ grant

Records of work schedule

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Title: Mongolian e-projectProposer: Ms. Oyundelger Nataa, Strategic Planning and Policy

Department, Ministry of Food and AgricultureMs. Burmaa Badral, Crop Production Division, Ministryof Food and Agriculture

Country: MongoliaDate: December 2004

I. INTRODUCTIONMongolia is a diverse country with many talents and resources.

However, since privatization in the early 1990’s, Mongolia has not progressedtechnologically with the rest of the world. This is due to various factors thatinclude central and private fiscal issues, the harshness and vastness of thecountry, the climate, and the distribution of the population. While the capital,Ulaanbaatar, has some access to today’s technologies, Internet access is poor,unreliable, relatively expensive, and not easily available to the generalpopulation. Outside of Ulaanbaatar, access is even worse and essentially non-existent in the nomadic, rural areas. Most children lack Internet technologyboth at home and at school. During the centralization period, Mongolia’sliteracy rate was near 90 per cent, but has been declining due to the lack offinancial resources and poor access to the world’s latest technology. In orderto compete in the 21st century, this must be reversed. Internet technology mustbe made available to government, business, producers and children.

In the past, Mongolia’s rural economy was a reservoir not only foremployment and livelihoods, but also for Mongolia’s economic growth andexports. In 1990, 33 per cent of all workers were employed in theagricultural sector; by 2004, that figure had grown to 44.5 per cent.Currently, the Mongolian agricultural sector accounts for 20 per cent of theGross Domestic Product (GDP). Half of the total 2.5 million populationlives in rural areas and their main source of wealth is livestock. Farmersand the rural population can potentially receive information through differ-ent media and approaches such as folk and traditional social gatherings,rural radio for community development, video and multimedia modules forfarmer training, and the Internet for linking researchers, educators,extensionists and producer groups (small and medium-sized entrepreneurs)to each other. However, access is limited, antiquated, and does not extendto the end-level producers. Complicating matters were the particularly harshwinters (Dzud) that occurred at the turn of the century, with heavysnowfalls and temperatures reaching the -50° C levels in some parts of thecountry. It is estimated that Mongolia herders lost nearly 50 per cent oftheir livestock during each of two successive years. While recovery istaking place, it is being done so without the poorer producers havingaccess to the latest available technologies that the Internet could provide.

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Mongolia currently has no organized e-centre model. Access to theInternet and its information is limited to government, larger private busi-ness, and the more affluent levels of society. There exists the NationalAgricultural Extension Centre network, established several years ago at theMinistry of Food and Agriculture, which is working towards the develop-ment of an extension network throughout Mongolia. Currently, all aimigs(larger towns) have provincial branch offices, and these extension centresare currently playing an important role in disseminating information andtechnology to producers. This agricultural programme can be used as amodel from which to build an community e-centre network throughoutMongolia, with extension of access and service to the all-important soumand bag levels (the lowest administrative units).

II. BACKGROUND, ISSUES AND RATIONALEMongolia faces many issues that are quite unique in providing ICT

for educational and economic purposes. Located in central Asia, it is land-locked, and access to materials and supplies involves transport througheither eastern Russia to the north, or China as the gateway to theeconomies of the Pacific Rim. The Mongolian topography includes poorlyaccessible mountain regions and the Gobi desert. Its climate is quite harsh,being dry and cold, resulting in a very limited crop-producing season.Transportation and infrastructure are lacking, especially outside ofUlaanbaatar. The countries roads are quite limited, and poorly maintained,especially in the rural areas. Some areas do not have electricity.

Half of Mongolia’s population resides in Ulaanbaatar, and due to therecent poor economy, this figure is getting larger as rural farmers andherders migrate to the city to find employment. But much of the populationstill maintains their traditional, nomadic ways, resulting in a relativelypoorer, difficult to access sector. These are the people who require specialefforts to provide electronic access for educational and production purposes.In addition, the rural population does not have the financial resources topay for e-centre services, nor is it prepared mentally to pay for it.

Since privatization, access to education for the countries children hasbecome less accessible, especially in rural areas. This is now beingmanifested in a new generation of poorly prepared citizens that potentiallywill add to the poverty of the country. Most schools do not have access tocomputers, the Internet, and thus, the information and technology that theyprovide. Contrasted to western and the Pacific Rim educational opportuni-ties, there is a critical need to supply all Mongolian students with thetechnology needed to compete in their nations and world economies.

In addition to the access problems related to topography and therural population distribution, infrastructure accessibility is also a majorproblem in Mongolia to creating an e-centre network.

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Current communication systems are aging, outdated, slow, and incon-sistent. They fail to reach the rural population. Mongolia is a poor country,and its inability to finance needed technological improvements furthercontribute to economical woes. Compounding these technical problems isthe issue that there is no institutional structure or extension service networkin the aimig, soum or bag levels, nor a legal basis to operate extension e-services. It will have to be decided whether this occurs through governmen-tal or private means.

In the broader context of Mongolia’s development, the issues facingthe establishment of an e-centre network mirror the difficulties ofMongolia’s developing economy. Improvement of its infrastructure, develop-ing it’s resources, and establishing an information technology network areall related to Mongolia’s ability to become a self-sustaining factor in theAsian economy.

III. THE PROPOSED PROJECTIt must be realized that Mongolia is only beginning to formulate its

plans to establish an e-centre network. The project will initially be dividedinto four stages: Planning; procurement of administrators, consultants andtechnical support; infrastructure building and construction; and maintenance.The focus will be on how to connect electronic demand with supply atboth the informational provider/exchange network and the community(households and enterprises) levels. The goal is to establish a functioningsystem within five years.A. Purposes (or objectives)

The project goals: To improve the education and livelihoods of thepoor and rural populations, strengthening food security and reducing hun-ger. This would be accomplished through: (1) increased access to situation-appropriate and practical information; (2) adding value to existing net-works, projects, and communication capacity-building initiatives; and (3)establishing sustainable extension networking system involving all 385soums at nationwide.

Key Activities:1. Establish sustainable e-community/extension centre networking

systems in rural areas;2. Establish “Rural Connect” management teams;3. Identify criteria for selecting information provider and exchange

networks;4. Assist network facilitators with needs analysis and communication

mapping;5. Provide support, resources, guides and training materials for

local capacity building, outreach, and network development; and

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6. Develop, implement and maintain a continuous and participatoryevaluation and learning system.

Project Outcomes:1. Sustainable rural e-centres/extension centres in rural areas;2. Demand for information met with appropriate supply;3. Rural households and enterprises using information to make

decisions leading to increased producer profitability and incomesecurity;

4. Increased responsiveness to rural production systems to opportu-nities and marker demand;

5. Identifiable outcomes in the educational performances of theMongolian educational systems; and

6. Increased appreciation among the population for using newknowledge and technology into production.

Business Model:1. Subscription-based service;2. Sponsorship of information providers and exchange networks;3. General sponsorship and grants/access for all irrespective of

ability to pay; and4. Fee-for-service.Support Network:1. Producer groups and community organizations;2. Donors, international organizations, international and national

NGOs, governments, and projects;3. National Agricultural Research Systems;4. Universities and academic institutions;5. Agrobusiness;6. Advisory services- public and private, NGO; and7. Media and connectivity service providers.Assumptions/risks:1. Stable government/political environment;2. Continued financing through governmental, private and donor

sources;3. National/worldwide inflation;4. Adequate domestic consultant/technological/material availability;5. Climate-related issues; and6. Wireless-based central and end-user accessibility.

D. Cost and financing (US$)The initial cost estimates are based on establishing e-centres at each

of the 360 bag levels in the rural countryside. Admittedly, these figures aresomewhat premature and subject to revision.

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E. Sustainability, viability and expected impactMongolia offers a unique opportunity to be the model for the

underdeveloped countries of the world, by establishing and developing anetwork of e-centres to its underserved population. Because of geographicaland cultural factors, special challenges will need to be met to accomplishthis goal. However, the country’s historical stability, educated and dedicatedworkforce, and favourable business climate present a great opportunity toaccomplish this goal. The fact that Mongolia was left economically disad-vantaged during privatization affords the opportunity to show that donorassistance can be very effective in enabling a culture to become education-ally and economically independent, with well-utilized assistance.

Item Government Donors Total cost

1. Consultantsa. International consultants 1.25 1.25b. Domestic consultants 1.00 1.00 2.00

2. Equipment and softwarea. Equipment 1.00 3.40 4.40b. Software 1.00 2.00 3.00

3. Buildings and furniturea. Buildings 1.00 3.00 4.00b. Furniture 1.00 2.00 3.00

4. Training, seminars and conferences 0.50 1.00 1.50

5. Research, development and surveys 0.75 0.75 1.50

6. Miscellaneous administration andsupport costs 1.00 1.00 2.00

7. Contingencies 0.50 2.00 2.50

Total 7.75 17.40 25.15

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Title: Multipurpose community centre, a tool to alleviate povertyin Nepal

Proposer: Mr. Sushil Ghimire, Ministry of Information andCommunications

Country: NepalDate: December 2004

I. INTRODUCTIONThe Ministry of Information and Communications (MoIC) is respon-

sible in the formulation of the policy, rules and regulations related totelecommunication development, radio and television broadcasting, postalservices, disseminating the information through electronic and print media.Under this Ministry, there is a Postal Services Department, Department ofPrinting, and Department of Information. The Department of Postal Serviceshas offices in all the 75 districts and more than 1,500 villages. MoIC alsomanages Nepal Telecommunications, Radio Nepal, Nepal Television, NationalNews Agency, Gorakha Patra Sansthan (Government Publishing house), NepalPress Council, Nepal Film Development Board, Nepal TelecommunicationAuthority and three other private telephone operators in the country.

II. BACKGROUND, ISSUES AND RATIONALENepal is a landlocked mountainous country with 147,181square

kilometres of area with 17 per cent of plain land and 83 per cent of ruggedterrain. The population is about 23.4 million. Administratively the countryis divided into five development regions and 75 districts. The lowestadministrative units are municipalities in the town and Village DevelopmentCommittee (VDC) in the village. Currently, there are 58 municipalities and3,914 VDCs in Nepal

Nepal is predominantly an agricultural country. Its contribution toGross Domestic Product (GDP) is the largest followed by tourism, industry,transport and communication. A very large proportion of the populationlives below the poverty line. The major source of government revenues arecustom duty, value added tax and income tax.

A little over half (57 per cent) of the population is reportedeconomically active and among them 81 per cent were engaged in agricul-tural activities. Contributions of non-agricultural activities to the GDP aregradually increasing.

Nepal being a mountainous country has different terrain and geography,so it is very difficult to develop the infrastructures in the country. Most partsof the country are devoid of road access, power supply, drinking waterfacilities, telephone connections, health facilities, and educational facilities.

There is also a problem of the unemployment but the people are verymuch reluctant to adopt the traditional occupations. It is one of the major rootcauses that traditional professions such as agriculture, cottage industries (smalland medium sized enterprises), and handicrafts and so on have a very low rate

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of productivity and the expense of the production is also very high and can notcompete with the imported goods in the markets. Traditional techniques offarming and manufacturing are still used. They have no entrepreneurship skill,no competent and modern marketing strategies, so they are not in the conditionto develop their enterprises in the better ways. This has made the traditionalprofession and agricultures a non lucrative business.

Despite the implementation of nine five-year plans and currently, inthe middle of the 10th plan, poverty is rampant in the rural areas. There aremany projects and programmes that are working to alleviate poverty. Manyincome generating small and medium-sized enterprises (SMEs) are beingestablished and empowering the people. The huge opportunities created bythe use of information communication technology (ICT) have acceleratedthe productivity in many economic sectors. It is effectively and efficientlyutilized to alleviate poverty in most of the developing countries and theyare successful to some extent.

The 10th five-years plan has only one broad objective, “to reduce thepoverty in the country”, and has envisaged a broad based economic growthto reduce the poverty. In Nepal, poverty is a multidimensional and complexproblem. Out of many root causes, the low economic growth is the mostimportant one and needs to be addressed in a proper way, with properprogrammes. In the 10th Plan, it has been also stated that the opportunitiesof ICT would be extended to the rural areas in a coordinated andcompetitive manner. Realizing all theses facts, MoIC has proposed toestablish 25 Multi-purpose Communication Telecenters (MCTs) in differentparts of the country in the first phase.

III. THE PROPOSED PROJECTA. Purposes (or objectives)

In the effort to reduce poverty in the rural and peri-urban areas ofNepal, the use of ICT through MCT can be an effective tool. The recentand available technology can be utilized to make the profession the moresuccessful business and promote the income generating activities. Theultimate goal of this project is to utilize ICT through MCTs to uplift thepoverty of the rural people.

The main objective of this project can be noted as follows:

• Providing Internet and e-mail facilities to the rural people• Agricultural marketing and agricultural extension programmes• Community and public health programmes• Environment, forest and soil conservation activities• Water and sanitation programme• Adult literacy, vocational education and informal education

programmes• E-governance activities, passport, citizenship certificate, driving

license, vital registration such as birth• E-commerce, especially making and selling of the local indig-

enous technologies, products, handicrafts, artefacts etc.

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• Information dissemination, including the news, views and events• Promoting the basic computer education• Providing other logistic facilities such as public call office,

telephone facilities, fax and basic secretarial works, type setting,lamination

• Small and medium income generating activities• E-post, commercial use of MCT, as cyber café

B. Scope of the project, components, methodology and key activitiesMCT is one tools that can make the local people aware of the

modern techniques to increase the productivities in agriculture, cottageindustries, environmental, forest and soil conservation, health and sanitationactivities, formal and non-formal education, vocational education, literacyprogrammes, and disseminating information about the news, views andevents. MCTs are not the panacea of all these sectoral developments. Thereshould be other activities, programmes, and plans to implement, so as tomake the people empowered and economically successful. ICT has beensatisfactorily and successfully utilized for this purpose in some of thedeveloping countries with the similar socio-economic conditions to Nepal.

The pre-survey of MCT, establishment of MCT, content developmentfor online and offline usages, organizing the user groups, employing theoperators of MCT, and training them to use the machine and run the MCTin full phase, are some of the major activities that can be undertakenbefore starting the services of MCT in the communities.C. Implementation arrangements

The implementation plan and arrangement can be different fordifferent locations. The priority of the activities can also be different. Someof the common arrangement before establishing the MCT can be:

• Specifing or identifing the participating VDC, District Develop-ment Committee (DDC), non-governmental organizations(NGOs), community-based organizations (CBOs)

• Negotiating an memorandum of understanding with these agencies• Selecting, organizing and appointing the user groups• Raising awareness of the facilities, that the people are going to

get, through the MCTs in the communities• Participatory approach – with the local bodies, agencies, and the

people• Community baseline survey• Preparing the potential user profile• Focus group discussion on the scope, activities, and the opportu-

nities• Training and orientation• Installing the equipments and connectivity• Appointment of staff to work for the MCT• Content development, coordination among different sectors (con-

cerned ministries, departments, agencies, local bodies, NGOs) toprepare the appropriate content for online and offline services

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D. Cost and financing (US$)This is the first phase of the project, establishing 1,500 MCTs in the

country, which has been targeted in the 10th five-year plan (2002-2007).About 19 MCTs have been established by various organizations already butnot any by the Ministry of Information and Communications. The estimatedbudget for establishing 25 MCT is:

Item Government Donors Total cost

1. Consultantsa. International consultants 60,000b. Domestic consultants 50,000

2. Equipment and software 1,000,0003. Rent/buildings 20,0004. Furniture, furnishings 50,0005. Training, seminars and conferences 135,0006. Travel/daily allowance 50,0007. Survey and research 30,0008. Administration 100,0009. Miscellaneous 100,000Total 1,595,000

The rollout budget for establishing 30 and 40 MCTs for the secondand third year will be:

For the second year (for 30 MCTs): 2,500,000For the third year (for 40 MCTs): 3,000,000Total three-year roll out budget: 7,095,000

E. Sustainability, viability and expected impactSustainability is always a major problem for MCT. Different ap-

proaches would be taken in consideration to make them sustainable:

• To reduce the cost of operation, MCT will be established inpost offices. It will reduce the cost for training, space (rent) andalso in salary

• In the case where post offices are not available or not suitable,local bodies, communities will be consulted to establish andown the MCT. It will be established in consultation with them,and advertise the benefits of the MCT

• MCT will be equipped with fax machines, photocopier ma-chines, telephone sets, and so on, so it can also be used as apublic call office (PCO), fax, and photocopy service centre

• MCT can also be used as computer training centre, providingthe machines on a rental basis

• These can also be used as cyber cafés during the off hours• E-post programme can also be one of the usage of the MCT• It can also be used as a call receiving centre

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These are some of the activities that can be useful to make the MCTsustainable. The activities can be different depending on the different needsand socio-economic conditions of the communities. The priority and activi-ties may change over time.

Nepal

Project framework:

Design Performance Monitoring mechanism Assumption and riskssummary indicators/targets

Goal Use of MCT to reduce poverty Achievemen evaluation, impactevaluation, and analysis ofdata, information

Purpose Providing ICT facilities torural and peri-urban people,information on agriculture,health, water and sanitation,forest and environment,educationVocational and informaleducation, SMEs

Field visits, evaluation of thedocumentation and records,surveys, interview

People may be reluctant to usethe services provided if theydo not meet their expectations,or if they are not familiar withthe technology and the conceptof MCT

Outputs Establishment of the 25 MCTs,establishing the connectivity,installation of telephones, faxmachine, photocopy machines

Feedback from the community,trainees, and the peoplearound, evaluation of therecords and documents,observations, and interviewswith MCT operators and users

Insurgency, not a conduciveenvironment to work. Non-availability of telephone lines,electricity, non cooperation ofthe people

Activities Establishment of MCTs,content development,digitalization of the printedcontents, training andorientation, advertisementand awareness creation,collaboration with local bodiesand the people

Field verification, evaluationof the records, feed back fromthe communities, surveys,interview and observation

Non-commitment of the localbodies and people, Noncooperation among thedifferent sectors, disturbancesin the country

Inputs Advice of the consultants,local people and concernedagencies, governmentdirections, policies, training,online/offline informationExperiences of the others

Surveys, evaluation of therecords, feedbacks, interviewsand observations, effectivenessmonitoring

Non-availability or reducedavailability of the content andinformation to disseminate,lack of experience andknowledge, not local Internetservice provider, subscribertrunk dialing

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Title: A proposal on ICT for rural-urban linkages in NepalProposer: Mr. Kapil Dev Ghimire, Mr. Dinesh Thapaliya,

Mr. Mahesh Karki and Mr. Ramesh Adhikari, Ministry ofLocal Development

Country: NepalDate: December 2004

I. INTRODUCTIONInformation and Communication Technologies (ICTs) has gained

priority in the national development plans of Nepal as an important input fordevelopment. Emerging knowledge proves that societies of today are not freechallenges of unequal distribution of knowledge, creating so called the DigitalDivide. The phenomenon of the digital divide has enormous implications fora country like Nepal, wishing to leapfrog and catch-up development opportu-nities. The digital divide encompasses accessibility, affordability, and capacityto use the physical infrastructure of ICTs and the availability of digital content.Therefore, the concept of “rich and poor” also embraces “information rich”and “information poor”. The divide could play a significant role in determiningthe competitiveness of an individual, group or society. It seems that thehitherto conceptual emergence of knowledge banks and information gatewaysmay make interesting contributions to the development scene.

The innovative march of human efforts in ICT in the “modern” and“post – colonial” era have shown new dimensions to development work,knowledge and information exchange. Today, ICTs are no longer consideredas merely a “technical appendix” for internal computational needs. Beingintrinsically divorced from the geographical constraints, today, the power ofInternet is being used for electronic commerce (e-commerce) and assistanceto small- and medium-sized entrepreneurs; for the empowerment of commu-nities, women and youth; from the promotion of good governance anddecentralization to awareness campaigns for human rights and democracy;from long distance education to telemedicine and environment management;to foster and facilitate sustainable human development; to assist in the fightagainst poverty and strengthen informed and participatory decision-makingat the policy and planning levels; and to give voice to the peoplemarginalized in the process of development.

Nepal is a land-locked country with 85 per cent of population living inrural areas. Only 40 per cent of the income of an average rural householdcomes from farming and the remaining 60 per cent from other income sources(Statistical Pocket Book, Nepal, CBS 2002). Rural poor people have tosupplement their income sources for survival. One alternative could begenerated through rural-urban interactions – flow of goods, services andpeople using different means of information and modern technology. Thismeans development efforts need to be directed towards strengthening ruraldevelopment programmes thereby enhancing rural-urban linkages, empoweringthe poor so that they can access the socio-economic development opportunities

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and potentials emanating from linkages and constituting an appropriateinstitutional mechanism that enables them to cope with the risk inherent inrural-urban interactions and reduce their vulnerability.

This project proposal is prepared against this background. The purposeof the project is to secure the right of rural and urban people to a sustainablelivelihood. Specifically, the project aims to use ICT as an instrument forfacilitating and promoting social and economic development through the useof e-governance and e-commerce to stimulate pro-poor rural-urban linkages;with a particular focus on the poor, disadvantage and women. The project willfurther expand and extend the ongoing efforts of the Rural-Urban PartnershipsProgramme (RUPP) which has been supported financially and technically byUnited Nations Development Programme (UNDP) and executed by theMinistry of Local Development (MLD). Others partners of the Programme are:National Planning Commission (NPC), the Ministry of Physical Planning andWorks (MPPW) and the Ministry of Finance (MoF) of Nepal.

II. BACKGROUND, ISSUES AND RATIONALENepal’s current Tenth Five-Year plan (2002–2007) has an

overarching goal of poverty reduction. Nepal is also committed to achievethe objective of the Millennium Development Goal (MDG) to halve humanpoverty and extreme income poverty by 2015.

One of the targets of the plan is to reduce the absolute poverty levelfrom 38 per cent to 32 per cent. A key element of the plan is to improveoutreach to the most deprived and to those suffering from inequalities byrefocusing assistance to address the needs of socially and economicallydisadvantaged groups, including women and people living in remote and ruralareas. Among the measures considered as key for achieving Nepal’s MDGs arethe measures that will be required to empower people and communities andincreasing their stake in their own development through decentralization andsupport to community development schemes. Furthermore, the foremostchallenge in reducing absolute poverty lies in the reduction of unemployment,through policies, strategies and programmes which utilize the labour resourcesof poor households, communities and their organizations. Macro-economicpolicies will have to be much more pro-labour40.

Far-reaching policies and strategies for the Nepal’s use of Informa-tion Technology (IT) have been formulated by the Government. Amongthem, it is stated that:

• IT shall be applied for rural development• The IT network shall be extended to rural areas• Internet facilities will be gradually applied to all village devel-

opment committees of the country• IT will be used to promote e-commerce, e-health, among others,

and to transfer technology to rural areas

40 Millennium Development Goals, Nepal Progress Report 2002, HMG/N and UnitedNations County Team of Nepal.

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• The use of the Internet shall be extended to rural areas• Content shall be prepared to enhance Nepali materials on the

Internet to preserve Nepali arts and culture as well as to developrural areas

In an effort to implement these policies and strategies the project isprepared to solicit grant assistance from donors for the implementation ofthis project.

III. THE PROPOSED PROJECTGoal: Securing the right to sustainable livelihoods of rural and urban

poor.Purpose: Improved use of information by people at large.A. Purposes (or objectives)

• Decentralized local governance• Public-private partnership• Right based approach: Right to information• Social inclusion• Poverty alleviation• Lessons learnt from the RUPP

B. Scope of the project, components, methodology and key activitiesE-governanceThe project will support the Government and the local bodies in

undertaking a number of measures to extend e-governance services. Thisproject will also help implement the Self-Help Local Governance Act, inwhich the responsibilities of municipalities and the Village DevelopmentCommittees (VDCs) are defined. The project approach will be based onlocal demand and self-sustaining mechanisms to help the people improvetheir livelihoods. All the applications will be developed and implementedon the e-governance web site, but given the limited time for the pilotproject, it is advisable at this stage to focus on a subset of them in order tobe able to demonstrate their impact.

E-commerceThe activities of pilot implementation in the e-commerce arena will

revolve around current business-to-business (B2B) initiatives of RUPP.Enhancements will be made in the current user interface of B2B portalalong with incorporation of monitoring and data mining facilities. Asegment on auctions and spot marketing will also be incorporated. Avertical B2B model around a specific product category will also bedeveloped by forming alliances with institutions like Agriculture EnterprisesCentre (AEC) and Women Entrepreneur Association of Nepal (WEAN)during the piloting and will be integrated into current B2B initiative ofRUPP. The fact remains however that e-commerce is more about businessmodels and strategies than about technology.

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The focus of the project will therefore be on close monitoring ofcurrent B2B initiative with a view to ascertaining whether it embracesappropriate and feasible business models and to what extent it has been ableto create a value to its key stakeholders and foster rural-urban linkages. Thiswill require close coordination with Tole/Lane Organisation (TLO) members,local chapters of Chamber of Commerce and Industries (CCI) and Federationof Nepalese Chamber of Commerce and Industry (FNCCI/AEC).C. Implementation arrangements

D. Cost and financing (US$)The total project period will be five years, which will be started

from January 2006 and completed by December 2010.

Item Total cost

Research/study/survey and data analysis 2,000,000PMU and support organization members personnels and administration expenditure 3,000,000Training, workshop and seminars 2,000,000Infrastructure 2,000,000Equipment 2,000,000Social mobilization 1,000,000Community infrastructure 3,000,000Credit capital 4,500,000Sundries and miscellaneous 250,000Monitoring and evaluation 250,000Total 20,000,000

Out of the total budget of US$ 20,000,000, 20 per cent of the budgetwill be mobilized from local institutions and community participation.

Nepal

Tole/LaneOrganization

(TLO)

Tole/LaneOrganization

(TLO)

Tole/LaneOrganization

(TLO)

Municipalitiesin e-governance

Local CCI onB2B

e-commerce

Rural TeleCentres (RTC)

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E. Sustainability, viability and expected impactFor the sustainability of the project, the ownership and financial

contribution will be managed by the central government, local government,private sector, user fees and revolving fund of credit investment. Pastexperiences in similar projects have shown that this type of project has ahigher degree of viability. To secure the rights to sustainable livelihoods ofrural and urban poor is expected to be the impact of the project.

Project framework

Design summary Performance indicators Means of verification Assumptions and risks

Purpose Use of e-governance unitand rural training centre(RTC)Use of information by theusers raised by 50 per cent

Verified through log bookat municipalities and RTC

Portal visit record

Mid term and final review

OutputsNeed base informationmade availableCapacity of thestakeholders strengthened

Initiative of civil society,private sector and localGovernment enhanced

Rural-urban linkagesstrengthened

Numbers of visitors anduser increasedMunicipalities and RTCcapable of doing businessby themselvesIncreases demand forestablishing telecentresand invest increased by Xper centFlow of goods and servicesincreased by X per cent

Document made available

Regular visit and report

Monitoring and evaluationreport

Reporting

Local government givepriority to ICT

Private sector and publicsector collaboration increase

Border policies remainfavourable

ActivitiesActivity 1: Need assessment report of

58 municipalities and 400RTC prepared400 RTC selected

10 e-governance and B2Be-commerce contentdevelopedData bank established at58 municipalities and 400RTCBaseline survey conductedat 58 municipalities and400 RTC

Report placed at PMUOffice

Information placed aturban information centreContent developmentreport

Monitoring and evaluationreport

Baseline survey report

Local government givepriority to ICT

Activities 2: PMU and central level and58 municipal supportorganization (SO)2,500 members staff SOteam members trained

Report of PMU andmonitoring and evaluationreportTraining report

Partner municipalities andVDCs provide support

Training resource personsare available

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Design summary Performance indicators Means of verification Assumptions and risks

HRD Centre established at58 municipalities

58 e-government units and400 RTC buildingsestablished and equipped35 per cent of municipalspopulations used thee-government portal ofmunicipality and RTC forbetter service delivery

Monitoring and evaluationreport

Monitoring and evaluationreport

Partner municipalities andVDCs provide matchingfund

Activities 3: MOU signed with 58municipalities

3,200 TLOs formed andinstitutionalized58 PartnershipDevelopment Committeesand 400 ImplementationManagement Committees(IMC) formed

MoU

Monitoring and evaluationreportMinutes of municipalitiesand VDCs

Local government givespriorities to the socialmobilizationMunicipalities andVDC meets regularly

Activities 4: 58 Networks establishedand 580 training andworkshops conductedBroadcasted on radio anddisseminated through theinternet and e-mail daily8,000 small communityinfrastructures established68,000 linkag enterprisesestablished

Report

Radio and Internet

Monitoring and evaluationreport

Private sector and otherstakeholders concerns theirinterestInformation sourcesaccessible

Matching fund and peopleparticipation availableBanking facilities available

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Title: Technical assistance and loan to the Philippines for buildingsustainable rural community e-centres to reduce poverty

Proposer: Ms. Soledad Emilia de Jesus Cruz, Corporate AffairsGroup, Department of FinanceMr. Ferdinand Constantino Ortilla, International FinanceGroup-Bilateral Assistance Division, Department of Finance

Country: PhilippinesDate: December 2004

I. INTRODUCTIONThe Philippines is a geographically diverse country, separated by

seas and mountain ranges. The Philippines has the basic infrastructure fortransportation and communication. Necessary communications facilities arealso in place in most of the areas, though still wanting in some remoteareas. In general, information technology (IT) facilities are still inaccessibleto people living in rural areas. These people do not have basic services andneed to travel long distances just to avail of long distance telephoneservice, Internet access and e-learning, among other services. Telephone andInternet providers are still low with concentration in the urban areas due tolow affordability of consumers in the rural areas.

Key government organizations or sectors involved in the communitye-centre (CeC) development are the Department of Transportation andCommunication (DOTC), Department of Science and Technology (DOST),Department of Interior and Local Government (DILG) and private Non-Government Organizations.

II. BACKGROUND, ISSUES AND RATIONALEWhile the Government has realized that Information and Communi-

cation Technology (ICT) is critical to national and economic developmentand is therefore a key to eliminating poverty in rural areas, the develop-ment of CeCs in the Philippines, particularly in the rural areas, is hinderedby the following existing issues:Funding

Financial resources from the national and local government as well asfrom donors are limited. ICT related expenditures comprise a very minimalpercentage of the key government agencies involved in ICT development. Forinstance, around Pesos 235,000 (US$ 4,196) or 0.003 per cent of the totalDOTC budget was allotted for municipal telecentres in 2003.41

The limited funding restricts the development of necessary infra-structure facilities and efforts to promote ICT in the local levels.

41 Source: 2003 GAA

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Selective coverage of private sector and non-government organizationsWhile the private sector and non-government organizations have

demonstrated high levels of interest in bridging the gap in communities notaccessed by national ICT by initiating ICT in the barangays or localcommunities, it is observed that these initiatives are on a very selectivebasis and primarily focused on cities or its barangays. Understandably, theprivate sector and non-governmental organizations (NGOs) have their ownpolicies and standards.

Due to fiscal constraints, besides the limited government funding/budget, the Government managed to solicit grant assistance from CanadianInternational Development Agency (CIDA) and International Research De-velopment Council (IRDC) of Canada and United Nation Education, Scien-tific and Cultural Organization (UNESCO) for the propagation of CeCs.Despite of this, CeCs are still limited in the country.

The Government of Japan also gave a grant for the acquisition ofpersonal computers for the Public High Schools Project (Phase I and II)amounting to US$ 21,147,591 to install 38,600 PCs for 1,994 schools in2002 and 2003.Acceptance of the concept/fear of technology

Due to the limited educational level of the potential users at the localbarangays they are resistant to learn new technologies. This is particularly trueto those living in the truly remote areas or lower class municipalities. Thissituation further impedes the development of ICT in the country. This is trueeven if the necessary hardware facilities are provided by donors.Harmonization of responsibilities in the development of ICT/CeCs

There are several organizations involved in the development of ICT, forexample, DOTC (Telecommunication Office) and DOST (National ComputerCenter, Philippines Council for Health Research and Development), withoutwell defined area of responsibilities. This results in fragmented and selectivedevelopment of ICTs in areas outside Metro Manila. This can also slow downthe appetite of the private sector and NGOs in pursuing active participation inICT development in the country. This also results in the overlapping of benefits.

There is a legislation pending in Congress regarding the creation ofthe Department of Information and Communications Technology.Information data system

The necessary information may not be available. For instance, neces-sary agriculture or trade data must be put in place to make the ICT useful inspurring developments at the local level. There is more room for improvementfor the Pricewatch web site from the Department of Trade and Industry (DTI)and the Bantay Presyo (Pricewatch) of the Department of Agriculture (DA) tocommensurate with the needs of farmers and fishermen.Infrastructure facilities/connectivity

The digital infrastructure is present but the country being an archi-pelago makes the provision of digital access in rural, remote and un-served

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areas, complex. In addition, telephone and Internet services are concentratedin urban areas because of affordability problems of those in the rural areas.In general, IT facilities are still inaccessible to people living in rural areassince they still have to travel long distance to avail of long distancetelephone service, Internet access and e-learning among others.42

III. THE PROPOSED PROJECTA. Purposes (or objectives)

The project has the main goal of bringing communication acrosslower income class municipalities in the Philippines to reduce poverty levelin the country. From this main goal and building on the several issuesconfronting the development of the CeCs in the Philippines stems thefollowing specific purposes of this project:

• Fuel economic activity in the municipalities resulting from ac-cess to relevant information on basic agricultural and othertrading commodities

• Cheaper way of communicating overseas• Improved educational standards in the lower income areas

through access to wider information and various educational andresearch materials

• Active participation of private sector in the ICT development• Empowerment of local communities and grass root levels so-

cially, politically and economically• Accelerate the deployment and expansion of ICT infrastructure

across the country especially to un-served and underserved areasto achieve universal access at affordable cost, and with theprivate sector and NGOs playing a major role

• Appreciation and awareness by local government units (LGUs)and constituents of lower income municipalities including thosein the grassroots level

The project is expected to have the following deliverables:1. A report with recommendations addressing the following:

• Harmonization of the roles and responsibilities of the variousnational Government agencies involved in ICT developmentwithout the need for legislation. Identification of interim actionson issues whose final solution would still require legislation

• Identification of strategically located pilot sites of ruralcommunity e-centres for every province as well as the hardware,software and organizational requirements of these pilot sites

• Cost sharing scheme between the LGUs and the users in-cluding the test period when use of the facilities at the pilotcentres can be given for free

42 Source: ITECC Roadmap 2003

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• Identification of prospective sites of subsequent CeCs in thelower income municipalities following the test /pilot areas

• Identification of municipalities still wanting the necessaryICT infrastructure facilities, including the appropriate infra-structure facilities/technology necessary or applicable

• Recommendation on the necessary enabling environment tofurther promote and sustain the participation of the privatesector and NGO in the development of the ICT in the lowincome municipalities

• Public-private partnership model for the establishment ofCeCs in the rural areas in the Philippines

• Prospective municipalities recipients of the project loan com-ponent of this project including the allocation of loan intospecific purposes and the conduit organizations (e.g. nationalGovernment, Government financial institutions, municipalfund corporation)

• Needed improvement in the web sites of key governmentagencies, which are important to low income municipalitiesparticularly at the grassroot level (e.g. Department of Agri-culture, Department of Health, Department of Trade andIndustry, Department of Education)

• Improvement in the curriculum of public schools to preparethe students at the lower income level or grassroots to ICTincluding the needed hardware and software

• Appreciation and awareness by LGUs and constituents of lowerincome municipalities including those in the grass root level

• Further legislation and policy framework necessary tocomplement the recommendations

2. Establishment of at least 160-640 CeCs providing range of servicesfrom Internet, telephone, fax, e-mail all over the Philippines:• At least eight municipalities for each province (two pilot

centres for each province)• At most in third class municipalities strategically situated

(shorter travel requirement) accessible by more municipali-ties in similar income category

3. Project cost of US$ 20,000,000 with a loan amounting to US$5,000,000-12,000,000 for:• Establishment of CeCs in low income class municipalities

including the necessary feasibility studies• Hardware and software for CeCs in various municipalities

and the Department of Education, and strengthening web siteof key government agencies to complement expanded cover-age of CeCs

4. Monitoring indicators/milestone targets for the releases of loans.B. Scope of the project, components, methodology and key activities

The project will have two phases. The first phase shall provide thepreparatory work including establishment of pilot centres and shall be

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primarily funded by grant and concerned government counterpart. The secondphase shall involve the preparation of feasibility for subsequent e-centres allover the country providing at least 50 per cent of municipalities for eachprovince with e-centres including the establishment of e-centres found to befeasible as well as the provision of additional infrastructure facilities. Thiswill be funded primarily by loan and private sector participation.

The project will require international and domestic consultants, experton the following fields: information technology, local government finance,economics, financial analysis, planning, and institutional development.

The consultant will undertake specific activities to achieve thedesired outputs of these projects:

• Define responsibilities and harmonize functions of the severalagencies/organization involved in ICT including the identifica-tion of responsible agencies for various private sector initiatives

• Review of the Barangay.Net model and the World Corp modelsand their effectiveness and sustainability as well as the neededimprovements, if any, to better suit the needs of the lowerincome municipalities as well as achieve a more effective pub-lic-private partnership in CeC in the rural areas

• Clustering of municipalities taking into account the income classesof the municipality, geographical dispersion, and the availability ofthe necessary infrastructure or network facilities/technology

• Identification of basic information needed by constituents of lowincome communities including those in the grass root levels anddetermination of gaps in the available information at the websites of key government agencies

• Review of the educational curriculum and identify gaps as itconcerns development of information technology

• Determine avenues on how the ICT can be better appreciatedand understood by those in the grass root level

• Institutional development/capacity building of potential users in-cluding the local government officials

• Determination of present role of the private sector and NGOs inICT development, particularly in the rural areas. Identify con-cerns that need to be addressed to further promote and sustainthe participation of the private sector and NGOs in the develop-ment of the ICT in the low income municipalities

• Preparation of feasibility study for CeC to be established andfunded by loan

• Formulation of the monitoring indicators/milestone targets thatmust be met prior to the release of the loan component of thisproject

The project shall include site visits, interviews, surveys, national andlocal workshops and trainings with participants from key governmentagencies, local government officials, users, private sector, and NGOs.

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Donors/privateItem Government ADB sector Total cost

Technical assistance (institutionalissues and pilot e-centres)1. Consultants

a. International 1,025,716 1,025,716b. Foreign 512,858 512,858

2. Equipment and softwarea. Equipment 878,896 878,896b. Software 1,067,231 1,067,231

3. Buildings and furniture 100,000 100,0004. Training 422,084 422,084

a. Workshops 577,026 577,026b. Site visits/surveys 19,697 19,697

6. Miscellaneous and administrationsupport 100,000 100,000

7. Contingencies 296,493 296,493Sub-total 200,000 4,800,000 5,000,000

Loan (feasibility study ande-centres)1. Consultants

a. International 1,025,716 1,025,716b. Foreign 512,858 512,858

There will be a test period for the use of pilot CeCs where thecentre can be used for free.

The second phase of the project involves the preparation of thefeasibility study of the subsequent CeCs to be established all over thePhilippines.C. Implementation arrangements

An inter-agency steering committee composed of the Department ofScience and Technology, Department of Interior and Local Government,Department of Transport and Communication, Bureau of Local Govern-ment, Office of the President and National Economic Development Author-ity shall be formed.

The Asian Development Bank (ADB) will engage a team of consult-ants in accordance with ADB’s Guidelines on the Use of Consultant. Thedomestic team will include at least two members from NGOs.

The technical assistance component of the project is expected tocommence in June 2005 for a period of one year. The loan component ofthe project is expected to commence in January 2007.D. Cost and financing (US$)

The project has a total cost of US$ 20,000,000 composed of US$4,800,000 grant and US$ 5,000,000 to 12,000,000 loan and US$ 3,200,000Government counterpart input.

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E. Sustainability, viability and expected impactThis project is expected to have high social, economic and financial

impact in view of the expected growth in economic development in thecountryside and reduction in poverty level resulting from faster and wideraccess to information and communications technology. The expected risk onthe social side is the use of ICT to access unwanted information, from theInternet, particularly by the youth.

Project framework

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

GoalTo bring CeC across lowerincome class municipalitiesin the Philippines toreduce the poverty levelin the country

Establishment of CeCs inat least eight low incomemunicipalities fo eachprovince

Data from national andlocal GovernmentAssistance from theInfrastructure

The Government is verysupportive of thedevelopment of the ICToutside the urban areas

PurposeFuel economic activity inthe municipalities resultingfrom access to relevantinformation on basicagricultural and othertrading commoditiesCheaper way ofcommunicating overseasImproved educationalstandards in the lowerincome areas throughaccess to widerinformation and variouseducational and researchmaterials

Increased number ofCeC usersIncreased number ofinquiry and expression ofinterest from NGOs andprivate sector in theestablishments/promotionof ICT in lower incomemunicipalitiesIncreased inquiry/expression of interest fromLGUReduced poverty incidenceIncreased economicactivities in rural areas

Committee of the NationalEconomic andDevelopment Authority(NEDA)Consultant’s reportIncreased economicactivities in rural areas

Local Government officialsand constituents of the lowerclass municipalities have anawareness of the ICT conceptThere is the existence of thebasic infrastructure networksLong gestation period forthe appreciation of thebenefits of the ICT (versustraditional source ofinformation) by the localgovernment officials in theaffected municipalities aswell as their constituentsparticularly those in thegrass root level

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Donors/privateItem Government ADB sector Total cost

2. Equipment and software –a. Equipment 878,896 878,896b. Software 1,067,231 1,067,231

3. Infrastructure –a. Facilities/connection, softwareb. Hardware for key agencies 1,946,126 6,569,174 8,515,300

4. Web site development 1,500,000 1,500,0005. Administrative support, taxes 1,500,000 1,500,000Sub-total 3,000,000 5,430,826 6,569,174 15,000,000

Total project cost 3,200,000 10,230,826 6,569,174 20,000,000

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InputsGrantsADB/donor financingGovernment counterpartPrivate sector participationConsultantsTrainings and workshops

Design summary Performance Monitoring mechanisms Assumptions and risksindicators/targets

Active participation ofprivate sector in the ICTdevelopmentEmpowerment of localcommunities at the grassroot level socially, politicallyand economicallyAccelerate the deploymentand expansion of ICTinfrastructure across thecountry especially to un-served and underservedareas to achieve universalaccess at affordable cost,and with the private sectorand the NGOs playing amajor roleAppreciation andawareness by LGUs andconstituents of lowerincome municipalitiesincluding those in thegrassroots level

The affected localgovernment will not or isnot willing to provide thenecessary local counterpartrequirement particularlythat which requires cashinfusionLimited nationalGovernment resources forcounterpart available forinfra structure facilitiesThe cost-sharing of theusers may pose asconstraint at the initialstage

OutputsA report withrecommendationsEstablishment of at least160-640 CeCs providingrange of services fromInternet, telephone, fax,email all over thePhilippines

The project will besubject to the review andapproval of the NEDA-Investment CoordinatingCommittee. The Committeemay raise concerns/issueson the economic andfinancial viability of theproject as well as policyissues on the borrowingsby the Government andGovernment financialinstitutions

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Title: Establishment of community e-centres in rural areasProposer: Mr. Dushmantha Thotawatte, Samurdhi Authority of

Sri Lanka, Ministry of Samurdhi & Poverty AlleviationCountry: Sri LankaDate: December 2004

I. INTRODUCTIONThe main objective underlying the establishment of community e-centres

(CeCs) in rural areas is to take information and communication technologies(ICTs) to enhance the living conditions of the rural population. It also aims tocreate and promote awareness among the rural masses and enabling them toparticipate actively in the process of creating a fair and equitable informationsociety, which can directly contribute to national development. The improve-ment of the ICT infrastructure facilities in rural area has been identified as along held need of Sri Lanka. Therefore, successive governments have given toppriority to the development of the ICT sector in the country.

The development of infrastructure facilities is a prerequisite forestablishment and operation of community e-centres (CeCs). The non-availability of the infrastructure has adversely affected the current status ofthe CeCs in rural areas. This was due to the fact that the main telecomproviders in Sri Lanka have not taken their service out to the rural areasowing to the lack of profitability. The Information and CommunicationTechnology Agency (ICTA), which is the Government body responsible forimplementing the development initiatives, has a key role to play in buildingthe infrastructure. The vision of the information infrastructure programmeshould be to see every Sri Lankan citizen having ready and affordableaccess to information and knowledge, government services, education,health care, agricultural information through modern communication.

Currently, there are some CeCs already operating in Sri Lankacovering the rural areas. These multi-purpose CeCs, stationed in rural areaswith basic IT facilities, are available for the rural poor people. A trainedyouth in the village is appointed as human interface to contract with ruralpeople and this youth provide a solution to the language barriers.

II. BACKGROUND, ISSUES AND RATIONALEThere is no doubt that CeCs have a major role to play in the process

of economic development of the country. It is hoped that CeCs willcontribute toward solving important development challenges faced by therural sector in Sri Lanka. The issues and challenges that may have adverseimpact on the economic development can be identified as the low rate ofeconomic growth, high level of unemployment, unequal distribution of wealthand the high percentage of poverty. Despite the impressive achievement insocial welfare and economic development, the poverty level in the countryremains high with 28 per cent of population living below the poverty line.The poor in rural areas are caught up in vicious cycle of poverty,malnutrition, diseases and loss of output. Basically inequality in distribution

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of assets hinders economic development. The distribution of wealth andincome has a major impact an output and investment. The populationpressure in rural areas has compounded these problems. The only way toensure a better living condition for the poor is through sustainable develop-ment leading to increased income, employment and equal opportunities toachieve a better quality of life. The majority of the people living in ruralareas of Sri Lanka have little or no access to even the basic telecommunica-tion facilities. This is primarily due to the high cost of constructingcommunication infrastructure in these areas coupled with the low estimatedrevenue from providing services. The Government of Sri Lanka is not able toinvest on major ICT project due to the lack of funds in the balance ofpayment account and the deficit in the annual budget.

The return on investment (ROI) of the ICT sector is far below themarket rate of interest or the opportunity cost of investment.

The people in the country have used traditional practices overgenerations. Therefore, they are resistant to changes taking place worldwide.Currently, most computer operating systems, databases and applications in SriLanka run only in English. However, most Sri Lankans are more familiar withSinhala or Tamil and would prefer to use IT in their own language.

III. THE PROPOSED PROJECTA. Purposes (or objectives)

The rationale behind the project is to identify the problems faced bythe country today and to find the ways and means of solving theseproblems through CeCs. The project aims to establish a network of CeCsin the most under-serviced regions of the country. These centres have to beoperated on income generating basis as no such programme can be sus-tained without having operating income to continue such services. Thisproject is developed to create awareness and apply ICTs to bridge the“Digital Divide” though the information society or e-society. It coversacquisition, storage, processing, transmission, distribution and use of infor-mation to enhance the knowledge of society for better quality of life.

The establishment of CeCs at the provincial and district levels willbe carried out during the first phase and the establishment of CeCs at theprovincial level will be carried out during the second stage. The purpose ofestablishing CeCs are to:

• Ensure better price through market information• Increase output levels through dissemination of improved cul-

tural practices• Provide information on seed material, weather conditions, and

technical know-how• Reduce isolation and marginalization• Increase health conditions through information available over the

InternetThis project could be implemented in two phases.

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B. Scope of the project, components, methodology and key activitiesThe e-Sri Lanka initiatives of the Government of Sri Lanka recog-

nized that an important element for poverty and under-development is thelack of access to information. The initiative will harness the benefit of ICTtowards achieving the overall objectives of poverty reduction, peace build-ing and socio-economic development.

ICTA of Sri Lanka is the government agency responsible for imple-menting the e-Sri Lanka initiative. Through the establishment of the twoRegional Telecommunications Networks (RTNs), ICTA will provide connec-tivity to two of the most under-served regions of the country, the north-east andthe deep south. There willl be 100 Vishwa Gnana Kendras (VGKs) or CeCsestablished within these two regions. These centres will not only have Internetfacility, they will be provided with local content relevant for the communitysuch as agri-information, weather forecasts, and e-learning material.

The goal of setting up of e-centres is to enable backward districts toachieve a rapid and sustainable rate of economic growth, which willespecially help the poor and vulnerable groups to join the main stream ofeconomic development.Performance indicators/targets

The United Nations Development Programme (UNDP) studies revealthat there is wide inter-district variation in the standard of living and thepoverty levels. The performance indicators that can be used are:

1. Consumption of calories per person2. Income level improvements3. Reduction in unemployment4. Number of Internet users

MonitoringThe monitoring mechanisms that can be developed are People Orga-

nizations in various districts, which can be harnessed by the e-centreproject. Another monitoring mechanism is to use the divisional administra-tion at the regional level to monitor progress through pre-designed perfor-mance appraisal format.Outputs:

• Improve the information infrastructure• ICT investment and private sector development• Establish information society• Re-engineering Government• Benefits from best practices, standards, security and privacy

Input:

• Samurdhi Development Officers could be used as representativeof village

• Local and foreign professional services• Teaching in primary and secondary schools• Private sector investment

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Item Government Donors Total cost

1. Consultantsa. International consultantsb. Domestic consultants

2. Equipment and softwarea. Equipment 50,000 50,000b. Software 25,000 25,000

3. Buildings and furniturea. Building 250,000 250,000b. Furniture 50,000 50,000

4. Training, seminars and conferences 20,000 80,000 100,0005. Research, development and surveys 10,000 50,000 60,0006. Miscellaneous administration and support cost 90,000 90,000 180,0007. Contingencies 1,000 1,000 2,000Total 717,000

* This cost estimate is for 25 CeCs.

• Requirement of local/foreign funds for ICT development• ICT equipment service centres in rural areas

Risk and assumptions:• Local participatory agencies/organization will provide the ex-

pected support• The political situation will be peaceful• Rural areas will have necessary technical know-how• Rural areas will have after-sales servicing capacity of the equipment

C. Implementation arrangementsThis project aims to use ICTs to foster social integration, peace,

growth and poverty reduction. The government body responsible for imple-menting development initiative is the ICTA which functions as the singleapex body involved in ICT policy and direction for the nation.

The Samurdhi movement which was established by the Governmentto implement a poverty elevation programme in 1994 has setup 1,035Samurdhi banks all over the island. All these banks are operated under thesupervision of divisional and sistrict secretaries. Over 2.1 million poor havealready taken membership of Samurdhi bank. Out of this, 62 per cent arewomen. Samurdhi bank societies have been established at the district levelunder the supervision of district secretaries. This could be a successfulnetwork to help set up CeCs in rural areas.D. Cost and financing (US$)*

E. Sustainability, viability and expected impact

• Providing timely and accurate market information• Providing agriculture related information to farmers• Effective natural resource management• Dissemination of health and educationally important information

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Title: Strengthening and expanding ICT facilities to rural areasin Sri Lanka

Proposer: Ms. Mohaneswaran Ranjithamalar, Ministry of Relief,Rehabilitation & Reconciliation, District Secretariat

Country: Sri LankaDate: December 2004

I. INTRODUCTIONSri Lanka is an island nation of 62,705 square kilometres with a multi-

ethnic, multi-religious population of 19.7 million as of 2003, and with 80 percent of the population living in rural areas. Sri Lanka, for purpose ofadministration and development, is divided into nine provinces and 25districts. The nine provinces have been formed into eight provincial councils,having merged the north-east province into one provincial council. Informa-tion and communication technology (ICT) facilities reached this countrycomparatively late, and up till now have not spread to the rural areas.

The north-east province, in this regard, is still in a disadvantageousposition because of the internal conflict of twenty years. A quasi-peace isnow being experienced in this area, with an MOU between the Governmentand the Tamil Tigers signed in 2002. Computer skills were introducedduring this period and the younger generations are being educated. ICTfacilities are available but are very limited, with only capitals of districts inthis province having them. Therefore, awareness, knowledge and access toICT facilities in rural communities are very low. Informal discussions withrural community leaders and youths revealed that they are anxious topossess ICT facilities in their villages and through which share globalchanges in the fields of education and socio-economic development.

II. BACKGROUND, ISSUES AND RATIONALEChallenges facing rural communities include:1. Damaged socio-economic, community infrastructures including

basic amenities;2. Inadequate communication and transport facilities;3. Inadequate power supply (electricity supply from the national

grid cut off);4. Absence of power supply for commercial/industrial activities;5. Community based organizations (CBOs) are disorganized;6. The mainstay of the rural population is agriculture, fisheries and

related activities, employing traditional methods;7. Lack of ICT trained persons;8. Lack of capital input;9. Unpredictable security situation; and10. Cooperation and awareness of the rural people.The first five issues and unpredictable security situation, are the result

of the protracted internal conflict of 20 years, during which almost all private,

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Item Government Donors Total cost

1. Consultantsa. International consultants – 0.50 0.50b. Domestic consultants 0.50 – 0.50

2. Equipment and softwarea. Equipment 1.00 – 1.00b. Software – 0.50 0.50

3. Buildings and furniturea. Buildings 1.00 2.00 3.00b. Furniture 1.00 – 1.00

public and common properties such as houses, schools hospitals and otherpublic institutions, CBO infrastructure – building, roads, electricity facilitiesand communication facilities – were damaged or destroyed. The resettlementand rehabilitation of the displaced people has still not been fulfilled and thelegacy of the war still hangs over the heads of the people.

Agriculture, fisheries and related activities are the chief livelihood ofrural communities. People and their activities have suffered immensely dueto damages sustained to resources and equipment. Since ICT is only nowbeing introduced, knowledgeable and trained persons are not available inreasonable numbers. Enormous amounts of investment are needed to reha-bilitate, improve socio-economic infrastructure, and to develop rural areasto facilitate and to build community e-centres (CeCs).

III. THE PROPOSED PROJECTA. Purposes (or objectives)

Global linking through ICT has brought forth remarkable changesamong the people, particularly among the rural people in several thirdworld countries that have been struck with poverty, lack of education andill health. The situation in Sri Lanka, particularly in the north-east provinceis not much better. Building CeCs in Sri Lanka will, it is anticipated, bringchanges for betterment of the rural population.B. Scope of the project, components, methodology and key activities

Resettlement and rehabilitation, the creation of confidence of securityamong the people, and educating them on the advantages of ICT are verynecessary to achieve the benefits of e-centres. A breakdown in the peace is therisk that could disturb the project and the continuous usage of e-centres.C. Implementation arrangements

It is proposed to involve a selected CBO in the e-centre area tofunction under the monitoring of the divisional secretary.

Resource persons will train selected suitable people in the area tooperate the centre. The duration is six months, during which seminars willbe conducted for selected rural people about the effects, impacts andadvantages of ICT and CeCs.D. Cost and financing (Million Rupees)*

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E. Sustainability, viability and expected impactThe following benefits expected to accrue to the targeted rural area

(village):1. International communication facilities, e.g. e-mail;2. Changes in market situation;3. Latest technology on production activities;4. E-learning facilities, e-library, e-computer literacy;5. Re-organization and strengthening of CBOs;6. Rehabilitation and reconstruction of community infrastructure;7. Enhancement of livelihood activities and income earning; and8. Poverty reduced and living condition improved.

Project framework

Design summary Performance Monitoring mechanisms Assumptions and risksindicator/targets

GoalBuilding CeCs for ruraldevelopment

Poverty reduced and livingcondition increased by 20per cent of the presentcondition

Overall monitoringe–Sri Lanka

CBO Continue using ICTin rural arrears

PurposeProviding globalcommunication throughICT in rural areas

Strengthening of CBOICT function 50 per centincreased

Implementation districtsecretariat MonitoringDivisional Secretariat

Rural population will haveaccess for informationknowledge developed

OutputLinking rural communitiesto the internationalcommunityEnhancing education,knowledge, marketingactivities through agriculture,fisheries, self employmentactivities, increasingincome generation andreducing poverty

After six months, CBOprovided ICT facilities forrural people

Benefited CBOmaintenance routineis developed

Trained skilledunemployed youthsin CBO

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Item Government Donors Total cost

4. Rehabilitation reconstruction of infrastructure 1.00 1.00 2.005. Training, seminar and conferences – 1.50 1.506. Research, development and surveys – 0.50 0.507. Miscellaneous administration and support costs – 0.50 0.508. Contingencies – 1.00 1.00Total 4.50 7.50 12.00

* This cost estimate is for one CeC.Number of villages in the north-east provincial council 1,000Total estimate of cost for one CeC 12 million

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Design summary Performance Monitoring mechanisms Assumptions and risksindicator/targets

Activities:Survey and assessmentof needsResettlement andrehabilitation of displacedpeoplesReconstruction of damagedinfrastructure and basicamenitiesProvisions of electricity,phone facilitiesRebuilding,re-organization CBOsEquipping CBOsConducting seminars,training programme tocreate awareness

Needs assessment survey –one monthProvided within sixmonths

Infrastructure facilities40 per cent

Increase 50 per cent overconsumers benefitedRebuild corganizationalapacityEquipments procuredSix month trainingprogramme, seminar fore-communities

Monitoring CBOs involvedin every stage

Machinery and equipmentare supplied on time

InputsConsultants andresources personnel

Skilled and unskilledpersonnelMachineries andequipmentSoftware

Construction materials,furniture

Consultants and resourcespersonnel, served forsix monthsSkilled and unskilledpersonnel occupiedAfter six months US$ 1million spentAfter six months US$ 0.5million spentAfter six months US$ 4million spent

Consultants and resourcespersonnel are served forthree monthsAll governmentmechanisms are monitoringthis project

Funds availableResource materials areavailable in time forpurchases

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Title: Building 152 community e-centres for villages in rural 1areasProposer: Ms. Phontip Warunyooratana, Information and

Communication Technology Industry Promotion Bureau,Office of Permanent Secretary, Ministry of Informationand Communication Technology

Country: ThailandDate: December 2004

I. INTRODUCTIONA policy framework for Thailand’s information and communication

technology (ICT) development for the year 2001-2010, IT2010, was en-dorsed by the cabinet in March 2002. IT2010 has set the key developmentobjectives to move Thailand towards a knowledge-based society andeconomy. The specific strategy, which is one of seven strategies, is theutilization of ICT to enhance the quality of life and society, emphasizingthe development and application of the equitable information infrastructurefor areas such as rural communities.

In October 2002, the Ministry of Information and CommunicationTechnology (MICT) was established. It is responsible for the implementa-tion as well as monitoring and evaluation of the plan. One of MICT’smissions is to reduce the digital divide in the rural area by putting ICT inplaces where rural people can use them to improve their quality of life andalso to add value to the local economy.

It is clear that the community members can use ICT to improve thequality of life and become a knowledge-based society.

II. BACKGROUND, ISSUES AND RATIONALEThe population of Thailand is nearly 63 million in which 70 per

cent live in rural areas. Thailand has 76 provinces and approximately 790Districts, 7,000 Subdistrict and 70,000 villages. In order to provide accessto information and knowledge, several organizations have initiated commu-nity e-centres (CeCs) projects using different approaches. Existing examplesof CeCs in rural areas are:

• CeCs (officially closed and fully managed by villagers): fourpilot telecentres in rural areas

• Public Internet access to under-served areas: 300 public Internetbooths in major areas

• Internet in sub-districts (for management purposes): 3,724 sub-district nationwide;

• CATnet (public Internet booth): 751 CeCs located at post officesnationwide

• Broadband e-learning project through His Majesty the King’sproject (on-going): 35 schools in rural areas nationwide

• One temple-one e-learning centre (initiated in March 2004): ninetelecentres will be setup in five areas of Thailand by 2005

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Thailand has several organizations working on e-community conceptsbut there are still thousands villages left out. There are few success caseswhere the villagers can run community telecentres without help from theGovernment. Some cases fail because the telecentre were neglected. Thereare several factors that has been learned and can be used to improve newtelecentre projects, but unfortunately there is no complete report on whathas been going on. In this situation, MICT needs to make a lot of effortsto gather information, and to analyze lessons learned in order to continuebuilding more CeCs for people in rural areas as well as to reduce thedigital divide as stated in the IT2010.

Collaboration between public and private sectors, non-governmentalorganizations (NGOs) and academic institutes must be beyond what hadbeen done in the past. It is important to integrate CeC projects amongGovernment agencies to avoid duplicated efforts. Also Thailand is undersome constraints such as the limitation of budget for ICT.

As of January 2004, approximately 10,000 villages in rural Thailandstill do not have access to the basic telephony services. Thousands ofschools, libraries, hospitals, health-care units, local community centres, andsmall business in rural areas are currently demanding CeC services.

III. THE PROPOSED PROJECTIn order to decrease the digital divide between urban and rural areas,

Thailand should have a specific organization that is responsible for CeCs andcoordinate with 20 ministries and the six other central agencies. The MICTshould take this matter seriously according to the strategy that has been set.A. Purposes (or objectives)

As the MICT is a new ministry, one of the objectives of the projectis to gather information about CeCs in Thailand that have been establishedin the past four years. Since there is no dedicated organization in develop-ing the CeCs, information gathering is one of the very first things to do.

Maintaining and restoring existing CeCs is also important becauseonce the Government or project donors stop funding, the CeC stopsfunctioning as well in many cases. The project is to find suitable methodsfor rural areas to make the centres more sustainable.

The project framework has two goals. One is to set up MICT to bethe focal organization and coordinating agency with 20 ministries andapproximately 280 agencies in developing CeCs in both urban and ruralareas. Another goals is to set up 152 CeCs in 76 provinces to provideaccess to information and knowledge to improve the quality of life andeconomic condition of the villagers in the rural areas.C. Implementation arrangements

The MICT should be the focal point for CeCs in Thailand. Byencouraging and coordinating with all ministries and government agencies onthe telecentre concept in rural areas, it will help to bridge the digital divide.

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Seeking outside assistance is helpful to the project. The private sectorcould be useful in terms of investment and local businesses. NGOs could behelpful in providing information and news, relevant to local communities.Government agencies and universities will be the main information produc-ers, providing information such as farm market prices, weather forecasts andrelevant knowledge for the community. Raising information technology (IT)awareness is not only for the people who live in the rural areas but also forgovernment officers at the policy-making level.

In the first phase, 152 telecentres will be established in every provinceof Thailand. According to the “one tambon-one product (OTOP)” project ofthe central government, one telecentre will be set up in the village that catersto business users and another one will be set up that will have less involvementwith businesses. After some time, it is hoped that the study of this project canhelp in developing sustainable models for telecentres in rural villages. Themodel could then be adopted by the similar villages in the nearby provinces.

Finally, all telecentres will be connected to the Government systemwhich will provide them with useful information and services.D. Cost and financing (US$ million)

Thailand financing plan is strictly controlled by the Bureau ofBudget, annual requirements for counterpart funds need to be carefullyexamined in advance by staff to ensure that adequate counterpart funds areavailable when project activities are initiated.

There are some communication infrastructure projects that have beenfunded by the Government. Hence, most grants usually help in the areas ofstudy. It is clear that starting by gathering information about CeCs thatalready have been established by various agencies will be a good start forthe MICT. With the information, the MICT can make plans more effectiveand have enough information to enhance the development of a bettertelecentre that will be set up in the next phase. The cost estimates toachieve the proposed project are in the following table.

There is an expectation that this project will return with the rightanswer to deliver information and services to the rural communities. Inturn, the villagers also can do the marketing for their local products andtourism can increase, bringing more income as well.

(US$ million)

Item Government Donors Total cost

1. Consultanta. International consultantsb. Domestic consultants

2. Equipment and softwarea. Equipment (not investment in building new

communication infrastructures) 2 2b. Software 0.5 0.5

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E. Sustainability, viability and expected impactIt is expected that the project will achieves all objectives of CeCs

which are:• Community empowerment• Providing access to information and communication• Enhancing market opportunity for local products and tourist

attractions• Enhancing learning opportunities for people in remote areas• Bridging the digital divide• Poverty reduction by increasing household incomeFinally, the success of this project will encourage Thailand to go

forward towards a knowledge-based society and economy in the next fewyears.

Project framework

Designsummary Performance indicators/targets Monitoring mechanisms Assumptions and risks

Goals Set up 152 CeCs in remotearea villagesMICT as a focal pointorganization in CeC

Survey Time constraint

Purposes Gather information: aboutalready established CeCsin ThailandIncrease public awareness andinterest in ICTEstablish two CeCs in eachprovince

Field surveySetup meetings/conferencesSet up project management teamStay in the villages to set upCeCs

Need cooperation betweengovernment agenciesShortage of IT professionalsCarefully select pilot villages toget good results (both successand failed cases)

Outputs Up-to-date CeCs database andlink to all telecentresHigher IT literacy152 CeCs nationwideSuccess and failed cases to findout what factors contribute tosustainability

Surveys

Collect informationAnalyze the process to get theefficient models

Criteria for selecting the pilotvillages

Thailand

Item Government Donors Total cost

3. Building and furniturea. Buildings 0.114 0.114b. Furniture

4. Training, seminars and conferences 1.0 1.05. Research, development and survey 0.25 1.0 1.256. Miscellaneous administration and support costs 3.25 3.257. Contingencies 0.5 0.5Total 6.614 2.0 8.614

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Designsummary Performance indicators/targets Monitoring mechanisms Assumptions and risks

Activities Gather info about establishedCeCsMaintain existing CeCsAssess current situation of CeCsin ThailandEncourage IT awarenessEstablish 152 CeCs over 76provincesCollect info for analysisIf successful, gradually turnover the management to thevillagers

Working in the rural areasGet requirements from villagersSet up CeCs under villagecooperativesMake decision togetherKeep record of the usage

Time constraint: may takethree to five years per CeC

Inputs Contribution from stakeholdersHardware/software financialsupportManagement/business modelCommunity’s needs/requirementsContents/services providedTraining

Need a lot of moneyNeed public awareness in ITNeed community awarenessin IT

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Title: The Modernization Programme of the Postal ServiceNetwork Based on Information CommunicationTechnologies (ICT)

Proposer: Mr. Sakhib I. Saifnazarov, Deputy Head, Division ofCommunication and IT, Ministry of Economy

Country: UzbekistanDate: December 2004

I. INTRODUCTIONPostal communication is an integral part of the economic and social

infrastructure of Uzbekistan. However, global changes have necessitatedchanges in the postal and communication field too; so by the decree of theGovernment, a joint-stock company “Uzbekistan Pochtasi” was created.

Achieving its activity under the new transition period of theeconomy and the country’s independence, the open joint-stock company“Uzbekistan Pochtasi” has been able to preserve unity of the postalcommunication network and its system controllability.

The company functions as the interconnected production complex,intended to satisfy the needs of population, economic subjects, state structuresand other legal and physical individuals in both traditional postal communica-tion services, and in new types of services, which combine the achievement ofthe new technology and the transmission of postage using ICT.

According to the decree, 75 per cent of company’s shares remain asthe State’s property, 10 per cent is intended to sell to employees and 15per cent of shares are for open trade. Currently all shares intended for saleamong employees and in the open trade are totally sold.

Uzbekistan Pochtasi consists of 14 territorial joint-stock companies,including 189 district and urban knots, 3,012 branches of connection,including 2,322 rural branches, joint stock company “International Post”,“Postmark of Uzbekistan”, and “International Express Mail”. There are 38airline routes, 387 automobile routes, one railroad post route, which ensuresregular (daily) transportation of mail.

II. BACKGROUND, ISSUES AND RATIONALEUzbekistan Pochtasi carries out postal communication and exchange

with all countries of the world by all types of mail, and carries out obligationsof the Republic in accordance with the World Postal Union’s regulations. Morethan 10 alternative operators and providers are working in the market of postalservices. However they provide only highly beneficial services of theinternational mail service in the capital city of Tashkent.

At the same time, the comparative analysis shows that average speedof letter delivery in the territory of the republic is slower than in the manyother countries: within the European Union 80 per cent of mail is deliveredwithin three days, in Germany 95 per cent is delivered next day from themoment of sending. However, in Uzbekistan, 95 per cent of the written

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correspondences are delivered within 3 days only between the regionalcentres; to other settlements, the written correspondence takes 10 days toreach the receiver. Such quality of service provided by the national operatordoes not satisfy the majority of users, which leads to a decrease in thenumber of personal and business mail sent.

The problems of Uzbekistan Pochtasi are predetermined by a lowlevel of technological development in the postal services area. Rates of postinfrastructure upgrading do not correspond to modern requirements andstandards.

During years of 2000-2001, only US$ 400,000 of capital investmentwas allocated for the development of national postal network operator,while developed countries spend far more on these purposes. According tocomments of experts, involved in the grant of US Trade and DevelopmentAgency, to create a corporate information-communication network for thenational postal operator, it would need to invest at least US$ 31 million.

Another problem is the low qualification of the staff working in thissector. Among 14,900 workers, only 6.7 per cent have higher educationqualifications, 31.4 per cent have special technical education, and the resthave the secondary education level.

The main goal of this programme is to introduce and implement ICTand a postal infrastructure, which will offer access to information resourcesto provide modern communication services, and optimize mail servicenetwork of the national operator.

In order to achieve specified goals, it is provided stage-by-stagecreation of a modern corporate network for data transmission, updatingnon-capital assets, solving the problem of personnel maintenance with thequalified experts and attraction of investments.

III. THE PROPOSED PROJECTA. Purposes (or objectives)

The programme is to develop the national postal service provider’snetwork by introducing automation of production and finding new segmentsof the market in communication services to bring about an essentialincrease in income.B. Scope of the project, components, methodology and key activities

The basic direction is a stage-by-stage creation of a corporate networkof data transmission based on modern IT, equipping divisions with moderncomputer technologies, and also with postal and specific equipment.

At the initial stage (2005-2006), it is planned to create 15 regionalbranches, 189 local, 622 city and rural mail service branches and corre-sponding workplaces of telecommunication system, connecting all branchesto the central office.

At the second stage (2007-2010), 1,865 city and rural mail servicebranches will be integrated into the created corporate network.

In subsequent stages, it is planned to gradually connect to thisnetwork the maximum number of postal communication branches. At the

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same time, the communication branches will be equipped with computerand other necessary technologies to implement new, more profitable anddemand-driven services.C. Implementation arrangements

Realization of a new technological platform will allow not onlydiversification of the business of Uzbekistan Pochtasi, but will also makeavailable more traditional services in a modern way.

For these purposes, with funding from donors, a feasibility reportwas developed on modernization of the network of the national operatorbased on IT technologies, which will attract investments and credits ofabout US$ 31,000,000.

As a result of optimization and increases in efficiency of invest-ments, the project’s cost is reduced to US$ 11,400,000, which is expectedto be financed by foreign banks and financial institutions. Since therealization of all projects will be carried out on a tender/auction basis, it ispossible to reduce the cost of the project by 20 per cent.D. Cost and financing (US$)

It is intended to attract financial support for the basic parts of theprogramme from internal and external banks and financial institutions, andalso from private funds of Uzbekistan Pochtasi.

The partial financing for the fixed capital renovation is provided bythe Non-budgetary Fund for the Development of Information – Communica-tion Technologies, which will also cover transportation costs, preparationand the retraining of employees, and also compensation of initial costs ofregular outfit and bicycles for the postal workers.

Private funds of Uzbekistan Pochtasi will be directed toward equip-ment renovation expenditures, post furniture and also returning drawncredits, including from foreign banks.

Total number of mail service branches to be set-up

Objects 2005-2006 2007 2008 2009 2010 Total

Projected capacity of mail service branches tocover with corporate network of datatransmission – total: 827 300 627 525 413 2,692Including Central branch: 1 1Regional branches of postal service: 15 15Area branches of postal service: 189 189local branches: 622 300 627 525 413 2,487Branches of postal services, to equip withinformation communication technologies andtelecommunication equipments to implementnew services, based on IT - total: 826 300 627 525 413 2,691Including regional branches of postal service: 15 - 15Area branches of postal service: 189 - 189Local branches: 622 300 627 525 413 2,487

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Title: Development of community e-centres for ruraldevelopment in the central region of Viet Nam

Proposer: Mr. Nguyen Anh Minh, International CooperationDepartment, Ministry of Agriculture and RuralDevelopment

Country: Viet NamDate: December 2004

I. INTRODUCTIONViet Nam is an agricultural country and agriculture plays an impor-

tant role for the development of socio–economy of the nation. In recentyears, the Government of Viet Nam has made suitable policies and mecha-nism for rural development aiming at reducing poverty and creating liveli-hood for the poor in rural areas and facilitating them in agricultureproduction so the people can keep their sustainable life. The agriculture ofViet Nam has gained a big achievement with annual growth rate of 5.7 percent contributing positively to food security programme, supplying moremajor agricultural products for processing industry and for export, andstabilizing the socio–economic life of the people in the whole country.

The target of the Government for the coming years is quick conver-sion of agriculture production and rural economy mechanism: closelyconnecting domestic and oversea markets; development of specialized prod-uct production areas with high and sustainable production capacity forexport based on the potential and advantages of each area. For that, theapplication of new technology and science in rural and remote areas, thetransfer of technology free of charge for the poor, investment for develop-ment of plant and animal varieties in the poor commune, carrying out thetraining courses for the poor on technique of animal feeding and cultivationare vital, and it will serve the objective of poverty reduction and hungerelimination in the area where around 90 per cent of the poor are living.

Through community e-centres (CeCs), farmers and people can approachinformation on new technologies, application of agriculture extension services,and protection of products after harvesting and process more agricultureproducts. These play a very important role in increasing the quality andproductivity of the agricultural products and improving incomes of the peopleand the lives of farmers, assisting farmers to increase the value of agricultureproducts and to meet the requirement of the domestic and export markets.

II. BACKGROUND, ISSUES AND RATIONALEIn recent years, the Ministry of Agriculture and Rural Development

(MARD) has been implementing projects and programmes and other activitiesfor rural development. For the improvement of public service and informationexchange among agencies under MARD and with other agencies of theGovernment, and provision of information on agriculture extension servicesand natural disaster prevention to the farmers, MARD carries out a number of

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activities, including implementing a pilot network of telecentres within theframework of the Public Administrative Reform Programme funded by theUnited Nations Development Programme (UNDP).

To improvement the current information exchange system, the fol-lowing is needed:

• Establishment of a uniform policy on connecting all staff usingMARD’s computer into the domain for supply governance of thesystem to control and prevent users from arbitrarily setting upprogrammes or configuration

• The server of MARD needs to be equipped with preventivesystem to solve problems, which may harm the hardware

• Improve the reliance, sustainability and confidence of the serversystem and individual computers, some software needs to beinstalled as software update service back up software, increasinghard disk capacity and ramdom access memory (RAM)

• Individual computers need to be connected into the domain formanagement of individual computer system, control or supplyservice and resources from server system to all individual computers

• Improvement of Internet and Intranet by installation of softwareto limit or control level of bandwidth for users and install anabstract-type and scheme-definition language (ASDL) for dedi-cated Internet users

III. THE PROPOSED PROJECTA. Purposes (or objectives)Project goal:

Implementation of a national strategy for socio–economy develop-ment and poverty reduction in central region.Objectives:

Delivering and sharing useful information service based on farmer’sneeds, priorities and opportunities that aims for improving agricultureproduction conditions, increasing their incomes, and contributing to agricul-ture and rural development and poverty reduction. It should also assistfarmers to access the information system for natural disaster prevention.Output 1: Establishment of 10 community e-centres (CeCs)

Activity 1.1: Recruiting operators for 10 CeCsActivity 1.2: Procuring equipment for 10 CeCs

Output 2: Capacity building for operators of CeCs and staff at central andlocal levels

Activity 2.1: Preparing a manual for running a CeC, includingprocedures for monitoring its operation

Activity 2.2: Conducting a training course on: (1) use of computer;(2) method of prevention of natural disaster especiallyfor flood and storm; (3) searching for information;and (4) running CeCs

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Activity 2.3: Organizing experience-sharing workshopOutput 3: Information supplying channels developed

Activity 3.1: Establishing a central information deskActivity 3.2: Establishing cooperation team and mechanism with

information sourcesActivity 3.3: Establishing a library of books, video/VCDs in the

central information coordination unit and CeCsActivity 3.4: Developing a list of information sourcesActivity 3.5: Contacting and studying information sources

Output 4: Information distribution channels developedActivity 4.1: Strengthening common interest group/extension clubActivity 4.2: Developing form of bulletinsActivity 4.3: Issuing bulletins regularlyActivity 4.4: Developing a form to receive requires/requests from

farmersActivity 4.5: Processing queries from farmers

B. Scope of the project, components, methodology and key activitiesWith regards to the selection of the place for project implementation,

the Government of Viet Nam is concentrating on the central region because itis the poorest region with a poverty rate of 38 per cent, especially when thestandard of US$ 115/person/year based on the poverty and poor map (2003) isapplied. In this case, about 35 per cent the population in Quang Ngai and 63per cent in Thanh Hoa province are classified as being poor. Therefore, 10CeCs will be established in the provinces of Quang Ngai and Thanh Hoa.

Both Thanh Hoa and Quang Ngai suffer from the effects of naturaldisasters, such as heavy floods and storms. The provision of informationconcerning forecasting of natural disasters and measures for prevention to thefarmers in a timely fashion has been implemented by the MARD. However,in the storm and flood season, the provision of information to the peoplemeets many difficulties. Building CeCs will support, considerably, naturaldisaster mitigation if the people can access information by themselves.

In the past, the provision of information on application on newtechnology and agriculture extension services to the farmers has beenprovided through the training programmes or meetings organized by localagriculture extension centres and agricultural cooperatives respectively.These meetings often take time and depend on the resource persons and theschedule of the local agencies. Moreover, the participants in the trainingsand meetings are often the representative of household, but not all themembers of their family. If CeCs are established, all farmers can accessinformation equally, and it can help them changing the way they farm. TheCeCs can also help not only the farmers, especially for the farmers incoastal areas, but also the farmers in towns so that they can respond in amore timely fashion to potential damages caused by natural disasters.

In Viet Nam, one of the big advantages of building CeCs in ruralareas is the large labour force, and the greater cohesiveness of farming

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communities. The degree of understanding and the capability for receivingnew technology is rather high, especially amongst the young labour force inrural areas.

Up to 2005, the Government will widen the national power gridensuring 90 per cent of poor communities have access to electricity.

C. Implementation arrangementsOrganization structure for operation of the CeCs is proposed as follows:

• Central level: Agencies under the MARD including theinformatics centre, the information support division, theinformatics bureau, the national agriculture extension centre, theinternational cooperation department, science and technologydepartment and project management unit

• Local level: Department of agriculture and rural development,local project management units, CeCs

• Beneficiaries: Farmers and farmer householdsThe consultant will support the development of information supply-

ing channels concerning the agriculture extension services, provide softwareand train local staff in using information management software. Theconsultant will also train the staff at central and local levels on how tooperate CeCs and support monitoring and evaluation of the project.

The facilities will vary depending upon the services that the centreprovide. Based on some feasibility models, the most effective alternativemust be in line with the services selected. The facilities for community e-centres include: computer, modem, network, fax machine, printer, photo-copy machine, television, video player, CD writer, telephone, digital cam-era, scanner, furniture, newsletter, newspapers, books, guide and speakers.

Each CeCs will need to have three operators. One will be themanager of the centre. This person must have management capability, someagriculture background and high credibility in the community and have towork full time, depending on the workload of the centre in each commu-nity. A second operator will be the community mobilizer. This person musthave experience in working with community and high credibility in thecommunity and be able to work full time, depending on the workload ofthe centre in each community. The third operator will be a technicalassistant. This person must be young, know how to use advanced technol-ogy, including the Internet. This person can work part time.D. Cost and financing*

Item Government Donors Total cost

1. Consultanta. International consultant 80,000 80,000b. Domestic consultant 150,000 150,000

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E. Sustainability, viability and expected impactTo successfully develop CeCs and make it sustainable in rural areas,

the following issues should be paid attention to:

• The network system management, operation mechanism, salaryfor operators, supervising the information application, educationand training, enhance the knowledge of the people and let themto understand the effectiveness of application of new technologyand agriculture technique in agricultural production

• When carrying out training courses for the farmers, traineesshould have certain level of instruction so that they can betrained to improve their knowledge in informatics, and theyshould have capability to access information. For thesustainability of centres, they should have autonomy in financewhile the community should be willing to pay for servicesprovided by the centres

• After the project is implemented, it can increase the farmers’capability to access and apply information for improved produc-tion and quality of life

To reach these objectives, it is necessary to expand the network ofCeCs to the local level after using the lessons learned from the pilotimplementation. Regarding finance and technology, it needs to be supportedby an experienced international organization and bilateral cooperation aim-ing at formulating projects for development of CeCs. CeCs can operateefficiently and bring real benefits to farmers by increasing production,improve the lives of people in rural areas and maintain sustainable opera-tion of community e-centres.

Viet Nam

Item Government Donors Total cost

2. Equipment and softwarea. Equipment 110,000 110,000b. Software 30,000 30,000

3. Building and furniturea. Building 50,000 0 50,000b. Furniture 50,000 50,000

4. Training, seminars and conferences 120,000 120,0005. Research, development and surveys 95,000 95,0006. Miscellaneous administrative and support cost 200,000 200,0007. Contingency 41,000 41,000Total 50,000 876,000 926,000

* This cost estimate is for three years.

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Project logical framework

Design Performancesummary indicator/targets Monitoring mechanisms Assumptions and risks

Goals Reduction of poverty rate inproject area less than 20 percent after project is in operationthrough the improvement ofincomes based on agricultureproductionIncreasing job opportunities by10 per cent in next five yearsthrough the improvement ofincomes based on agricultureproductionReducing the risks caused bynatural disaster especially byfloods and storms

Monitoring and evaluationreport on improvement oflive condition of the people

MARD and Department ofAgriculture and RuralDevelopment remain committedto the development of CeCs

Purposes Assessment of informationneeds of farmers based ontheir requirementsProviding information on time80 per cent of farmers inproject area can applyinformation in agricultureproduction and natural disasterprevention

Recording the number offarmers who access informationsystem

Centres operating well

Outputs All equipment installed in 10centres35 operators and staff of MARDare trained on operation of CeCsFarmers know what kind ofinformation they need fromCeCsAgriculture products increasesafter the farmers apply newtechnology and agricultureextension services in productionInformation supplying channelsis in good operation

Recorded in quarter, annualreports

Limitation of number offarmers accessing theinformation systemLow capability of applicationof information inagriculture production

Activities Activities should beimplemented according toscheduleAll operators of 10 centrescan run smoothly those centres

Based on work schedule Consultants and counterpartmake agreement onimplementation

Viet Nam

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Printed in BangkokJune 2005 – 640

United Nations publicationSales No. E.05.II.F.19Copyright © United Nations 2005ISBN: 92-1-120430-5ST/ESCAP/2369

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