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THE NEED AND AVAILABILITY OF SATELLITE BANDWIDTH IN INDONESIA

MINISTRY OF COMMUNICATION AND INFORMATION TECHNOLOGY DIRECTORATE GENERAL OF POSTS AND TELECOMMUNICATIONS DIRECTORATE OF SPECTRUM MANAGEMENT. THE NEED AND AVAILABILITY OF SATELLITE BANDWIDTH IN INDONESIA. Mr. DENNY SETIAWAN DEPUTY DIRECTOR SPECTRUM POLICY AND PLANNING Jakarta, 10 June 2010

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THE NEED AND AVAILABILITY OF SATELLITE BANDWIDTH IN INDONESIA

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  1. MINISTRY OF COMMUNICATION AND INFORMATION TECHNOLOGYDIRECTORATE GENERAL OF POSTS AND TELECOMMUNICATIONSDIRECTORATE OF SPECTRUM MANAGEMENT THE NEED AND AVAILABILITY OF SATELLITE BANDWIDTH IN INDONESIA Mr. DENNY SETIAWAN DEPUTY DIRECTOR SPECTRUM POLICY AND PLANNING Jakarta, 10 June 2010 APSAT 2010, SESSION 1

  2. OUTLINE Background Milestones of Indonesian satellite industry Satellite Policy and Regulation Roadmap of the Indonesian satellite infrastructure Demand for Satellite capacity Indonesian satellites Foreign satellite licensed to operate in Indonesia Conclusion

  3. BACKGROUND Indonesia is an archipelago country that best fit by satellite technology in term of coverage area for rural development Statistics: Population : over 230 million Area : about 1.9 million km2 (4.8% water) Until 2009 Indonesia has : about 8.4 million telephone line (~3.65% teledensity) dan 26.4 million FWA telephone line (~11.45% teledensity). (40%) of the capacity is within the 10 (ten) big cities and only 0.2% is provided for the rural areas. About 21% of the villages have not yet connected with telecommunication networks. The mobile phone density is ~70.97% (163.68 million users) Satellite plays an important role in connecting the country and serving the unserved areas by terrestrial networks

  4. MID-LONG TERM ICT STRATEGIC DEVELOPMENT GOALS 2010 - 2014 (Gov. Decree No.5 year 2010) • Reducing digital divide in Indonesia. • Number of provinces has a intensive competition readiness index: 49% of total 33 provinces in Indonesia, 51% of total 33 provinces has workable competition index. • Availability of ICT infrastructure and services in all vilages, border areas, outmost island, remote areas and non commercial areas to reduce blank spot areas. • 100% of universal access of internet and telecommunications in all USO areas. • Public TV and Radio’s coverage 88% of population.

  5. MID-LONG TERM ICT STRATEGIC DEVELOPMENT GOALS 2010 - 2014 (cont)(Gov. Decree No.5 year 2010) • Availability of modern ICT access and services minimum target: • Internet service user penetration rate: 50%. • Broadband service user penetration rate: 30%. • Digital TV service penetration: 35% • Fiber Optic telecommunication backbone network connecting between major islands: 100% • Number of city / district capitals served by broadband networks: 75% of total number of city/ district capitals (around 500 city/district capitals in Indonesia).

  6. ICT POLICY DIRECTION(Gov. Decree No.5 year 2010) • Restructure industries and regulators towards convergence. • Optimalization of resources in development of ICT infrastructure. • Broadband infrastructure development. • E-government implementation • Ensuring data / information, network and services interoperability and interconnectivity. • Encouraging creatitivity and innovation in ICT sector. • Improving ICT human resources development. • Encouraging ICT utilization for economy and business sector. • Improvement of co-ordination among related parties and stakeholders.

  7. MILESTONES OF INDONESIAN SATELLITE INDUSTRY 1976: First PALAPA series (PALAPA-A1) satellite launched. Indonesia became the third country and the first developing country who own its own domestic satellite 1977: launching of PALAPA-A2 1983 – 1992: PALAPA-B series satellite launched 1996: PALAPA-C series launched 1997: Cakrawarta-1 (BSS) satellite launched 1999: Telkom-1 satellite launched 2005: Telkom-2 satellite launched 2007: First N-GSO experimental satellite launched (LAPAN-TUBSAT) 2009: PALAPA-D launched

  8. SATELLITE POLICY AND REGULATION IN INDONESIA (1/4) Before 2005, it was realized the need to have space and satellite regulations in order to cope with the rapid development in this sector, taking into account the changes in Indonesian telecommunication industry structure. In 2005 the first specific satellite management regulation: Ministrial Decree Number 13 Year 2005 regarding Telecommunication using the satellites) which amended by Ministrial Decree Number 37 Year 2006 Those two regulations began to regulate provision of licensing access to satellite in Indonesia, the usage of satellite orbital slot including its filing notification and coordination provisions to ITU. It is realized that the licensing regulation need to be enhanced and more effective. Therefore, DG Postel are currently drafting new satellite regulation.

  9. SATELLITE POLICY AND REGULATION IN INDONESIA (2/4) Set of applicable laws and regulations for satellite: Law No. 36/1999: Telecommunication Law Govt. Regulation No. 52/2000: Telecommunication Provision Govt. Regulation No. 53/2000: Spectrum management Ministerial Decree No. 13/2005: Telecommunication Provision using satellites Ministerial Decree No. 37/2006: amendment of No. 13/2005 Director General Postel Decree No. 357/2006: Licensing and Landing Right (for using foreign satellite) application

  10. SATELLITE POLICY AND REGULATION IN INDONESIA (3/4) Specific provisions in Ministerial Decree 13/2005 and 37/2006: Foreign satellites need to have landing rights in order to operate within the territory of Indonesia Foreign satellites need to pay for its frequency usage within the territory of Indonesia (BHP Frekuensi) with the principle of equal treatment with that of the Indonesian satellites Principle of Reciprocity Obligation for the operators to report to the government regarding its satellite usage plan for using Indonesian notified satellite filings to ITU. The Minister through evaluation could withdraw and transfer the right of using such filings if the operator failed to comply with the regulations

  11. SATELLITE POLICY AND REGULATION IN INDONESIA (4/4) A new satellite regulation is still being prepared which will replace the two Ministerial Decree More comprehensive provisions including: - Satellite ownership - Cooperation in operating a satellite - Orbital location strategy of usage - Rights and obligations mechanism - Rules and procedures to utilize the the orbital locations and satellite filings registered by Indonesian Administration The Minister’s authority to grant, withdraw or re-assign the rights of using the Indonesian filings with its associated orbital locations and radio frequency spectrum

  12. ROADMAP OF INDONESIAN SATELLITE INFRASTRUCTURE SATELLITE IN NATIONAL ICT INFRASTRUCTURE :

  13. THE ROADMAP CONSIST OF: • SHORT AND MIDDLE TERM ACTIONS (2007-2010 ): • Focused on the consolidation of practices before the roadmap is established: • Developing in depth plan of Indonesian filings to the ITU • Consolidation and establishment of Indonesian satellite operators. • Launching newsatellites (PALAPA-D and LAPANSAT) • Defining satellite system components that could be developed by Indonesian industry. • LONG TERM ACTIONS (2008 – 2021): • Improving national satellite capacity • Consolidated course of actions regarding orbital slot and spectrum • Research and development • Business environment • Financial Policy and Go-international • Strategy and Regulation ROADMAP OF INDONESIAN SATELLITE INFRASTRUCTURE (Cont...)

  14. DEMAND FOR SATELLITE CAPACITY 2007 – 2021 projected demand for satellite capacity, baseline estimation (Source: Satellite Infrastructure Roadmap, ASSI-2007)

  15. INDONESIAN SATELLITE CAPACITY (Year 2010)

  16. INDONESIAN TRANSPONDER SATELLITE REGISTERED / LICENSED • Notes: • C-band licensed under PALAPA TELKOM series (108E and 118E), PALAPA-D, PALAPA-C2 and PALAPA-PACIFIC/AGILA (146E) -- C-band including Ext-C band • Ku-band licensed under PALAPA PACIFIC/AGILA by PSN, PALAPA D (113E) by INDOSAT, PALAPA-C2 (150.5E) • S-band licensed under INDOSTAR-1 and INDOSTAR-2 (107.7E) • L-band licensed under PSN/AceS (123E)

  17. FOREIGN-BASED SATELLITE REGISTERED / LICENSED BY INDONESIAN NETWORK OPERATORS • Earth Station accessing foreign-based satellite licenses: up to June 2010 • Number of Earth Fixed Station licenes accessing other foreign-based satellites : 120 E/S • Number of VSAT Earth Station licenses accessing other foreign-based satellites : 292 VSAT E/S • Number of Earth Mobile Station licenses accesing other foreign-based satellites : 1748 Mobile E/S • (i.e. Inmarsat, Iridium, Orbcomm)

  18. FOREIGN SATELLITES LICENSED TO OPERATE IN INDONESIA (1/2) REGULATION: Indonesia licensed telecommunication provider or subscribing broadcasting body shall have a landing right in order to provide service using a foreign satellite in Indonesia REQUIREMENTS: Reciprocal principle: similar opportunity to Indonesian satellite provider to provide service in the subject country Complete all the necessary satellite coordination with all the Indonesian terrestrial and satellite networks Guarantee that no harmful interference will be caused to the existing and planned Indonesian terrestrial and satellite networks

  19. FOREIGN SATELLITES LICENSED TO OPERATE IN INDONESIA (2/2) Based on the above, some of satellite bandwidth in Indonesia are fulfilled by the foreign satellite.

  20. WAYS TO FULFILL DEMAND Launch new satellites by Indonesian operators - financial constraints to launch new satellites. - very difficult to find orbital slot location with appropriate spectrum and coverage areas (particularly C, Ku-band). Leasing satellite capacity from foreign satellites - landing rights procedure required - completed coordination with Indonesian satellite and terrestrial networks shall be required. Collaboratively procurement new satellites with other satellite operators in the region or in the world Shall have approval from Government (DG Postel and Minister of Communications and IT). Need to establish the roles and responsibility on each party including the roles and responsibilities. Should comply with long term ICT and spectrum policy and planning.

  21. CONCLUSION Demand for satellite capacity is still high in Indonesia Satellite policy and regulation in Indonesia is established to encourage fair competition among satellite operators and industries, so that the demand for satellite capacity could be fulfilled More satellite capacity is needed especially for covering the rural areas where demand for connectivity is raising and the availability of terrestrial telecommunication services are difficult Satellite will never be banished from realm of Indonesian telecommunication infrastructure despite more and more terrestrial networks are built to connect the nation

  22. THANK YOUQ & A: denny@postel.go.id

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