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ITCOM. Increasing Role of Public Private Partnerships in the ICT Ecosystem 25 Years of Telecom/ICT Sector Reform in Europe, and Beyond … Setting the context. Knud Erik Skouby P rofessor, director CMI Aalborg University CPH skouby@cmi.aau.dk. 14-15 November 2012 , Geneva , Switzerland.
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ITCOM Increasing Role of Public Private Partnerships in the ICT Ecosystem 25 Years of Telecom/ICT Sector Reform in Europe, and Beyond… Setting the context Knud Erik Skouby Professor, director CMI Aalborg University CPH skouby@cmi.aau.dk 14-15 November 2012, Geneva, Switzerland
PPP – the concept • No firm definition: Public/ private economic arrangements • A marketconformcorrection – to the marketfailure/ public good situation – with twoaspects • Provide funding • Introducecompetition on the area • Traditionally a supply-side orienteddiscussion • Focus on infrastrucure • Conceptinfluenced by ideological/ political positions
PPP in telecoms • Part of the liberalizationprocess • Traditionally : attract private capitalinto ‘public sphereinfrastructure’ • Funding & competition • Currently: How to channel public funds into the marketorientedtelecom/ broadbandarea • Promoted by ‘tooslow/ inadequate’ broadbanddevelopment esp. with regard to fiber • Obvious rationale for non-technology neutral intervention? • is there a ‘regulatory’ crowding out problem? • A demand side issue?
Demand side considerations • Difficult to align the arguments for increased public involvement in telecom ‘supply’ with the thetraditional PPP discussions • Technology • Crowding out • Clear demand side arguments for increasedinvolment in the broader ICT- sector? • Public sector service • Teaching • Health ….
A Case: The Danish High Speed Committee • Two overall arguments • 1) The telecominfrastructurewill generally developalong a market driven path • 2) There is a public interest in sustaining/ enhancing the demand for e-services based on ressource, quality and ‘tax-squeeze’ consideration – thiswill promote development of the telecominfrastructure
New models for PPP There is a need to develop models for demand side based PPP