Telefonica del Peru announced yesterday that it had completed its roll out of fixed-line and mobile telecommunications, as well as internet, for 4,500 people in the southern Peruvian district of Ite.
The roll out was a pilot project for Peru’s 29230 law,…
Telefonica del Peru announced yesterday that it had completed its roll out of fixed-line and mobile telecommunications, as well as internet, for 4,500 people in the southern Peruvian district of Ite.
The roll out was a pilot project for Peru’s 29230 law, which allows for the private sector to participate in public projects.
Telefonica is the first telco to deliver a project under this legislation.
In its statement, Telefonica said it had invested PS 3.7m (US$1.31m) in the project. It said the project would provide capability for fixed-line, mobile and public telephone services, as well as internet access.
The project was also funded by Proinversión, a government agency that promotes growing businesses, and Peru’s Ministry of Economy and Finance (MEF).
The statement suggested that the 29230 law (known as “Work for taxes”) could be an additional tool to expand telecoms coverage in remote areas.
The 29230 law was passed in May 2008, although interest from telcos seems to have been relatively muted since then.
Some 32,000 local areas in Peru lack access to telephone voice communication, while 64,000 areas lack internet access. Challenging terrain and a widely dispersed population have hampered expansion of telecommunication services.
Peru’s government is embracing more private investment, particularly in the form of PPPs, in order to narrow the country’s so-called “digital divide”.
