Mpumalanga Business 2021-22

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Out with the archaic, in with the innovative In a watershed decision, National Treasury has opened RT15 2021 up to the four primary telco service providers, ending five years of exclusivity for the telco awarded RT15 2016. This now offers the public sector and stateowned enterprises a choice in terms of where they want to spend their communication and data budgets.


his new RT15 2021 transversal contract now brings with it competition and the expectation of service delivery. “The responsibility now rests on the service provider, organs of the state and state-owned enterprises,” says Nic Chauke, MTN’s head of Sales and RT15. “The directive from National Treasury to the public sector is that when they engage with service providers, delivery is vital. “Appointment of a service provider is now entirely left to the individual organ of state, which can select the provider based on merit, such as the support structure to execute well. A state entity that wants to secure services has to visit the National Treasury website and opt in, indicating their intention to procure the services through this transversal. A letter will be issued by Treasury indicating that they have opted in.” While RT15 2021 is a five-year term, there is flexibility for organs of state to take contracts out for periods that suit them. This means that only if service providers do a `phenomenal job’ by having the quality and scale of network and a dedicated team focused on the

execution of service, will contracts be renewed. “It also means that we need to keep moving on infrastructure issues, especially power, alternative power, roads and addressing theft of equipment,” continues Chauke. “Covid-19 has highlighted some of the limitations of broadband, such as the cost of data. In education, for example, this is inhibited by the lack of devices and steep data prices. This is one of the areas we need to align our offering to. “Last year started a huge drive for us in universities and there were instances where we provided reverse bill apps and helped institutions, such as Unisa, to foot the bill. “Covid-19 meant the industry had to work hard to introduce innovation, but this has been a fantastic thing.” MTN Business takes its hat off to National Treasury for what it has crafted to provide competition and enable government to have access to uncapped data. This means that state employees can have unlimited access to work apps without incurring personal costs. The biggest factor to

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For more information, please visit: Exclusive to Government departments that opt in to RT15-2021

Nic Chauke, Head of Sales and RT15 at MTN Business

mention is the cost containment, which means that government spend can be deployed elsewhere such as healthcare and infrastructure. By implication, these benefits filter directly through to citizens. “The value proposition now moves away from the archaic way communications was offered in the past. National Treasury has driven the industry to become even more innovative and flexible. We can now offer uncapped data, voice and closed user group minutes, SMS and closed user group SMS at the aggressively competitive rates government has negotiated with us. “The public sector has responded so positively to this and it is really encouraging to see the channels of communication opening up. “Since this contract became effective, we have been engaging with a number of government departments on a daily basis. It has also opened up the horizon to engage with government to work closely with rural communities and partner with small entities, something we are very excited about,” he concludes.