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I
N GENERAL
, T
AIWAN
Province of China is blessed with a
comprehensive telecommunications infrastructure and
extensive telecommunication services. Mobile phone pene-
tration is close to 100 per cent (97.38 per cent), local phone
59.85 per cent, Internet 64.78 per cent, and broadband access
54.70 per cent. In terms of household penetration, local phone
penetration is 97.56 per cent and broadband access 56.84 per
cent. Even though many countries may be envious of such
performance, Taiwan Province of China is still concerned about
the fact that 2.4 per cent of households cannot have access to
phones, and that 43 per cent of households do not enjoy broad-
band services. Under the e-Taiwan Programme in recent years,
great efforts have been made to reduce the digital divide and
create an equitable Information Society by implementing the
policies of providing universal telecommunication services and
creating a number of Telecentres in unserved areas.
Universal Telecommunications Services
A telecommunications deregulation policy was implemented in
Taiwan Province of China in 1996. To continue to safeguard the
basic communications rights of citizens in remote areas and
carry out the Information Society policy, the Ministry of
Transportation and Communications formulated the Regulations
on Telecommunications Universal Services in 2001 to accom-
modate the deregulation of fixed networks. Currently, the
universal services defined by such regulations include uneco-
nomical payphones, uneconomical local call services, free
coastal radio station services for shipwrecks and safety commu-
nications, and data communications access services for primary
schools, high schools and public libraries. The cost of univer-
sal services will be shared by telecommunications operators
based on their annual business volumes.
Implementation of Universal Telecommunications Services
The Directorate General of Telecommunications (DGT), the
telecommunications regulatory body, set up a Telecommunications
Universal Services Fund in August 2001 in accordance with the
Regulations on Telecommunications Universal Services and the
Management Committee for the Telecommunications Universal
Services Fund in October of the same year. Consisting of 11 schol-
ars, experts and government representatives, the Management
Committee is chaired by the DGT’s director general and primar-
ily reviews annual universal service action plans and approves the
cost of universal services. Universal telecommunications services
were formally launched in 2001, and the current provider is
Chunghwa Telecom, the incumbent operator.
God’s Tribe – case study of Smangus
Located in mountainous areas in northern Taiwan Province of China
at an elevation of 1 500 meters, Smangus is abundant in the produc-
tion of peaches, with untainted and graceful natural landscapes.
There are a total of 28 households in Smangus. The residents are reli-
giously faithful and refer to themselves as “God’s Tribe.”
It was not until 1979 that the tribe gained access to electric-
ity, and there were no access roads available until the end of
1995, when tourism development began in the area. However,
telecommunication services were still not available due to the
difficulties in the deployment of a telecommunications infra-
structure. In 2000, the tribe began to enjoy mobile commu
-nications with the outside world after Chunghwa Telecom built
base stations in neighbouring villages. However, high service
charges were a tremendous burden to the residents, not to
mention unstable signal quality and unavailability of fax and
Internet services.
On 30 April 2003, the tribe sent a letter to the DGT, requesting
a resolution of local call deployment issues. After an on-site visit
of a delegation led by the DGT’s director general and members of
the Management Committee for the Telecommunications
Universal Services Fund, Chunghwa Telecom was asked to utilize
a hybrid network technology (microwave and wired communica-
tion technologies) for network deployment. After six months of
planning and construction, the network was completed in
December 2003 with a total construction cost of USD175 000,
translating into USD6 000 per household, 20 times that of the
cost for each general household (approximately USD300). Since
then, local residents have enjoyed local call services and fax and
Internet access at the same prices and with the same quality as
other citizens.
Young students in the tribe were encouraged to set up their
website to promote tourism and market agricultural products via
information and communications technology (ICT). In 2004,
there was an increase of tourists and agricultural products, such
as peaches, were rapidly sold via the Internet in contrast to tough
sales in the past. This is a success story for digital opportunities
created by universal services.
Telecentre
Telecentre is a place equipped with ICT facilities and where
community residents can access the Internet and get relevant ICT
training. Developing telecentres in remote/rural areas has been
one of the key policies for bridging the digital divide in Taiwan
Province of China since 2000.
Stage One
To bring the people of remote areas into the Internet world,
Taiwan Province of China launched an approximately USD1.1
million project to establish telecentres in remote areas in 1999.
Provice of China offered a bid to request proposals and a
proposal from a specialist in integrating resources for religious
groups won the contract. It used churches as the major sites for
the telecentres and 141 had been built in remote areas by the
end of 2001.
Digital reach in Taiwan Province of China