PARLIAMENT OF THE REPUBLIC OF SOUTH AFRICA
NATIONAL ASSEMBLY
WRITTEN REPLY
QUESTION NO: 398
DATE OF PUBLICATION: 8 March 2013
QUESTION PAPER NO: 6
DATE OF REPLY:
Mrs J D Kilian (Cope) to ask the Minister of Communications:
(1) Whether her department commissioned TV licence holders (a) SABC and
(b) e.tv to develop the specifications for signal control in set-top
boxes; if so, why was that process overturned;
(2) (a) what (i) process did her department follow to select the
preferred service provider (name furnished) and (ii) basis and criteria
were used to select the specified service provider, (b) which other
companies participated in the bidding process, but were unsuccessful
and (c) what amounts have so far been paid over to the specified
service provider;
(3) (a) who served in the Tender Committee of his department, (b) when
did they meet and (c) were records kept of the proceedings of the
specified committee; if not, why not; if so, what are the relevant
details;
(4) whether she will confirm that all applicable Treasury regulations
were followed; if not, (a) where did his department deviate from tender
regulations and (b) why;
(5) whether she will take disciplinary steps against officials who
flouted tender regulations; if not, why not?
NW551E
REPLIES:
1) The Department of Communications did not commission TV license
holders or the licensed free to air broadcasters SABC and e.tv to
develop specifications for signal control in set-top boxes.
However, the Department in March 2011 requested the SABC to work in
co-operation with other affected licensed free-to-air broadcasters
to commence a process to select a suitable STB Control vendor in
order to meet the requirements as set out in the Broadcasting
Digital Migration Policy. After 14 months of the DoC having
requested the SABC to work in co-operation with affected free-to-air
broadcasters to select the vendor, the SABC working with other
broadcasters did not manage to finalise the selection of a vendor
resulting in the SABC tender to lapse.
2) (a) (i) The Department did not select any service provider/s and
therefore there is no preferred service provider. The Minister
having taken advice from both the Department and Sentech that a STB
Control System (Conditional Access system) already exists at
Sentech, which can meet the requirements set out in the policy.
Sentech is the government owned agency to which the government has
invested over R 2 billion for digitizing its network. This is
important for Sentech to be positioned to play a central role in
delivering digital signal transmission for the success of the
digital migration programme. The Sentech control system is
currently used for the satellite transmission network. The control
system also required upgrading at minimal cost. In an attempt to
move the project forward, and to also save costs for the
broadcasters, an instruction was issued to Sentech to resume
responsibility for the STB control system with a view to help the
country to move ahead with the implementation. This decision was
aimed at also ensuring that the DTT Project timelines including the
international date set by the International Telecommunications Union
of 17 June 2015 are met.
(ii) The SABC and other broadcasters issued a tender in order to
select a STB Control System vendor in 2008, and reissued another
tender in April 2011 and by May 2012 this tender had lapsed. At the
time that the tender lapsed, two companies were shortlisted, namely
Nagravision and NDS. However this tender was awarded by the SABC.
(b) None.
The Department did not go through a bidding process, but the SABC
and other broadcasters did. The SABC tender process was never
awarded.
(c) The Department did not pay any money to Sentech for the STB
Control system. Sentech upgraded the STB Control system within its
existing operational budget.
(3) (a), (b), (c) Nobody served on the Tender Committee for this STB
Control system because the Department did not go on tender for the
STB Control System. The SABC issued the tender as earlier
indicated.
(4) (a), (b) It can be confirmed that there were no treasury
regulations applicable on the instruction to Sentech to resume
responsibility for the STB Control system. The instruction was
intended for Sentech to play a central role in the transmission of
signals on behalf of all concerned broadcasters in the use of the
STB Control system including community broadcasters as mandated by
the Broadcasting Digital Migration and the ICASA Regulations. This
would also save costs for these broadcasters since the STB Control
system is already in place.
(5) No. There is no need for disciplinary procedures since there were
no tender irregularities applicable in this case.