Gov’t working on increasing funding to USF
GLENDEVON, St James — Government is currently working on ways of increasing funding to the Universal Service Fund (USF), the agency mandated to further Jamaica’s access to information and communication tools, as the agency continues to see a worrying trend of decline in its source of funding.
In 2017, it was revealed that the entity’s funding was being threatened by voice-over-Internet protocol (VOIP) systems. And six years later, the situation continues to head downhill.
“Government is looking at ways to provide for additional streams, maybe through legislative changes…We are working on it,” said Chief Executive Officer Daniel Dawes.
Dawes said Friday that the longevity of the entity in fulfilling its mandate is important.
“The Universal Service Fund is an arm of the Government that must remain with the people of Jamaica. It has survived all political administrations, from minister [Philip] Paulwell to today under the Honourable Daryl Vaz who has committed to provide for the people of Jamaica as it pertains to the Internet space,” he explained.
The USF, which is an agency of the Ministry of Science, Energy and Technology, began operations as the Universal Access Company Limited in 2005
It is being funded through a levy on international calls terminating on local networks – US$0.03 for calls terminating on fixed lines and US$0.02 for calls terminating on mobile lines.
Dawes, who did not provide comparison data, said there was a 10 per cent decline in revenue for the last financial year when compared to the previous.
In a 2016/17 annual report, the USF had seen a nine per cent decline in the 2016/17 fiscal year.
At that time, a total of $1.37 billion was collected, which was $136 million below that of the previous year.
Notwithstanding the downturn in income, the company continues to fulfil its mandate of providing free Wi-Fi service to communities across Jamaica.
Earlier last week, the entity turned on services in Mount Peto, Green Island and Hopewell, all in Hanover. The final stops for the week were Cornwall Court and Glendevon in St James.
The site in Glendevon was implemented at $7.5 million.
This week, the team will be heading into Westmoreland to launch the 189 sites. Among them are Pappy Street and Little London.
Dawes made it clear that while the entity is not as liquid as in its initial stage, it is not running out of funds.
“With all certainty, we are planning properly to make sure that these projects stay on the books because it is so important for the continued development of these communities,” he said.