FTTx in Greece: One small step closer

December 28, 2010

in Access,Greece

Just before Christmas the Special Secretariat of Digital Plan (Ministry of Finance) issued a public consultation on the RfP for managing the public metro+FTTGovernment network infrastructure which was built across the country from 2004 to 2009.

The RfP is very detailed and the consultation aims at clarifying the specifics of administering and expanding the city networks (68 in total). The Greek government seeks 3 or less companies to manage the networks for a period of 25 years. Here’s some relevant details:

  1. The networks are grouped into 3 separated zones, relatively equal in terms of Kms of deployed trenches and  invested public funds. That is: Zone A: 26Meuros 440Km; Zone B: 27Meuros, 475Km; Zone C: 26Meuros, 416Km.
  2. Contract duration: 25 + 5 years
  3. The Administrator will be required to invest at minimum 5% of the initial public investment in the first 5 years of operation
  4. Prices will be cost oriented and based on the WACC of the industry plus an additional 5%. WACC is calculated by the NRA and applied nationwide. Prices cannot exceed 1500 euros per connection per year.
  5. All three zones have 3500 points of public interest (minimum guarantee)
  6. Local government will be compensated for facilitation and efficient handling of rights-of-way with a 5% of the annual gross revenues
  7. Services will require at minimum: dark fiber and capacity links
  8. The administrator will be free to pursue other commercial deals (in addition to 5.)

If this project develops quickly I find that nationwide FTTH coverage could easily emerge from these networks in the future; and why shouldn’t it?

You can access the documents here.

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