The National Assembly of Parliament yesterday adopted the Broadband Infraco Bill, paving the way for it to be passed into law and setting up another broadband infrastructure supplier in South Africa.
The Bill, presented by the Department of Public Enterprises, outlines how the assets and shares of Infraco (Pty) Ltd would be transferred from Eskom to the state and the company subsequently converted to public entity. It would simultaneously receive an infrastrucure licence under the terms of the newly-amended Electronic Communications Act (EC Act).
According to the Bill, the main objective of Infraco is to provide affordable broadband access to South Africans.
Following the amendment of the EC Act, Infraco will be deemed to have an individual electronic communications network services licence.
It will also be granted an land access previoulsy enjoyed by Eskom and Transnet for carrying or maintaining its network.
Once the transfer is complete, the company will go public under the name of Broadband Infraco Ltd.