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Four bides compete to build EUR 82mn internet network in remote rural areas. [IntelliNews - Weekly Reports]
[January 26, 2014]

Four bides compete to build EUR 82mn internet network in remote rural areas. [IntelliNews - Weekly Reports]

(IntelliNews - Weekly Reports Via Acquire Media NewsEdge) Incumbent telecom operator Romtelecom [controlled by Greek OTE], Cosmote Romania and the consortia formed by Direct One, Electrogrup and UPC Romania plus Deloitte Audit and Connection Consulting have submitted offers to develop an internet supply network in Romania's remote rural areas under a government-financed programme evaluated at RON 370mn [EUR 82mn, 24% TVA included], Ziarul Financiar daily announced.

A large part of Romania's rural area, where 45% of the population lives, has already been covered by commercial companies – but some remote areas have not yet proved their commercial viability and will be covered by the government-financed programme.

The project is scheduled to be completed by the end of 2015. It is supposed to deliver internet services to 783 remote villages in the rural area. It is estimated that 19,000 km of broadband network has to be deployed to cover these areas where 137,000 households with 400,000 inhabitants are located.

The investor that will be picked up to develop the RO-NET network will receive the network under a concession contract for 18 years. Afterwards, the investor can buy the network.

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