1. Project Background and Justification
Currently in Bhutan, many users and studies identify the high cost of Internet access as a barrier to take up of new technologies. These factors are exacerbated by the low international bandwith, and lack of relevant local content. However, much of the cost incurred by ISPs in providing Internet access services comes from the international bandwidth costs.
With limited take up of Internet access, there is a small market for Internet services, and limited audience for web-content. A vicious circle develops of high prices, few users and limited content.
This project aims to break this vicious circle by reducing the cost of domestic Internet traffic.
2. Project Objectives
2.1. General Objective
To test the technical feasibility of recognizing domestic Internet traffic to lower the cost of Internet access to Bhutanese content and applications.
2.2. Specific Objectives
To circulate to relevant stakeholders, including ISPs, policy-makers and the private sector, a technical feasibility report on distinguishing between domestic and international Internet traffic.
If technically feasible, to circulate to relevant stakeholders, including ISPs, policy-makers and the private sector, a ‘how to’ business guide on establishing lower access charges, a ‘how to’ business guide on establishing lower access charges for locally-hosted web content.
3. Project Beneficiaries
The beneficiaries of the project are the citizens of Bhutan, who will benefit lower Internet access charges for domestic Internet traffic. Other beneficiaries will include ISPs, whose businesses can be expected to increase, and the local ICT industry, which will benefit from more demand for relevant local content and applications that are locally hosted.
4. Project Sustainability
Financial sustainability will be determined by the market: whether ISPs take up the new technologies if proved feasible. Human sustainability will be ensured by knowledge transfer from project staff and researchers to other interested parties including ISPs, the private sector, and other ministries through the mechanism of the recently-established ICT Units in each ministry.
5. Project Methodology and Timeline
Methodology and timeline | Phase Timeframe | Key Tasks | Resp |
| Phase 1 Months 1-2 | – tendering out for the local consultant – assembling networking equipment for trials, both through procurement and investigating loan equipment from Bhutan Telecom | DIT |
| Phase 2 Months 3-6 | – conducting technical feasibility trials on distinguishing domestic Internet traffic from international traffic | DIT, Consultant |
| Phase 3 Months 7-9 | – preparation of technical feasibility report and ‘how to’ business guide – publicise reports and program R&D results | DIT, Consultant |
6. Project Outputs
The project will produce:
- A technical feasibility report on distinguishing between domestic and international Internet traffic.
- If technically feasible, a ‘how to’ business guide on establishing lower access charge for locally-hosted web content.
These outputs will be distributed and promoted by DIT.
7. Project Monitoring and Evaluation
The project will form a steering committee to oversee its activities. The steering committee will be responsible for preparing periodic reports for submission to the PAN ASIA ICT R&D Grants Programme in accordance with their requirements. It is envisaged that this will include semi-annual project progress reports, internal formative evaluation reports and administrative and financial status reports.
