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Programme Delivery Model

Broadband Delivery Programme

  • Requirements: Bidders will expect procuring authorities to be as clear as possible about their requirements, including understanding the relative priorities of different areas in order that suppliers will be clear how they should trade-off solution and cost in their design. BDUK will define standard service levels that should be used by local bodies to express requirements in a consistent way;

  • Data room: Bidders will expect procuring authorities to provide as much information about the area as possible, including the location of residential premises and communities, the location and nature of businesses, the location and placement of public sector spend, the location of actual supply infrastructure and potential locations for infrastructure (public sector or community locations). BDUK will provide local bodies with its centrally held and centrally sourced data to local bodies (under non-disclosure agreements) for them to share with bidders. Local bodies could also make it a requirement of selection at pre-qualification stage that bidders must disclose their infrastructure in the area to promote its re-use;

  • Route survey data: Bidders will need to conduct representative physical surveys of existing infrastructure to be able to confidently bid a fixed price. Where bidders do not have their own capability to perform surveys, they will need to commission BT Openreach resources. BDUK will work with BT Openreach to programme survey activity to minimise risk of delay to individual procurements; and

  • Uncertainty in regulated inputs: BT‟s Passive Infrastructure Access (PIA) product has been defined only in terms of a reference offer so far. Agreement between Ofcom and BT on the actual value and allowable uses of the PIA product are expected in Q3 2011, and the PIA product will probably not be able to be bought in bulk for several months after this date, creating uncertainty for bidders intending to use the product set in their solutions. BDUK will investigate with BT and Ofcom the extent to which uncertainty can be removed for the pilot projects by creating environments similar to the PIA pilots where the terms of use can be agreed ahead of the actual PIA decision.

13.8 State Aid


Government intervention in the broadband market place will be deemed to involve the presence of State Aid, which needs to be notified to the European Commission and is

subject to assessment against the community broadband guidelines11 given.

before approval is


The European Commission assesses the risk that an intervention distorts competition and requires the intervention to be designed in such a way to minimise the amount of aid and minimise any distortion on the market place. Projects should:

  • Intervene predominantly in whiteareas areas without an existing next generation

infrastructure (e.g. outside of BT Infinity and Virgin footprint);

  • Ensure wholesale access to infrastructure deployed; and

    • Minimise the level of public sector subsidy (including awarding through competitive process and arrangements for claw-back of super-profits).

      • 13.8.3

        A single notification for the UK government‟s broadband scheme would be incompatible with a locally led delivery model that allows flexibility and innovation by local bodies. Instead, BDUK will seek an umbrella framework notification from the European Commission, where BDUK (the „competency centre‟) will then certify that individual projects have adhered to the approved principles and constraints of the umbrella approval.




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