Programme Delivery Model
Broadband Delivery Programme
have access to sources of finance over these timescales in order to be able to make this type of investment as well, making this model harder for the smaller supplier.
The level of demand that a local body is able to demonstrate should influence bidders' confidence in the projected revenues for a network. This, in turn, should enable it to invest and contribute more to a local broadband project and reduce the public sector subsidy required in an investment gap funding model. The aggregation of residential and business demand, and the role of the public sector in terms of public sector networking spend as an „anchor tenant‟, could be significant in increasing the level of viability of the provision of commercially sustainable broadband solutions.
The proportion of private sector to public sector funding will vary between projects, but previous initiatives at a local level have achieved private sector contributions of the order of 50% of the capital funding requirement, which provides a guide as to what local bodies may be targeting, depending on their geographic location and the confidence in demand they are able to generate.