Tanzania - Second Telecommunications Project

Document of The World Bank FOR OFWICIAL USE ONLY 6,. /gro-T Report No. 6728-TA STAFF APPRAISAL REPORT TANZANIA TANZANIA POSTS AND TELECOMMUNICATIONS CORPORATION (TPTC) SECOND TELECOMMUNICATIONS PROJECT May 5, 1987 Industry Department Energy and Industry Staff This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  CURRENCY EQUIVALENTS Currency Unit: Tanzanian Shilling (TSh) $1.0 - TSh 55 I/ TSh 1.0 - $0.18 SDR1 = $1.286 FISCAL YEAR Government: July 1 - June 30 TPTC: January 1 - December 31 WEIGHTS AND MEASURES Metric System LIST OF ABBREVIATIONS AND ACRONYMS AfDB - African Development Bank BOT - Bank of Tanzania DEL - Direct Exchange Line EAC - East African Community ERP - Economic Recovery Program GOT - Government of Tanzania ICB - International Competitive Bidding IDA - International Development Association ITU - International Telecommunication Union LCB - Local Competitive Bidding MHz - Megahertz MICROWAVE - A wave length term normally applied to Radio systems working at frequencies above 1,000 MHz MIS - Management Information Systems PBX - Private Branch Exchange PCO - Public Call Office PIP - Public Investment Program PPF - Project Preparation Facility SIDA - Swedish International Development Agency STD - Subscriber Trunk Dialing TAC - Tanzania Audit Corporation TPTC - Tanzania Posts and Telecommunications Corporation 1/ As of April 1, 1987.  FOR oMCIAL USE ONLY TANZANIA SECOND TELECOMMUNICATIONS PR.JECT TANZANIA POSTS AND TELECOMMUNICATIONS CORPORATION (TPTC) Table of Contents Page No. CREDIT AND PROJECT SUMHARY - ili - I. INTRODUCTION .. . ................................. 1 II. THE TELECOMMUNICATIONS SECTOR 2 A. BACKGROUND General I.. ....... .......-. 1 Access to Service ......... ...ecc.c.e c. .. e eec.. 2 Usage of Service *.-.....................-....c...X 2 Existing Facilities . ....-........ -ec......-..-. 2 Quality of Service ............................ . 3 Demand for Service *...... ****....... - . ** ..... 4 B. THE ENTITY--TPTC organization and Management 4 Staff and Training 5 Computerization 6...6 Billing and Collection of Receivables .............. 6 International Payments 7 Accountants and Audit ................. . . 7 C. DEVELOPMENT Sector Goals .o..o.o... ......o..o . o.o.....oo...... 8 Sector Constraints .... 00000000*0000.. ............ 8 Bank Group's Role and Strategy 10 III. THE PROGRAM AND THE PROJECT o......eeecc........eeeee 11 A. DESCRIPTION The Program and the Project *,11 Project Objectives ..*...e.. *eeccc..e..c..c.e.e.c 11 Project Components *.*o...o* ...**.. o.*****. .*.......o 12 B. COSTS Project Costs ..........c................c..... 14 Contingencies .......e...eee .... ..... 15 Project Financing ...... ................ cc.... 15 This report was prepared by Messrs. A. Shanmugarajah (Telecommunications Engineer), S. Luode (Financial Analyst) and Ms. D. Thompson (Financial Analyst) based on missions to Tanzania in November 1986 and Msrch 1987. This document has a rstricted distribution and may be ueed by fecipients only in the performance of their official duties. Its contents may not otherwie be disclosed without World Bank authorization.  - ii - Table of Contents, Continued Page No. C. PROCUREMENT Procurement ....o...eo...ooo......o.eo..o.