Auvergne Regional Council - 01.27.2010 - Brussels

1. RegioStars Awards 2010 Bridging the broadband gap in Auvergne: towards a 100% coverage Auvergne Regional Council - 01.27.2010 - Brussels

2. High and very high speed broadband access a key factor of territorial competitiveness • An engine for regional economic growth • Building an innovative knowledge society • Strenghtening economic competitiveness • A factor of attractiveness for newcomers • Demographic decline: one of the key challenges in the Auvergne region • → High-Speed broadband access contributes to attract new populations and to maintain the presence of those already settled • → A factor of territorial cohesion Auvergne Regional Council - 01.27.2010 - Brussels

3. High speed broadband and white areas in Auvergne • Regional context • Many rural and sparsely populated areas = market failure • No private operators willing to invest in High-speed broadband infrastructure • Broadband gap/digital divide =social exclusion, ≠ economical development • A public intervention was needed ! • Key points of the project • The public-private-partnership (PPP) • The technical solution adopted: NRA/ZO • An integrated approach at regional level and close partnership between 5 local authorities • The Communication on the project Auvergne Regional Council - 01.27.2010 - Brussels

4. Why a Public-Private Partnership (PPP)? • The Region was not objectively likely to define alone and in advance the technological means that could answer its needs or to establish the legal and financial framework of the project • Need for a solution that allowed both the quick supervision of the procedure to designate the contractor and a balanced sharing of risks  the Public-Private Partnership (PPP) turned to be the best solution Auvergne Regional Council - 01.27.2010 - Brussels

6. Project charasteristics • Citizens can choose their operator / provider • 14 000 new lines eligible for DSL • 860 km of fiber optics that will be re-used for VHS broadband • 35 000 lines benefited from an increase in broadband • 99,6%* of households get at least a 512 Kb/s offer • 85%: a 2Mb/s offer • 47%: a 8 Mb/s offer • 30%: a 20 Mb/s offer • *the 0,4% remaining ineligible to DSL are proposed a satellite kit solution (financed up to 600€ by Région/ department) Auvergne Regional Council - 01.27.2010 - Brussels

7. Financial partners: • The French State • Five local actors  The regional Council  The four « Départements » (Allier, Puy-de-Dôme, Cantal, Haute-Loire) • EU : no ERDF, no project ! How worked the regional partnership ? A close cooperation throughout the process Different meetings of the steering and technical committees at all steps: • to define the territorial scope • to agree on the PPP and the technological solution proposed by the contractor • to decide the sharing of costs ( 50% paid by the Region / 50% shared between the departments proportionally to the new DSL lines created) The project partnership: a key factor of success Auvergne Regional Council - 01.27.2010 - Brussels

8. TOTAL EXPENDITURES 22,4 M€ : Investments 14,3 M€ : operating costs 1,8 M€ banking costs The project budget Global cost = 38,5 M€ (exclusive of tax)50% by the Région / 50% by the 4 Départements (subsidies and revenues generated by users excluded)Duration: 10 years SUBSIDIES • 10 M€ : ERDF 2007-2013 • 4,8 M€ French State • 10,6 M€ : Departments co-financing REGION FINANCING • 10,6 M€ : Regional council REVENUES GENERATED • 2,6 M€ Auvergne Regional Council - 01.27.2010 - Brussels

9. The project Communication •  Inform and provide assistance to citizens • A Hotline was created by the Region to inform citizens on the process, agenda, project details, providers available… • A website was also created to inform the population: www.auvergnehautdebit.fr •  … and local authorities • The local authorities whose territory was concerned by the project were all informed about the whole process to enable them to inform the population Auvergne Regional Council - 01.27.2010 - Brussels

10. Some examples of uses developped with regional partners… • « Social Internet » : cooperation with training organizations dedicated to develop the Internet access and individual uses among the population • Implementation of new Visio-Public devices spread in rural areas, to facilitate access to public services • Development of digital workspaces in schools to improve the relationship between parents, pupils and teachers But ALSO… • Many local actors directly benefited from the new DSL lines eligible: farmers(to get european subsidies, e-commerce websites), home nurses (teletransmission of documents), bed and breakfastand touristic units (central reservation units) …

11. Next step ! Towards very high speed Broadband • Principles of the future regional Scheme : •  an integrated regional partnership involving: • - the Regional Council - the four departments - the six metropolitan areas •  Favouring territorial cohesion and territorial equalization (between densely populated areas and rural areas) • Single out economical development • 2 main priorities : •  « FTTH » (Fibre To The Homes) for business parks, schools, universities and public sites •  increase in broadbandfor individual and professional use, around business areas concerned with FTTH Auvergne Regional Council - 01.27.2010 - Brussels

12. Thank you for your attention! Sophie Rognon: s.rognon@cr-auvergne.fr François Teppaz-Misson: f.teppaz-misson@cr-auvergne.fr Auvergne Regional Council - 01.27.2010 - Brussels