Fastershire Broadband Strategy 2015-18 Stage 3 Lot 3 and 4

This contract forms an integral part of the Fastershire Broadband Strategy 2015-18 in which the strategic partnership between Herefordshire Council and Gloucestershire County Council are seeking to extend the reach of Next Generation Access Broadband ("NGA") to rural parts of both counties which have yet to benefit from such services.

The contract relates to stage 3 of the strategy and specifically Lots 3 and 4 which can be obtained from the Fastershire website www.fastershire.com.

In all the ITT is split into 6 Lots / sub lots, namely

Lot 3a Cheltenham and Gloucester
Lot 3b Hereford
Lot 3c South Herefordshire and West Gloucestershire
Lot 3d North Gloucestershire
Lot 3e South Gloucestershire
Lot 4 North Herefordshire

Its aim is to procure a Next Generation Access Broadband solution for as many of the premises which are as yet unreached by such services in in Herefordshire and Gloucestershire as possible.

Specifically, the contract will seek to build a broadband network/s that will provide;
• a wholesale broadband service open to all Communication Providers on a non-discriminatory basis; with
• the capability to access Next Generation Access Broadband by the greatest number of the circa. 45,000 eligible premises as possible.

The contractor/s will be expected to provide substantial investment into the broadband network/s and to own and manage the risks associated with developing and operating the broadband network on a wholesale basis including, but not limited to, take-up risks.

An indicative public subsidy of circa. GBP £16 million has been allocated to this ITT and it is anticipated that this subsidy will provide the gap funding required by the selected supplier/s to deliver NGA coverage to a significant number of the eligible premises in the eligible areas. This subsidy has been allocated by BDUK, Herefordshire Council and Gloucestershire County Council.

In order to comply with the State aid requirement of providing the minimum public subsidy necessary to overcome the market failure to provide the required services to the eligible premises, the actual amount of subsidy will be dependent upon the chosen solution/s. This said, the estimated level of public subsidy is not anticipated to exceed GBP £16m million.