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Optimising Operational Costs of

Telecom Networks : Africa25 Jan 2011

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Challenges Poor Electricity: Large number of Off-grid sites

41% [rural25%]of population is electrified in Africa as compared

to 78%[rural-68%] in developing Asia and 78.9% [rural-65%] in the World

TelecomOperator in East Africa have 16 to 22% off grid sites

High DG run-hrs: High consumption of fuel &

increased cost of DG maintenance.

Opex cost on power : USD 1600-1700 pm in off-grid site

Reason: Absence of stable grid supply

Poor Road Transport:

High travel time for fault clearance

High cost of fuel fillingSites are so far from the point where diesel can be obtained that they

require tanks to store up to three months worth of fuel: in other words, at

these base stations, operators literally have money buried in the ground.

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Vast Geographical Terrain with dispersed population:

< 5% arable land that compared to 48% in India, 33% in Germany,27.4% in Belgium, 18% in US

Requirement : Large Transmission Network for wide coverage

Infrastructural bottleneck: Almost non existent OFC

Africa has deployed only 0.3 fiber km/ Km2vs 8.96 for India, 10.15 for China

Huge Security Cost :

Large number of remote access sites ( 25% of total sites)

Requirement : 24 X 7 Surveillance in the absence of adequate

police patrolling

Competition : Continuous reduction in tariff

Tariff is almost halved in one year time

Challenges (Continued)

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Telecom Network Cost

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Network OPEX

Power & Fuel constitute the largest component in OPEX

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Solutions

Green Power:

Hybrid solutionHybrid solution with deep discharge battery & 50% time load

on battery can save up to 40% OPEX ; This OPEX saving can be

further increased by deploying Solar energy solution.

Reduction in DG run-hrs and lowering of OPEX

Hybrid solution reduces DG run hrs by 50-60% through battery backup High Carbon Credits: Lower CO2emission per site

Lower diesel burn, less power requirement of new generation BTS

Infra Share:

Passive -Co-location to share variable OPEX cost like fuel,

insurance and security

ActiveRadio resource sharing and leasing of transmission

capacity to reduce repair/upgrade cost

Continued...

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Solutions (continued..)

Centralised O & M:

OPEX saving on Manpower: In addition to present practice ofSurveillance and Configuration function at Centralised NOC, tasks such as

performance management, capacity planning, project and program management

can be carried out. The operation can be further centralised by sharing the

same skilled manpower with operations in several countries. Centralised fault

management reduces skill labour requirement in the field.

Saving on security:

External Alarms Monitoring - Remote monitoring of site assets through data links.

Network Planning:

Higher cell capacitymore TRX/Cell for dense traffic areas saves numberof tower count

Optimise spectrum utilisation - Frequency reuse to enhance capacityand spectral efficiency

Continued...

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Transmission Network

Hybrid Transmission networkMix of optical and radio transmission used to reduce opex.

Relatively less dynamic core / backbone is carried through OFC network , where as the

dynamic last mile is deployed through MW at low OPEX.

Improvement in Utilisation in Transport N/W- Usage of IP and compression

techniques to increase transmission capacity-Mobile packet network in the coretakes advantage of IP technology over conventional circuit switching. The compression

techniques used delivers 5 to 8 times more traffic over the same bandwidth, hence saves

costly BW and recurring monthly lease charges.

Solutions (continued..)

Continued...

Tower optimisation

Multiple sector for near/distant RF coverage-Towers used for highway coverage can

be used for providing RF coverage at distant [10-15km] areas by using multiple

sectors and vertical beam width

New generation BTS

Tower mounted RRU- Space saving due to mounting of RRU in tower along with

antenna. By locating the main RF unit near antenna, the power saving is about 40%

compared to conventional BTS.

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Power Saving in Utility :

Passive cooling depending on ambient temperatureEfficient climate control and reduction in power consumption by air conditioner

Tubular Gel Battery for higher DoD to reduce cycle time

Battery operation at higher DoD ensure longer time of equipment load on

battery and hence this results in direct saving on fuel consumption in DG.

Efficient Rectifier/SMPS [operation near unity PF]Efficient delivery of poweran SMPS operating at 0.98 PF delivers 9% more

useful power compared to that operating at 0.90 PF.

DG run through fuel optimiserSaving of USD 1000 per site p.a. considering site is on fuel economiser 1 hr/day

Solutions (continued..)

Power Saving through intelligent RNC:

Switching off of radio resources during idle periodComplete switch off during 2 AM to 4 AM and partial switch off during lean hrs

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% OPEX Saving with Suggested Initiatives

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RecommendationNetwork OPEX Saving

Hybrid Solution with DG & Battery

Infra Share [Passive & Active Capacity & Radio resources]

New Generation BTS

Compression on leased capacity

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Thank You