Pennsylvania issues PIM for broadband P3

Subscribe to our newsletter and get the latest news and business opportunities in your inbox
Pennsylvania issues PIM for broadband P3

The Pennsylvania Turnpike Commission (PTC) is exploring the possibility of entering into a public-private partnership (P3) with a developer to design, build, finance and maintain a fiber optic infrastructure broadband network.

The fiber optic network is envisioned to span the majority of the PTC system. The broadband network will consist of fiber optic cables, conduits, junction boxes, splice enclosures, and related appurtenances, all of which will be separately designated for the use of the PTC and the developer. Following construction of the fiber optic infrastructure, PTC will operate and monitor its fiber optic network and the developer will be responsible for limited maintenance. Based on input received from the industry, the previously required ubiquitous wireless mesh network and upgrades to the land mobile radio system are no longer part of this project.

In addition to developing the infrastructure and providing the services to meet PTC’s needs, it is anticipated that the developer will be able to use, market and/or lease capacity on the network for commercial purposes and, if needed, make additional capital investments required to support the commercial opportunity. PTC currently envisages a 30 year partnership.

The developer will be required to have the capacity to finance the project, however PTC anticipates making funds available to cover a portion of project costs. The amount and timing of PTC’s payments will depend on various factors including the availability of funds, anticipated reduction in future communications costs, and the need for a subsidy from a project feasibility perspective. The cost savings from the project are estimated to total US$250 - US$300 million over a 30-year operating period and it is anticipated that the amount of a direct contribution would not exceed the amount of cost savings.

PTC has issued a Project Information Memorandum (PIM), which provides further details regarding the project. The PIM can be downloaded here.

A Request for Qualifications (RFQ) is expected to be issued in July 2017

Share this news

Join us

In order to get full access to News section, you must have a full subscription. You can check all the benefits of becoming a member and purchase a subscription on our membership page.