KUALA LUMPUR (July 31): Deputy Education Minister Teo Nie Ching said the ministry will be calling for a fresh tender by early next year to continue providing around 10,000 schools nationwide with internet connectivity. 

The ministry has expressed unhappiness with the current service provided by YTL Communication Sdn Bhd under the RM4.45 billion 1BestariNet project.

"The ministry will be choosing the best proposal from the market players, which gives the best pricing and internet speed," Teo told reporters at the parliament lobby today.  

"The direction for the new government is that all contracts to be awarded will be on an open tender basis," she added, noting YTL will not be excluded to participate in the upcoming bid.  

Apart from calling for a fresh bid, Teo said the ministry is also mulling at various proposals, which include the allocation of funds for schools to choose their own preferred services. 

YTL was awarded the RM4.45 billion contract in 2011 to implement the 1BestariNet project over a 15-year period in various phases, which is part of the government's digitisation agenda to provide laptops for students, as well as an e-learning platform.

Under the contract, YTL was expected to roll out the services to reduce the digital divide between rural and urban students within 30 months from end-December 2011, for which it was paid RM663 million.

In 2016, YTL found itself in hot soup after the auditor-general had highlighted the firm's failure to deliver internet connection to more than 4,000 schools, with delays ranging from 12 to 439 days. 

Asked if the ministry plans to terminate the contract, Teo said: "We have already signed the contract, and that is the problem. 

"Of course, we are not satisfied," she added.  

Teo said the expenses to upgrade to fibre optic connection, which ranges between 2Mbps and 15Mbps, is "too costly" at a fee of RM19,000 per month for each school to upgrade. 

"A majority of the schools are using 10Mbps and 6Mbps, which is very slow. Even if the schools use 15Mbps, it's still slow," she lamented.  

For the services provided between July 31, 2016 and April 30, 2018, Teo said YTL was paid a sum of RM741.2 million.