Wednesday 2 February 2011

Government Connect GCSX Charges April 2011

Want to know the new GCSX charges to take effect from April 2011? Then read on.

The pricing was announced at the SOCITM West Midlands PSN event. The good news is a small reduction in the charge to local authorities over the previous estimate (approximately 15.5k) for a 2mb circuit, down to £13,218.

However, there is a significant change for aggregated partnerships in that new charges per aggregatee are introduced for Infrastructure £4,585 and CoCo compliance £999. These new charges will significantly increase costs for aggregated partnerships such as Kent, Hampshire and London. In the example below of a partnership of 8 members the charge will be nearly doubled.

The pricing announcement caused some disappointment as they effectively stymied the development of a new GCSX partnership in the West Midlands. The plan was to use the existing education based network and morph it into a PSN partnership after additional security separation had been applied. The cost of the additional hardware and extra charges meant it was not cost effective.

The new charges are detailed below:

Non aggregated 2mbs connection
Connectivity £6,450
Core Infrastructure £4,585
BS Management Charge £276
CoCo Compliance Charge £999
First Line Service Desk £908
Annual Cost: £13,218

Charges for aggregated 10mbs GCSX connections
Connectivity £26,500
BS Management Charge £861
First Line Service Desk per Aggregator £908
Annual Base Aggregator Cost: £28,269
CoCo Compliance Charge per Aggregatee £999 (x N*)
Core Infrastructure per Aggregatee £4,585 (x N*)

For example, an Aggregation based on a 10mb circuit with eight Aggregatees and no resilience would pay:
Base 10mb charge £28,269
9* x CoCo charge £ 8,991
8 x Application charge £36,680
Total £73,940
*8 x Aggregatee CoCo + 1 x Aggregator CoCo

Charges for aggregated 100mbs GCSX connections
Connectivity £49,950
BS Management Charge £2,287
First Line Service Desk per Aggregator £908
Annual Base Aggregator Cost: £53,145
CoCo Compliance Charge per Aggregatee £999 (x N*)
Core Infrastructure per Aggregatee £4,585 (x N*)


The explanation of the detailed charges are as follows:

Connectivity: Direct connection to the GSi GCSX. This charge is applicable to all directly connected LAs and the lead Aggregator (not the aggregatees).

Core Infrastructure: Core services (e.g. platform assurance, GC email, anti-virus and inter-GSi connectivity). This charge is applicable to all; LAs, Aggregators and Aggregatees.

Buying Solutions’ Management Fee: This charge is applicable to all directly connected LAs and the lead Aggregator (not the aggregatees).

CoCo compliance: CESG charge for services received in connection with annual authorisation of the GCSX Code of Connection. Charge is applicable to all. (The DWP Siemens arrangement to support assessment of GCSX Codes of Connection expires on 31 March 2011 when responsibility passes to Buying Solutions.)

First Line Service Desk: C&W will be the lead supplier for the replacement DWP service desk. The charges are applicable to each directly connected Local Authority and the lead Aggregator (not each individual aggregatee).

Invoices covering annual charges from 1 April 2011 will be issued within the first quarter of financial year 2011/12. Rebates will be provided at the point where individual organisations migrate to an alternative service. No changes will be necessary to individual GCSX service contracts as a result of these new arrangements.

Buying Solutions explain the reason for these changes as the previous system would have resulted in escalating charges to remaining connected customers as the total number of connected customers reduced (e.g. as a result of migration to PSN or GCF). The new charging mechanism introduces fixed per customer charges for the remainder of the term.

Obviously the vast majority of Councils with 2Mbs connections will benefit from the reduction over the original estimated prices. Aggregated partnerships should look to PSN as a way forward using the GCSX Gateway in the interim.

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