Prime Minister Justin Trudeau attends a news conference Friday October 23, 2020 in Ottawa. THE CANADIAN PRESS/Adrian Wyld

Prime Minister Justin Trudeau attends a news conference Friday October 23, 2020 in Ottawa. THE CANADIAN PRESS/Adrian Wyld

Ottawa’s delayed broadband fund welcomed with skepticism by interest groups

The government is ready to accept applications immediately

The Trudeau government officially launched a previously announced fund Monday that promises to provide $1.75 billion for rural and remote parts of Canada that currently don’t have fast, reliable internet service.

But there was skepticism about how well the government will follow through on its promises and its ability to make sure the money rolls out quickly to projects that will make a difference for families and businesses outside major urban areas..

The Canadian Chamber of Commerce and OpenMedia, for instance, welcomed an extra $750 million that the government is making on top of $1 billion originally announced in March 2019.

But both the business lobby group and the non-profit consumer advocacy group said they want to see that the Trudeau government follows through on its promises of better internet and wireless service for underserved areas.

Maryam Monsef, minister for rural economic development, said the Trudeau government had been ready to officially launch the fund in March but decided to hold off to consult with members of Parliament from rural areas and officials from local governments that were overwhelmed by the COVID crisis.

“We heard that the processes have to be streamlined and more easily accessible,” Monsef said at the Ottawa press conference. “We also heard that communities are, rightfully so, impatient to see progress.”

As a response, she said, the government is ready to accept applications immediately, there’s a new service to assist with navigating the system, and $150 million of the $1.7 billion is designated for projects that are ready to be completed by next November.

Ulrike Bahr-Gedalia, the Chamber’s senior director of digital economy, technology and innovation, said its members want the government to accelerate and streamline its efforts because “everyone has moved online.”

She described Monday’s announcement as “another building block” and the Chamber will work with its members and partners within governments towards getting the plans implemented.

University of Guelph professor Helen Hambly, who heads a project that has been studying rural and agricultural connectivity issues since 2007, said that she was glad that the government had “opened the door” for applications for the universal broadband fund and announced tools to make their work easier.

But Hambly said it remains to be seen how they sort through requests for a relatively small amount of money, considering how much internet and wireless networks cost to build.

She said a “real cause for concern” has been the lack of competition in rural parts of Canada, even in relatively densely populated southern Ontario, and the result has been a lack of choice.

“Unlimited data packages are still few and far between, so people are going over their (limits) at high costs to themselves and their households. This has been a real cause of concern during COVID-19.

Prime Minister Justin Trudeau, who was accompanied by four of his ministers during the official announcement in Ottawa, said reliable internet is a basic service, not a luxury.

“Now more than ever a video chat cutting out during a meeting or a connection that’s too slow to upload a school assignment, that’s not just a hassle, that’s a barrier.”

Another barrier that was acknowledged by some of Trudeau’s ministers, under questioning from reporters, is the lack of affordable internet and wireless service in some areas.

OpenMedia, which campaigns for consumer-oriented improvements to Canada’s information services, said in a statement that the Universal Broadband Fund will be a “much-needed boost” to the country’s digital infrastructure.

But OpenMedia campaigner Erin Knight said it remains concerned that a majority of the funds will go to benefit Big Telecom — meaning the country’s large phone and cable companies.

“We’d like to see the government’s investment actively put toward smaller, local, community or Indigenous-led projects,” Knight said.

READ MORE: Trudeau pledges $1.75B to boost high-speed internet in remote communities

In addition to the Universal Broadband Fund, the government announced a $600-million deal with Ottawa-based satellite company Telesat to link up particularly remote communities with high-speed broadband via satellite.

Innovation, Science and Industry Minister Navdeep Bains said Telesat’s low-orbit satellites are scheduled to be deployed in late 2021 and service is projected to begin in 2022.

Bains also acknowledged that many communities in the North have faced bracingly high internet fees. He said the government believes competition among different service providers would “enable the price points to go down.”

The Universal Broadband Fund is partly an evolution of the Connect to Innovate program that the Trudeau government announced in its first mandate, to connect more households to the internet, and partly a complement to its $35-billion infrastructure bank.

The Liberals created the Canada Infrastructure Bank in 2017 to entice funding from private-sector partners to fuel what the government has called “transformational” infrastructure projects that would create 60,000 jobs.

However, the bank has been criticized for its relatively small number of investments in fewer than a dozen projects so far and both the Conservatives and NDP promised in the 2019 election to abolish the bank if they were voted into power.

— With files from Christopher Reynolds in Ottawa

David Paddon, The Canadian Press


Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

Internet and Telecom

Just Posted

(File photo from The Canadian Press)
Red Deer down to 66 active COVID-19 cases

Red Deer has lowest number of active cases since last November

Orange shirts, shoes, flowers and messages are displayed on the steps outside the legislature in Victoria, B.C., on Tuesday, June 8, 2021 following a ceremony hosted by the Songhees and Esquimalt First Nations in honour of the 215 residential school children whose remains have been discovered buried near the facility in Kamloops, B.C. THE CANADIAN PRESS/Chad Hipolito
Alberta city cancels Canada Day fireworks at site of former residential school

City of St. Albert says that the are where the display was planned, is the site of the former Youville Residential School

FILE – Perry Bellegarde, National Chief of the Assembly of First Nations, takes part in an event on Parliament Hill in Ottawa on Tuesday, July 7, 2020. THE CANADIAN PRESS/Sean Kilpatrick
Indigenous Peoples Day must be a ‘call to action’, says Assembly of First Nations chief

Discovery of children at Kamloops residential school site must lead to change, Perry Bellegarde says

The Government of Alberta identified 115 new COVID-19 cases Sunday, bringing the provincial total to 3,089.
(Black Press file photo)
Alberta reports 100 new cases of COVID-19

The Central zone sits at 218 active cases

The Government of Alberta identified 115 new COVID-19 cases Sunday, bringing the provincial total to 3,089.
(Black Press file photo)
Red Deer drops to 71 active cases of COVID-19

Province adds 127 new cases of the virus

The border crossing into the United States is seen during the COVID-19 pandemic in Lacolle, Que. on February 12, 2021. THE CANADIAN PRESS/Paul Chiasson
VIDEO: Border quarantine to soon lift for fully vaccinated Canadians

Eligible travellers must still take multiple COVID-19 tests

Children walk with their parents to Sherwood Park Elementary in North Vancouver for the first day back to school on Sept. 10, 2020. THE CANADIAN PRESS/Jonathan Hayward
Study reassures parents, teachers that COVID-19 infrequently shared at school

Federally funded study in Vancouver finds risk at school and in the community was identical

Conservative MP Kevin Waugh rises during Question Period in the House of Commons Tuesday April 13, 2021 in Ottawa. THE CANADIAN PRESS/Adrian Wyld
Single-game sports betting about to become legal in Canada

Senate passes bill to take sports gambling away from overseas agencies

Air Canada planes sit on the tarmac at Pearson International Airport during the COVID-19 pandemic in Toronto on Wednesday, April 28, 2021. THE CANADIAN PRESS/Nathan Denette
Pilots say no reason to continue quarantines for vaccinated international travellers

Prime minister says Canada still trying to limit number of incoming tourists

Fans watch the warm-up before Game 6 between the Toronto Maple Leafs and the Montreal Canadiens in NHL playoff hockey action Saturday, May 29, 2021 in Montreal. Quebec’s easing of COVID-19 restrictions will allow 2,500 fans to attend the game for the first time in fourteen months. THE CANADIAN PRESS/Ryan Remiorz
Two-thirds of Canadians say governments shouldn’t lift all COVID-19 restrictions

Poll reports Canadians who gained pandemic weight say they have gained 16 pounds on average

Paul Bernardo is shown in this courtroom sketch during Ontario court proceedings via video link in Napanee, Ont., on October 5, 2018. Teen killer and serial rapist Paul Bernardo is set for a parole hearing today. The designated dangerous offender, has been eligible for full parole for more than three years. Bernardo’s horrific crimes in the 1980s and early 1990s include for kidnapping, torturing and killing Kristen French and Leslie Mahaffy near St. Catharines, Ont. THE CANADIAN PRESS/Greg Banning
Teen killer and serial rapist Paul Bernardo again denied parole

Designated dangerous offender has been eligible for full parole for more than three years

People look over the damage after a tornado touched down in Mascouche, Que., north of Montreal, Monday, June 21, 2021. Dozens of homes were damaged and one death has been confirmed. THE CANADIAN PRESS/Ryan Remiorz
One dead and extensive damage as tornado hits Mascouche, Que., north of Montreal

Damage reported in several parts of the city, and emergency teams dispatched to sectors hardest hit

FILE - In this Nov. 29, 2020, file photo, Las Vegas Raiders defensive end Carl Nassib leaves the field after an NFL football game against the Atlanta Falcons in Atlanta. Nassib on Monday, June 21, 2021, became the first active NFL player to come out as gay. Nassib announced the news on Instagram, saying he was not doing it for the attention but because “I just think that representation and visibility are so important.” (AP Photo/John Bazemore, File)
Nassib becomes first active NFL player to come out as gay

More than a dozen NFL players have come out as gay after their careers were over

A pair of Alberta residents were arrested after police responded to a report of a woman who had allegedly been assaulted and confined against her will on June 20, 2021. (File photo)
Salmon Arm RCMP arrest 2 Albertans suspected in alleged assault, unlawful confinement

Firearms, stolen items seized including NHL hockey cards believed to be worth thousands

Most Read