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Alberta Premier Jason Kenney. (Government of Alberta)
Alberta Broadband Strategy

Province announces $390 million investment in rural broadband

Mar 2, 2022 | 3:07 PM

The Alberta Government will be investing $390 million, as a part of Budget 2022, into rural broadband over the next four years.

Premier Jason Kenney made the announcement in Innisfail Wednesday, noting the investment will help support the implementation of the Alberta Broadband Strategy which aims to bring reliable, high speed internet to rural households, businesses, and communities across the province.

The $390 million is a step up from the original $150 million the provincial government had initially planned to invest in the project in 2021. The $150 million was also matched by the federal government at the time.

“This historic $390-million broadband investment will help close the digital divide and enable all Albertans to participate in our economic recovery,” explained Minister of Service Alberta Nate Glubish. “From education to health care and from agriculture to small business, connectivity will help Albertans interact with the global marketplace, innovate for local solutions and help diversify our economy.”

Glubish says he is cautiously optimistic the Canadian government will match the new investment of $390 million for this project.

Premier Jason Kenney believes that every single Albertan deserves to have reliable, high-speed internet in order for the province to prosper.

“Improving access to high-speed broadband will help the province move forward toward a technology and innovation-focused future where every Albertan can participate in and benefit from Alberta’s recovery and economic diversification. It’s the next step for Alberta,” said Kenney.

Around 490,000 people from over 200,000 households in Alberta currently do not have access to high-speed internet, according to guidelines set by the Canadian Radio-television and Telecommunications Commission (CRTC). To meet the CRTC guidelines, network speeds must be at minimum, 50 megabits per second (Mbps) with download speeds at 10 Mbps. Currently in Alberta, around 67 per cent of rural communities and 80 per cent of Indigenous communities do not meet this threshold.

Rural Municipalities Alberta President Paul McLauchlin believes the Alberta Broadband Strategy will close the digital divide within the province to the benefit of rural Albertans.

“Rural Alberta needs access to high-speed internet to enable communities and residents to continue to support local economies and connect for needed services. The release and implementation of the Alberta Broadband Strategy, as well as increased investments into broadband in this budget, is a crucial step in making reliable rural internet a reality.” added McLauchlin.

Alberta’s Broadband Strategy is expected to create up to 1500 jobs during infrastructure deployment and three years after achieving universal coverage and adoption of services, the UCP projects the annual GDP will rise between $500 million and $1.7 billion.

In response to the announcement, NDP Service Alberta Critic, Jon Carson, said, “The digital divide has grown during the pandemic and rural Albertans are being left behind. We can’t sit back and rely on the federal government to solve this issue. Albertans can’t trust the UCP to deliver on this important issue.”

The NDP says party leader Rachel Notley released her party’s plan for reliable, high-speed internet, if elected in 2023, back in November.

The NDP’s plan states it would create 18,700 jobs and generate $4 billion in GDP growth over five years and a $520 million provincial investment which would be recovered through increased government revenue over six years.

“Achieving universal access to high-speed affordable internet is critical to Alberta’s rural economy,” said NDP Agriculture and Rural Economic Development Critic Heather Sweet. “Due to a lack of connectivity, we are missing out on economic opportunities and losing our competitive advantage as the world moves forward. After years of delay and empty promises, it shows Albertans can’t trust the UCP on this issue.”

Glubish believes shovels will be in the ground come construction season and that every Albertan should have access to high-speed internet by the end of the 2026-27 fiscal year.