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$780 MILLION COMMITMENT

Governments more than double funding for high-speed internet in Alberta

Mar 9, 2022 | 10:57 AM

The provincial and federal governments have announced a significant expansion of funding to improve Albertans’ access to high-speed internet.

Back in December, they declared a joint commitment of up to $300 million.

READ MORE: Governments commit up to $300M for high-speed internet in Alberta

Now, the governments have increased that amount by 160 per cent to $780 million.

Federal Minister of Rural Economic Development Gudie Hutchings says it is part of their commitment to connecting 98 per cent of all Canadians with high-speed internet by 2026 and 100 per cent by 2030.

“We need to close this connection gap and ensure that every nook and cranny of Alberta has access to reliable high-speed Internet. That’s why today’s announcement to increase funding to $780 million to connect all remaining underserved households in the province is a historic milestone for Alberta.”

Officials estimate that it would cost around $1 billion to completely eliminate Alberta’s digital divide.

In Red Deer County, decision-makers on council have been investing public dollars into expanding high-speed internet access since 2019, without help from higher orders of government.

Mayor Jim Wood shares that the County applied for just over $9 million of the original $300 million when it was announced in December.

“This is extremely important to rural Alberta because a lot of people still have either limited internet or none at all. COVID-19 has really shown us just how important it is, with many people working from home, or children doing schoolwork at home,” says Wood. “We’ve been talking to our counterparts at the province for some time on this and we’re finally seeing some movement, so I see this as a huge step forward.”

Since 2019, the County has spent roughly $13 million of its own money, with about 180 kilometres of fiber installed through the project’s first two phases. Phase three will be done by the end of 2023, with a long-term target of 95 per cent of residents having access. The goal is to hit 30 per cent by end of 2022, and 66 per cent by end of 2023.

Currently, 259 customers, mostly residential, are subscribed, without about a 10 per cent subscription rate currently.

It’s not known if the $9 million, if or when approved, could be used for further expansion or would need to go toward the cost of previous installations.

Adds Wood: “We’re seeing people want to move into the county, and this will encourage that more. People will want to do business here because of the internet we can provide. It’s really a huge economic driver and we’re excited to be part of it.”

Meantime, Minister of Service Alberta Nate Glubish says, after last year’s funding announcement, the two levels of government got together and realized they could do more together.

“I’m so excited to have the federal government joining us as partners to match that commitment, pushing the total investment to $780 million. As we work with the private sector partners that will build this infrastructure, we know they will have significant financial contributions to make. We anticipate these additional contributions will push broadband investment north of $1 billion.”

“With this funding agreement in place, we can focus on reviewing funding applications and getting shovels in the ground this spring so we can bring immediate relief to Albertans all across the province,” Glubish adds.

Approximately 200,000 households in Alberta do not currently have access to high-speed internet.

Under Canada’s Connectivity Strategy, high-speed internet is defined as having download speeds of at least 50 megabits per second and upload speeds of 10 megabits per second or more.

NDP Service Alberta Critic Jon Carson issued the following statement in response to additional funding for broadband in Alberta:

“Once again, we hear a lot of talk from the UCP, but see little action.

“This is the fourth announcement from the UCP on this issue since last summer, but they have not connected a single additional rural Alberta household to high-speed internet.

“These delays mean the UCP has already pushed back their timeline for connecting Albertans to this critical infrastructure. In December, the minister was aiming for universal access by 2023-24. Now they’ve delayed that to 2026-27.

“Instead of more talk and more delays from the UCP, we need to see real results – actual rural households connected to actual high-speed affordable internet.”