Tensions rise over broadband fund

Remote communities vying for priority

Sluggish Internet speeds present a problem for millions of Canadians, whether they live in remote northern regions, First Nations communities or rural areas near major cities where access is taken for granted.

But tensions are rising over who should get priority access to the Canadian Radio-television and Telecommunications Commission’s $750-million fund to bring broadband up to speed in rural and remote regions, leaving the distribution details up to a consultation.

In submissions to the regulator late last month, the biggest industry players, local governments and public interest groups presented vastly different visions of who should get the cash and how it should be doled out.

The fund could technically apply to the approximately 6.5 million Canadian households (82 per cent) that don’t have access to the new and ambitious target download and upload speeds of 50 Mbps and 10 Mbps.

But the cash will only help a fraction of them given the high cost of broadband infrastructure.

While most agreed populations with the worst service should get first dibs on the cash, they disagreed on geographic priorities and whether to invest in backbone infrastructure or last mile service.

One top concern is whether satellite-dependent communities such as Nunavut and northern Quebec should be allocated more than 10 per cent of the fund, as originally recommended by the CRTC.

Rogers Communications Inc. suggested the CRTC steer clear of investing in areas near existing fibre facilities given the higher likelihood they will eventually be served by market forces. Governments in Alberta and Ontario, however, noted that competition hasn’t helped all rural areas hit the old targets of 5 Mpbs/1 Mpbs even if they’re within 25 kilometres of a major centre.