NORTHUMBERLAND COUNTY – Investing in rural broadband infrastructure is critical for communities to engage in the growing digital economy, create jobs and enjoy economic growth.
Today, Monte McNaughton, Ontario’s Minister of Infrastructure was in Northumberland County to announce that the Eastern Ontario Regional Network (EORN) will receive $71 million to help fill gaps in mobile broadband coverage that are standing in the way of the region’s economic development.
There are currently significant gaps in both the reach and capacity of mobile broadband networks across areas of rural Eastern Ontario where people live, work or travel:
- 40% of the area does not have access to high-definition services that allows streaming HD video.
- 20% of the area does not have access to standard definition video, typical mobile app use and video app calling.
- 10% has no voice call service.
EORN has developed a $213 million public-private partnership to improve both the reach and quality of mobile broadband services in the region.
The province is providing one-third of the project funding. EORN is also seeking one-third federal funding support. All members of the Eastern Ontario Wardens’ Caucus and most municipalities within the Eastern Ontario Mayors’ Caucus have committed to contributing to the $10 million municipal share. Mobile carriers, who will be selected through a competitive bidding process, are expected to provide the balance of the funding.
The gaps are the result of market failure. Rural areas don’t generate enough revenue for mobile carriers to build adequate services. The CRTC recently designated both mobile and fixed broadband as basic services for all Canadians. The public-private partnership will reduce carriers’ infrastructure costs, creating a stronger business case to improve services and meet the CRTC’s basic service goals.
The improvements could unlock significant economic potential over 10 years, including:
- More than 3,000 full-time job equivalents.
- More than $420 million in private sector business revenues.
