A new B.C. connectivity program is launching this summer, the province said
By Ahmad Hathout
THE MINISTRY MANAGING British Columbia’s telecommunications matters advised the deputy minister about the possibility the province could model its broadband programs on Ontario’s reverse auction process, according to an October information note obtained by Cartt.ca.
Infrastructure Ontario announced in July that $4 billion in public funds intended to connect the entire province by 2025 would be handed out through reverse auctions, which involve bidders pitching projects that require the least amount of the subsidy. The Ontario process involves both identifying qualified internet service providers and taking bids on certain lots for builds in the province, where each lot is prescribed a technology – such as fibre – for the project.
“The Connectivity Division is evaluating available options to administer grant programs for remaining rural and indigenous communities,” said the B.C. Citizens’ Services note, which pointed to Ontario’s reverse auction process as a potential model.
The October note added the ministry “discussed the reverse auction process with Ontario’s Broadband and Digital Strategy Division,” and said the province is aiming to meet with Infrastructure Ontario “in the near future.
“Connectivity Division continues to evaluate this approach and will keep the Deputy Minister’s office updated on program knowledge and next steps,” the note said.
Several months later, in March, B.C. secured a commitment from the federal government for $415 million to connect the province, with a match from the province totalling an investment of $830 million. It was the latest in several provinces that have partnered with the federal government for bulk fund approval from the Universal Broadband Fund, including a $600-million commitment to Ontario. The goal for B.C. is to connect the remaining underserved communities by 2027.
This funding adds to the five-year, $289 million committed in the province’s 2022 budget to connect parts of the province to a minimum of 50 Mbps download and 10 Mbps upload, which is the federal objective for the entire country by the end of the decade.
A week after the federal commitment, the province posted on the BC Bid website a request to participate asking for input from service providers on the remaining underserved households in the province. The province intends for the feedback, which was due Monday, to be used to craft the new Connecting Communities BC program, which it plans to launch this summer, Citizens’ Services told Cartt.ca in an email.
The ministry, which told Cartt.ca it regularly speaks with jurisdictions across Canada, did not directly answer a question about whether it would use the reverse auction process for the new program.
Large organizations that represent smaller players have previously questioned whether Ontario’s reverse auction approach would yield the best return on investment for the province, including concern that subsidies could go to the largest companies.
The RTP aims to verify the scope of the connectivity gap in the province, confirm the geographic zones for infrastructure expansion, validate market interest in those areas for connectivity, and confirm the province’s “internal models” on estimated costs by getting input on the types of technology needed for those areas.
As such, the province is divided into 14 zones, which take into account existing infrastructure, approved projects and geographical constraints, according to the RTP, which wants to know how many underserved households remain, how much it will cost to connect those households, and where are the gaps in highway cell service.
The RTP requests input from local, regional and First Nations governments as well as service providers.
While Ontario is focused on getting fibre into the ground for its builds without ruling out other technologies, Citizens’ Services said that building out to rural and indigenous communities with high-speed internet in its province “will likely require harnessing multiple available internet technologies,” such as fibre, satellite and fixed-wireless.
