Question Period Note: Broadband in the North

About

Reference number:
RED-2023-QP-00017
Date received:
Jun 1, 2023
Organization:
Innovation, Science and Economic Development Canada
Name of Minister:
Hutchings, Gudie (Hon.)
Title of Minister:
Minister of Rural Economic Development

Issue/Question:

What is the Government of Canada doing to support access to high-speed Internet infrastructure in the North?

Suggested Response:

• The Government of Canada is investing billions of dollars to help ensure that all Canadians have access to reliable high-speed Internet, no matter where they live.

• Since 2015, the government has announced over $354 million for connectivity projects in the North. This includes nearly $59 million for the Dempster Fibre Project, which is well underway.

• Under the Universal Broadband Fund (UBF), the government has already announced nearly $12 million for three projects in the North that are all operational, bringing improved connectivity to more than 10,000 households.

• We are working with territorial governments on significant additional investments under the UBF and look forward to announcing these projects.

Background:

Government funding has often been needed to build and sustain Internet infrastructure projects in the North given the region’s climate, terrain and vast distances, which often make terrestrial infrastructure like fibre optic cable especially challenging. Since 2015, the Government of Canada has committed over $354 million for 14 connectivity projects in the territories. Key connectivity initiatives include:

• The Universal Broadband Fund (UBF): The $3.225 billion UBF is helping to bring 50/10 Mbps Internet service to 98% of Canadian households by 2026 and all Canadians by 2030. This includes one project in Northwest Territories totalling $5 million and two projects in Nunavut totalling nearly $7 million.
• Canadian Radio-television and Telecommunications Commission’s Broadband Fund: $750 million to help improve connectivity across the country. This includes two projects in the Yukon totaling $43.3 million and two in Northwest Territories totalling $20.8 million.
• Low Earth Orbit (LEO) satellite developments: The government has committed up to $600 million to secure LEO satellite capacity and has an agreement-in-principal for $1.44 billion to support the construction.Due to global supply chain challenges and a need to complete project financing, the launch date for Telesat Lightspeed has been delayed to 2026. The Government of Canada’s investment is conditional upon Telesat concluding its agreements with other partners to fully finance the project.
• The $2 billion Rural and Northern Communities stream of the Investing in Canada Infrastructure Program, which includes broadband, among other infrastructure projects. This program is investing $150 million in the Government of Nunavut’s undersea fibre optic cable project which will bring a fibre connection to two communities in Nunavut for the first time.
• Dempster Fibre Line: The Government of Yukon received up to $30 million from Innovation, Science and Economic Development Canada (ISED) and up to another $29 million from Infrastructure Canada to build an 800-kilometer long fibre optic line from Dawson City, Yukon to Inuvik, Northwest Territories. This loop will allow for a backup line to provide more reliable Internet and cellular service. Necessary environmental assessments and Indigenous consultations pushed the start date of construction, and subsequently the forecasted project end date has changed from March 2021 to March 2024.

Starlink: Following the launch of an additional 46 Starlink satellites into the polar orbit in summer 2022, Starlink announced in November expanded coverage to the far north, Yellowknife, Rankin Inlet and Iqaluit. The remaining territories followed in early 2023 once all the satellites had reached their final orbits.

Additional Information:

• The government is pleased that Xplore has extended satellite services in the Yukon into 2023 and is optimistic that other service providers will be available for residents in 2023.

• The Government has entered into a $600 million agreement with Telesat to secure Internet capacity for rural and northern communities on their advanced low Earth orbit (LEO) satellite constellation, Telesat Lightspeed. Once operational, Telesat Lightspeed will help to connect up to 40,000 very remote households.

• The Government of Canada has separately entered into an agreement-in-principle with Telesat to invest $1.44 billion towards the construction of Telesat Lightspeed. By investing in Lightspeed, the Government of Canada is helping to ensure that Telesat Lightspeed is realized and can act as a catalyst for billions in domestic investment and economic activity.

• Other LEO satellite constellations, including Starlink, One Web and Kuiper, are at various stages of development and deployment - with some services already available. These will be an important part of getting the North fully connected.