Question Period Note: EORN and SWIFT
About
- Reference number:
- ISED-RED-2022-QP-00007
- Date received:
- Jan 17, 2022
- Organization:
- Innovation, Science and Economic Development Canada
- Name of Minister:
- Hutchings, Gudie (Hon.)
- Title of Minister:
- Minister of Rural Economic Development
Issue/Question:
Is the Government of Canada working with the Eastern Ontario Regional Network (EORN) and Southwestern Integrated Fibre Technology (SWIFT) to support broadband expansion in Ontario?
Suggested Response:
• High-speed Internet is a necessity for all Canadians to live, work and learn, and the Government of Canada has invested over $7 billion to ensure fast and reliable Internet access.
• The government has provided nearly $64 million to Southwestern Integrated Fibre Technology to install over 3,000 kilometres of fibre in southwestern Ontario by 2024.
• The government has also provided $71 million for the Eastern Ontario Regional Network’s Cell Gap Project, to improve cellular coverage across eastern Ontario.
• Connectivity leads to rural economic growth, and the government is working with partners to achieve mutual objectives.
Background:
• As of September 30, 2021, the government has invested over $928 million in connectivity projects in Ontario.
• On July 29, 2021, the Governments of Canada and Ontario announced an agreement to bring high-speed Internet to nearly 280,000 rural Ontario households in hundreds of communities across the province. This agreement is being made possible by an equal federal-provincial investment totalling more than $1.2 billion.
Additional Information:
EORN is a non-profit organization, owned by the 13 municipalities that make up the Eastern Ontario Wardens’ Caucus. EORN is dedicated to improving rural connectivity, supporting economic growth and enhancing quality of life in the region through innovative public-private partnerships.
SWIFT is a non-profit organization, funded one-third by the province and one-third by the federal government (Infrastructure Canada), with the private sector filling in another third and municipal governments providing some capital contributions. In June 2021, SWIFT announced the award of 95 contracts to 19 Internet Service Providers (ISPs) to bring improved internet connectivity to Southwestern Ontario by 2023.
Both EORN and SWIFT are eligible to submit projects under federal broadband programs, including the Universal Broadband Fund (UBF). However, to date EORN and SWIFT have preferred to receive funding transfers from government and run their own request for proposal processes to award the funding.
In September 2021, the Government of Ontario launched a Request for Qualifications for Internet Service Providers (ISPs) who can help accomplish the Ontario government’s goal of connecting all Ontarians by 2025. Ontario divided up the province into “lots” and is allowing ISPs to bid to connect these lots with provincial funding support. On November 30, 2021, Ontario released its list of pre-qualified ISPs, and regional organizations like EORN and SWIFT are not on the list.
FEDERAL FUNDING: EORN
Infrastructure Canada: Investing in Canada Infrastructure Program (ICIP): Rural & Northern Communities Infrastructure Stream
EORN has received $71 million for its Cell Gap Project to improve access to cellular service in Eastern Ontario.
When the UBF was announced through Budget 2019, EORN approached the provincial and federal governments for funding for its “Gig Project,” which had a goal of bringing Internet speeds of 1 gigabit per second (Gbps) to 95% of households in Eastern Ontario by 2025-2026. When the province of Ontario announced its intention to connect all households in the province by 2025, EORN decided that it would no longer pursue the Gig Project.
Federal Funding: SWIFT
Infrastructure Canada: Building Canada Fund’s Small Communities Fund
SWIFT has received $63.7 million to connect 50,000 households and businesses by 2024.
In February 2021, SWIFT stated publicly that it does not have a commitment from either level of government for “SWIFT 2.0” where it plans to target connectivity in lower density areas.