New IRPP Paper: Conquering the Next Frontier in Bridging the Digital Divide

June 20, 2024

A new paper from the Institute for Research on Public Policy (IRPP) argues that, to achieve the goal of providing high-speed internet access to 100 per cent of the country by 2030, governments need to address the needs of underserved communities while making internet access more affordable.

Ian Scott (former Canadian Radio-television and Telecommunications Commission chairperson):

There has been significant progress across the country, but gaps remain. Only half of households in First Nations communities and 58 per cent of households in northern Canada meet the basic service target. These challenges are not limited to rural and remote areas. Low-income Canadians, regardless of where they live, struggle to afford the technology and internet plans needed to take full advantage of the digital economy.

Full paper: Toward a more equitable Canada: Conquering the Next Frontier in Bridging the Digital Divide

Highlights:

Having reliable access to the internet is a fundamental part of everyday life — but not for everyone.

The Canadian Radio-television and Telecommunications Commission, an administrative tribunal that regulates and supervises broadcasting and telecommunications, declared in 2016 that broadband internet with download speeds of at least 50 megabits per second and upload speeds of at least 10 megabits per second was a basic telecom service. And the federal government has set a goal of connecting 98 per cent of Canadians to high-speed internet by 2026 and 100 per cent by 2030, a goal it is on target to meet.

Despite significant public and private investment, glaring gaps in service remain. Indigenous and northern communities are woefully behind the rest of Canada in being able to access the internet at speeds needed to take advantage of essential online services such as health care, education, banking and employment. Only half of households in First Nations communities and 58 per cent of households in northern Canada meet the basic service target.

These challenges are not limited to rural and remote areas. Low-income Canadians, regardless of where they live, struggle to afford the technology and internet plans needed to take full advantage of the digital economy.

This paper argues that, to close these gaps, governments should pursue new approaches that address the needs of underserved communities and improve the affordability of the internet, including the following:

• Improve co-ordination within and across governments — Improved co-ordination between the federal and provincial and territorial governments could help overcome the CRTC’s lack of direct jurisdiction over some types of infrastructure, including municipal facilities and utility poles, that are necessary to expand broadband infrastructure. There should also be improved co-ordination among federal government departments in developing more effective relationships with Indigenous communities and exploring the potential for more Indigenous-owned fibre assets, and in working together to improve affordability of broadband service for low-income households.
• Prioritize northern and Indigenous communities — Indigenous and northern communities have the lowest level of high-speed internet access. Internet service in the territories is provided by a small number of firms in challenging conditions. Improving access to these areas will require government involvement, either through subsidies or capital investment. New satellite technology could hold promise.
• Expand discounted internet plans — Existing government and private-sector efforts to improve affordability of high-speed broadband services are making progress but there is more to do. The federal government should commit to providing the necessary funding to expand existing support programs, possibly from the proceeds of spectrum auctions. Innovation, Science and Economic Development Canada and Employment and Social Development Canada should jointly develop an easy-to-use program to defray internet costs for low-income households.

Canada prides itself on its superior social safety net, but still has not found a solution to address the affordability and adoption challenges of providing access to high-speed broadband internet to low-income households and northern and Indigenous communities. These should be the key priorities of the government’s future efforts to conquer the next frontier of the digital divide.

(Via Institute for Research on Public Policy)