Federal Government Initiatives that Support First Nations Broadband Development

Links to summaries of current federal government initiatives that support First Nations broadband development.

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Date: Thursday, 19 September 2024, 03:50 AM

Table of Contents

Aboriginal Connectivity Strategy (AANDC)

Aboriginal Affairs and Northern Development Canada (AANDC) (formerly Indian and Northern Affairs Canada, or INAC) has been tasked with developing an Aboriginal connectivity strategy. Although ANNDC began administering the First Nations SchoolNet program in 2006, the department has only had broad authority over broadband infrastructure and connectivity development as of 2009, when it became part of the broader First Nations Infrastructure Fund (FNIF) portfolio. However, it appears that while connectivity has been added to eligible funding categories under FNIF, this new program responsibility does not yet seem to have been accompanied with any new dedicated funding for this purpose. The Aboriginal connectivity strategy is still just a concept, as nothing has yet been publicly released. It is not clear if and how it will be connected to the Government of Canada's emerging digital economy strategy. It is also unclear if the strategy will address broadband infrastructure, connectivity services, or both. Furthermore, there have to date been no opportunities for First Nations and Inuit groups to participate in the development of the strategy through targeted, formal consultations.

Digital economy strategy (Industry Canada, Canadian Heritage and Human Resources and Skills Development Canada)

In June 2009, Industry Canada announced plans to develop a digital economy strategy. Other federal departments linked to the development of the strategy include Canadian Heritage and Human Resources and Skills Development Canada (Government of Canada, 2010). The creation of the plan is supported by the recommendations in a recent report by the Senate Standing Committee on Transport and Communications called Plan for a Digital Canada. The report recommended a strategy for an inclusive digital society, along with a new Minister of Digital Policy, and the deployment of a national broadband network that could deliver essential digital services to all citizens.

Shortly after announcing its plans to develop a digital economy strategy, Industry Canada opened public consultations for “feedback from all interested parties on priorities and targets” (Industry Canada, 2010a, para 8). One of the consultation’s five discussion themes was: Building a World-Class Digital Infrastructure, which included mention of rural and remote communities (Industry Canada, 2010b, p. 2). However, nowhere does this initial consultation paper refer to the unique needs of First Nations and Inuit communities, in terms of broadband infrastructure and connectivity services (Industry Canada, 2010c). This oversight fails to consider the conclusions of evaluations of programs like the Aboriginal Canada Portal (Anderson, 2005). Furthermore, it represses the long history of successful First Nations and Inuit community-based communications infrastructure and services development, which stretches at least as far as the Wawatay Native Communications Society’s 1974 efforts to establish a community radio system (O’Donnell et al, 2010; see also Alia, 2010; Roth, 2005).

Northern Digital Opportunities Strategy (CanNor)

In 2008, the Speech from the Throne announced the creation of a new stand-alone agency focused on northern economic development, a key deliverable under the government’s Northern Strategy. In 2009, the Canadian Northern Economic Development Agency (CanNor) was provided with $50 million over five years to “to help provide the foundation for a prosperous economic future for those who live, work and support their families in the North” (Canadian Northern Economic Development Agency, n.d.).

As of June 2010, CanNor’s ICT Working Group began working towards defining and establishing a northern-focused ‘Digital Opportunities Strategy’ to assist in developing an Agency ICT policy and strategy. This strategy aims to: strengthen northern ICT tools; address the communications needs of the North within the federal context; facilitate the planning and delivery of communications technology and digital literacy among citizens in the north; allow market forces to function where and when possible; and acknowledge government’s role in ensuring northern residents possess the skills, knowledge and tools required for full participation in the global economy. Part of the strategy involves identifying the communications infrastructure and capacity requirements needed for effective community and economic development. The lead-up to the strategy builds on several recent meetings, including the Northern Communications and Information Systems Working Group (NCIS WG). Members of this group include Government of Canada departments like Justice, Fisheries, Environment, Aboriginal Affairs and Northern Development Canada (formerly Indian and Northern Affairs Canada), Canadian Space Agency, Public Safety and Human Resources and Skills Development, as well as representatives from Territorial governments. The premiers of the Yukon, Northwest and Nunavut Territories are also linked to these developments. The premiers published a communiqué on May 14, 2010 that stated they “agreed that reliable connectivity to satellite transmission across the North is essential for the continued economic and social development of northern communities and they urged the federal government to continue to support that policy” (24, interview). The communiqué also noted the opportunities for significant partnerships between the territorial premiers and CanNor:

One area of focus is telecommunications. The premiers discussed the opportunity of identifying ways to enhance telecommunications to support services such as healthcare, justice and education and directed their governments to formalize a pan-territorial policy working group on telecommunications (Northern Premiers’ Forum, 2010, p. 2).

Substantive program funding to support this work has not yet been released. Infrastructure Canada has a $225 digital program, which has announced local-level projects. The Territories have connectivity on their agenda, but have not taken substantive action. CanNor is funding a survey of northern government departments and communities that will identify existing communications capacities and infrastructure across the north and identify future needs.

As of August 2011, a few funding packages had been committed, including a $275,000 commitment to the K’atl’odeeche First Nation of the Northwest Territories in order "to build a local fibre-optic network, establish local ICT certification training, and research the potential to build a fibre-optic connection to southern Canada to access broadband services" (Canadian Northern Economic Development Agency, 2011).

Broadband Canada: Connecting Rural Canadians (Industry Canada)

The federal government’s 2009 budget allocated $225 million over three years to Industry Canada Broadband Canada: Connecting Rural Canadians program (Industry Canada, 2009). The first round of 52 funded projects will bring broadband access to an estimated 169,000 households (Industry Canada, 2010c). As of May 2011, the number of projects has been increased to 86, affecting around 210,000 households. According to the Assembly of First Nations (AFN):

Several First Nations and networks have applied for funding from this new program. Neither the AFN not individual First Nations were invited to provide input into the selection criteria and procedures for this particular fund. As of the writing of this report [March 31, 2010], it is unknown how many First Nation-specific projects will be funded (AFN Chiefs Committee on Economic Development, 2010, p. 18).


First Nations Infrastructure Fund (AANDC)

Infrastructure Canada was established in 2002 as a federal department to support and facilitate infrastructure development initiatives, and in 2007 was mandated to oversee the Building Canada initiative, a seven-year (2007-2014) plan linked to public works projects in communities. The First Nations component of this initiative, a five-year, $131 million First Nations Infrastructure Fund, did not initially specifically address broadband infrastructure (AFN Chiefs Committee on Economic Development, 2010, p. 17). Approximately $17 million of this fund was to be allocated to projects in the British Columbia region. According to Aboriginal Affairs and Northern Development Canada (AANDC) (formerly Indian and Northern Affairs Canada, or INAC), which now administers the First Nation Infrastructure Fund (FNIF), the fund combined a portion of INAC’s Capital Facilities and Maintenance Program, Infrastructure Canada’s Municipal Rural Infrastructure Fund, and the Gas Tax Fund -- a ‘single-window’ approach designed to increase efficiency and streamline access to funding (Indian and Northern Affairs Canada, n.d.). It initially focused on project funding in four categories: community planning and skills development; solid waste management; roads and bridges; and energy systems. The FNIF was described as “a project-based proposal driven program aimed at helping First Nations improve infrastructure on reserve” (Indian and Northern Affairs Canada, 2007, para 7). While broadband infrastructure and connectivity was recently added to the eligible funding categories, it appears this inclusion has not initially been accompanied with any new funding.

National Satellite Initiative – Part 1 (Industry Canada) and Part 2 (Infrastructure Canada)

First Nations and Inuit satellite-based broadband infrastructure projects were created in large part through two rounds of funding under the National Satellite Initiative (NSI). Forty-three remote Inuit and First Nations communities, and two non-First Nations or Inuit communities in the northern regions of Quebec, Ontario and Manitoba receive Internet services through the Northern Indigenous Community Satellite Network (NICSN). In 2002, communities in Nunavut, NWT and northern Ontario began sharing satellite bandwidth provided through a Public Benefit Transponder. In 2003, NSI allocated a second Public Benefit Transponder to NICSN to provide connectivity services to public institutions in 43 communities. NSI also funded one project in Nunavut ($7.83 million to provide broadband service via satellite to all 25 communities), and one project in NWT ($7.0 million for 31 communities in NWT). These territorial projects are guided by boards of directors that include First Nations and Inuit representatives, but are owned and administered by a commercial organization, SSI Micro.

In 2007, Infrastructure Canada announced funding for NSI Part 2. This second round of NSI funding would improve connectivity services by adding more transponders and bandwidth to the existing satellite-based broadband infrastructure.

Despite evidence of the success of these projects in achieving economies of scale, network efficiencies, and strong, long-term partnerships across geographic and jurisdictional boundaries, the satellite-based broadband infrastructure and connectivity services are in danger of losing core funding. In one key informant’s words: “The trend appears clear: lower funding for less stable lengths of time”.

First Nations, Inuit and Aboriginal Health: e-Health Solutions Unit (Health Canada)

Health Canada’s First Nations and Inuit Health (FNIH) is responsible for providing health care for First Nations and Inuit peoples. Its e-Health Solutions unit develops programs in “support of e-Health infrastructure to ensure that First Nations and Inuit communities are connected and informed” (Health Canada, n.d.).

Gateway Fund (Heritage Canada)

The Department of Canadian Heritage, through Canadian Culture Online, recently launched a targeted call for proposals under the Gateway Fund to increase access to diverse online Canadian cultural content, including projects presented by and with content about Aboriginal Peoples (Canadian Heritage, n.d.). According to the Fund’s website: “the applicant's main role must be to serve one or more Aboriginal communities and it must be active in promoting the culture of that (those) community(ies)” (ibid).

Telecom Decision CRTC 2010-637 (CRTC)

In August 2010, the CRTC approved Telecom Decision CRTC 2010-637, which states that telephone companies must spend the money in their deferral accounts to invest $421.9 million to expand broadband Internet service (broadband infrastructure and connectivity) to 287 rural and remote communities, many of which are First Nations. Any remainder funds are to be rebated to existing customers who live in non-high-cost serving areas (which excludes many rural and remote First Nations customers from receiving these rebates, given they are living in communities designated as ‘high-cost’ serving areas). The CRTC-approved plans provided by the major telcos do not include any First Nations located in designated high cost serving areas in northern Ontario.

Community Access Program (Industry Canada)

In the mid-1990s, Canada’s Community Access Program (CAP) program was used as a model for many member states in the European Union (Pacific Community Networks Association, 2006). Our key informants told us that CAP sites play an important role for many First Nations communities in B.C. that do not yet have widespread local-level broadband infrastructure and connectivity services, and the program is widely utilized among Inuit communities in the North.

However, while some European nations built upon the CAP model and incorporated it in nationally-oriented broadband strategies, “funding for CAP in Canada was reduced, government utilization of the infrastructure was limited, and the program lagged in adjusting its mission and evaluative criteria to the changing realities of ICT in Canadian society” (Pacific Community Networks Association, 2006, p. 10; see also Smith, 2008). In March 2010, funding cuts to CAP resulted in public outcry and (temporary) restoration of funding (Middleton, 2010, p.4).

A forthcoming history of the CAP program that is presently in draft form (Moll, forthcoming, 2011) notes how after 2007-2008, it no longer appeared in annual departmental performance reports filed by Industry Canada with Treasury Board. During 2009-2010, funds allocated for CAP came from the $225 million Broadband Canada: Connecting Rural Canadians program (discussed above), rather than from the Regional Operations branch budget (Moll, forthcoming, 2011). Rather than a fund to support ongoing connectivity services, Broadband Canada is linked to the federal government’s Economic Action Plan, which focused on infrastructure development projects. This shift to short-term funding became more apparent in March 2010, when CAP administrators across Canada began receiving letters advising them their funding would be terminated at the end of that month, unless their sites were located more than 25 km from a public library (Moll, forthcoming, 2011). The CAP community responded by contacting MPs and the media, and the issue was raised during Question Period by members of all three opposition parties in the House of Commons. According to Moll (forthcoming, 2011):

In a quick turn about, Industry Minister Tony Clement announced that there had been a bureaucratic misunderstanding and that the funding had never really been withdrawn. The program was good for another year but again funded through the temporary "Connecting Rural Canadians" infrastructure program (forthcoming, 2011).

Funding for the broadband infrastructure-focused Broadband Canada: Connecting Rural Canadians program is presently scheduled to end on March 31, 2011.