Commission urges action to overcome the 'broadband gap'
The EU and its Member States must make full use of instruments including State aid rules and structural and rural development funds in order to overcome the 'broadband gap' that exists in Europe's less-developed and remote areas, according to a new Commission communication. Despite rapid growth in the availability of high-speed Internet connections in Europe over recent years, broadband connectivity is yet to spread to many of the EU's remote and rural areas. This is blamed on smaller and more dispersed populations, which results in weaker demand and discourages commercial suppliers from extending services to these areas. 'Broadband Internet connections are a prerequisite for e-business, growth and jobs throughout the economy,' said Information Society and Media Commissioner Viviane Reding. 'However, broadband connections must not be limited to the big cities. If the EU and its 25 Member States make a clever use of all policy instruments, broadband for all Europeans is certainly not out of reach by 2010. But the time to act is now.' The communication encourages Member States to exploit all available EU instruments to overcome the broadband gap. The Commission underlines its positive stance on the application of State aid rules to publicly funded broadband initiatives, citing a number of projects that have been approved in recent years and stressing that it has only launched a formal investigation on one occasion. The EU Structural Funds are another source of financial support for public broadband projects, and the communication highlights a 210 million euro co-financing initiative to provide high-speed access to underdeveloped areas in Greece. Rural development policy can also be used to support information and communication technology (ICT) schemes that promote growth and employment, it adds. In addition to exploiting these existing instruments, the communication also calls on Member States to upgrade their national broadband strategies to reflect the views and needs of all regions within their territories. The strategies should include clear targets and adopt a strategic approach to the use of EU and national funds in less-developed and rural areas. Finally, the Commission is to establish a website that will act as a meeting point for local authorities and industry to exchange information and best practices. It also plans to organise a major 'Broadband for all' conference in 2007 to showcase the benefits of broadband services to rural communities.