OTTAWA, May 20, 2004 — The Honourable Lucienne Robillard, Minister of Industry and Minister responsible for the Economic Development Agency of Canada for the Regions of Quebec, is pleased to announce that an estimated 52 remote communities in British Columbia, Manitoba, Ontario and Quebec will gain access to broadband services via satellite. Forty-one of these communities are Aboriginal communities.

"Satellite capacity will push remote communities into the fast lane of the Information Highway," said Minister Robillard. "It will pave the way for improved health care and education. It offers benefits that can transform these communities and, thus, improve their quality of life."

The Government of British Columbia, Broadband Communications North, Grassy Narrows First Nation and the Kativik Regional Government have been selected to receive public-benefit satellite capacity to deploy broadband services. This capacity has been allocated to Industry Canada under a licensing agreement with Telesat Canada. The total value of capacity being provided under this first round of the National Satellite Initiative is approximately $20 million.

Broadband is defined as a high-capacity Internet connection, capable of supporting full-motion, real-time audio and video applications. It is a pipeline for delivering innovative applications, thereby making health, education and business services easily accessible to all Canadians.

Recipients were selected based on criteria that include financial capability and demonstrated community support, as well as readiness to deploy and use the satellite capacity. There will be additional opportunities to apply to the National Satellite Initiative.

The $155-million National Satellite Initiative was announced in Rankin Inlet, Nunavut, on October 5, 2003. It is a joint project among Infrastructure Canada, Industry Canada and the Canadian Space Agency.

Broadband access will ultimately provide communities in the remote regions with more opportunities to move forward socially and economically. The National Satellite Initiative will significantly reduce the cost of providing the service to these communities through affordable access to satellite capacity.

In the Speech from the Throne of February 2004, the Government of Canada reaffirmed its commitment to bringing economic benefits to all regions of Canada, including rural communities, where broadband can help surmount the barrier of distance. This initiative is another step toward achieving the Government of Canada's goal of providing high-capacity Internet access to all Canadian communities.

More information on the National Satellite Initiative can be accessed at http://www.broadband.gc.ca.

For more information, please contact:

Daniel Grenier
Director of Communications
Office of the Honourable Lucienne Robillard
Minister of Industry and Minister responsible
for the Economic Development Agency of
Canada for the Regions of Quebec
(613) 995-9001

Media Relations
Industry Canada
(613) 943-2502

Backgrounder
National Satellite Initiative

Broadband can greatly enhance the quality of life for Canadians in Aboriginal, northern and rural communities. It can help ensure that these areas move forward socially and economically through applications such as telemedicine, distance education and e-business.

The Government of Canada is pleased to announce that four organizations, representing approximately 52 remote communities in British Columbia, Manitoba, Ontario and Quebec, have been selected to receive satellite capacity to deploy broadband, or high-capacity Internet service.

What is the National Satellite Initiative?

The National Satellite Initiative was created to lower the cost of broadband access for communities in remote areas of Canada, where satellite is the only reasonable means of providing broadband access.

The National Satellite Initiative is being delivered through a minimum of three calls by Industry Canada for the submission of applications from eligible communities. Satellite capacity will be allocated to successful applicants for the deployment of broadband services to public institutions, such as schools and hospitals, as well as to residents and businesses.

This unique satellite solution will help provide access to essential services in areas like health care and education, using tools such as videoconferencing and telesurgery. It will also bring economic opportunities.

How were successful applications selected?

Industry Canada reviewed proposals and made recommendations, according to the following criteria:

• Community need: Clearly outlined project scope, including a needs analysis and anticipated benefits for impacted communities.



• Community engagement: Demonstrated engagement of impacted communities and public institutions.



• Technology and implementation: A detailed rationale for the amount of capacity requested, demonstrated readiness to deploy and use the satellite capacity, and a technically feasible and reasonable implementation plan.



• Sustainability: Demonstrated sustained financial capability to support ongoing operations, and ability to arrange the required funding and/or capital investment.



• Project management: Experience in managing similar projects.

Organizations must also demonstrate, if applicable, that the additional capacity will be complementary to, and not a replacement for, existing services and that they are ready to deploy the satellite capacity allocated.

What additional capacity is available?

Capacity for Round 2 and all subsequent rounds of the initiative will be made available through Infrastructure Canada's contribution of up to $85-million to the project. This capacity is expected to be made available over a 10- to 15-year time frame.

Additional capacity valued at $50-million will be made available for public benefit in fall 2004. All eligible communities can apply.

The goal of the National Satellite Initiative is to make satellite capacity available to all communities located in remote communities, where satellite is the only reasonable means of accessing broadband.

Who is eligible for the National Satellite Initiative?

Eligible applicants must represent communities where satellite is the only means of providing broadband access. Eligible applicants may include governments, legally incorporated not-for-profit Canadian organizations, and Aboriginal bands.

When is the next deadline for applying for satellite capacity?

The next deadline for submission of proposals will be posted on the Broadband Web site at http://www.broadband.gc.ca.

Who are the partners in this initiative?

Infrastructure Canada and the Canada Strategic Infrastructure Fund

Through the Canada Strategic Infrastructure Fund, Infrastructure Canada will contribute up to $85-million to make available a large amount of satellite capacity/transponder space over a 10- to 15-year time frame.

Canadian Space Agency

The Canadian Space Agency will contribute a $50-million satellite capacity credit. This capacity will be made available for public benefit on Telesat Canada's Anik F2 satellite in fall 2004.

In addition, the Canadian Space Agency will work with Industry Canada's Communications Research Centre in order to reduce the cost of communications in northern communities.

Industry Canada/Industry Canada's Broadband Office

Telesat Canada has made two satellite transponders available for use by public institutions in remote areas at no cost.

While some of this capacity has already been assigned to certain public institutions to support their broadband communications needs, one additional satellite transponder was made available on December 22, 2003. Telesat has committed to providing access to this satellite capacity for the life of its Anik F3 satellite, expected to be about 15 years. The estimated value of the additional capacity is $20 million. This capacity has been allocated under this first round of the National Satellite Initiative.

Industry Canada's Broadband Office is managing the allocation of this capacity, with technical advice from the Communications Research Centre.

Provincial breakdown

Province/ Territory	Proposals selected	Number of communities represented	Total First Nations communities	Total Aboriginal Communities
British Columbia	Government of British Columbia	30	19	0
Manitoba	Broadband Communications North	7	7	0
Ontario	Grassy Narrows First Nation	1	1	0
Quebec	Kativik Regional Government	14	0	14
Total		52	27	14

Successful applicants and impacted communities

The following list of communities is based on the information submitted by applicants to the National Satellite Initiative. Therefore, there is a possibility of duplicate entries or missing communities.

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Date Modified: 2005-01-04 Important Notices