The PTS aims to stimulate broadband expansion in view of the country’s gigabit target for 2025 by granting support for a total EUR61.5m.
Background: In June 2019, the Swedish Government requested that the national telecoms regulator PTS set out the ways in which future support for broadband could be designed effectively. This would be based on a previous report the PTS had produced in 2017, which included suggestions for future support measures for broadband networks.
A model to help Sweden achieve its broadband targets: On 17 January 2020, the PTS presented its proposal for a new model for broadband support. Through these proposals, the regulator aims to facilitate the achievement of the Government’s broadband strategy as set out in 2017 (95% of households and businesses to access 100Mbps broadband by 2020, and 98% of the population to access 1Gbps by 2025). The support will be directed to areas that currently lack fast broadband and where expansion on a commercial basis is not expected to occur. The PTS proposes to support network expansion to delivery points in the absolute vicinity of households and businesses. Network providers would then be obliged to offer the service to households or businesses at a “reasonable” connection fee. The purpose is for the public to contribute to enabling connection, while at the same time the development projects should not stand and fall with the demand of individual individuals.
Support on a regional basis: The PTS proposes support to be granted region by region. Private and public entities will be able to apply for support for development projects designed by themselves. The PTS will assess the projects and decide which ones provide the best value for money. Regional authorities will be required to play a central role in the model by identifying the geographical areas to be prioritised. Regions and entities applying for support can obtain it for more than one project.
Next steps: The PTS foresees to be able to grant support as early as 2020 to four regions, for a total of SEK150m (EUR14.2m). A total of SEK650m (EUR61.5m) will be awarded over the next three years.
