Hong Kong subsidising fibre rollouts to villages

11 Jun 2019

Hong Kong’s Office of the Communications Authority (OFCA) has launched a subsidy scheme to encourage fixed network operators to roll out fibre infrastructure to villages in remote areas of the territory. The project covers 235 villages across nine districts in the New Territories and outlying islands (namely North, Sai Kung, Tai Po, Sha Tin, Yuen Long, Tuen Mun, Tsuen Wan, Kwai Tsing and Islands). The scheme will also subsidise the rollout of three submarine cables connecting Lamma Island to Hong Kong Island, Cheung Chau to Lantau Island, and Peng Chau to Lantau Island.

These 235 villages are grouped under six projects, with operators being invited to participate in tenders to win the rollout contracts. Financial incentives will be on offer for each of the six projects. Successful bidders will be expected to open up at least half the capacity on the new fibre networks to rival firms in order to encourage competition. The local fixed broadband sector is served by firms such as HKT, HKBN, HGC and i-Cable.