St. John's, Newfoundland and Labrador - Residents in the province's rural Connaigre Peninsula will be able to enjoy better broadband coverage and speed thanks to a joint venture between communications company Bell Aliant and the provincial government. The problem that communications companies face in extending coverage to rural areas is the sparse population and distances in between homes makes running communication cables cost prohibitive. The end result is that rural areas are poorly serviced with communications offerings.

To better meet the communications needs of residents, the government has made a $4 million deal with Bell Aliant which will bring high speed internet access to 2,000 homes. Minister of Innovation Terry French expects that with the new broadband access new business investment will come to the area.

Bell Aliant hopes to have the new broadband access available to residents by July. The money being jointly invested will be spent on equipment and infrastructure upgrades.

As per the agreement, the $4.1 million price tab will be split with the federal government paying $1.5 million and the provincial government $1.33 million. The remaining balance of $1.17 million will be Bell Aliant's to pay. Bell Aliant serves Eastern Canada.

The joint venture underscores the commitment of the administration of Prime Minister Stephen Harper to invest in Canada's technology to spur greater economic activity. His emphasis on boosting the Canadian economy also applies to scientific research and development where he has favored funding for investment in technology over global warming and environmental conservation.

Source:
http://www.globalpost.com/dispatch/news/the-canadian-press/140404/governments-bell-aliant-spend-4-million-broadband-rural-newf