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Illustration of Telecom group explains rural connectivity at AGM

Connectivity Woes: A Call for Better Network Solutions in Lau Islands

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Connectivity issues faced by residents in the Lau Islands were a significant topic raised by a shareholder during Amalgamated Telecom Holdings’ (ATH) annual general meeting in Suva. The Vanuabalavu shareholder pointed out that inadequate internet access hinders Lauans from engaging with global markets effectively.

In response, ATH’s CEO Ivan Fong showed understanding of the concerns but clarified that the responsibility for enhancing rural connectivity largely falls on the Government. This is governed by the universal service obligation requirements that apply to telecom companies in Fiji. Fong noted that contributions are made to a Universal Service Fund managed by the Telecommunications Authority of Fiji (TAF), which works with the government and local councils to determine priority projects for improving connectivity.

Historically, progress on connectivity has been slow due to the high costs associated with providing services to rural areas. However, the introduction of satellite service provider Starlink has emerged as a potential game-changer. Fong mentioned ongoing discussions with TAF regarding how satellite solutions like Starlink could be integrated into existing networks to improve services in rural regions.

Currently, there are close to 300 communities identified by the government that need connectivity improvements. Telecom operators, including Telecom, Vodafone, and Digicel, have expressed their readiness to participate in the upcoming tender processes to address these connectivity challenges.

In financial matters, the AGM approved a final dividend of three cents per share, totaling $14.357 million. The meeting also saw the reelection of Peter Chan as director and BDO Chartered Accountants as the independent auditor. For the financial year ending June 2024, ATH reported a net profit after tax of $9.2 million, supported by $936 million in revenues. Their shares are currently trading at $2.10 on the South Pacific Stock Exchange.

Overall, while challenges remain in securing effective connectivity for rural areas, the proactive discussions around innovative solutions like satellite technology signal a hopeful direction for improving access for the Lau group and potentially other underserved regions. The commitment from telecom operators to prioritize these projects can pave the way for greater inclusivity and connectivity in the future.


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