HAKOM contributed HRK 50 million in state aid for connecting target users to broadband Internet

ZAGREB, 8 January 2016 – The Croatian Regulatory Authority for Network Industries (HAKOM) paid in late December 2015 the final part of state aid for the Ličko-senjska County on the basis of the conducted public tender for the granting of state aid for the development of high-speed networks in areas of special state concern, hilly and mountainous areas and on the islands. A total of 12 target users in those areas, who did not have this possibility before, were connected to broadband Internet at a minimum speed of 2 Mbit/s. The target users include schools, health care institutions, public institutions and volunteer firefighters associations in areas of special state concern, hilly and mountainous areas and on the islands.
 
This payment marked the end of the first stage of the state aid programme for the development of broadband access infrastructure which enabled the connecting of a total of 332 target users in Croatia to the Internet at the minimum speed of 2 Mbit/s. During seven rounds of tenders the first of which started in early 2012, a total of HRK 49,965,420.22 of state aid was paid out, which means that 99.93 percent of budget earmarked for this purpose was used.
 
As a reminder, 19 tenderers submitted 55 tenders in seven rounds of tenders and 24 individual contracts were signed with four operators (Hrvatski Telekom, Vipnet, Pro-Ping and H1 Telekom). The second stage of the aid programme will be completed in August 2016 and July 2018 by increasing data transfer speed for all 332 target users to a minimum of 30 Mbit/s which is the operators’ obligation laid down in the contract on the granting of state aid and it is in compliance with the objectives of the Digital Agenda for Europe 2020.
 
The development of the Programme for the Development of Internet and High-Speed Internet Access in Areas of Special State Concern, in Highland and Mountain Areas and on the Islands started in 2010, and the first tender, out of a total of seven, for the granting of aid was published in 2012. The payment of aid followed after the verification of compliance with payment conditions laid down in the contract. HAKOM’s final control will follow after the increase of speed to a minimum of 30 Mbit/s thus completing this part of the Programme. The rest of HAKOM’s Programme includes other constituent parts of the broadband system which are planned to be developed in rural and other areas: socially useful applications financed by HAKOM and the necessary hardware for their work.
 
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For additional information please contact:

Croatian Regulatory Authority for Network Industries (HAKOM)
Roberta Frangeša Mihanovića 9
10110 Zagreb, Croatia
Tel. + 385 (0) 1 700 70 07
Fax + 385 (0)1 700 70 70

Media inquiries can be submitted online using HAKOM’s official website: 
Registration required.
 

ABOUT HAKOM: HAKOM (www.hakom.hr) - Croatian Regulatory Authority for Network Industries – ensures preconditions for a fair market competition, stable growth and environment for innovations in the electronic communications and postal services market. HAKOM protects users’ interests and the possibility of choice among various communications and postal services at affordable prices, defines sustainable competitive conditions for operators and service providers under fair conditions for return on investment, and provides support to economic growth, public services and the quality of life in the Republic of Croatia by using modern technologies. HAKOM’ strategic goals are: to promote regulation of the electronic communications and postal services market, to support growth of investments and innovations in the electronic communications and postal services market, to provide efficient use of limited resources, to accelerate the growth of broadband products and services, to provide affordable offers of communications and postal services, to provide protection and informing of users, to build an efficient and comprehensive information system, to define and implement efficient processes, and to acquire multi-disciplinary competencies in market regulation.