Peru embarks on new rural connectivity push

The Peruvian cabinet sued an emergency decree with “extraordinary measures” aimed at bringing connectivity to 3.2mn people in rural areas through satellite services, Wi-Fi points and installation of digital centers.

The measure is being spearheaded by the transport and communications ministry (MTC).

The initiatives announced represent total estimated investments of 180mn soles (US$40.5mn). The funds will come from the reallocation of the MTC's planned budget for 2021.

The decree allows "special procedures" in order to allow the government to contract internet services, MTC minister Eduardo González said in a press conference.

"[The decree] establishes that all of these contracts will be carried out with the simultaneous control of the general comptroller of the republic and supporting the plan of the transport and communications ministry... called Todos Conectados," said González.

Under the plan, the government said it will contract satellite internet services for 1,200 public sites in 860 locations in jungle areas. The measure initially covers the regions of Loreto, Ucayali, Madre de Dios and Amazonas regions.

It also entails the deployment of 3,636 free Wi-Fi points in public squares in rural areas. Activation is planned to take place before the country's bicentennial independence celebrations in July. 

The regions of Huancavelica, Ayacucho, Apurímac, Lambayeque, Cusco and Lima will be the first to receive the Wi-Fi points, under the plan.

This initiative is part of a broader plan to have Wi-Fi in 6531 public squares around the country.

Finally, the government also wants to install 1,000 digital access centers in isolated areas, 564 of which are set to be established by July, with Huánuco and Pasco being the first regions to receive them.

Peru expects these new measures to help take internet penetration in rural areas to 80%, González says is the same rate as seen in urban areas of the country. Only 30% of the Peruvian jungle is connected at present.

In 2020, MTC reported that 358mn soles had been spent on the expansion of internet coverage through the national telecommunications program (Pronatel).

Overall, 6.52bn soles, or 89% of the 2020 MCT budget, was spent on new investments, such as the construction of bridges, roads, airports and ports, as well as the implementation of broadband networks.

That compares with a 77.9% budget spend in 2019, according to the ministry.