Access to adequate broadband services has crucial importance to our economic and social development. To achieve the Digital Agenda targets, substantial investments are required. While most of this investment must come from private operators, it is clear that in certain areas some form of public financing will be necessary.
Investment models present involvement opportunities especially interesting for a public authority that engages in regional broadband development. The choice of one model over another is also based on the economic situation. Based on these aspects, four investment models can be identified:
More information on investment models.
More information on main financing tools.
A new Guidance for Beneficiaries of European Structural and Investment Funds and related EU instruments explains how to effectively access and use the European Structural and Investment Funds and how to exploit complementarities with other instruments of relevant Union policies.
In case private actors owning existing infrastructure are willing to cooperate with the public authority to build a municipal network (public or private-run), the investment effort is partly supported by the private actor concerning the deployment and operation of the passive infrastructure.
This attracts other private investors as it provides greater stability to the equity base and improves the credit rating of the project company or joint venture. This category of financing can be further split into equity finance, debt finance, and grants.
More information on financing of public-private joint ventures and private-run deployments.