We welcome State Aid which is funding full fibre networks in areas where there is no business case for private investments.
In our view the State Aid regime should answer two essential criteria. First of all, we believe that to make the most use of public money, only projects which are future-proof should be financed. This also means that to be consistent with the EECC, investments funded by the State should be classified as VHCN. Consequently, we believe that anything not falling in the category of VHCN, which we understand as FTTH/B, should not qualify for funding.
Secondly public funds should only target areas where there is no business case. Urban areas are typically commercially viable as the cost of deployment is lower compared to deployment in other areas and should not fall under the scope of State Aid. Less dense areas on the contrary are more likely to be targeted. However considering that parts are commercially viable and that some operators focus their business case on less dense areas, we would call for a case-by-case basis to make sure that public money is only used for areas where private financing is not possible. It is essential that areas which are eligible to be covered with private investments are not overbuilt by State Aid funds.