LCQ12: Coverage of mobile phone and mobile networks in remote areas
19.4.2023

Following is a question by the Hon Chu Kwok-keung and a written reply by the Secretary for Commerce and Economic Development, Mr Algernon Yau, in the Legislative Council today (April 19): Question: The Government launched the Subsidy Scheme to Extend Fibre-based Networks to Villages in Remote Areas (Subsidy Scheme) in as early as 2018 to enhance the coverage of fibre-based networks in villages in remote areas, and provide the infrastructure necessary for the deployment of other types of telecommunications services (including the fifth generation (5G) mobile services). However, there are views pointing out that currently there are still quite a number of villages, squatter areas and frontier areas where the quality of mobile phone and mobile networks is poor, and the coverage rate of 5G networks is unsatisfactory, hindering the daily lives of residents in those places and the building of a smart city. In this connection, will the Government inform this Council: (1) whether it knows the current coverage rates of mobile phone and 5G networks in rural areas and remote areas in the New Territories and on outlying islands; (2) whether the Government has plans to further extend the Subsidy Scheme, including but not limited to the Government leading or subsidising mobile network operators to construct telecommunications infrastructure (e.g. 5G radio base stations (RBSs)), so as to benefit residents in remote areas as well as villagers who are not covered by the Subsidy Scheme; if so, of the details; if not, the reasons for that; and (3) given that some owners of the title to land or occupiers of land in the rural areas have encountered difficulties in negotiating with fixed network operators on the "Fibre-to-the-Home" services and installation of RBSs, whether the relevant District Offices will engage the relevant Rural Committees and rural representatives in a cross-departmental effort to provide support to the villagers concerned (including but not limited to assisting in drawing up contracts, conducting publicity and promotion, and providing relevant information); if so, of the details; if not, the reasons for that? Reply: President, Mobile network operators (MNOs) in Hong Kong launched commercial fifth generation (5G) mobile communications services in April 2020. The Government has been promoting 5G development in Hong Kong in various aspects, including implementation of various facilitative measures to assist MNOs in expanding 5G networks. In response to Member's questions, the consolidated reply is as follows: (1) and (2) The number of 5G users in Hong Kong has exceeded 4 million at present, representing more than 60 per cent of the population. 5G network coverage has covered more than 90 per cent of the population. Currently, four MNOs and three mobile virtual network operators in Hong Kong provide commercial 5G services. The Government has not maintained breakdowns by region on the coverage rates of mobile phones and 5G networks. Nonetheless, every telecommunications service provider has been striving to improve its network communications services to suit customer needs and commercial considerations. The Government has been monitoring the provision of telecommunications network services in remote areas and villages. Regarding broadband services, the Government notes that the progress of extending telecommunications network coverage to remote villages in the New Territories and outlying islands by fixed network operators had been slow in the past due to higher costs of network rollout and a smaller number of subscribers. To provide financial incentives, the Government has launched the Subsidy Scheme to Extend Fibre-based Networks to Villages in Remote Areas (Subsidy Scheme) since 2018 with a view to providing the villages concerned with high-speed broadband services and infrastructure necessary for further deploying other types of telecommunications services (such as 5G mobile and Wi-Fi services) to benefit villagers and visitors in the countryside. All six tender projects were approved under the Subsidy Scheme in 2019 and 2020. The subsidised new fibre-based networks are being extended to 235 villages in remote areas in phases from 2021 to 2026, benefitting about 110 000 villagers. Up to end of 2022, the Subsidy Scheme has already covered more than 120 villages with fibre-based networks, providing broadband services with a speed ranging from 200Mbps to 2Gbps. The Office of the Communications Authority (OFCA) will continue to actively follow up with the extension works in the remaining villages, targeting to cover all villages with fibre-based networks by 2026. At the same time, the Government has opened up about 1 500 suitable government premises for MNOs to install Radio Base Stations (RBS) at a nominal rent ($1 per year) through a streamlined application process. The Government has also established a mechanism to facilitate the installation of RBS at sheltered bus stops, public payphone kiosks and smart lamp-posts, etc. The Government hopes that the above measures can help improve the current coverage of mobile communications network in remote and rural areas. To further enhance the coverage of 5G networks in preparation for future development of more advanced mobile communications technology, last year's Policy Address announced the Government's plan to amend the Telecommunications Ordinance (Cap. 106) and relevant guidelines to ensure that appropriate space is made available in new buildings for installation of mobile communications facilities by MNOs. The plan will not only enhance mobile network coverage at new buildings and new development areas, but will also benefit residential areas and users nearby and in the vicinity, including the users in remote and rural areas. Besides, to encourage MNOs' more active investment in infrastructure for providing better communication services to companies and the public, the Budget this year has proposed to provide tax deduction for the spectrum utilisation fees to be paid by the future successful bidders of radio spectrum. The Government is actively knocking out details with relevant departments with a view to implementing the proposal as soon as possible. The above measures will help expand the overall network coverage in Hong Kong, including improving telecommunications services in various regions such as remote and rural areas. OFCA will continue to monitor the implementation progress of the Subsidy Scheme, and proactively co-ordinate with MNOs and relevant stakeholders on their work for improving mobile telecommunications networks. The Government will also continue to review the effectiveness of various existing measures and consider devising relevant measures to further improve telecommunications services in various areas including the remote ones. (3) If MNOs would like to enter private lands for network installation, they need to reach a prior agreement with the land owners. OFCA's designated team has been actively maintaining close communication with the Home Affairs Department (including the District Offices) and Rural Committees, and provide appropriate assistance and co-ordination as necessary. Relevant work has attained considerable progress and achievements in the past to facilitate mobile communications network installation by MNOs, and OFCA will continue its work to provide assistance.