Fjarðabyggð to receive fiber-optic connections in final push by Telecommunications Fund

The urban areas of Fjarðabyggð and beyond are set to receive fiber-optic connections in a final effort organized by the Telecommunications Fund. Over the next two years, many towns that have lagged behind in fiber-optic development will be connected, as the Fund prepares to conclude its operations by the end of the year. A significant portion of the homes slated for connection are located in Fjarðabyggð, where residents have faced a lack of access to fiber-optic service.

Telecom companies have hesitated to lay fiber optics in all towns due to high costs, resulting in some areas being left without connections. Interestingly, rural areas often have better internet access than urban ones. Recently, the final allocations from the Telecommunications Fund were announced, with support given to 25 municipalities to extend fiber-optic connections to remaining households that telecom companies plan to overlook in the coming years.

This initiative includes 4,251 households, with nearly a quarter located in the communities of Fjarðabyggð. The mayor has stated that without the Fund’s financial backing, connection fees for residents would have been prohibitively high. He noted that Fjarðabyggð is currently the least advanced municipality in achieving fiber-optic coverage across its communities.

Contracts with a specific telecom provider will determine whether the Fund’s support and the company’s investment will cover the costs, ensuring that neither Fjarðabyggð nor its residents will have to pay upfront. The municipalities benefiting from this support include Fjarðabyggð and several others, although one municipality, Grindavík, did not submit an application due to uncertainty from geological activity. Even with the Fund’s closure, the Telecom Agency and the government will oversee the completion of outstanding projects.