Palau National Telecommunications Corporation (PNCC) has received a “Release of Funds” letter from the United States Department of Agriculture and Rural Utilities Service (RUS) for the $35 million grant to improve connectivity to homes and establishments around Palau. Palau’s grant application for $34.9 million was approved last year.
The funds come from the USDA Reconnect Loan and Grant Program, which offers loans and grants to improve connectivity to eligible rural areas. Palau received the maximum grant of $35m to improve broadband connectivity.
The project, expected to be completed in 5 years, will connect over 9,000 homes, businesses, education, and government facilities through fiber-to-premises infrastructure.
PNCC will be hiring a consultancy service initially to help it draft the Request For Proposal for the design and build of the project. In a letter to Speaker Sabino Anastacio, PNCC CEO Simon Fraser said that the RUS has approved the proposal to hire consultancy services.
The letter of release comes after a “lengthy review process with RUS,” and “it marks a significant milestone in our efforts to improve the telecommunications infrastructure in Palau,” added CEO Fraser, thanking OEK for its leadership and support of PNCC’s endeavors.