Future telecom in the Caribbean Netherlands

Direct Transatlantic Cable Between the Caribbean and the Netherlands Deemed Unfeasible Due to €300 Million Cost. A proposed direct transatlantic cable connecting the Caribbean Netherlands with European Netherlands has been deemed unfeasible due to its estimated cost of nearly €300 million, according to the Dutch government.

Government Response to Parliamentary Motion

Minister of Economic Affairs Vincent Karremans provided this assessment in response to a parliamentary motion requesting that the government develop a plan to lay sufficient new transatlantic sea cables in both the European Netherlands and the Caribbean Netherlands, along with an inventory of the necessary financial resources.

Cost Breakdown

According to Karremans’ detailed cost analysis:

• Direct submarine cable to Statia/Saba: approximately €237 million
• Connection between Statia/Saba and Bonaire: €55 million
• Total estimated cost: €292 million

These figures do not include potential costs for a branch connection to the United States.

Potential Business Case Enhancement

The minister noted that adding a US branch could strengthen the business case for the direct submarine cable to the Caribbean Netherlands. Such a cable would provide dual benefits: improving connectivity for the Caribbean Netherlands while establishing a new transatlantic connection between the Netherlands and the United States.

However, Karremans emphasized that the government lacks the financial resources to fund such an undertaking.

Room for Improvement Without Cable

Despite the setback on the transatlantic cable proposal, a study released today by the Authority for Consumers and Markets indicates significant potential for telecommunications improvements in the Caribbean Netherlands through alternative means that would not require the costly transatlantic infrastructure.

Read the report from the ACM on this matter HERE