The Dutch government has extended the fixed internet subsidy for Bonaire, Sint Eustatius, and Saba by 1 year. As a result, local residents and businesses will continue to receive a discount on their monthly internet bills throughout 2027.
The Ministry of Economic Affairs and Climate Policy (EZK) has allocated a multi-million-dollar budget for this extension (Dutch), which it will distribute through active telecom providers on the islands to pass on directly to end-users.
Subsidy rates and financial allocation
To finance the extension through 2027, the ministry has earmarked a total budget of USD 6.9 million (approximately EUR 6.2 million). This funding provides the following monthly discounts per connection:
- Bonaire: A structural base subsidy of USD 25 per month.
- Saba and Sint Eustatius: A structural base subsidy of USD 35 per month.
- Purchasing power support: An additional, temporary contribution of USD 15 per month applied across all 3 islands to alleviate local inflation.
Accessibility and livelihood security as a foundation
The ministry notes that fixed broadband rates in the Caribbean Netherlands remain disproportionately high relative to the European Netherlands due to geographic isolation, climate vulnerabilities, and a small market scale. Reliable and affordable internet is framed as a vital prerequisite for modern societal participation and purchasing power support. The subsidy aims to help keep fixed internet connections affordable for citizens and entrepreneurs.
Evaluation of the subsidy scheme
An evaluation conducted by research firm EY (Dutch) shows that 48.5% of respondents say the subsidy gives them more financial room for other expenses. A further 28.8% say it helps them maintain their existing internet connection.
The evaluation also identifies areas of concern. For example, 45.5% of respondents consider the quality and stability of their internet connection an important issue. In addition, 34.3% are unaware of the subsidy scheme.
Need for structural market regulation
The extension also mirrors findings from the Authority for Consumers and Markets (ACM) study Organisation telecom market Caribbean Netherlands. The ACM concluded that due to local monopolies and limited scale, market competition alone cannot lower prices. Therefore, it advised tighter regulatory oversight until structural reforms take hold.
Future of the scheme from 2028 onwards
The Cabinet will use the evaluation findings to determine how the subsidy scheme should be structured from 2028 onwards. The House of Representatives will receive a further update in the first quarter of 2027. Any changes to the scheme will not take effect before 2028.
