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MELBOURNE, Australia (Radio Australia, April 21, 2011) – Niue's ongoing frustration with poor Internet service has led the government to fund the setting up of a better one.

The Polynesian island of Niue sold it's Internet domain name, .nu, to the Internet Users Society of Niue.

In exchange, Niue was to recieve a free Internet service, including Wireless local area networks (WiFi).

But the Premier,Toke Talagi, has told Radio Australia's Pacific Beat the service has been substandard.

"In fact at the present moment, the Internet services is unreliable and not available throughout the island," he said.

Mr Talagi says the cost has also been a problem, with some people paying up to US$2,400 for the installation on WiFi alone.

He says a faster, reliable Internet service is a critical part of any country's development, especially for business and the tourism industry.

"If we are going to develop the tourism industry it is important that we have good, fast Internet services," he said. "It's also important to have a reliable service for money transactions and so on. Those are the key things we need to have in place."

A US$4.8 million project to set up the island nation's own Internet service is expected to be completed by mid-year.

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