Mr. Kevin O'Brien:

The Deputy's questions pertained to the fixed line networks, the UPC and Eircom roll-outs and then to 4G and I will answer them in turn. The way that ComReg and the regulatory framework are set up is one starts off with a marketplace. ComReg does not design that marketplace but comes and regulates that marketplace as it finds it and tries to deal with problems within it. Ultimately, Eircom and UPC are free to deliver services as they see fit, to develop their business plans and to compete in a liberalised marketplace. Our job then is to ensure that any distortions or blockages to competition are taken away and that it is a fair place for competition and investment. For instance, in the case of UPC, its network passes over 700,000 households, while that of Eircom, as I stated, goes to every house in Ireland with the telephone line. However, its announced plan is to hit 1.2 million houses with this new next generation access, NGA, broadband. We intervene in a way that tries to maximise that investment and to maximise the competition that leads to this investment. However, we have no powers to direct people to build and provide service, with the exception of the aforementioned universal service obligation, which pertains to the fixed line. However, it is not a broadband service. There has been debate in Europe as to whether the universal service regime should specifically mandate broadband and that broadband should be something that everyone must receive through this regime. In Ireland, we are of the view that the national broadband scheme I mentioned, which the Government ran a couple of years ago, had a target of giving broadband to everyone in Ireland and the indications are that this target was met. I acknowledge that many people in the more rural areas were receiving mobile broadband.

The Government subsequently ran the rural broadband scheme which was a mopping-up exercise to find out if there was anybody who could not get service. About 4,000 or 5,000 people said they could not get a connection and effectively the Department did a matchmaking exercise with operators who said they could provide a service, many being satellite or wireless operators. It was reported that four people could not find an operator and there has been some intervention there. Because of these interventions it would appear that everybody in Ireland can get that basic level of broadband so the need to change universal service to mandated is probably not required but it is something that everybody will continue to look at. The challenge is to give everybody not one or two megabits but to try to give everybody in the country 30 megabits, which is the Digital Agenda target in Europe and is also the target the Government has put out in its new national broadband plan from last summer. We are all focused on trying to achieve that target. ComReg can do it by allowing the market go as far as it can and the Department has announced that it is prepared to intervene and put in public funding for that last piece. That is the fixed network piece in the main.

On the fourth generation roll-out, we completed our auction in that regard last November raising in the region of €850 million for the Exchequer. Four operators were winners in that auction. Those operators have all bought spectrum at different parts of the band. In summary, those licences run until 2030 - there are two periods - but in the main there are licences until 2030. Those licences permit the operators to launch fourth generation services where, on average, there will be much higher speeds to one's mobile telephone ortablet. The coverage obligation that we have put in place is a minimum of 70% within three years. We did this, noting that many of the operators, in terms of telephony coverage are already up around 99% and the expectation is that they will replicate and compete on coverage, as they have done in the past.

As to when the operators launch that service, that is their business but they have paid for that spectrum in order that they can launch that service. We would expect that as soon as they are ready, they will be in the business of offering fourth generation services and no doubt advertising heavily as they do that.