Mr. Mark Griffin:

I return to the discussion with the Minister a few minutes ago about broadband, which was raised by Deputy Coffey. Given where we need to be in broadband communications and the digital agenda in coming years, we have an opportunity to make some critical decisions on the delivery of broadband within our State. This is an EU-wide issue. There is a digital agenda for Europe that envisages that by 2013 all citizens will have access to a basic level of broadband, which Ireland has achieved. It has a much higher target to be achieved by 2020.

As the Minister outlined earlier, we have a pretty well-supported broadband sector in the major cities and towns. We have good competition among Eircom, UPC and Sky at this stage. The situation is not as good in rural areas and we all accept that needs to be addressed. The Government covered its broadband strategy last year, which identified the need for targeted Government investment in the provision of broadband in those areas that will not be supported by the commercial market. The Department has commenced a mapping exercise to identify the areas to which the commercial operators will provide broadband. By definition, that will identify areas in which the State needs to intervene.

In recent months the state aid guidelines have changed, requiring a rethink on the nature of the intervention on our part, and that work is still under way. It is a problem for all member states and one we want to ensure we get right in the next 12 months or so, in order that we can, as the Government says, make this country the best small country in the world in which to do business. That is a critical component of the infrastructure needed to do that.

Still on the digital theme, the Department's digital strategy published earlier this year outlines the scale of investment that is being made online by Irish people. Approximately €4 billion was spent last year, of which approximately 70% went outside the State. That is a real challenge for us in how we position small businesses in the State to gear up in order to have an online presence. They need to be able to conduct transactions online and recover some of that business. Even if they only recover 10% of it, the economy would benefit from €280 or €300 million. If the level of ambition is set higher, it would have much greater benefit for the Department. There is also a huge risk. If we do not make the right decisions in the coming years on the digital economy, there is a real risk that a much greater proportion of retail trade will be transacted online, with a consequential impact on Irish businesses, jobs and the Exchequer.

The renewable energy agenda is another area where there are developments at EU level and nationally. There are EU targets for renewable energy to be achieved by 2020.

We have set ourselves an ambition of 40% of electricity generation from renewable energies by 2020 and we are well on target to achieve this. We are slightly beyond 20% at this stage, which is a significant achievement for the State and the people active in the sector. When one considers the fact the State relies heavily on the importation of fossil fuels to run our generation businesses, it is critical we have another avenue in terms of the fuel source, and the fact we have invested so much in the development of the renewable energy sector will pay off in due course.

Our energy efficiency ambitions are quite significant. Targets are set at EU level. The Minister mentioned in his intervention the fact we will put the energy efficiency fund in place quite quickly. We have an ambitious energy efficiency target to achieve in the public sector of 33% by 2020, and we have significant targets in the private sector. Substantial investment has been made by the Government in retrofit programmes and the better energy homes and better energy warmer homes schemes, which as well as having an impact on the energy efficiency agenda and delivering the targets are also very beneficial from an economic development and job creation perspective.