Oireachtas Joint and Select Committees

Thursday, 6 February 2014

Committee on Transport and Communications: Select Sub-Committee on Communications, Energy and Natural Resources

ESB (Electronic Communications Networks) Bill 2013: Committee Stage

2:20 pm

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour) | Oireachtas source

As Deputy Moynihan knows, the delivery of specific broadband speeds to end users is dependent on a number of variables, including the equipment used by the consumer, distance from the consumer to the access point in the network, core network traffic and the capacity of the server being accessed in the case of the Internet. Speed may also be affected by the use of a wireless router or Wi-Fi in the consumer premises. Almost all of these factors are beyond the control of the service provider. In addition, broadband speeds in the marketplace are currently evolving rapidly and are likely to continue to do so in the future, as new technologies and enhancements arise. Accordingly, it would not be appropriate to include in primary legislation provision for penalties for non-delivery of advertised speeds.

Furthermore, the introduction of this amendment would impose a more onerous obligation on the ESB than on other service providers. This would represent an unfair burden on one market player and would not be appropriate given the fully liberalised nature of the market. As the Deputy is aware, the telecommunications market is regulated by the independent regulator, ComReg. I am advised that ComReg has taken a number of proactive initiatives to address consumer concerns with respect to speeds including working closely with the Advertising Standards Authority of Ireland and providing enhanced information on this matter on its website. I am also advised that ComReg has recently secured industry agreement to participate in a pilot project to measure and report on broadband speeds measured at the point of access to the premises. This would measure speeds prior to any of the variables I outlined earlier occurring within a customer's premises.

I understand ComReg plans to launch this pilot in the second quarter of this year.

I share the concerns of many of my colleagues on the committee about misleading or exaggerated claims about download speeds made by service-providers. However, as I pointed out, it is my belief that a legislative remedy along the lines proposed, particularly in the context of legislation to enable ESB to engage in the telecommunications market, is not the appropriate way to deal with this issue. I hope Deputy Moynihan will accept that for the reasons outlined I am unable to accept this amendment. I am not challenging his assertion about the frustration in parts of rural Ireland, in particular about the quality of the broadband and a failure to deliver promised broadband speeds. There are a variety of reasons promised or contracted speeds are not delivered. We are talking about the Rolls Royce of a service enabling the delivery of fibre to parts of rural Ireland.

Other players in the market engaged in significant investment programmes in rolling out fibre means that the difficulties encountered in respect of broadband speed now will be altered dramatically.

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