Richard Bruton (Dublin Bay North, Fine Gael) | Oireachtas source

This price has been set by the State in the contract. It is based on prevailing prices elsewhere with the objective that people in urban and rural areas will pay the same charge. It is anticipated that situation will prevail, and ComReg advised us throughout. We are linking the prices in urban areas with the prospective ones in rural areas.

As I mentioned earlier, Eir charges €20 per pole and €10 if shared. That is a regulated price. ComReg sets the cost price which is based on a reasonable rate of return for the owner of the pole. Obviously ComReg can alter the price independently, as it decides.

The lifetime of a cable is unproven. In the unique conditions of rural Ireland, cables degrade over time and need to be replaced. In terms of performance, manufacturers provide a range depending on conditions. There is an expected life that is based on established standards in the marketplace. We can get the Deputy more information on the matter.

I do not have the figure on the uptake at different points. Obviously the contractor carries the risk. Just as Deputy Bríd Smith said, the contractor has done the studies. It is the contractor who would carry the risk if the uptake is lower. The contract allows for 2% to be wireless. It is open to the contractor to come back to the Department and establish that a higher percentage than 2% could still deliver the level of performance that we expect. We could accept that but we would have to satisfied that the level of performance would be delivered. It is only 2% that a contractor can decide at his or her own discretion but the standards set must also be achieved.

Of course the contractor can use ESB infrastructure. It is open to the contractor to use whatever infrastructure is available. We cannot oblige a contractor to use a particular provider of poles or ducts because that would be interference in the marketplace. It is very clear that the contracts provide that a contractor can take access of any existing infrastructure, be it ESB, metropolitan area networks, MANs, or Eir. That option is at the discretion of the tenderer. As has been rightly pointed out, having choice certainly gives someone more leverage in the marketplace.