Oireachtas Joint and Select Committees

Wednesday, 22 May 2019

Joint Oireachtas Committee on Communications, Climate Action and Environment

National Broadband Plan: Discussion

Photo of Eamon RyanEamon Ryan (Dublin Bay South, Green Party) | Oireachtas source

I take the point that it is not a guarantee but a hypothesis. Let us say the figure is 15% or 20%. That is the return on their initial capital investment of €175 million and that is ongoing over the lifetime of the project. I presume it goes up if they put more capital in and so forth. Why do they end up owning the asset? If they get a rate of return of 15% or 20%, that would be deemed profitable in a regulated market, with a long lifetime of 25 years so why do they own the asset at the end of the period? Is a 15% or 20% rate of return on capital not enough? Why do they get to own the asset?

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