Ms Helen Dixon:

Go raibh maith ag an Leas-Chathaoirleach. Ba mhaith liom i dtosach báire mo bhuíochas a ghabháil leis an gcomhchoiste as an gcuireadh chun cainte inniu. Is coimisinéir mé leis an gCoimisiún um Rialáil Cumarsáide. I thank the Vice-Chairman, and on behalf of ComReg, we are happy to appear before the committee to discuss enforcement policy and operation of the enforcement powers of ComReg, including recent enforcement proceedings against Eir. I have been a commissioner with ComReg since 20 February 2024. Prior to joining ComReg, I was the Data Protection Commissioner for almost a decade. I am joined by my colleague Mr. Mervyn Hickey, who heads up the legal function of the customer services division in ComReg.

As members are aware, ComReg is the national regulatory authority for electronic and postal communications. The functions of ComReg are wide-ranging and varied. The focus of this statement, however, is on ComReg’s enforcement functions, in particular those concerning end users of electronic communications services.

ComReg is statutorily obliged to monitor and ensure compliance by regulated entities with their legal obligations. Our statutory objectives in the exercise of our functions include promoting competition and protecting the interests of users. ComReg seeks to ensure a high level of protection for end users in their dealings with suppliers. This takes many forms. In particular, we focus on ensuring that users pay only the prices they agree with their provider, that they are not over-billed, that they receive the quality of service to which they are legally entitled, that if something goes wrong they can access consumer care through their provider and, if necessary, through ComReg, and that redress is available to them. ComReg also focuses on promoting competition to ensure users derive benefits in terms of choice. An example of this is ensuring that users can easily switch provider. We uphold end-user rights and ComReg seeks overall to ensure that end users can choose and use their phone and broadband services with confidence.

I will outline our approach to enforcement. I propose to deal with this topic by discussing ComReg’s enforcement policy, the operation of ComReg’s enforcement powers and recent enforcement proceedings against Eir. In terms of policy, ComReg is required to perform the functions conferred on it by statute and is independent in the exercise of those functions. As the designated national regulatory authority, we enforce a broad range of end-user protection provisions relating to users of electronic communications services. These include the end-user provisions of the European Union regulations of 2022, the Consumer Protection Act 2007, the Consumer Rights Act 2022, protections afforded under the Communications Regulation Act 2002 to 2023, the ePrivacy regulations, premium rate services legislation, and conditions attached to general authorisations.

ComReg has set out its approach to enforcement activities in its strategy statement. Our enforcement strategy is based on four principles, namely, inculcating a culture of compliance in the entities we regulate; actively monitoring for compliance; taking targeted enforcement actions where compliance is not achieved; and ensuring there are effective deterrents.

Given the importance of the electronic communications sector to our economy and society, ComReg has at any point in time a range of compliance monitoring activities and enforcement actions in train. Litigation can span a range of end-user issues but can also relate to other diverse matters such as access to physical infrastructure and compliance with radio spectrum obligations.

Today, we will focus on end-user and consumer-related matters. ComReg regularly investigates complaints and emerging trends which may arise from consumer contacts to our complaints line and website. For example, if ComReg receives multiple contacts on an issue relating to a particular entity, we will examine and analyse such a trend to see if it warrants an in-depth investigation. In 2023, ComReg consumer care received reports of 11,740 issues related to providers, of which 1,565 were classified as formal complaints. ComReg may also open investigations to monitor and assess compliance at our own volition.

Regulatory breaches harm consumers, firms, industry and competition generally. Effective enforcement actions and sanctions ensure that there is a genuine deterrent, both to the party being penalised and to other regulated entities in the market.

In terms of the operation of our powers, ComReg has both civil and criminal enforcement powers, which it uses to enforce obligations and uphold end-user rights. ComReg’s civil enforcement powers involve it pursuing actions before the courts or adjudicators, and these are separate to private rights of action that customers may bring themselves. ComReg is also empowered to initiate summary prosecutions of offences under various enactments.

In the end-user and consumer context, ComReg has been taking District Court prosecutions against providers, for breaches of obligations and end-user rights since 2015. In that time, 188 criminal convictions have been recorded and fines totalling €242,400 have been imposed.

These summary proceedings have been taken against all the major providers and have been based, in the main, on consumer complaints received.

In terms of the exercise of ComReg’s civil enforcement powers, as the committee will appreciate, some cases are settled between the parties before they arrive in the High Court. Penalties totalling €3.94 million have been paid as part of settlements and providers have arranged for refunds to consumers totalling €10.4 million since 2014. Such settlements have been arrived at with all the major providers and cover the range of end-user concerns. ComReg is, at present, pursuing one consumer case in the High Court concerning Virgin Media’s procedures for contract termination in the context of switching provider. This case was heard in October 2023 and judgment is awaited.

Some service providers like to resolve matters promptly and proactively following ComReg intervention and in that category, since 2014, provision has been made by providers for refunds totalling €11.7 million in addition to other remedial measures that have been taken. All of our cases and outcomes are published as information notices on our websites. These publications serve to further underscore ComReg’s enforcement priorities providing additional transparency for both end users and service providers.

I turn to recent enforcement proceedings against Eir. On 15 April 2024, the Dublin District Court heard ten prosecutions brought by ComReg against Eircom Limited, relating to failures by Eircom to comply with obligations concerning its complaints handling processes. In each case, there was a failure by Eircom to provide a complaint acknowledgment that included a complaint reference number to customers within two working days, and in some cases there were further failures, either to provide a complaint response within the maximum timeframe of ten working days, or to communicate to customers an email address to progress their complaint in addition to other forms of contact if the complaint remained unresolved after ten working days. The prosecutions were brought under regulation No. 27 of the 2011 regulations. These were the relevant regulations in force at the time of the breaches. Eircom pleaded guilty to 12 counts on ten summonses before the court. Judge Anthony Halpin imposed criminal convictions on ten counts and took into consideration the other two counts in ordering Eircom to pay a total of €7,500 in fines. Eircom also contributed to ComReg’s costs, as agreed between the parties.

ComReg’s compliance monitoring and enforcement activities are key aspects of our role and hugely important in the context of upholding end-user rights. All providers are subject to this activity. The action we take reflects our strategy but will also be dictated by the circumstances of a particular case. ComReg actively monitors the market for non-compliance and takes action against service providers using its various powers as appropriate. Details of all the actions we have concluded are on the ComReg website. I thank the committee for the opportunity to provide this opening statement and we look forward to assisting with questions.