Oireachtas Joint and Select Committees

Wednesday, 19 June 2019

Joint Oireachtas Committee on Communications, Climate Action and Environment

National Broadband Plan: Discussion (Resumed)

Professor Eoin Reeves:

What was at stake at the beginning was a choice between different ownership models, one of which was the design, build, operate finance model used for road projects.

That is the exact same as the gap funding model in so far as the incentives will be built into the contract to make sure that the asset is maintained and at the end of the contractual period it would be handed back in a state that was fit for purpose. The main reason for using the gap model was for a different set of considerations, which was it would drive down the subsidy because it was expected the winning bidder would exploit the advantages of owning the infrastructure in the long term.