Dáil debates

Thursday, 10 March 2005

4:00 pm

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)

I welcome Deputy Broughan's contribution, which supports Government policy in this area. The thrust of my response to the legitimate question he raised is that the best way of ensuring 3G and other services are provided at a lower price is to ensure there is competition in the market. That function is very much part of the directions I have given to ComReg, which has been mandated to focus on competition as a key objective with a particular emphasis on competition in the fixed and mobile markets. ComReg has the power to introduce remedies where it finds there are barriers to entry into the market or where competition is being suppressed.

Like the Deputy, I welcome ComReg's recent report. The remedies proposed by the commission in regard to the dominant position of the two mobile telephone companies and the alleged collusion between them will allow mobile virtual network operators access to the networks and ensure access to the market for as many operators as possible. As Deputy Broughan observed, this approach has been successful in other countries. In Denmark, for example, charges dropped by some 25%.

Although I have no function in this regard, I have had direct discussions with the two leading operators and have made the point to them that the Irish market is overpriced. They, in turn, have made their case to me and supplied me with further details from their point of view. However, I strongly support the view and actions of ComReg in this matter. Competition is necessary and Irish consumers, who are significant users of mobile telephony, contribute greatly to the profits of these companies and deserve better than what they are currently receiving.

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