Dáil debates

Tuesday, 27 February 2007

Communications Regulation (Amendment) Bill 2007 [Seanad]: Second Stage

 

7:00 pm

Photo of Seán CroweSeán Crowe (Dublin South West, Sinn Fein)

One of the main objectives of this Bill is to give more power to ComReg to regulate the communications sector, particularly Eircom as the major player. The need for such regulation is an acceptance of the fact that the private sector obviously cannot be trusted to act in the interests of citizens at large through the provision of optimum communications technology on a universal scale. Eircom, as a private monopoly, was essentially given a free rein, and the promised advantages of privatisation in increased competitiveness, improved product quality and service and cheaper costs have failed to materialise.

Instead, we have some of the highest mobile and fixed line telephone charges, most expensive Internet and broadband prices and slowest speeds in Europe, not to mention Ireland's poor broadband take-up. That prices still in no way compare to those in the rest of Europe is the key area of concern for the public. Other speakers spoke about how we have fallen behind in the telecommunications race. Most people, however, are mainly concerned that they are being ripped off with these charges. It seems there is no attempt by anyone to rein in these companies.

This is the legacy left by the Government's disastrous decision to privatise Telecom Éireann in 1999. It has failed miserably in attempting to rectify this disaster. Deregulation only benefited Eircom venture capitalists, who have chased huge profits with near impunity. The market has totally failed to ensure universal access to high-quality and high-speed broadband. Many areas in the State that have poor or non-existent roll-out of broadband find it almost impossible to attract new industries and businesses to their locality because they lack such basic telecommunications facilities. The Government tends to be timid and quiet about the fact there are entire sweeps of the country that cannot attract business because of this failure of the system. I agree with Deputy Broughan in calling for a universal service obligation in regard to broadband and so on. The Government is failing even to maintain never mind increase Ireland's competitiveness.

Eircom has been a law unto itself these past several years in ignoring Government pleadings to invest in telecommunications infrastructure. When Telecom Éireann was in existence it at least provided some infrastructure. The Government has created its own technological communications Frankenstein by privatising Telecom Éireann. It is only now, at this belated stage, that the Government is attempting to control it in some form. The national interest of investing in technological communications infrastructure has taken a back-seat to the insatiable lust for profit from Eircom's major shareholders, while we languish at the bottom of Europe's broadband table.

The Minister said this Bill will extend ComReg's consumer protection role by assigning it powers to investigate specific instances of overcharging. Does the Minister believe this new legislation will safeguard customers from mobile telephone companies and their notorious record of overcharging people through roaming charges, for example? Mobile telephone roaming charges and overcharging are scandalous. Charges remain mysteriously high even though progress was allegedly made on roaming costs. People are being ripped off with hidden costs, especially when travelling to the North. Will ComReg challenge this or does it have the power to put a halt to this rip-off?

Will the Minister assure us that provisions in this new legislation will prevent another disaster such as when Smart Telecom's 45,000 customers found themselves without telephone access while thousands could not even make emergency calls? Can the Minister explain in detail how another such fiasco will be prevented?

Comments

No comments

Log in or join to post a public comment.