Dáil debates

Thursday, 9 May 2019

Ceisteanna ó Cheannairí - Leaders' Questions

 

11:50 am

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael) | Oireachtas source

I thank the Deputy for raising this question and giving me an opportunity to clarify matters relating to some of the concerns he has outlined. If the Government had not made the decision we have made, Opposition parties would attack us on the basis of delays, indecision, and a betrayal of rural Ireland. We made this decision as soon as we could stand over it. The Minister for Communications, Climate Action and Environment, Deputy Bruton, made a recommendation to Cabinet, which was accepted after approximately four hours of debate. I was not there myself because I was in the UK, but I have had long conversations with the Minister, the Taoiseach, and the Minister for Public Expenditure and Reform, Deputy Donohoe, on this issue.

The rest of the Cabinet and I are satisfied that we have made the right decision. We have not made it because the local elections are a few weeks away. This is a decision for the country for the next 35 years and beyond. It is about future-proofing rural Ireland for the technological change we know is happening. It is about ensuring that there is not a digital divide across this country based on where one lives or one's address. We are making the largest capital commitment in terms of investment in rural Ireland since electrification. I hope we will get support from other parties in our efforts to do that.

Of course, Opposition parties need to test the Government and to hold it fully to account. That is why we have released all of the information relating to the debate that took place within Government and within Departments before this decision was made. The Department of Public Expenditure and Reform has tested this decision very robustly. The Department of Communications, Climate Action and Environment has very robustly defended that decision and has made the case for it using independent cost-benefit analysis and so on. The job of Government, however, is to make decisions and to explain them. Its job is to make decisions in a transparent manner and in the full knowledge of the cost, which may be up to €3 billion but may well be much less in light of the different scenarios that may unfold. It should also be taken into account that the €3 billion includes VAT and a very significant contingency of more than €500 million. This is a significant decision, but it is one which will be transformative for rural Ireland in terms of opportunity. If we did not make it, we would restrict the availability of what will become essential services through high-speed broadband in the future.

Regarding what is commercially sensitive and what is not, the Government is not in a position at this moment in time to give a figure for what equity the bidder itself is putting in because there is still a negotiation to conclude with regard to finalising the contract. That figure will be published in time and it will be proportionate to the commercial return available to the bidder in the context of the infrastructure it has an obligation to deliver on.

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