Dáil debates

Tuesday, 26 January 2010

Other Questions

Telecommunications Services.

3:00 pm

Photo of Jimmy DeenihanJimmy Deenihan (Kerry North, Fine Gael)
Link to this: Individually | In context

Question 97: To ask the Minister for Communications, Energy and Natural Resources when he plans to instruct ComReg to allow open access to all publicly and privately owed broadband infrastructure. [3367/10]

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

The question of ensuring access to telecommunications infrastructure is a matter for ComReg as part of its function of regulating the telecommunications markets in accordance with the requirements of the EU regulatory framework for electronic communications. ComReg is independent in the exercise of its regulatory functions and is required by law to exercise its powers impartially and transparently. Under the access directive of the EU regulatory framework, ComReg is required to ensure access and interconnection between telecommunications operators in order to promote efficiency and sustainable competition and provide the maximum benefit to end users. These are legal obligations under EU and national law, which ComReg is required to enforce.

There are a number of telecommunications networks owned by the State or by commercial State bodies that are available to telecommunication service providers on an open-access basis. Some 87 metropolitan area networks, MANs - constructed by my Department, in conjunction with local and regional authorities and offering dark fibre and managed services - are available on an open-access basis to all service providers. There are currently 35 service providers using the MANs in some of these locations.

ESB Telecoms, ESBT, has built over 1,300 km of optical fibre network, which was grant-aided by my Department from Exchequer and European regional development funds. ESBT offers dark fibre and managed bandwidth services to any service provider requiring backhaul connectivity on its network. Aurora Telecom, a division of Bord Gáis Éireann, offers dark fibre on its network to service providers on an open-access basis. The importance of open access for competition in the telecommunications market has been continually highlighted by me in policy statements governing electronic communications. I referred to it most recently in my policy paper, Next Generation Broadband - Gateway to a Knowledge Ireland.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

If the Minister is continually highlighting the issue of open access, one must inquire as to why he is not making it happen. The Minister has been in office for a number of years and he understands the telecommunications market quite well. He refers to the need for open access to infrastructure but on each occasion he is asked this question he states that ComReg, in the context of its regulatory functions, is independent. That is true. However, ComReg is not responsible for setting policy and this is a policy issue. A policy decision regarding whether ComReg will independently require the owners of ducting or fibre infrastructure to make such infrastructure available - in the interests of competition - to other operators for their use is going to be required.

I presume the Minister is familiar with the position in France and the success that has been achieved as a result of ducting infrastructure being opened up to competition on a national basis. What happened in France has promoted competition, brought about reduced prices and improved services. That is the kind of model I would like to be implemented in Ireland through an independent regulator. However, ComReg cannot make the decision to implement it. A Minister must give a policy direction to an independent regulator to implement it.

It is disingenuous for the Minister to state that there are 87 metropolitan area networks available for use in this country, particularly when he is aware that a significant percentage of these do not even have backhaul capacity. Some of them are mere fibre rings - for which the taxpayer has footed the bill - which were laid around certain towns but which are not connected to a backhaul infrastructure.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
Link to this: Individually | In context

The Deputy should allow the Minister to reply to his supplementaries at this point.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

The specific question here is-----

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
Link to this: Individually | In context

The Deputy has now spoken for three minutes. He is only allowed one minute in which to ask his supplementary questions.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

I am entitled to take some time.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
Link to this: Individually | In context

No, the Deputy is not allowed to do so.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

I am entitled to take some time.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
Link to this: Individually | In context

The Deputy is allowed one minute in which to pose supplementary questions and he has already spoken for three minutes. This means that other Members will suffer. I want to be as flexible as possible but the Deputy should show some respect for the Chair.

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

I have given a very clear policy direction to the effect that we want to move towards open access. Yesterday, Eircom and ComReg reached an agreement in respect of this matter. They were due in court today in respect of a ComReg decision to bring the cost of wholesale line rental down from €8.41 to 77 cent per month. This means the new rental price will be less than 10% of that which previously applied and it shows that the policy approach does work.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

I did not inquire about that matter. Will the Minister answer my question?

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

The Deputy did inquire about it.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

Will he require open access to infrastructure?

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

The Deputy inquired about what ComReg is doing to deliver open access? That which I have outlined represents a massive change and is a major indicator in the context of delivery.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

I asked what the Minister is doing.

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

I set the policy framework within which ComReg makes its decisions.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

The one-stop shop was supposed to have been established six months ago. However, there is still no sign of it.

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

The 90% plus reduction achieved yesterday in crucial rental charges in respect of hundreds of thousands of lines throughout the country is an example of how policy can work and how open access can be provided. That is an example of a policy working, bringing prices down and providing open access on the market, and it was achieved yesterday.

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

I have a specific question. Will the Minister instruct the regulator to introduce an open-access policy to all ducting infrastructure in order to facilitate those private companies that want to lay fibre to increase and improve broadband speeds?

Photo of Noel CoonanNoel Coonan (Tipperary North, Fine Gael)
Link to this: Individually | In context

Will the Minister respond to the chief executive of Shannon Development who recently said that the main impediment to job creation in the mid-west,-----

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
Link to this: Individually | In context

That is not relevant to this question now.

Photo of Noel CoonanNoel Coonan (Tipperary North, Fine Gael)
Link to this: Individually | In context

-----which is dying on its feet, is the lack of a high-speed broadband system in the area?

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

At the forum we held on next generation broadband in Dublin Castle involving all sides in the debate, I gave a very clear consistent signal that we need to develop a co-operative model that is also still competitive. It needs to be co-operative in terms of providing open wholesale access. Crucially, that is now being delivered; it is starting to work and happen, in the MANs, which are being used increasingly, in the dramatic fall in line rental on a wholesale basis,-----

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

May I ask a question?

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

-----in the schools broadband infrastructure, which we are providing, and in the one-stop shop that we are progressing. In the Seanad, as we speak, a series of measures are being taken-----

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context

Will the Minister require open access to infrastructure?

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
Link to this: Individually | In context

Yes. Those measures will provide open access in a plethora of different ways to bring us back up to the very top of the league in broadband. That is happening. It happened yesterday in the courts and will happen in the Seanad tomorrow when we push the legislation through. I believe it will work; it is the right policy as against the alternative, which would have been a direct intervention, paying over money to the former Eircom owners which would not have worked. I am very glad we did not pursue this as a policy unlike others who proposed it.