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Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: Have discussions moved on since then? Has there been a change in the shareholding or funding model of NBI now?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: Has that happened?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: What percentage of the funding commitments will they replace?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: Will there be significant movement in the commitments from the existing financiers to this new group?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: Was their equity in the form of long-term debt commitments or shareholding?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: But it is debt.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: Mr. Hendrick does not see merit in that in the rural areas.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: It is very simple for us to say there is an Eir fibre network in a rural area for someone's neighbour over the ditch and ask why not come to some agreement with Eir to just plug into that fibre cable and go up to the other house along that route.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: The urban infill will link into the Eir network.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: In layman's terms, I still do not understand if it is technically possible to link those houses in the gap intervention areas that are alongside the blue in rural villages, where they have an Eir fibre cable not that far away, into the existing fibre cable? Is it possible to buy that capacity from Eir?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: Why?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: In the urban areas, then, can Mr. Hendrick explain to me how that is being done technically?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: That is because there is a volume of premises to justify it.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: Before I ask about Limerick I would like to ask about the funding model of NBI. That model is a combination of money coming from the funding providers and money coming from the State. Am I correct?

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: When Mr. Hendrick speaks about equity, this particular funding element that currently there appears to be negotiations taking place in respect of a change in ownerships, I am assuming that those particular loan notes, there is call on those in terms of providing funding at certain points in time.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: They receive a certain rate of return.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: An interest payment from NBI itself.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: In essence what is happening there is that shares, or the loan notes here, which are now there are commitments to NBI, are being sold to another third party.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: It is the commitment.

Joint Oireachtas Committee on Transport, Tourism and Sport: National Broadband Plan Update: National Broadband Ireland (29 Jun 2022)

Kieran O'Donnell: The question I am more interested in is the security of the funding model for the roll-out of national broadband. The revenue is going to be based on the number of connections.

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