Seanad debates

Thursday, 15 February 2007

Communications Regulation (Amendment) Bill 2007: Second Stage

 

1:00 pm

Photo of John BrowneJohn Browne (Wexford, Fianna Fail)

I thank Senators for their contributions to this debate. I welcome the opportunity to respond to the various comments and observations made on the provisions of this important Bill. Of course, I will ask my officials to see whether they can find the missing file Senator Leyden mentioned, particularly as it refers to a Wexford man.

As Senators have agreed, the Bill is necessary to ensure that the independent regulator, ComReg, has the tools required to ensure that the electronic communications sector is open and competitive, and that individual and business consumers benefit from increased choice and lower prices for the services they need. As I outlined in my opening statement, the Bill contains a number of provisions designed to achieve this objective. In this regard, sections 11 and 15 are particularly important. I note the general support of the House for these provisions. Effective investigatory and enforcement powers are essential if ComReg is to carry out its function of ensuring compliance by all operators with their obligations under the regulatory framework. I welcome the support from Senator Finucane and others for the measures proposed in the Bill. It is important to get the legislation right. Broadband was slow to take off but approximately 500,000 people are now availing of it and 31% of households have broadband.

A number of Senators referred to the level of fines provided for in the Bill. Fines of up to €4 million, or 10%, of turnover apply only to serious non-compliance within the framework, that is, to a very limited range of offences. In fact, this will help rather than hinder competition. New players will know that big operators with large market share face serious penalties if they do not play ball concerning their obligations.

The telecoms sector is mainly subject to private sector investment and naturally these firms will only invest where they get a return. The Government has invested, and will continue to invest, in order to promote regional broadband initiatives, including the MANs system and the proposed national broadband scheme, which will bring broadband to under-served areas. We are all aware that in certain areas of the country it is difficult to get broadband and consequently the private sector will not go there. It is important for the Government to continue to fund broadband initiatives in such areas.

Senator Finucane raised the issue of Smart Telecom. I understand that ComReg has a protocol to deal with this type of situation should it recur. The provisions under Part 4 — giving ComReg powers under the Competition Act to investigate and prosecute anti-competitive behaviour and abuse of dominance, together with its increased investigative and enforcement powers — give ComReg an effective set of regulatory tools that will have an appropriate deterrent effect on the industry and encourage compliance.

Senator Quinn referred to shortcomings in the Irish communications sector and the contributions made to these shortcomings by the weakness of the regulator's powers. This Bill is designed to ensure that ComReg will have the necessary powers to address these shortcomings as well as ensuring competition in the market and providing a better service for consumers. Senator Finucane referred to the development of networks and access to them. The Bill's provisions will ensure that ComReg can provide access to those networks for operators who require it, and particularly to those networks belonging to dominant players in the market. This will encourage operators to invest in improving the services they provide to their customers. It will also result in a more competitive and responsive communications sector. These issues were raised by Senators Finucane and Kenneally who cited examples in support of their remarks. I hope the Bill will deal effectively with the matters they raised.

I welcome the input by Senator Ryan. Under the Communications Act 2002, ComReg is obliged to promote the interests of customers. The Minister for Communications, Marine and Natural Resources, Deputy Noel Dempsey, is always anxious that the interests of customers should be promoted.

I understand that the National Consumer Agency has engaged with NTL on customer service issues. I am glad Senator Ryan welcomes the level of fines proposed, which will improve the competitive position in the industry. I also welcome the support from Senators Kenneally, White and Ormonde on a number of issues raised in the course of debating this legislation.

The provisions of the Bill for the establishment of an emergency call handling service and the regulation of the .ie domain name are extremely important measures. A number of Senators referred to these measures and I welcome their support for them.

I thank Senators once again for their contributions to and interest in the Bill. I welcome the support of this House for its provisions. I look forward to Senators' early consideration of the Bill on Committee and Report Stages with the overall objective of placing it on the Statute Book as early as possible. I wish to thank my officials for their support and all the work they have done to enable me to bring this legislation before the House. I look forward to the Bill's early passage through both Houses.

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