Seanad debates

Wednesday, 8 February 2023

Communications Regulation and Digital Hub Development Agency (Amendment) Bill 2022: Second Stage

 

1:00 pm

Photo of Ossian SmythOssian Smyth (Dún Laoghaire, Green Party) | Oireachtas source

I will keep going then.

In respect of the amendments relating to high-risk vendors, these amendments will set out how a risk assessment will be conducted, aligned with the principles of the EU toolbox for 5G security. Recognising the functions exercised by certain Departments and agencies in respect of national security, the risk assessment will be conducted in consultation with relevant stakeholders across government. These amendments will also set out how high-risk vendors will be identified, and will provide for ministerial notices to restrict or ban such vendors on networks as a whole or specific parts of networks. It is important to note that the amendments contain numerous obligations to consult with those affected by measures prior to taking such actions and they will be fully adhered to in the event that powers are exercised. There will also be extensive cross-government consultation before any measures are taken. ComReg will be tasked with the supervision and enforcement of orders relating to high-risk vendors. Similar legislation has been implemented in 19 member states, and a further five are indicating that they are an advanced stage of preparation. Likewise, the UK also enacted similar provisions recently.

The amendment relating to the Digital Hub Development Agency Act 2003 is being brought forward in the context of the Government decision of April 2021 that the Digital Hub Development Agency, DHDA, should be dissolved and that its lands should be transferred to the Land Development Agency, LDA. The amendments will reduce the membership of the agency from 14 to eight and will reduce the number required for a quorum from six to four. As the nature and focus of the work of the agency necessarily narrows during the period ahead of dissolution, there is a lower requirement for a board size originally provided for in the Digital Hub Development Agency Act. Providing for a lower number required for a quorum will permit for a continued functioning board throughout the dissolution process. It mitigates against the risk of the board becoming inquorate during the wind-down and dissolution period.

Finally, in respect of the amendment to the Postal and Telecommunications Services Act 1983, the amendment will enable €10 million per annum to be provided to the post office network over a three-year fixed term of 2023 to 2025. This is on foot of a Government decision that was made in May 2022 to support a sustainable nationwide post office network in line with the commitment in the programme for Government. The amendment also provides a legal basis for funding granted from the EU's Brexit Adjustment Reserve, BAR, to be directed to An Post following a successful application for funding of €24 million from the BAR in respect of the management of EU customs and VAT requirements applying to all An Post-UK traffic following the withdrawal of the UK from the EU.

I would like to take this opportunity to acknowledge the constructive engagement towards the Bill during its passage through the Dáil. I hope that I approached all debates and amendments with a spirit of co-operation and compromise. I hope to continue this constructive engagement as the Bill progresses through the Seanad.

I will turn to the main provisions of the Bill. Part 1 contains standard provisions dealing with the Title, collective citation and commencement. It provides for definitions of terms used in the Bill.

Part 2 transposes the security provisions of the code Articles 40 and 41. It also places general obligations on providers of electronic communications networks and services to take appropriate and proportionate security measures to manage the risks that are posed to their networks and services. There are also obligations on providers to report significant security incidents to ComReg. The Bill provides a mechanism by which regulations can be made specifying the types of security measure that providers shall take, thus providing a statutory basis for the electronic communications security measures which are a detailed set of technical security measures produced by the National Cybersecurity Centre in consultation with ComReg and industry to secure the State's electronic communications infrastructure. The security provisions provide additional supervisory and enforcement powers to ComReg to ensure compliance with the security provisions.

Part 3 is also focused on the security of electronic communications networks, but it specifically deals with the issue of high-risk vendors. The Minister has the power to designate parts of the network as being critical network components and, in other words, to decide which networks are the most critical and which it would be detrimental to national security or public order to allow for high-risk vendors to be present on those parts of the network. Part 3 also sets out a risk assessment that will be conducted aligned with the principles of the EU toolbox for 5G security, which are non-discriminatory and do not target any specific country or vendor. The Bill also sets out how high-risk vendors will be designated and will provide for high-risk vendor measures to stop a provider from installing, using or varying the use of critical components made by a high-risk vendor. ComReg is tasked with the supervision and enforcement of orders relating to high-risk vendors.

Part 4 provides for measures to assist consumers and other end users. This Part permits ComReg to specify minimum quality of service standards to be met by service providers. Once minimum standards have been set, failure to meet these minimum standards would constitute a regulatory breach but will also be capable of giving rise to the payment of compensation to a consumer through a new end-user compensation scheme. ComReg will also require providers to publish information on the quality of service they provide and to publish a customer charter. The aim of this customer charter is to provide consumers with one easily accessible and comparable place to get information as to the quality of service provided by an operator.

Part 5 sets out the procedure for the resolution of complaints and disputes. It provides for an enhanced alternative dispute resolution procedure. It also carries forward the existing complaints handling codes of practice from the universal service and user rights regulations of 2011.

Part 6 provides that ComReg may take urgent interim measures to remedy a situation where it has evidence of a breach of the conditions of the general authorisation, rights of use or of these specific obligations, which represent an immediate and serious threat to public safety, public security or public health or risks creating serious economic or operational problems for other providers or users of electronic communications networks or services or other users of radio spectra.

Part 7 sets out a new civil sanctioning regime for ComReg. This will include the ability to find non-compliance and to impose a range of penalties, including administrative financial sanctions up to a maximum €5 million or 10% of annual turnover, as well as compensation, refunds and the suspension and withdrawal of authorisation or rights of use subject to court confirmation, as appropriate. ComReg will also be permitted to enter into a new section 44 resolution agreement, accept binding commitments and enter into settlement agreements.

Part 8 amends the European Union electronic communications code regulations of 2022 to provide for a higher penalty for the commission of an indictable offence which is stated to be an offence to which a statutory penalty applies. The higher level of penalty will be a fine not exceeding €10 million.

Part 9 sets out the amendments made by this Bill to the Communications Regulation Act 2002 that are required to ensure legislative coherence and that ComReg is equipped to carry out all its new functions under the code.

Part 10 amends the Digital Hub Development Agency Act 2003 to reduce the size of the agency from 14 to eight members. This is to ensure that it is of a scale proportional to its focus, pending its dissolution. The 2003 Act is also amended to reduce the quorum for a meeting with the agency from six to four. This will allow for a functioning board throughout the dissolution period and reduce the risk of the board becoming inquorate.

Finally, Part 11 sets out the amendment to the Postal and Telecommunications Service Act 1983 which is necessary to provide a statutory basis for the provision of funding from the Minister to the post office network via An Post. The amendment will also enable funding granted under the EU's Brexit adjustment reserve to be provided to An Post as compensation for the impact of Brexit on the company.

The Bill will provide ComReg with an enhanced and updated enforcement regime. It will ensure Ireland's regulatory landscape for electronic communications is robust and dynamic enough to meet the needs of the electronic communications sector over the coming years. It will ensure that Ireland meets its legal obligations regarding the transposition of the European electronic communications code. It will enhance the security of the electronic communications service at a vital time geopolitically. It will greatly enhance consumer protections in the sector and ensure the Communications Regulation Act 2002 contributes to the meeting of these objectives. It will also provide an Post and the postal network with key additional funding. Finally, it will make necessary changes to how the Digital Hub Development Agency board carries out its business during its winding down.

Comments

No comments

Log in or join to post a public comment.