Written answers

Tuesday, 14 June 2005

Department of Communications, Energy and Natural Resources

Telecommunications Services

9:00 pm

Paudge Connolly (Cavan-Monaghan, Independent)
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Question 329: To ask the Minister for Communications, Marine and Natural Resources his observations on the low uptake of broadband Internet access; and if he will make a statement on the matter. [19117/05]

Photo of Charlie O'ConnorCharlie O'Connor (Dublin South West, Fianna Fail)
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Question 336: To ask the Minister for Communications, Marine and Natural Resources the estimated cost of providing a guaranteed full broadband service to all towns in the State; and if he will make a statement on the matter. [19269/05]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
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I propose to take Questions Nos. 329 and 336 together.

The latest figures from EUROSTAT relate to 2004 and are now almost six months old. They show, however, that Ireland is placed 20th of 26 countries in respect of broadband connections for all enterprises. The figure in respect of large enterprises is 79%, placing Ireland in 16th place. EUROSTAT also reports that 92% of all Irish enterprises have access to the Internet, which is ninth in the table, while for large enterprises the figure for Internet access is 100%.

The level of Internet access for households is 40%, or 11th place in the table, and 3% have a broadband connection. The number of broadband customers in Ireland is increasing rapidly and now stands in the region of 160,000. For comparison, the January 2004 figure was 35,000. The provision of telecommunications services, including broadband, is a matter in the first instance for the private sector companies operating in a fully liberalised market, regulated by the independent Commission for Communications Regulation, ComReg.

The rate of broadband uptake is dependent on a combination of factors. Those include access by service providers to suitable infrastructure, as well as competition between broadband service providers and the market demand for broadband in the economy. The Government is acting on the broadband penetration figures in a number of areas. The regional broadband programme is addressing the infrastructural deficit, in co-operation with the local and regional authorities, by building high speed, open access metropolitan area networks, MANs, in 120 towns and cities nationwide, using the European Regional Development Fund and Government funding under the National Development Plan 2000-2006.

The MANs programme is being rolled out on a phased basis, and the 19 networks completed to date have come in on time and within budget. Work is currently under way on seven MANs, and construction of a further 82 will commence during the next 12 months. Full details of the regional broadband programme can be found on my Department's website, www.dcmnr.gov.ie.

For smaller towns and rural communities, my Department offers grant aid of up to 55% of set-up costs to enable local groups to become self-sufficient in broadband, using the most suitable technology for their area. Full details of the county and group broadband scheme are on www.gbs.gov.ie. Under the broadband for schools project, every one of the 4,200 primary and post-primary schools in the country will be provided with broadband by the end of this year.

According to ComReg, there are over 45 different broadband offerings across a variety of technologies, including digital subscriber lines, fibre, cable, leased lines and satellite technology. In essence, there are broadband technologies that can deliver broadband to any broadband consumer in Ireland. The Government's broadband target is to be within the top half of EU countries by the end of 2007. The MANs infrastructure is being put in place by the State and will remain State-owned, offering open access to the industry that will enable it vigorously to market broadband in all areas. I have set the industry a target of 500,000 broadband customers by the end of 2006. That means a market penetration of around 14% of the overall population which I feel is within reach when account is taken of all the technology options available.

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