Written answers

Wednesday, 15 June 2005

Department of Communications, Energy and Natural Resources

Telecommunications Services

9:00 pm

Photo of Olwyn EnrightOlwyn Enright (Laois-Offaly, Fine Gael)
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Question 21: To ask the Minister for Communications, Marine and Natural Resources the progress which has taken place with a view to delivery of a more cost effective mobile telephone service here in view of the fact that Ireland is almost top of the European league in regard to costs to the consumer; and if he will make a statement on the matter. [19990/05]

Photo of Pádraic McCormackPádraic McCormack (Galway West, Fine Gael)
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Question 22: To ask the Minister for Communications, Marine and Natural Resources the extent to which he has studied the causes of the high cost of mobile telephone use here; his plans to deal with the issue; and if he will make a statement on the matter. [20001/05]

Photo of Pat BreenPat Breen (Clare, Fine Gael)
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Question 27: To ask the Minister for Communications, Marine and Natural Resources if he is satisfied that deregulation sufficiently provides for the introduction of new service providers in the area of mobile phone and broadband services; and if he will make a statement on the matter. [19993/05]

Photo of Tom HayesTom Hayes (Tipperary South, Fine Gael)
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Question 65: To ask the Minister for Communications, Marine and Natural Resources if he has commissioned any research with a view to giving direction to the regulator in regard to an improvement in the mobile telephone service with particular reference to the exceptionally high cost to the Irish consumer; and if he will make a statement on the matter. [20065/05]

Photo of Seán CroweSeán Crowe (Dublin South West, Sinn Fein)
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Question 72: To ask the Minister for Communications, Marine and Natural Resources if he has satisfied himself with the charges levied on persons (details supplied), who pay the highest fees of any other mobile market these firms operate in; if he has raised this issue with either company; and if he will make a statement on the matter. [19987/05]

Gay Mitchell (Dublin South Central, Fine Gael)
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Question 82: To ask the Minister for Communications, Marine and Natural Resources the extent to which he sees a reduction in mobile and other telephone costs percolating to the industrial or domestic consumer arising from policy decisions he has taken or intends to make; and if he will make a statement on the matter. [19999/05]

Photo of Olivia MitchellOlivia Mitchell (Dublin South, Fine Gael)
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Question 89: To ask the Minister for Communications, Marine and Natural Resources the reason Irish mobile phone costs are among the most expensive in Europe; the action he proposes to take regarding this issue; and if he will make a statement on the matter. [19998/05]

Photo of Paul Connaughton  SnrPaul Connaughton Snr (Galway East, Fine Gael)
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Question 109: To ask the Minister for Communications, Marine and Natural Resources if he intends to issue any policy directives or proposals to address the issue of market share in regard to mobile and fixed line telecommunication services with a view to achieving guidelines and targets set through EU and national legislation; and if he will make a statement on the matter. [20000/05]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 173: To ask the Minister for Communications, Marine and Natural Resources the progress which has taken place with a view to delivery of a more cost effective mobile telephone service in this country in view of the fact that Ireland is almost top of the European league in regard to costs to the consumer; and if he will make a statement on the matter. [20300/05]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 176: To ask the Minister for Communications, Marine and Natural Resources if he is satisfied that deregulation sufficiently provides for the introduction of new service providers in the area of mobile phone and broadband services; and if he will make a statement on the matter. [20303/05]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 181: To ask the Minister for Communications, Marine and Natural Resources the reason Irish mobile phone costs are among the most expensive in Europe; the action he intends to take regarding this issue; and if he will make a statement on the matter. [20308/05]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 182: To ask the Minister for Communications, Marine and Natural Resources the extent to which he sees a reduction in mobile and other telephone costs percolating to the industrial or domestic consumer arising from policy decisions he has taken or intends to make; and if he will make a statement on the matter. [20309/05]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 183: To ask the Minister for Communications, Marine and Natural Resources if he intends to issue any policy directive to address the issue of market share in regard to mobile and fixed line telecommunication services with a view to achieving guidelines and targets set through EU and national legislation; and if he will make a statement on the matter. [20310/05]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 184: To ask the Minister for Communications, Marine and Natural Resources the extent to which he has studied the causes of the high cost of mobile telephone use in this country; his plans to deal with the issue; and if he will make a statement on the matter. [20311/05]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 220: To ask the Minister for Communications, Marine and Natural Resources if he has commissioned any research with a view to giving direction to the regulator in regard to an improvement in the mobile telephone service with particular reference to the exceptionally high cost to the Irish consumer; and if he will make a statement on the matter. [20353/05]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
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I propose to take Questions Nos. 21, 22, 27, 65, 72, 82, 89, 109, 173, 176, 181 to 184, inclusive, and 220 together.

I have no function in regulating pricing for phone services, market access or market share.

The regulation of telecommunications operators, including pricing for mobile services and market access, is the responsibility of the Commission for Communications Regulation, ComReg, in accordance with the requirements of the Communications Regulation Act 2002 and regulations made under the EU Regulatory Framework for Electronic Communications.

As Minister for Communications, Marine and Natural Resources, I have responsibility for overall telecoms policy. My main goal in this policy is to create conditions for sustainable growth and competition that will benefit the economic and social development of Ireland and facilitate competitive services.

It is my belief that improving the market conditions to enhance competition is the best way to drive down mobile phone charges to the end user. The more competitive telecoms services that are on offer, the better in the long run for consumers, the sector and the economy.

In March 2004 my predecessor issued policy directions to ComReg, including a direction on competition. The direction on competition mandates ComReg to focus on competition as a key objective, with a particular focus on competition in the fixed and mobile markets and to implement, where necessary, remedies which counteract or remove barriers to entry and support entry by new players to the market and entry into new sectors by existing players; and to have particular regard to the following also: market share of new entrants; ensuring that the applicable margin attributable to a product at the wholesale level is sufficient to promote and sustain competition; price level to the end user; and the potential of alternative technology delivery platforms to support competition.

ComReg has, as one of its key objectives under the Communications Regulation Act 2002, the promotion of competition in the exercise of its functions. Competition in the fixed and mobile markets will drive down prices for consumers.

I have no information to say that Irish mobile charges are generally the highest in Europe. However, ComReg's quarterly key data for the Irish communications market for Q4 2004 indicates that the Irish mobile operators' average revenue per user is the second highest in Europe; Switzerland has the highest.

The Deputy will be aware that in February 2005 ComReg designated Vodafone and O2 as having joint dominance in the wholesale mobile access and Call Origination market. Following on from this, in March of this year, ComReg placed an obligation on Vodafone and O2, requiring them to provide access to other companies on their networks.

Vodafone, O2 and Meteor have notified me that they wish to appeal to an appeal panel, ComReg's finding of joint dominance and the resulting obligations imposed by ComReg on Vodafone and O2 to give other operators access to their networks.

The number of broadband customers in Ireland is increasing rapidly and is now over 160,000, which represents an increase of more than 400% since January 2004.

The rate of broadband uptake is dependent on a combination of factors. These include access by the private sector service providers to suitable infrastructure, as well as competition between broadband service providers and demand conditions for broadband in the economy.

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. ComReg currently lists no less than 169 companies offering Internet access services in Ireland.

The Government is addressing the infrastructure deficit by building high-speed open access metropolitan area networks, MANs, in 120 towns and cities nationwide in association with the local and regional authorities, and offers funding assistance for smaller towns and rural communities to become self-sufficient in broadband through the county and group broadband scheme, which has already attracted applications from over 150 communities.

The provision of broadband to all primary and post primary schools in the country has now begun, and will be completed by the end of this year.

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