Written answers

Wednesday, 16 November 2005

Department of Communications, Energy and Natural Resources

Telecommunications Services

9:00 pm

Photo of Jim O'KeeffeJim O'Keeffe (Cork South West, Fine Gael)
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Question 110: To ask the Minister for Communications, Marine and Natural Resources if he directly or through the regulator has examined the implications for the customer arising from recent or proposed takeovers or mergers in the telecommunications area, both landline and wireless; and if he will make a statement on the matter. [34509/05]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
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I have no function in this matter. Any proposals by a commercial operator, in a fully liberalised market, to acquire or merge with another company is a commercial decision for the company.

Photo of Denis NaughtenDenis Naughten (Longford-Roscommon, Fine Gael)
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Question 111: To ask the Minister for Communications, Marine and Natural Resources if a test exists to evaluate or compare the cost of telecommunications services generally here with those available in other European countries, with particular reference to ensuring that customers here have access to the widest degree of up-to-date modern services in line with developments elsewhere in Europe and worldwide; and if he will make a statement on the matter. [34503/05]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
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I have no function in regulating of pricing for telecommunications services. The regulation of telecommunications operators, including regulating of pricing for telecommunications services, is the responsibility of the Commission for Communications Regulation, ComReg, in accordance with the requirements of the Communications Regulation Act 2002 and regulations which transpose the EU regulatory framework for electronic communications.

The provision of telecommunications services 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. 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 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.

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 understand that ComReg has recently launched a new website called callcost.ie, which will allow consumers to compare mobile phone charges across all operators. As Minister with overall responsibly for the development of electronic communications services, I welcome the launch of this site, which should make it easier for consumers to shop around and make informed decisions.

The high penetration rate of 94% for mobile phones, representing 3.83 million subscribers, and the recent roll out of 3G services in addition to the existing mobile phones demonstrates that there is a wide range of choice for Irish businesses and citizens.

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