Michael Noonan (Limerick East, Fine Gael)
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Question 79: To ask the Minister for Communications, Marine and Natural Resources if he has studied the report of the Joint Committee on Communications, Marine and National Resources on broadband; if he proposes to take action to address the deficiencies highlighted therein; if he has in mind a timescale to achieve such objectives; and if he will make a statement on the matter. [13808/06]

John Browne (Wexford, Fianna Fail)
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The report to which the Deputy refers has been examined in detail. It recognises there have been a number of positive developments in the broadband market. There has been considerable growth in broadband connectivity in the last 18 months with a 103% increase between December 2004 and December 2005. The report also accepts that broadband availability and platform competition has increased and prices have dropped accordingly. The report recognises that the roll out of broadband infrastructure in rural areas needs to be maintained. The Government's regional broadband programme is tackling supply side issues and was a direct response to the lack of investment by the private sector. High speed, open access metropolitan area networks, MANs, are being constructed on a phased basis in association with the local and regional authorities. Phase one of this programme has delivered fibre optic networks to 27 towns and cities. This programme has been extended to more than 90 towns nationwide. These MANs allow the private sector to offer world class broadband services at competitive costs.

According to the report one of the biggest challenges for Government is demand or take-up and Ireland continues to lag behind its OECD partners in this area. Earlier this year, the Department initiated a consultation process to examine the level of demand for broadband services in the Irish market, which concluded in March. The discussion document touched on key demand factors for consumers and asked for possible examples of demand measures by Government and industry, if any are necessary. More than 100 responses were received and a wide range of issues were raised, which are being examined by officials in the Department with a view to further action.

The third conclusion is Ireland requires strong competition in the market to maintain economic competitiveness. In 2004 there were more than 80 Internet service providers whereas today there are more than 150 companies, with at least 45 different broadband offerings. The use of fixed wireless local access is increasing, especially in rural areas that cannot obtain ADSL connectivity, and the development of Wi-Max offers considerable potential in the future. The Department also offers funding assistance for smaller towns and rural communities through the county and group broadband scheme. To date, more than 150 projects have been approved for funding. A third phase of the scheme is to be announced shortly which will attempt to provide service in problem areas identified by the regional co-ordinators of the programme. A joint industry-Government fund of €18 million has been established for the broadband for schools programme, which will provide every school in the country with broadband during 2006.