Brendan Howlin (Wexford, Labour)
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Question 93: To ask the Minister for Communications, Marine and Natural Resources if measures to incorporate the regulation of premium rate telephone services under the direction of the communications regulator, ComReg, will be brought forward; and if he will make a statement on the matter. [13622/06]

John Browne (Wexford, Fianna Fail)
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Responsibility for the regulation of the content and promotion of premium rate telephone services is a matter for Regtel, the independent regulator of these services. I have no plans to incorporate the regulation of such services under the direction of ComReg.

Kathleen Lynch (Cork North Central, Labour)
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Question 94: To ask the Minister for Communications, Marine and Natural Resources if he has received and reviewed a copy of the European Commission's report, Bridging the Broadband Gap; the implications of the document for the Irish broadband market; and if he will make a statement on the matter. [13614/06]

John Browne (Wexford, Fianna Fail)
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The report to which the Deputy refers has been examined in some detail. In its report the Commission recognises that, outside the metropolitan areas of the EU, population scarcity and distance can discourage commercial investment in telecommunications. It concludes that states should intervene to deliver infrastructure in these markets in a well-targeted manner compatible with state aid rules.

Ireland welcomes the Commission's initiative to align its Structural Funds, regional policy and competition policy to facilitate state investment in broadband infrastructure and services in rural and low population areas that are suffering market failure. Moreover this is in line with the Commission's recent decision to endorse the Irish Government's broadband strategy to invest in metropolitan area networks in Ireland.

In many circumstances, mainly in cities, the market will provide competitive broadband services. This announcement by the Commission recognises that an under-supply of broadband infrastructure can occur in rural areas. In Ireland, the lack of infrastructure investment by the private sector is leading to a gap in broadband services in rural parts of Ireland.

The Irish Government through the regional broadband programme is taking specific action to address broadband market failures, and will continue to review options in this area, particularly in peripheral and rural areas. Improved broadband coverage is a priority for the Irish Government because of its important implications for business competitiveness and productivity as set out in the Lisbon Agenda.