Written answers

Thursday, 19 October 2006

Department of Communications, Energy and Natural Resources

Telecommunications Services

5:00 pm

Photo of Martin FerrisMartin Ferris (Kerry North, Sinn Fein)
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Question 112: To ask the Minister for Communications, Marine and Natural Resources if he has satisfied himself with the amount of broadband uptake here; and if he will make a statement on the matter. [33444/06]

Photo of Seán CroweSeán Crowe (Dublin South West, Sinn Fein)
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Question 115: To ask the Minister for Communications, Marine and Natural Resources if there is a target set to reach a certain number of broadband subscribers by the end of 2007; and his views on whether this target will be met. [33440/06]

Photo of Noel DempseyNoel Dempsey (Meath, Fianna Fail)
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I propose to take Questions Nos. 112 and 115 together.

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, which is regulated by the independent Commission for Communications Regulation.

The Government's regulatory and infrastructure policy has supported the private sector developing a competitive, affordable and rapidly growing broadband market that offers choice of products and providers to Irish consumers and businesses.

Ireland's broadband take-up is growing very strongly. It is estimated that there were 410,000 broadband subscribers in Ireland by mid September 2006. 29% of Irish households now have broadband (410,000 of 1.4 million). Broadband take-up in Ireland grew by 112% during the first 8.5 months of 2006 when 140,000 subscribers were added. Broadband take-up is continuing to accelerate at a rate of 19% compared to the average EU growth rate of 9%.

When discussing Ireland's low ranking in the 'take-up' league tables, I should highlight two important points. Firstly, the statistics used are based on the number of subscribing households per 100 inhabitants. Households and population are used because such data is generally available for the countries participating in the league tables. However, in Ireland's case, the 10.2% "subscribers" per 100 "inhabitants" does not paint an accurate picture. Ireland's relatively small number of households for the size of our population puts Ireland at a distinct disadvantage when it comes to the league tables. It is more accurate to highlight the fact that 29% of Irish households subscribed to a broadband service in September 2006. The last available data for the EU15 (December 2005) show that 34% of the EU15 households had broadband. I have challenged industry to deliver 500,000 subscribers by mid-2007. This is an achievable target and would bring Ireland's percentage of households to over 35%.

Secondly, the low ranking also reflects the relatively late launch of affordable and competitive broadband services in Ireland by telecoms and cable TV companies in the early 2000s. In contrast, Ireland is now one of the fastest growing broadband markets in the European Union. In fact, broadband take-up has more than tripled to date since I set a target of 400,000 in late 2004.

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