Damien English (Meath West, Fine Gael)
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Question 117: To ask the Minister for Communications, Energy and Natural Resources the way he will use Government purchasing power to stimulate demand, create economies of scale and develop better public services in the context of broadband provision; and if he will make a statement on the matter. [37193/08]

Eamon Ryan (Dublin South, Green Party)
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In July 2008, following Government approval, I launched a consultation paper on Next Generation Broadband. One of the proposed policy actions concerns demand stimulation. The advancement and development of eGovernment applications stimulates demand for broadband. In that way it can stimulate broadband investment on a regional basis given the regional reach of Government services. Primary responsibility for eGovernment rests with the Minister for Finance. The Minister for Finance also has a role in public procurement and in devising framework agreements with telecoms companies for the provision of telecommunications services to Government Departments and agencies. I will be liaising closely with the Minister for Finance in this general area as I am anxious to see a proactive approach to utilising eGovernment to stimulate demand for broadband.

All broadband requirements of Government bodies are procured through open procurement competitions. Over the past 4 years, the Government has implemented a dual carrier policy for the provision of high-quality broadband to the larger offices of public bodies in all parts of the country. Connectivity of 10Mbps or greater for each connection is specified. It works as follows: A procurement exercise is run to select a carrier. Once the initial carrier is chosen, a second procurement exercise is run seeking a second connection over an entirely different infrastructure. This has a number of outcomes.

Firstly, the public body achieves connection resilience and is not dependent on a single carrier. Secondly, it ensures that no single carrier has a monopoly on Government business in any area. Thirdly, many parts of the country have traditionally been served by one carrier. This approach provides alternative carriers with a business opportunity to invest in new areas. Fourthly, any carrier serving a local connection to a public body must also provide backhaul to that area. Accordingly, this approach brings backhaul competition to new areas. This increased backhaul can be used by multiple carriers, of any size, to serve any kind of customer in that area at affordable price levels. As a result, wireless operators have availed of this greater backhaul provision and competition across the country to provide broadband connectivity and services to domestic and SME customers.