Written answers

Tuesday, 2 December 2008

Department of Communications, Energy and Natural Resources

Telecommunications Services

9:00 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 392: To ask the Minister for Communications, Energy and Natural Resources if he is satisfied regarding the availability of broadband here; if previous and recent efforts for the provision of such services have been successful; if efforts to date compare favourably or otherwise with the availability of service throughout the other EU member states; and if he will make a statement on the matter. [44006/08]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 393: To ask the Minister for Communications, Energy and Natural Resources the extent to which he has taken initiatives nationally or in conjunction with his EU colleagues to advance the cause and provision of state of the art communications technology; the degree to which discussions have taken place which might result in improvements in this sector in this jurisdiction; and if he will make a statement on the matter. [44007/08]

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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I propose to take Questions Nos. 392 and 393 together.

The provision of telecommunications services, including broadband, is a matter for the private sector. Broadband service providers operate in a fully liberalised market, regulated, where appropriate, by the independent Commission for Communications Regulation, ComReg.

The role of the Government is to formulate regulatory and infrastructure policies to facilitate the provision of high quality telecommunications services, by competing private sector service providers.

The widespread provision of broadband services continues to be a priority for the Government. In that regard my Department has undertaken initiatives to address the gaps in broadband coverage. These included providing grant-aid under the now concluded Group Broadband Scheme and ongoing investment in Metropolitan Area Networks (MANs).

There are still some parts of the country where the private sector will be unable to justify the commercial provision of broadband services. In this regard my Department has undertaken to implement a National Broadband Scheme (NBS). The NBS is designed to deliver broadband to areas where the market has failed to provide services. It will bridge the digital divide, create greater equality in terms of social and economic inclusion and remove the disadvantage caused by a lack of broadband services. It will also facilitate competition in the broadband market in the regions leading to greater choice, quality and value for money to the consumer.

On the 25 November 2008 I announced that 3, a Hutchison Whampoa company, has been selected as the preferred tenderer for the National Broadband Scheme (NBS) following the conclusion of a comprehensive competitive procurement process. The NBS contract is expected to be signed with 3 by mid-December.

NBS consumers will be provided with a reliable and price competitive broadband connection consisting of an always-on service of at least 1mbps. Higher speeds will be experienced by some consumers located closer to base stations. The service will be upgraded to higher specifications during the 68-month contract without any increase in charge to the consumer.

According to the latest OECD report, which includes data up to June 2008 Ireland has one of the strongest per capita broadband subscription growths being ranked 4th out of 30 countries. We have closed the gap on the OECD average with extraordinary improvement over the past 2 years. The OECD average increase is 2.7 subscribers per 100 inhabitants; Ireland's growth was 4.1 subscribers per 100 inhabitants. It should be noted that mobile broadband is not yet being published for international statistic comparison but is expected to be in the future. The publication of mobile broadband statistics should improve Ireland's ranking.

The policy framework for future broadband development is set out in the consultation paper on Next Generation Broadband, which I published last July. A central commitment is that Ireland will have universal access to broadband by 2010 and that by 2012 our broadband speeds will equal or exceed those in comparator EU regions. The consultation period on the paper has now concluded and my officials are evaluating the submissions received. I will publish the final policy paper shortly.

I am also actively engaged with the EU Commission's review of the regulatory framework for electronic communications. Effective regulation, and more consistency in regulatory approaches across all the Member States, will enhance the conditions necessary for investment in communications technology and allow Ireland exploit the opportunities such technology brings for the benefit of our economy and society.

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