Jan O'Sullivan (Limerick East, Labour)
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Question 136: To ask the Minister for Communications, Energy and Natural Resources his views on the growing digital divide across rural and urban Ireland as outlined in a report of the Central Statistics Office; the steps he is taking to combat the growth of a digital divide; and if he will make a statement on the matter. [43624/08]

Eamon Ryan (Dublin South, Green Party)
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Broadband services are crucial in bridging digital divide. The provision of telecommunications services including broadband is, in the first instance, 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 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 (GBS) and ongoing investment in Metropolitan Area Networks (MANs).

Although broadband is now widely available in Ireland there are still some parts of the country where the private sector will be unable to justify the commercial provision of broadband services. These areas are being addressed by the National Broadband Scheme (NBS), which will ensure that all requests for a broadband service in the areas to be addressed by the NBS will be met.

On the 25 November 2008 I announced that 3, a Hutchison Whampoa company, has been selected as the preferred tenderer for the 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. The service will be upgraded to higher specifications during the 68-month contract without any increase in charge to the consumer.