Simon Coveney (Cork South Central, Fine Gael)
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Question 377: To ask the Minister for Communications, Energy and Natural Resources the length of time the national broadband scheme is currently running over its original schedule since first announced; the amount of money the over-run has cost his Department; the number of consultations he has commissioned in relation to the NBS; and the cost of these consultations. [7199/09]

Eamon Ryan (Dublin South, Green Party)
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Significant time, expertise, human and financial resources have been invested to ensure the optimum outcome and best possible broadband service from the National Broadband Scheme (NBS) procurement process. In the initial stages of the competitive dialogue procurement process, which, by its nature, is not of a defined duration, anticipated timelines for contract award were indicated, including December 2007 and June 2008. A judicial review challenge, which impacted on the proposed timelines, was commenced in spring 2008 and concluded in July 2008. My Department successfully concluded the evaluation process and the award of the NBS contract to Hutchison 3G Ireland Ltd within four months of issuing the final ITT documentation on 25 August 2008.

I am satisfied that the well designed and thorough procurement process was undertaken by my Department within the shortest possible timeframe, that it has resulted in the appointment of a service provider who will make available quality, affordable broadband to all premises in the NBS area and that the cost of doing so represents good value for public money. No overrun costs have been incurred by my Department and the amount of the Exchequer contribution to 3 is capped at €79.8m for the duration of the contract, thereby representing some 36% of the total investment cost. The NBS project is also eligible for EU co-funding under the European Regional Development Fund.

The initial scoping exercise for the Scheme involved broad consultation with representative service providers across all platforms (mobile, wireless and fixed operators). Similar broadband schemes were examined (Northern Ireland, Scotland, UK regions). Meetings were held with Regional Authorities, Departmental counterparts in Northern Ireland, European Commission officials and industry representative bodies. No specific open forum consultation event was held.

Simon Coveney (Cork South Central, Fine Gael)
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Question 378: To ask the Minister for Communications, Energy and Natural Resources the length of time the metropolitan area networks phase II project is currently running over its original schedule since it was first announced; the amount of taxpayers' money spent on the project; the amount the time over-run has cost his Department; the number of consultations he has commissioned in relation to the MANs phase II; the cost of these consultations; and the reason behind the delay in signing the management contract for MANs phase II. [7200/09]

Eamon Ryan (Dublin South, Green Party)
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Under Phase ll of the Metropolitan Area Networks (MANs) Programme a total of 88 networks covering 94 towns were approved. It had been envisaged that the networks would be completed by the end of 2007. However, the design stage was extended in order to provide for a level of engagement with local authorities aimed at minimising the need for subsequent design changes. Twenty-nine networks were completed in 2007 with a further 29 networks completed in 2008. A further 2 networks are currently under construction.

In December 2007 I suspended the construction of the remaining 28 networks covering 29 towns pending the outcome of the Value for Money and Policy review of Phase l of the MANs Programme and other analyses, including the consultation paper on Next Generation Broadband Networks. Approximately €98 million has been spent to date on Phase ll MANS. This amount includes Local Authority contribution of approximately €9 million, all construction costs, design and associated programme management costs. All networks were constructed under a fixed price contract. Apart from the detailed engagement with local authorities, my Department has not engaged in any consultations on the MAN Programme specifically.

The engagement of an MSE 2 is the subject of a procurement process and is currently in the contract negotiation phase with the preferred bidder e/Net. While the decision to suspend the construction of 28 of the Phase II MANs did give rise to a delay in the procurement process, I expect this process to conclude by the end of March. It is crucial that the procurement process yields maximum value for money. Accordingly, the process cannot be rushed and will only be concluded when such value is secured.