Written answers

Wednesday, 28 September 2011

Department of Communications, Energy and Natural Resources

Telecommunications Services

9:00 pm

Photo of Ciarán LynchCiarán Lynch (Cork South Central, Labour)
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Question 107: To ask the Minister for Communications, Energy and Natural Resources if it is his intention to avail of the opportunity presented by the laying of the Hibernia express cable from the UK to the USA by using the limited opportunity that exists to insert a branching unit in order to enhance connectivity; and if he will make a statement on the matter. [26457/11]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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I am aware of the Hibernia Atlantic Express project referred to by the Deputy. I would very much welcome an investment by the Company, as referred to by the Deputy, that would lead to improved international connectivity.

As regards any exchequer support for such an investment, the electronic communications market is, and has been since its liberalisation, a commercial competitive market. The State can only intervene in the market in limited circumstances and in such circumstances this would be following State Aid approval from the European Commission and a public tender procurement process. In addition, any such assistance would have to meet the tests of capital appraisal and affordability in the current acutely difficult fiscal climate.

Additionally, I am aware of at least one similar proposal. Any appraisal must be on an open and transparent basis that assesses the comparative merits of all projects that might be submitted. I do nonetheless recognise the importance of improved international connectivity to national and regional economic development. I will therefore maintain close contact with the promoters of this project and closely monitor its progress.

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