Written answers

Tuesday, 26 June 2012

Department of Communications, Energy and Natural Resources

Mobile Telephony

9:00 pm

Photo of Tom FlemingTom Fleming (Kerry South, Independent)
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Question 336: To ask the Minister for Communications, Energy and Natural Resources the position regarding mobile phone coverage in respect of the issuing of new mobile phone licences; the implications for predominantly rural counties such as County Kerry in view of the fact that under current rules operators must only provide coverage to 70% of the population; and if he will make a statement on the matter. [31040/12]

Photo of Jim DalyJim Daly (Cork South West, Fine Gael)
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Question 337: To ask the Minister for Communications, Energy and Natural Resources his views on the recent media reports on the possible lack of coverage for mobile phone users in rural areas as a result of the failure of ComReg to ensure a universal service obligation on providers; and if he will make a statement on the matter. [31060/12]

Photo of Michael Healy-RaeMichael Healy-Rae (Kerry South, Independent)
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Question 340: To ask the Minister for Communications, Energy and Natural Resources if he will confirm that following on from policy decisions made by the telecom regulator ComReg, that the proposed auction of mobile facilities next month could result in a decline in coverage in rural areas; his views on whether the failure by ComReg to push for a universal service obligation, which would require mobile phone operators to provide coverage for the whole country, will result in an inevitable decline in coverage for rural customers; and if he will make a statement on the matter. [30532/12]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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I propose to take Questions Nos. 336, 337 and 340 together.

The management of the radio spectrum is a statutory function of the Commission for Communications Regulation (ComReg) under the Communications Regulation Act 2002, as amended. ComReg is independent in the exercise of this spectrum management function.

In accordance with its statutory functions, ComReg has consulted extensively on its proposals for the release of spectrum rights of use in the 800 Mhz, 900 Mhz and 1800 Mhz frequency bands.

I am advised that ComReg received considerable interest in this consultation process which has resulted in the decision document for the award of a number of individual rights of use in the 800 Mhz, 900 Mhz and 1800 Mhz radio spectrum bands (ComReg Document 12/25 and Decision 04/12 published on 16 March 2012). ComReg's Information Memorandum for this award process details the processes and procedures ComReg is employing to implement its substantive decisions (ComReg Document 12/52 published on 25 May 2012).

The reasons, analysis and other material relied upon by ComReg in support of its decisions on the minimum coverage and roll-out requirements are set out in section 5.5 of Document 12/25. Amongst other things, ComReg considered that actual coverage levels are expected to exceed the 70% population obligation by a considerable margin given the competitive nature of the market and the limited risk of roll-back of coverage from the existing levels. It should be noted that the four existing mobile operators have achieved coverage levels exceeding those set out in their current respective licences. For example, for 3G services, Vodafone's coverage covers 90% of the population, 5% more than its obligation. Hutchison 3G, better known as 3, covers 96% of the population, 11% more than its obligation. O2 also covers 90.5% of the population, which is more than its obligation.

ComReg also notes that coverage continues to be an important competitive differentiator in the mobile telecommunications market. Any deterioration in coverage by any one network would undermine that network's attractiveness to its existing and potential customers.

The importance of maintaining the existing levels of mobile telephony and mobile broadband coverage has been raised with ComReg by my officials. While the outcome of the forthcoming multi-band spectrum release process cannot be anticipated, I understand that ComReg is not expecting any reduction in coverage as a result of the process.

It is also important to note that ComReg's coverage proposals are designed to facilitate the possible entry of new operators in a manner that would ensure that cherry picking of high density urban areas would not occur.

With regard to the question of whether a universal service obligation should be imposed on mobile phone service providers, I would advise that the setting of such obligations are subject to the EU Universal Service Directive. The Directive requires the setting of a universal service obligation to provide a network connection at a fixed location and does not provide for such an obligation in respect of mobile coverage.

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