Michael Colreavy (Sligo-North Leitrim, Sinn Fein)
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8. To ask the Minister for Communications, Energy and Natural Resources if there is a projected cost to the Exchequer for the roll-out of fibre broadband under the national broadband plan; and a projection of the number of jobs that could potentially be created. [10503/15]

Joe McHugh (Donegal North East, Fine Gael)
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The proposed State intervention under the National Broadband Plan represents a very significant capital investment project for the State. The Minister has undertaken to complete a detailed intervention strategy that will be submitted to Government in mid 2015. This process is complex and will include close examination of issues such as:

- The appropriate ownership model for the infrastructure;

- Whether there will there be a single contractor or multiple contractors to build the infrastructure;

- The potential cost of the intervention;

- Funding options;

- The appropriate duration of the contract; and

- How the service quality is to be measured and assured.

Because a very competitive procurement process is anticipated, it would be neither advisable nor appropriate to speculate about potential costs at this stage and it is preferable to allow the market players bid what they deem an appropriate price, taking account of the Government's decisions on the key issues, such as those I have already outlined.

There are a number of different perspectives in relation to the Deputy's reference to job creation. There will obviously be jobs created during the construction and deployment of a new high-speed network. The precise numbers will be very much a matter for the successful bidder or bidders to determine, particularly as it is very likely that the contract with the State will contain clear deadlines for the completion of this work.

More importantly, the delivery of high quality reliable broadband to every premises in Ireland will open up new job opportunities right across the economy. The digital economy currently represents 5% of GDP and is one of the fastest growing sectors in the economy. Irish consumers spend around €700,000 per hour, 24 hours a day online and the digital industry supports almost 100,000 direct and indirect jobs

The importance of focusing on digital and its potential to contribute to economic growth and job creation cannot be under-estimated. In a fully functioning digitally enabled economy, research from McKinsey suggests that for every job displaced by digital, 1.6 additional jobs will be created. Research also shows that companies which have a meaningful online trading presence grow twice as fast, export twice as much and employ twice as many people. Ensuring that all businesses have access to reliable broadband is therefore important. It will also allow the opportunity for new digital enterprises to emerge.

In delivering a reliable high speed network the Government aims to catalyse employment opportunities, particularly in rural areas, which heretofore may have struggled to create and sustain employment.