Barry Cowen (Offaly, Fianna Fail)
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239. To ask the Minister for Communications, Climate Action and Environment if there will be a special purpose vehicle set up between an organisation (details supplied) and the ultimate investors; if so, the tax status of same; if it will be liable for corporation tax; if it will be a section 110 company; if a representative from his Department will be on the board of same; if his Department will have full sight of the financial accounts of same; and if he will make a statement on the matter. [21096/19]

Barry Cowen (Offaly, Fianna Fail)
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240. To ask the Minister for Communications, Climate Action and Environment the tax structure and status of an organisation (details supplied); if it will be liable for corporation tax; if it will be a section 110 company; if a representatives from his Department will be on the board of the organisation; if his Department will have full sight of the financial accounts of the organisation; and if he will make a statement on the matter. [21097/19]

Richard Bruton (Dublin Bay North, Fine Gael)
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I propose to take Questions Nos. 239 and 240 together.

NBI Infrastructure Limited t/a National Broadband Ireland (NBI) is subject to Irish Corporation Tax and will not be a section 110 company.

The NBP Contract provides that the Minister may appoint a Director to the board of the company. A minimum of one other Director will be appointed by the Shareholders of NBI following an open and competitive selection process conducted by an external executive search firm. The number depends on the overall number of Directors. The remaining Directors will be appointed by the Shareholders of NBI.

The Department will have full sight of the financial accounts of NBI. The NBP Contract provides for detailed regular reporting from NBI to the Department across all aspects of performance including the provision of financial statements.

The equity of NBI will be invested in NBI via a holding company as would be typical for projects such as this. The holding company will be wholly owned by Granahan McCourt Dublin (Ireland) Limited, subject to the Minister’s special share in NBI.

The Holding Company will be subject to Irish Corporation Tax and will not be a section 110 company. The holding company and Granahan McCourt Dublin (Ireland) Limited will have agreements in place with the ultimate investors, Granahan McCourt Dublin (Ireland) Limited, Tetrad Corporation and McCourt Global LLC., in respect of both corporate governance and equity funding for the Project.

Holdco is an investment vehicle and the Minister will not appoint a Director to this Board.

Barry Cowen (Offaly, Fianna Fail)
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241. To ask the Minister for Communications, Climate Action and Environment the number of subcontracts an organisation (details supplied) will have to finalise before broadband will commence to be rolled out; and if he will make a statement on the matter. [21098/19]

Richard Bruton (Dublin Bay North, Fine Gael)
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The National Broadband Plan contract for the State intervention will be signed with National Broadband Ireland (NBI), a designated activity company resident in Ireland. NBI will be supported by a number of internationally experienced subcontractors, including KN Group, the Kelly Group, enet and Actavo among others. NBI is finalising negotiations on contracts with approximately 40 subcontractors to assist in the delivery of the NBP. In order to support deployment shortly after contract award it is anticipated that a subset of approximately 15-20 of these subcontracts will be required.