Written answers

Thursday, 7 November 2019

Department of Communications, Climate Action and Environment

National Broadband Plan

Photo of Catherine MurphyCatherine Murphy (Kildare North, Social Democrats)
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183. To ask the Minister for Communications, Climate Action and Environment the reason for the price differential regarding the national broadband plan price per household here versus a project (details supplied); if his attention has been drawn to a company bidding for the project; if the involvement of the company will impede the delivery of broadband here in view of it being the preferred bidder here; and if he will make a statement on the matter. [45902/19]

Photo of Richard BrutonRichard Bruton (Dublin Bay North, Fine Gael)
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I do not propose to comment in detail in respect of a project in another jurisdiction. I understand, however, that the aim of Project Stratum is to improve broadband connectivity by extending Next Generation Access (NGA) broadband infrastructure to premises across Northern Ireland that cannot yet access such a service. I further understand that while a budget has been identified and a public process of engagement with industry is underway, that the detailed strategy and technical requirements have not yet been published.

Based on learning from Ireland’s NBP process, where the technology approach and project cost were developed through a very detailed engagement with industry in a competitive public procurement process, it would be premature to draw any comparison between the NBP and Project Stratum at this time.

Building rural broadband networks is complex and expensive, as we can see from other jurisdictions. For example, Scotland has recently awarded preferred bidder status to BT for Scottish Borders which comprises approximately 26,090 premises, with an estimated subsidy value of £133m which is around £5,000 per premises ex VAT.

Photo of Jack ChambersJack Chambers (Dublin West, Fianna Fail)
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184. To ask the Minister for Communications, Climate Action and Environment his plans to sign the contract for the national broadband plan on 12 November 2019. [45919/19]

Photo of Richard BrutonRichard Bruton (Dublin Bay North, Fine Gael)
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Since the Government decision in May, work has continued on the due diligence necessary to conclude the NBP contract. This process is progressing towards contract award, which is expected before the end of the year. The Bidder will commence the deployment of the network shortly after that.

In parallel to the work of finalising the contract, I am considering the recommendations of the Joint Oireachtas Communications Committee report, which was published earlier this year. I will bring my deliberations of the report to Government in due course.

Photo of Jack ChambersJack Chambers (Dublin West, Fianna Fail)
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185. To ask the Minister for Communications, Climate Action and Environment if he has received state aid approval from the European Commission further to mapping queries on the national broadband plan; and if he will make a statement on the matter. [45920/19]

Photo of Jack ChambersJack Chambers (Dublin West, Fianna Fail)
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186. To ask the Minister for Communications, Climate Action and Environment the financial risk to the State in the event that the national broadband plan is found not to be compatible with state aid rules by the European Commission following a mapping consultation; and if he will make a statement on the matter. [45921/19]

Photo of Richard BrutonRichard Bruton (Dublin Bay North, Fine Gael)
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I propose to take Questions Nos. 185 and 186 together.

As a State intervention, the NBP must comply with the requirements of the European Commission’s Guidelines on the application of the State aid rules on broadband. The Guidelines require, amongst other things, that Member States carry out a detailed mapping exercise to identify as far as reasonably possible those areas where intervention is required.

Since July 2013, the Department has engaged in an extensive process of mapping broadband availability in Ireland in order to identify premises requiring State intervention. The mapping exercise has been supported by a number of public consultations which have elicited significant response from industry and the public. The most significant changes to the NBP Map took place in 2017. The Department added a further 84,500 premises to the Intervention Area where commercial investment plans previously provided to the Department had failed to materialise. The update also removed 300,000 premises from the intervention area on the basis of what was then a planned infrastructure build, that eir entered into a Commitment Agreement in respect of. An updated NBP Map was then published in April 2017 encompassing 540,000 premises in the intervention area for the purposes of the NBP procurement.

A further consultation on the NBP Map was held in January 2018. Responses from industry were limited and the NBP Map remained unchanged for the purposes of Final Tender in September 2018.

My Department recently conducted a public consultation to close the ongoing mapping exercise, seeking submissions from operators who wish to have their existing high speed broadband networks, or who have developed plans to invest in high speed broadband networks over the next 7 years, to be included on the Department’s High Speed Broadband Map. That consultation was extended twice at the request of operators, resulting in a total nine week period for submissions and it closed on 30th September 2019.

As part of the consultation, over 180 submissions were received from a variety of stakeholders, including 30 from large and small commercial telecommunications operators, with the remainder from local authority broadband officers and members of the public.

Operator submissions are assessed against the Department’s published assessment criteria. Operators submitting planned investments are required to sign a declaration that they will enter into a Commitment Agreement with the Department if their plans satisfy the assessment criteria and are accepted by the Department as being concrete and credible.

The findings of the consultation, which will be available in the coming weeks, will ensure that the State Intervention Area is up to date and that it reflects commercial operators’ plans and the responses from householders and businesses, in advance of a contract being signed later this year. This will be an important element in concluding the State Aid approval process with the European Commission

Photo of Seán FlemingSeán Fleming (Laois, Fianna Fail)
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187. To ask the Minister for Communications, Climate Action and Environment the position regarding the national broadband plan; when the maps that are being re-examined for the intervention area will be completed; and if he will make a statement on the matter. [46006/19]

Photo of Richard BrutonRichard Bruton (Dublin Bay North, Fine Gael)
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The Government appointed National Broadband Ireland (NBI) as the Preferred Bidder for the NBP in May 2019. This followed a tender process designed to ensure that every home and business throughout the country will have access to future proofed high speed broadband and will cater specifically to an estimated 1.1 million people, representing almost 25% of the population of rural Ireland who would not otherwise have access to this vital service. Since then my officials have been performing the due diligence work needed before a contract can be concluded.

As a State intervention, the NBP must comply with the requirements of the European Commission’s Guidelines on the application of the State aid rules on broadband. The Guidelines require, amongst other things, that Member States carry out a detailed mapping exercise and public consultation process in particular to identify as far as reasonably possible those areas where intervention is required.

My Department recently conducted a public consultation to close the ongoing mapping exercise, seeking submissions from operators who wish to have their existing high speed broadband networks, or who have developed plans to invest in high speed broadband networks over the next 7 years, to be included on the Department’s High Speed Broadband Map. That consultation was extended twice at the request of operators, resulting in a total nine week period for submissions and it closed on 30th September 2019.

As part of the consultation, over 180 submissions were received from a variety of stakeholders, including 30 from large and small commercial telecommunications operators, with the remainder from local authority broadband officers and members of the public.

Operator submissions are assessed against the Department’s published assessment criteria. Operators submitting planned investments are required to sign a declaration that they will enter into a Commitment Agreement with the Department if their plans satisfy the assessment criteria and are accepted by the Department as being concrete and credible.

The findings of the consultation, which will be available in the coming weeks, will ensure that the State Intervention Area is up to date and that it reflects commercial operators’ plans and the responses from householders and businesses, in advance of a contract being signed later this year. This will be an important element in concluding the State Aid approval process with the European Commission.

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