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Dáil Éireann debate -
Tuesday, 23 Jan 1996

Vol. 460 No. 3

Written Answers. - Eircell Investment.

Seamus Brennan

Question:

586 Mr. S. Brennan asked the Minister for Transport, Energy and Communications if the decision by Telecom Éireann to invest £100 million extra in Eircell and to make it an autonomous subsidiary is in preparation for its part-privatisation. [1085/96]

There is no direct link between the two issues referred to in the question. Decisions on the level of capital investments in infrastructure and related issues by Telecom Éireann are matters for the company. Investment in its Eircell business is considered necessary by the company in order to provide adequate infrastructure associated with the accelerated rollout of its GSM service nationwide and to meet the growing demand for both GSM and Analogue services.

Eircell will at my request shortly be established as a subsidiary of Telecom Éireann on an arms length basis from the parent company in order to make it transparent that there will be fair competition in the mobile telephony market when the new licensee commences operation.
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