Richard Bruton
Question:76 Mr. Bruton asked the Minister for Communications, Marine and Natural Resources his proposals for the early delivery of products from the Corrib gas field; and if he will make a statement on the matter. [5406/07]
Other Questions.
Energy Resources.
While first gas from the Corrib field had initially been expected in early 2004, I understand the developer now anticipates first gas in late 2009. Completion of the development works by the developers is clearly the principal factor that will determine the date for first gas. As I have pointed out to the House on numerous occasions, my statutory responsibilities in this matter relate to the regulatory aspects of petroleum exploration and development. I again emphasise that all the required statutory approvals are in place in this regard.
Following the publication of the Cassells report, however, the developer of the Corrib project confirmed that it is actively considering a possible re-routing of the onshore section of the pipeline. In the event that a significant re-routing is proposed, the developer would be required to make an application to my Department for a new approval under section 40 of the Gas Act 1976.
I am highly conscious of the strategic importance of the Corrib gas project, and I look forward to the development works moving ahead and the production of gas from the Corrib field.
Having regard to the importance of developing our natural resources to the optimum and the equal importance of ensuring we retain or regain some degree of independence in the provision of a vital resource such as gas, what lessons have been learned in regard to the planning, preparation and implementation of an operation such as this? Will the Minister indicate what plans he has to change the method of the administration of this proposal to ensure, in future, that any such proposal will be dealt with effectively, efficiently and in keeping with best practice and rules? We must not display to the world a lethargy or ineptitude in dealing with a major investment application such as this, involving the exploitation of what is a relatively clean fuel which will be hugely beneficial to the public and industry. Will the Minister agree that when a proposal like this arises in the future, he will guarantee that it is implemented when anticipated rather than five or seven years later?
It does not matter who occupies my position; there is a wonderful system of laws and judicial reviews in this State to protect the rights of citizens. There is no way that anybody can offer a definitive prediction of how long it might take to bring a project like this ashore in future.
Several developments have arisen since this project started moving, not least of which is the new planning and development Bill which will streamline the planning process for projects of national importance. Moreover, it was impossible not to learn lessons as we moved through the long and protracted process of bringing the gas onshore. Several reports were compiled in regard to the Corrib project, the Advantica report being the most notable. Some reports were internal to the Department, while external advice was sought in other cases. All those recommendations will form part of the agreed processes not only for this project but also for future projects. This should help to allay some of the concerns in regard to safety and so on.
This project had to secure six consents and permissions under six different Acts, including the Continental Shelf Act, Foreshore Act, Gas Act, Planning and Development Acts and Environmental Protection Agency Act. This is not an efficient or transparent procedure and it gives rise to the problems we have encountered. Preliminary work has already started in the Department to examine, based on the advice received during the course of this project, how we can minimise the numbers of consents and permissions required under different Acts. This is not an attempt to diminish the amount of work that must be done to obtain those consents. Rather than having six separate processes, however, they should be combined and streamlined under the provisions of one or two Acts. Lessons were learned during this process.
The Minister sounds like someone who expects we will have more significant gas and oil finds.
I hope so.
He did not seem to have that view several months ago and was, in comparison, rather negative about the prospect. How will this process operate in terms of the Planning and Development (Strategic Infrastructure) Act and the functions of An Bord Pleanála? In regard to the revised pipeline route, will the companies go straight to An Bord Pleanála, under the provisions of that Act, in terms of the planning that is required?
Like the Minister, I have ongoing contacts with the parties involved, including Shell, Statoil and the Shell to Sea campaign. There are ongoing concerns about the siting of the terminal. Does the Minister see any possibility that the terminal could be moved seaward, which would finally resolve the issue and ensure the gas comes ashore in 2009, which is what we all want? As energy spokespersons, we know it is desperately needed.
Constituents and citizens throughout the State to whom I have spoken are interested in the immediate issue but are also concerned with the broader issue of licensing terms in respect of our natural resources. Under pressure from members of the Opposition, the Minister appointed Indecon to look at the licensing terms and conditions for the major exploration companies. Will he ensure that report is given to the House before the general election? If it is, will he introduce legislation? For example, does he have any plans to amend the Finance Bill to give the country, or the people, better terms because under the Minister's licensing arrangements, when companies discover gas or oil, it is theirs and this nation, effectively, gets nothing? The people are profoundly interested in that issue which the Minister could address even at this late stage in the Government's term in office. When will Indecon report?
I understand summer 2007 will be a busy season for exploration on the Atlantic margin despite the Minister's downplaying of it in earlier years.
Deputy Broughan has a very selective memory. Just because one thinks things does not make them true. Rather than call his utterances lies, I will say he put a number of mistakes on the record. He made a number of mistakes in his assertions in regard to this matter. I started the process of the licensing review at least 12 to 15 months ago.
The Minister never told us.
I do not have to tell the Deputy everything.
It was a secret.
It is up to the Deputy to ask the question and to find out.
Deputy Broughan referred to my terms. We have been operating under these terms since 1992 when his party was in Government——
The Taoiseach was Minister for Finance.
——and his colleague, Deputy Stagg, was Minister of State in the Department of Energy with responsibility for energy for two years. He never even opened the file on the terms and conditions.
He was not allowed. The Taoiseach kept it in the local office.
If the Deputy wants to say Deputy Stagg was an incompetent Minister of State, he can do so.
I am not saying that; the Minister is.
I beg to differ with the Deputy. If Deputy Stagg was not capable of opening a file in two and a half years, I can only take one interpretation from that.
In recent years, there has been very little drilling off the west coast. The number of wells over that period has averaged two. What has changed over the past 12 to 18 months is that the price of oil and gas has increased substantially. Over a longer period the technical skills and technical equipment used to detect, and perhaps indicate, seismic data, etc., have improved, so we are more optimistic.
For approximately two and a half years, my Department has been preparing a report on the potential off the west coast. There is a difference between potential and gas actually coming in. Some people must spend a great deal of money before potential income becomes actual income. Yesterday I read in a newspaper that somebody believes the Corrib gas field is now worth €30 billion. I hope that person is right. Like Deputy Broughan, the person who fed the story to the newspaper has his facts wrong. If that was the case and the gas find in Corrib was worth €30 billion, the people would get a return of approximately €7 billion on that gas field.
The report has not been finalised, although there is a draft. As soon as I receive it and it has been considered, I will bring it to Government. Then it will be made public.
Can we debate it?
It will be available to everybody and it might debunk some of the nonsense being spoken by people even further to the left of Deputy Broughan — if he is on the left; but we will leave that for another day.
There is only the Taoiseach; the original socialist.
On the siting of a terminal and the possibility of total agreement on it, it is a matter for the Corrib project developers as to whether they wish to move that. If they do, they will have to go through a full planning process which they did before.
Digital Terrestrial Television.
Enda Kenny
Question:77 Mr. Kenny asked the Minister for Communications, Marine and Natural Resources when he expects consumers here to avail of digital broadcasting in respect of radio and television; and if he will make a statement on the matter. [5436/07]
Ruairí Quinn
Question:81 Mr. Quinn asked the Minister for Communications, Marine and Natural Resources if the €4 million allocated for digital terrestrial television under the National Development Plan 2007 to 2013 will be spent entirely on an information campaign surrounding DTT; if more money will be allocated for the DTT programme; if so, the amount of same; when the DTT pilot programme will finish; the timeframe for implementing a nationwide roll-out of DTT; and if he will make a statement on the matter. [5254/07]
I propose to take Questions Nos. 77 and 81 together.
Digital television is already available in Ireland across a number of platforms. Both cable-MMDS operators and satellite operators provide subscription digital television services to almost 50% of Irish television households. Digital radio is currently available via the Internet. The future roll-out of digital terrestrial television, DTT, and digital radio services in Ireland will ensure that Irish viewers continue to have access to free-to-air Irish public broadcasting.
New and enhanced channels and services can be made available to Irish citizens on digital platforms. It is currently estimated that approximately 29% of television licence households use analogue free-to-air terrestrial television only and that up to 90% of households use analogue free-to-air terrestrial television on at least one television set. The future roll-out of digital terrestrial television will be particularly important for these households, especially given the inevitability of analogue switch-off. The European Commission has proposed a switch-off date of 2012 for analogue television services.
With the aim of exploring issues around DTT, I launched a digital terrestrial television pilot in August 2006. The pilot will encourage both public and stakeholder interest in DTT and bring momentum to the development of DTT in Ireland. To date, €6 million has been allocated to the establishment of the DTT pilot. Some €2 million will be allocated to the DTT pilot during each of the years 2007 and 2008, which is referenced under the NDP. This expenditure is primarily for infrastructure build and not for public information campaigns. Public information campaigns around analogue switch-off, which are common in many countries planning for switch-off, may be considered in the future. There are currently no proposals for further expenditure on the pilot. The pilot project is set to run until 2008.
The proposed Broadcasting (Amendment) Bill recently initiated in the Seanad seeks to put in place a licensing framework for a national roll-out of DTT into the future. It is expected that the processes necessary for licensing of a national DTT roll-out under this Act will commence in 2007. RTE will be obliged to provide public service broadcasting channels on a DTT platform and the Broadcasting Commission of Ireland will licence commercial broadcasters to provide services on the same platform.
In addition, the Bill includes similar proposals for a licensing framework for digital radio. Digital audio broadcasting, DAB, is one of the most common technical standards currently being considered by broadcasters for digital radio. While DAB is not as well established in the EU as digital terrestrial television, it has been successfully established in the UK. RTE is currently running a DAB trial which will allow issues around a full roll-out to be explored.
Is the Minister aware of the concern that the delivery of digital broadcasting seems to be taking an extraordinarily long time? There is a fear among those involved in the industry and some who expected a more rapid turnabout that there will be a repeat of the broadband debacle. The degree to which digital transmission is being pushed by the regulator and the Government is not sufficient to register in the area. The Minister referred to the Broadcasting Bill in relation to which it has been suggested that some of the technology proposed is out of date. Investment of that nature is only a stepping stone and not what is required to provide the level of service necessary. Will the pilot schemes currently taking place and the technology now available be utilised to deliver, as soon as possible, a digital service to the 50% of people in the country who do not have it? Those people live in hope of such a service and have been living in hope for several years.
"Living in hope" sounds like a good slogan for the Government's billboard.
There is a need to develop high-quality broadcasting services in this country and overseas.
The Deputy's concern about the length of time it is taking to roll out DTT is certainly not echoed by the people involved in the industry. They are happy with the DTT pilot project we have put in place, the first phase of which, the soft trial phase, is coming to an end. The next phase involves a closed public trial and is due to start in the coming month. The results of the trial so far have been positively received.
The technology being used is right up to date, as will be confirmed by BT, NEC or any other company involved if the Deputy wishes to check. However, digital technology changes very quickly and even when the platform is operational there will be ongoing renewals and replacements of equipment.
The pilot is scheduled to finish by August 2008. Once the Bill, which is in the Seanad at the moment, is passed, it will allow BCI to immediately advertise for multiplexes for RTE 1, RTE 2, TV3, if it is interested, and TG4, in addition to the radio channels. I hope the Bill receives the co-operation of Members opposite because the quicker it is passed the better. The Bill also proposes that other commercial enterprises interested in multiplex will also be able to apply to the BCI.
Is multiplex not overloaded?
No. There will be room on the system for between six and eight multiplexes. As we switch off analogue there will be room for even more. The primary reason the EU has asked member states to switch off analogue by 2012 is to free up spectrum in Europe. We do not have as much clutter as in the rest of Europe but we will have much more room once DTT is operational.
Is it possible that, in 2009 or 2010, many householders on the east coast and the Border regions will have a Noel Dempsey moment? Might they flick on a screen, see snowy, wavy lines and say "God be with Noel Dempsey" or words to that effect? Has RTE not warned that, owing to the fact the Minister has been so slow — for example, we are a long way behind the UK — householders on the east coast and in the Border regions will be seriously disadvantaged in this regard? It is yet another instance of the outgoing Government falling behind schedule.
Has the Minister considered the overall costs of the migration to digital? Has he assessed how valuable the analogue spectrum will be when it is freed up? He has given RTE a role in this process but has he given ComReg a role? Has he finally decided on a year when we will switch off? Will it be 2012?
We have not decided on the actual date as it would be wise to complete the pilot project first. ComReg has a role in licensing the spectrum.
The pilot will cost approximately €10 million over the four years to 2008. RTE estimates the gross cost at between €150 million and €160 million.
If people have a Noel Dempsey moment it might be less snowy than a Tommy Broughan moment.
That would be in slim screen colour.
I forgive the Deputy for not being fully familiar with the technology. The fact we receive BBC transmissions is an accident, due to overspill. We are not entitled to it but have benefited from it for a considerable time. When the BBC switches off analogue, as it intends to do on a rolling basis, we will not receive it unless it is part of the multiplex, except in very limited areas. In that case it does not matter whether or not we have a DTT or analogue platform. It will not be my or anybody else's fault but will be because the BBC decided it would not be worth coming onto a multiplex in this country. However, I do not expect that to happen and would be surprised if the BBC were not part of a number of multiplexes when they are in place.
If that is the case the Minister will be remembered.
He will be remembered but not with fondness.
Is the Minister not concerned that, if there is a gap between the BBC switching off analogue and the establishment of multiplex in this country, there will be huge competitive advantages for the likes of Sky and other satellite broadcasters which already have significant digital presence?
Can the Minister provide details of the closed area proposed for the first working trial? What are the implications for those living within that closed area?
The Minister said digital services were already available on the Internet. Increasingly, television services will be available through the Internet. Has the Minister any proposals regarding the use of devices, such as mobile telephones or laptops, to avail of broadcasting services outside the traditional channels such as analogue or satellite? Has he any interest in developing a licensing system for such use?
On the last point, discussion has already taken place on the proposed Broadcasting (Amendment) Bill 2006. This will address new methods of broadcasting through the Internet, mobile phones, etc. There was quite a reaction in the e-consultation process carried out by the Oireachtas committee regarding the possibility that mobile phones might have to be licensed in the future if they were receiving television programmes. I do not pretend to have all the answers in terms of where we are going in this area. The concept of convergence and how that will affect communications into the future is something that changes almost on a weekly basis. There will be implications, as the Deputy is aware, for television licence fees and whether the television licence will be a thing of the past in five or seven years' time because of that convergence.
The Minister should not frighten RTE.
Given the ComReg licence, the pilot which starts in March will be confined to approximately 1,000 people. The north east generally is the area that will be covered and 1,000 people will be using the system there.
Regarding the question of the analogue switch off by the BBC, once the Bill is passed, and I am sure I will get the co-operation of all parties in the House——
The Minister will get it.
——to get it passed as quickly as possible — that has been indicated to me — BCI can then advertise for multiplexes for companies to put forward. RTE has indicated to me that it will move very quickly. It is making arrangements for the first multiplex and I hope we would have an overlap between the period the DTT would be available here and the analogue switch off in the BBC. Currently, it appears we will have that and therefore there will not be any loss in that regard.
On the Minister's last point, given that historically it has been almost a geographic accident that we have had availability of analogue services from the BBC and other British channels and that this will be a different contractual arrangement in that whoever is managing the multiplex system would have to contract with the BBC, will that have significant cost implications in terms of channels requiring a payment for access to such services? What are the likely implications for the Irish customer viewer in that regard?
RTE will have to provide the Irish stations on a free-to-air basis but it is conceivable that it will have to pay for anything it gets subsequently. It will then have to decide how it, in turn, will get paid for it. Without going into too much detail, I am aware that RTE is considering a variety of possibilities, one of which might be that some mutual arrangement will be made by the BBC, UTV and RTE regarding multiplexes and services to each other. It is possible, however, that the BBC, UTV or some of those channels would be on a "pay-as-you-view" basis.
An occasion on which we would be changing to pay-per-view for services that were traditionally free might be an appropriate time to amend the licence fee arrangements, taking into account the technological changes on the web and the introduction of multiplexes. Then rather than later would be the time to change the licence fee arrangement to recognise this new future.
That will be a subject for debate during the course of the Broadcasting (Amendment) Bill. The licence fee was put in place and has been maintained because of the commitment successive Governments of all shades had to the concept of public service broadcasting here and a national broadcaster. While technologies may converge and change, and circumstances may change as well, I presume there would be a reluctance on all sides of the House to move away from the concept of the licence and pay specifically for the public service element of our national television services. That is a debate we will have because circumstances will change.
Written Answers follow Adjournment Debate.