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Tuesday, 4 Mar 2014

Written Answers Nos. 221-238

Renewable Energy Generation Targets

Questions (221, 222)

Michael Colreavy

Question:

221. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the breakdown in terms of electricity, transport and heat in respect of Ireland's renewable energy target for 2020; and if he will make a statement on the matter. [10491/14]

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Michael Colreavy

Question:

222. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the infrastructure that is required for Ireland to reach its renewable energy target for 2020; and if he will make a statement on the matter. [10492/14]

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Written answers

I propose to take Questions Nos. 221 and 222 together.

The 2009 EU Renewable Energy Directive set Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. In order to meet this target, Ireland is committed to meeting 40% of electricity demand, 12% of heating and 10% of transport power from renewable sources, with the transport target also being legally binding.

To date onshore wind energy has been the largest driver of growth in renewable electricity and will contribute most towards the achievement of the 2020 target. It is estimated that a total of between 3,500 MW and 4,000 MW of onshore wind generation capacity will be required by 2020. Other technologies such as electricity from biomass, hydroenergy and ocean energy will also contribute to our 40% renewable electricity target. EirGrid, in accordance with its responsibilities as the Transmission System Operator (TSO), has prepared a Transmission Development Plan for the period 2013–2023 outlining the developments which will be required to meet future requirements of the electricity grid as they are known at this time, including the requirement to accommodate renewable generation.

It is expected that most of the 12% renewable heat target will be achieved through the use of biomass technologies. The uptake of the CHP capacity under REFIT 3, launched in early 2012, will make a contribution to achieving this along with migration to renewable heat in response to market forces. The requirements of Part L of the Building regulations are also expected to make a contribution to increasing the uptake of renewable heat. These measures and developments will build on the increases in renewable heat which were achieved by schemes such as the Greener Homes Scheme, the Renewable Heat Deployment Programme (ReHeat) and the CHP Deployment Programme. My Department is also currently finalising a Bioenergy Strategy which will set out the actions required to optimise the contribution that energy from biomass can make to achieving Ireland's 2020 renewable energy targets. Analysis underpinning the strategy suggests that additional bioenergy measures can have a significant impact in the heat sector and recommendations will shortly be brought forward in this regard.

The penetration of renewable energy in transport will grow mainly with the increased use of sustainable biofuels which is supported by way of the Biofuel Obligation Scheme. The increased deployment of electric vehicles (EVs) is also expected to make a contribution to achieving the target for the transport sector and supports are currently in place to incentivise the purchase of these vehicles. The ESB, through its ecars programme, is continuing to roll out both publicly accessible charging infrastructure and domestic charge points. My Department understands that the ESB intends to have in place this year at least 1,000 publicly accessible charge points in all main towns and cities, as well as 60 fast chargers on major roads.

Energy Usage

Questions (223)

Michael Colreavy

Question:

223. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources if he will provide a breakdown of heat energy demand between domestic, public, commercial and industrial buildings; and if he will make a statement on the matter. [10493/14]

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Written answers

The Energy in Ireland Report for 2012, published by the Sustainable Energy Authority of Ireland and available on its website, shows a total heat demand in 2012 in the domestic, public, commercial and industrial sectors of 4,267 kilotonnes of oil equivalent (ktoe). Of this, 2,017 ktoe was in the residential sector, 1,464 ktoe was in industry, 430 ktoe was in the commercial services sector and 356 ktoe was in the public sector.

Energy Resources

Questions (224, 225, 228)

Michael Colreavy

Question:

224. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources if there has been a study carried out into the potential energy production from hydroelectricity here; and if he will make a statement on the matter. [10494/14]

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Michael Colreavy

Question:

225. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the amount of energy that is currently generated from hydroelectricity; and if he will make a statement on the matter. [10495/14]

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Michael Colreavy

Question:

228. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the studies completed into the different variable outputs from differing renewable energy sources; and if he will make a statement on the matter. [10498/14]

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Written answers

I propose to take Questions Nos. 224, 225 and 228 together.

The large hydro resources available in Ireland have been largely exploited and, together with all smaller developments, now comprise a total installed capacity of around 213 MW. This figure excludes Turlough Hill which is a pumped storage system.

A resource study titled "The Small-Scale Hydro-electric Potential of Ireland" was completed by the then Department of Energy in 1985 which concluded the additional available capacity was 38 MW. This is a very small resource and would be consistent with expectations from small hydro developments on Irish rivers. As it is deemed a small resource, little further investigation has been performed since.

In 2012 electricity generated from hydro was 802 GigaWattHours (GWh). Using normalised figures to adjust for annual variations in climate, as per EU Directive 2009/28/EC, hydro accounted for 759 GWh or 2.7% of gross electricity consumption in 2012. This is provided primarily by 14 large scale hydro-electric generators.

A number of major studies have been carried out by EirGrid over the past number of years to investigate the levels of renewable generation that can be securely accommodated on the power system of Ireland and Northern Ireland. The commercial viability of each renewable energy technology is a matter for the developers themselves. The EirGrid studies have considered the requirements in terms of infrastructure and also the operational implications of managing a power system with large amounts of variable generation sources. These studies include the following:

- Summary of Studies on Rate of Change of Frequency (RoCoF) events on the All-Island System (Published - August 2014);

- Ensuring a Secure, Reliable and Efficient Power System in a Changing Environment (Published June 2010);

- Facilitation of Renewables Study (Published June 2010);

- All Island Grid Study (Published January 2008).

All of the studies are available on the EirGrid website at www.eirgrid.com.

Fisheries Protection

Questions (226)

Michael Colreavy

Question:

226. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the current planning restrictions surrounding hydro generation; and if he will make a statement on the matter. [10496/14]

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Written answers

The development of hydro generation requires planning permission from the relevant planning authority in accordance with the provisions of the Planning Acts, having due regard to other relevant legal frameworks and guidelines. The principal legislation governing the protection of fish in the development of hydro generation is set out in Part 8, Chapter 5 of the Fisheries (Consolidation) Act 1959, as amended. Consideration must also be given to the protection of fisheries afforded by the Water Framework Directive, the Habitats Directive and other relevant EU legislation. Finally, my Department and the then Fisheries Boards (now Inland Fisheries Ireland) released a report in October 2007 entitled "Guidelines on the Construction and Operation of Small Scale Hydro Electric Schemes and Fisheries" which can be downloaded from the Inland Fisheries Ireland website at www.fisheriesireland.ie.

Offshore Renewable Energy Development Plan Implementation

Questions (227, 229)

Michael Colreavy

Question:

227. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the studies completed into the environmental damage caused by tidal energy power systems; and if he will make a statement on the matter. [10497/14]

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Michael Colreavy

Question:

229. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the amount of energy Ireland currently receives from tidal sources; and if he will make a statement on the matter. [10499/14]

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Written answers

I propose to take Questions Nos. 227 and 229 together.

The potential of the offshore renewable energy sector to be a source of sustainable employment and growth in the green economy has been consistently identified by Government and by the European Commission in its recent Communication on 'Blue Energy'. Currently, there are no tidal electricity generation facilities connected to the Irish grid. However, tidal energy, along with wave energy and offshore wind, is one of the sectors identified for development in the Offshore Renewable Energy Development Plan (OREDP), which I published on 7 February. The OREDP will facilitate the development of our abundant offshore renewable energy across the three key pillars of environmental sustainability, technical feasibility and commercial viability.

To ensure that the economic potential of offshore renewable energy is realised in a way that is environmentally sustainable, and takes into account the needs of other users of the marine environment, a Strategic Environmental Assessment (SEA) was carried out for the OREDP. The overall conclusion of the SEA was that it would be possible to achieve the high scenario of 4,500 MW from offshore wind and 1,500 MW of wave and tidal devices without likely significant adverse effect on the environment. Nevertheless, the SEA identified the need for collection and dissemination of data, and the monitoring of any potential significant environmental impacts arising from the development of offshore renewable energy installations (including tidal).

Establishing the environmental monitoring requirements for offshore renewable developments will, therefore, be an early task in the implementation of the OREDP. The OREDP, and the documentation relating to the SEA, are on my Department's website at www.decnr.gov.ie.

Question No. 228 answered with Question No. 224.
Question No. 229 answered with Question No. 227.

Renewable Energy Generation Targets

Questions (230)

Michael Colreavy

Question:

230. Deputy Michael Colreavy asked the Minister for Communications, Energy and Natural Resources the projected impact on the energy grid in terms of fossil fuel consumption if Ireland reaches its renewable targets for 2020; and if he will make a statement on the matter. [10500/14]

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Written answers

The 2009 EU Renewable Energy Directive set Ireland a legally binding target of meeting 16% of our energy requirements from renewable sources by 2020. In order to meet this target, Ireland is committed to meeting 40% of electricity demand from renewable sources. While it is acknowledged that fossil fuels will remain part of the energy mix for some time to come, progress is being made towards increasing the share of renewable energy in our generation portfolio. Figures for 2012 show that 19.6% of electricity demand was met from renewables. Ireland is currently heavily reliant on imported fossil fuels to meet our energy needs. The work of the Sustainable Authority of Ireland (SEAI) shows that, in total since 2006, wind energy has avoided in the order of €1.1 billion in fossil fuel imports, primarily of gas, but also oil.

To date wind energy has been the largest driver of growth in renewable electricity, contributing most towards the achievement of the 2020 target. In 2012, 15.3% of electricity demand was met by wind generation. At the end of 2013, the total amount of renewable generation connected to the grid was around 2,300 MW. It is estimated that a total of between 3,500 and 4,000 MW of onshore renewable generation capacity will be required to allow Ireland to meet its 40% renewable electricity target. Currently, around 3,000 MW of renewable generation has taken up connection offers under the Gate 3 grid connection programme.

EirGrid and the System Operator for Northern Ireland (SONI) have embarked on a multi-year programme "Delivering a Secure, Sustainable Electricity System" (DS3) which is designed to ensure that we can securely operate the power system with increasing amounts of variable non-synchronous renewable generation. As part of its DS3 programme, EirGrid is looking at changes to ancillary services provided by conventional (fossil fuel) generators, to reflect the greater flexibility needed with growing levels of renewable energy on the power system.

Broadband Service Charges

Questions (231)

Brendan Griffin

Question:

231. Deputy Brendan Griffin asked the Minister for Communications, Energy and Natural Resources if an early termination fee in respect of a person (details supplied) in County Kerry who had a verbal agreement with the broadband provider to waive this fee in view of the regular difficulties experienced by the person with the service and the provider, will be waived; and if he will make a statement on the matter. [10502/14]

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Written answers

The broadband service contracted under National Broadband Scheme (NBS) is a basic, affordable, scalable product in keeping with EU State Aid clearance for the Scheme. Under the terms of the contract which my Department has in place with "3", the NBS service provider, the NBS mobile wireless service currently offers minimum download and upload speeds of 2.3Mbps and 1.4Mbps respectively, subject to a maximum contention ratio of 18:1. The NBS satellite service, which is utilised in a small number of cases for technical reasons associated with the location of the premises, offers minimum download and upload speeds of 3.6Mbps and 384 kbps respectively, subject to a maximum contention ratio of 48:1.

My Department has well-established monitoring arrangements in place to ensure that the NBS delivers the minimum specified service or better to all users. The NBS contract guarantees service levels and imposes a service credit regime on "3", with significant financial consequences in the event that minimum specification service levels are not met. The NBS contract also provides that where NBS customers do not receive the minimum guaranteed service, as set out in the terms and conditions of their contract, they are entitled to service rebates.

My Department liaises very closely with "3" to ensure that any issues relating to service performance which are brought to its attention are addressed as quickly as possible. With reference to service performance issues experienced by the person referred to in the Question, my officials have been advised by "3" that its engineer visited the customer's premises and having replaced a piece of faulty equipment, confirmed the NBS service to be within specification. In addition, 3's engineer offered advice in relation to additional equipment which could help boost the broadband signal to other areas of the house.

Should a customer wish to terminate their NBS contract prior to the expiry of the minimum term, as is standard industry practice, a cancellation fee applies which is equivalent to the total monthly charges due for the balance of the minimum contract term. Such matters are operational matters for "3". My Department officials have been informed by "3" that they were in direct contact with the customer regarding this matter and that they have no record of offering to waive the standard cancellation fee. However, in this particular instance, I understand from "3" that they are amenable to reaching an agreeable solution. My officials will contact the Deputy directly to arrange to progress the matter to conclusion.

EU Directives

Questions (232)

Andrew Doyle

Question:

232. Deputy Andrew Doyle asked the Minister for Communications, Energy and Natural Resources if he will sign up for the EITI, along with 39 other countries, in order to raise common global reporting standards, following the G8 report; and if he does not intend to sign up for the EITI, the reasons for that decision. [10635/14]

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Written answers

I understand that the Extractive Industries Transparency Initiative (EITI) is a voluntary international standard which aims to ensure transparency of payments from natural resources. Chapter 10 of Directive 2013/43/EU of 26 June 2013, also known as the Accounting Directive, introduces an obligation on large undertakings and all public-interest entities active in the extractive industries or the logging of primary forests to produce and publish a report on payments made to Government on an annual basis. These provisions require to be given full effect in the legislation of all Member States by July 2015. Directive 2013/50/EU of 22 October 2013, known as the Transparency Directive, also incorporates disclosure requirements of Chapter 10 of the Accounting Directive. The provisions of the Transparency Directive require to be given full effect in the legislation of all Member States by November 2015. The disclosure requirements of the Accounting Directive and the Transparency Directive complement the efforts of the EITI by requiring disclosure along the same lines as the EITI.

The transposition into Irish law of the provisions of the Accounting Directive and the Transparency Directive, are a matter in the first instance for my colleagues the Minister for Jobs, Enterprise and Innovation and the Minister for Finance, respectively. On a more general note, payments that could be made to the State resulting from the on-going exploration for our natural resources of oil or gas fall into two main categories. The first category relates to application and administration fees, along with rental fees in respect of licensed acreage. The second category relates to tax paid on profits from production of oil or gas. The level of fees, or tax, to be paid is set down in the relevant legislation and licensing terms, the details of which are in the public domain.

Offshore Exploration

Questions (233)

Andrew Doyle

Question:

233. Deputy Andrew Doyle asked the Minister for Communications, Energy and Natural Resources the action he has taken to develop an inter-agency oil and gas sector development policy for the management of oil and gas production, prior to a successful application for extraction, in order to prevent the failure of planning and consultation which was evident in the Shell gas development; and if he will state what percentage of any new extractive company will be owned by the State. [10637/14]

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Written answers

Ireland has a very clear strategy in respect of the Offshore Oil and Gas Exploration sector, key elements of which are: to seek to maximise the benefits to the people of Ireland from its indigenous natural resources; to provide opportunities and encourage private industry to take the risk associated with investing in exploration; to take initiatives to deepen knowledge of the potential of its offshore, in particular through supporting key research projects; and to seek to have a robust regulatory regime in place to ensure that activities are carried out in a safe manner that does not harm the environment.

The regulatory regime for oil and gas has been significantly modernised over the last ten years. The Planning and Development (Strategic Infrastructure) Act was introduced in 2006 to consider certain developments which are of strategic, economic or social importance to the State or to a region. This means that planning applications for certain large scale private developments, generally of a scale requiring Environmental Impact Assessment, will be made directly to An Bord Pleanála ('the Board') where previously such applications were the remit of the relevant Local Authority, with a right of appeal to the Board. As part of its assessment of any such application, including oil or gas production developments, the Board is required to consult with all prescribed bodies. My Department is a statutory consultee under this process and any observations it submits must be considered in coming to a decision with regard to the grant or otherwise of a planning development consent.

In accordance with the provisions of the Petroleum and Other Minerals Development Act, 1960, potential developers are also required to apply to my Department for approval of a Plan of Development for the development and commercial operation of such a project. Prescribed bodies such as the Board, along with any other parallel consent authority will also be consulted as part of this assessment process and their observations considered in coming to a decision with regard to the grant or otherwise of an approval. If there is either a Foreshore Licence required from the Minister for the Environment, Community and Local Government or an emission control licence required from the EPA, again parallel consent authorities, including my Department and the Board are consulted and their observations considered in the respective approval processes of both of these authorities.

This is the assessment process which was implemented with respect to the most recent phase of the Corrib Gas Field Development with regard to the construction of the on-shore segment of the Corrib Gas Pipeline. This application was submitted simultaneously to both the Board and my Department in April, 2010, with the two consent processes concluded by February, 2011.

Finally, in 2010, the Oireachtas approved the Petroleum (Exploration and Extraction) Safety Act 2010, which introduced a modern Petroleum Safety Framework for upstream petroleum activities, administered by the Commission for Energy Regulation

It is not possible for the State to compulsorily acquire a share of any privately held extractive company intending to operate in Ireland. However, in order to maximise the return to the State from any future development, profits from the petroleum production arising from Exploration Licences granted after 2007 will be taxed at a rate of up to 40%.

Postcode Implementation

Questions (234)

Alan Farrell

Question:

234. Deputy Alan Farrell asked the Minister for Communications, Energy and Natural Resources his views on the necessity for a public information campaign on the national roll-out of postal codes; when such an information campaign will be run; the person responsible for that campaign; the way it will be funded; and if he will make a statement on the matter. [10657/14]

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Written answers

The Government approved the appointment of Capita Business Support Services Ireland Limited as the company which will develop, roll-out and operate the National Postcode System following the conclusion of the public procurement process in 2013. As part of the process of developing and launching postcodes, Capita will undertake a public information campaign aimed at the general public and business as provided for in the postcode contract. The scope of the information campaign will be developed over the coming months and will form an important component of the successful delivery of the project.

Postal Services

Questions (235)

Andrew Doyle

Question:

235. Deputy Andrew Doyle asked the Minister for Communications, Energy and Natural Resources the action he is taking to provide the national postal service delivery objectives. [10708/14]

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Written answers

While I have overall responsibility for the postal sector, the Communications Regulation (Postal Services) Act 2011 charges the Commission for Communications Regulation (ComReg), as the postal regulator, with the promotion of the development of the postal sector and particularly the availability of the universal postal service, the promotion of the interests of users and the facilitation of the development of competition in the sector. Under this Act, An Post is statutorily required, as the designated universal service provider, to provide a universal postal service. The essential element of this obligation is the collection and delivery of mail to every address in the State on every working day.

The universal service obligation ensures by way of regulatory obligations that a minimum set of services is provided at an affordable price for the benefit of all users, irrespective of their geographical location. It is a fundamental principle of the regulatory framework for postal services and is an explicit requirement of the EU Postal Services Directive which has provided for the gradual and controlled opening of the postal services market to competition.

Post Office Network

Questions (236)

Andrew Doyle

Question:

236. Deputy Andrew Doyle asked the Minister for Communications, Energy and Natural Resources the action he is taking to co-ordinate the interdepartmental working group needed to ensure that Government services are delivered, where possible and when cost effective, through the post office service. [10709/14]

View answer

Written answers

I refer to the reply to Question No.143 of 26th February 2014. The position is unchanged.

Post Office Network

Questions (237)

Andrew Doyle

Question:

237. Deputy Andrew Doyle asked the Minister for Communications, Energy and Natural Resources the action he is taking to ensure that the post office service remains independent, outside international retail chains, and that employees are covered by the Official Secrets Act. [10710/14]

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Written answers

The importance of maintaining a network of post offices around the country is recognised in the Programme for Government. It is Government policy that An Post remains a strong and viable company, in a position to provide a high quality, nationwide postal service and maintain a nationwide customer focussed network of post offices in the community.

That said, the Deputy should be aware that operational matters and the role of developing commercial strategies for the post office network are a matter for the Board and management of An Post and not one in which I have a statutory function. As shareholder, however, I have a strong concern in relation to the ongoing commercial position of the Company and I regularly liaise with the Company in this regard. In this regard, I welcome the progress that has been made by An Post towards diversification of the post office network's income streams. Post offices have traditionally been based on the high street. An Post's competitors are, however, establishing a presence in the larger retail outlets, where the bulk of the population conduct their weekly shopping. That presence represents a significant threat to the company if it does not respond.

An Post is a commercial state body and receives no exchequer funding. It would be fundamentally wrong for the State as shareholder to constrain the capacity of the company to provide competing services where these are demanded by its customers. It is also worth adding that employees of An Post have no particular status under the Official Secrets Act.

The long-term health of the post office network requires focussed, long-term company action, in co-operation with the Government, based on a sustained capability to deliver competitive services, freely chosen and locally provided.

National Broadband Plan Implementation

Questions (238)

Derek Nolan

Question:

238. Deputy Derek Nolan asked the Minister for Communications, Energy and Natural Resources the progress of the national broadband plan and the national broadband mapping exercise; if he will outline the way the plan and the mapping exercise are being developed and implemented in Castlebar, County Mayo; and if he will make a statement on the matter. [10768/14]

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Written answers

The Government's National Broadband Plan, which I published in August 2012, aims to radically change the broadband landscape in Ireland by ensuring that high speed broadband is available to all citizens and businesses including those in County Mayo. This will be achieved by providing:

- a policy and regulatory framework that assists in accelerating and incentivising commercial investment; and

- a State-led investment for areas where it is not commercial for the market to invest.

Since the publication of the Plan, investments by the commercial sector are underway and in some instances have been accelerated in both fixed line and wireless high speed broadband services. In the fixed line segment of the market, eircom has announced plans to pass 1.4m addresses with its next generation broadband service, with speeds of up to 100Mbps, while UPC has increased its entry level and maximum speeds to 120Mbps and 200Mbps respectively. Mobile operators have also made announcements regarding network upgrades and are rolling out enhanced product offerings. The ESB Electronic Communications Bill, will, when enacted, enable the ESB to utilise its electricity distribution network to provide telecommunications services and is a further step in promoting investment in competitively priced high speed broadband.

I am aware of at least one service provider announcing that it will be providing advanced broadband services in Castlebar, County Mayo before July 2016 and my Department will be happy to discuss this further with the Deputy. Many of these developments have been facilitated through the implementation of measures in the National Broadband Plan, including the conclusion of ComReg's multiband spectrum auction, and the regulatory regime for fixed line Next Generation Access and service bundles. Both of these measures are designed to incentivise the rollout of services by operators.

In tandem with these developments, intensive work, including a comprehensive mapping exercise, continues in my Department in relation to the State-led investment to secure the countrywide introduction of next generation broadband access. In order to progress the State-led investment for areas where it is not commercial for the market to invest, a full procurement process must be designed and EU State Aids approval must be obtained. Under the national mapping exercise, information has been sought from all undertakings authorised by ComReg in relation to current and planned broadband services, both basic and next generation access (NGA). Mapping data has been submitted to my Department by a total of 23 operators and the process of analysing the data and supporting information is continuing. In many cases, this includes follow-up queries and requests for further information.

The mapping data is being assessed on a case-by-case basis, having regard to the EU State Aid Guidelines. When all of the information has been analysed, a clear picture should emerge of coverage throughout all of the country. When this process is complete, it is my intention to publish a map showing existing and planned NGA broadband coverage, along with the Government's proposals for a State-led intervention to roll out high speed broadband across the country. Intensive technical, financial and legal preparations, including stakeholder engagement, are ongoing. The procurement process for the approved intervention will be carried out in accordance with EU and Irish procurement rules and it is expected that it will be launched in 2014.

Through the implementation of the National Broadband Plan, I am committed to ensuring that all parts of Ireland have access to high speed broadband, with a view to ensuring that all citizens and businesses can participate fully in, and maximise the benefits of, a digitally enabled economy and society.

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