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Dáil Éireann díospóireacht -
Wednesday, 9 Oct 2002

Vol. 554 No. 5

Written Answers. - Broadband Technology.

Jan O'Sullivan

Ceist:

814 Ms O'Sullivan asked the Minister for Communications, Marine and Natural Resources when broadband technology will be networked in the Limerick area; if the timetable will be affected by the announcement of budget savings in broadband roll-out; if so, the way in which; and if he will make a statement on the matter. [16172/02]

Paul Connaughton

Ceist:

827 Mr. Connaughton asked the Minister for Communications, Marine and Natural Resources the amount of Exchequer funding spent on broadband technology in the years 1999, 2000, 2001 and up to 1 October 2002; the priority he is giving to having this technology extended to the regions; the reason such technology is so much more costly in the regions than in Dublin; and if he will make a statement on the matter. [16903/02]

Eamon Ryan

Ceist:

859 Mr. Eamon Ryan asked the Minister for Communications, Marine and Natural Resources if the proposed plan for the development of a regional metro fibre network programme is due to get the go-ahead in 2002 or early in 2003; if a work programme is due to start on the development of these regional metro networks; the timescale for their construction; the order in which various towns are likely to have their local networks connected; and his views on whether the alternative provision of a rolled out DSL service to Irish towns and cities would not provide adequate capacity into the future, and that the flexible and open access to fibre capacity presented by the metro network programme is far preferable to the current situation where national telecom providers have less incentive for the provision of a flexible and low-cost service. [17505/02]

I propose to take Questions Nos. 814, 827 and 859 together.

The provision of communications infrastructure and services is a matter for the private sector companies that operate in the fully liberalised telecommunications market. However, recognising that there are areas of the country that are not as economically attractive for firms to invest in infrastructure and services due to lower population densities and lower concentrations of industries, my Department has undertaken a number of initiatives to facilitate the roll-out of advanced communications infrastructure which seek to address gaps in communications infrastructure in regional Ireland and lower the cost differentials between the regions.

In 1999, under the National Development Plan 1994-1999 and INTERREG II, €26.5 million was made available to support the roll-out of broadband to the regions. Some 13 projects which rolled out broadband nationwide to a value – both public and private funding – of €70 million were supported and are now completed. These projects entailed the roll-out of broadband services in the BMW region and the south and east regions.

Under the National Development Plan 2000-2006, the indicative figure allocated to telecommunications initiatives was approximately €200 million. Funding under this communications and e-commerce measure of the NDP will be utilised to leverage and accelerate investment in competitive advanced information and communications infrastructure and services which will enhance the potential for the development of electronic commerce facilities and enable the electronic provision of public services, including education services, virtual libraries, welfare and health services.
A first call for proposals was run in 2000 and, on foot of submissions received, nine contracts were signed at the beginning of last year which will result in additional investment in the regions in broadband infrastructure and increased availability of broadband services for business and residential users. The projects involved are scheduled to be completed by the end of next year and will entail an overall investment of €160 million in broadband leveraged from grant assistance of approximately €55 million.
Of the projects selected under this call under the communications measure of the NDP, my Department will fund Esat-BT with up to €9 million to roll out a €25 million DSL programme at 40 centres outside of the Dublin area, including Limerick, by the end of the year. The roll-out of DSL may, in the short-term, satisfy the demand for broadband for residential and some SMEs. In the medium to long-term it is expected that the demand for broadband will grow rapidly and that the demand for fibre will increase.
The broadband programme announced in March will involve 20 projects which will lead to the construction of metropolitan area fibre optic networks in towns, including Limerick to link up with the existing backbone network in the country. The town links will facilitate consumers, educational establishments, industry and business and provide "always on" low cost and high speed internet access which will drive the Government's e-commerce agenda. By reducing the cost of access to fibre rings, it will facilitate the provision of broadband services by a greater number of operators and the ensuing competition should benefit the end users in these towns. The relevant local authorities have been asked to enter procurement to establish firm prices for their proposals.
Once procurement is completed, and subject to satisfactory pricing, contracts will be offered for these projects in the order that the local authorities complete the procurement processes to the satisfaction of my Department. It is anticipated that this will take place over the coming months. It is expected that these projects will be completed by the end of next year. The amount of Exchequer funding spent since 1999 on the roll-out of broadband to the regions is as follows: 1999, €600,530; 2000, €3,462,095; 2001, €26,566,000; and 2002, €5,593,000.
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