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Telecommunications Services.

Dáil Éireann Debate, Thursday - 5 May 2005

Thursday, 5 May 2005

Ceisteanna (6, 7, 8, 9, 10, 11, 12, 13, 14, 15)

Shane McEntee

Ceist:

6 Mr. McEntee asked the Minister for Communications, Marine and Natural Resources the position in regard to availability of broadband here compared with other European countries; if the progress here is in line with that elsewhere; the reason for any discrepancy; and if he will make a statement on the matter. [14540/05]

Amharc ar fhreagra

Liz McManus

Ceist:

8 Ms McManus asked the Minister for Communications, Marine and Natural Resources his views on the fact that Ireland remains in the 22nd place in the 2005 World Economic Forum’s networked readiness index, part of the Global IT Report which measures the propensity for countries to exploit the opportunities offered by ICT; his further views on a report of the European Commission (details supplied) which shows the Government slipping down the rankings in various categories of e-government; and if he will make a statement on the matter. [14389/05]

Amharc ar fhreagra

Jimmy Deenihan

Ceist:

27 Mr. Deenihan asked the Minister for Communications, Marine and Natural Resources the progress in the past 12 months in the provision of broadband services throughout the country in respect of both wireless and fixed line facilities; the number of connections made through wireless and fixed line or other means including satellite; and if he will make a statement on the matter. [14542/05]

Amharc ar fhreagra

Shane McEntee

Ceist:

34 Mr. McEntee asked the Minister for Communications, Marine and Natural Resources the extent to which progress to date in the provision of broadband services is in keeping with the revised targets set by his Department; his proposals to accelerate the programme; and if he will make a statement on the matter. [14539/05]

Amharc ar fhreagra

Brendan Howlin

Ceist:

56 Mr. Howlin asked the Minister for Communications, Marine and Natural Resources his views on the fact that Ireland remains close to the bottom of the EU broadband services scorecard compiled by the European Competitive Telecommunications Association; and if he will make a statement on the matter. [14384/05]

Amharc ar fhreagra

Liam Twomey

Ceist:

104 Dr. Twomey asked the Minister for Communications, Marine and Natural Resources the number of broadband service providers engaged or seeking to engage in the provision of broadband services; and if he will make a statement on the matter. [14538/05]

Amharc ar fhreagra

Bernard J. Durkan

Ceist:

181 Mr. Durkan asked the Minister for Communications, Marine and Natural Resources the number of broadband service providers engaged or seeking to engage in the provision of broadband services; and if he will make a statement on the matter. [14767/05]

Amharc ar fhreagra

Bernard J. Durkan

Ceist:

182 Mr. Durkan asked the Minister for Communications, Marine and Natural Resources the extent to which progress to date in the provision of broadband services is in keeping with the revised targets set by his Department; his proposals to accelerate the programme; and if he will make a statement on the matter. [14768/05]

Amharc ar fhreagra

Bernard J. Durkan

Ceist:

183 Mr. Durkan asked the Minister for Communications, Marine and Natural Resources the position in regard to availability of broadband here as compared with other European countries; if the progress here is in line with that elsewhere; the reason for any discrepancy; and if he will make a statement on the matter. [14769/05]

Amharc ar fhreagra

Bernard J. Durkan

Ceist:

185 Mr. Durkan asked the Minister for Communications, Marine and Natural Resources the progress in the past 12 months in the provision of broadband services throughout the country in respect of both wireless and fixed line facilities; the number of connections made through wireless and fixed line or other means including satellite; and if he will make a statement on the matter. [14771/05]

Amharc ar fhreagra

Freagraí ó Béal (37 píosaí cainte)

I propose to take Questions Nos. 6, 8, 27, 34, 56, 104, 181 to 183, inclusive, and 185 together.

Progress on the availability of broadband in Ireland is out of line with the rest of Europe. We are providing availability at much higher rates than most European countries. In January 2004 we had 35,000 broadband customers, most recent figures indicate 140,000 customers, which is a 400% increase. In 2004 there were more than 80 Internet service providers while today more than 130 companies are listed by ComReg, with at least 45 different broadband offerings across a variety of technologies, including DSL, fibre, cable, leased lines and satellite technology.

In essence, broadband technologies can deliver broadband to any customer in Ireland. The rate of uptake is dependent on access by the service providers to suitable infrastructure. Because the level of investment by the sector in high-speed broadband infrastructure has failed to keep pace with the demand for broadband, my Department is addressing the infrastructure deficit, in co-operation with the local and regional authorities, by building high-speed open access fibre-based metropolitan area networks, MANs, in 120 towns and cities nationwide, using European regional development fund and Government funding under the National Development Plan 2000-2006. Full details of my Department's regional broadband programme can be found on the website, www.dcmnr.gov.ie.

I have set the industry a target of 500,000 broadband customers by the end of 2006. The Government's broadband target is to be within the top half of EU countries by the end of 2007. In the context of Ireland's ranking in various league tables, my officials and I have read and are aware of all current published reports. In that regard, Ireland's placing of 22nd in the World Economic Forum's 2005 report is a significant improvement on 51st position in the previous report in November 2003.

I propose to allow one minute for each supplementary question and one minute for each reply.

Having regard to the revised targets by his Department, does the Minister accept the take-up of 140,000 customers is disappointing and it is unlikely, given the progress to date, that the revised target will be achieved? An earlier date had been set for the original target. Are the various service providers meeting targets under each heading, for example, wireless or satellite? How does their performance compare with service providers throughout Europe and worldwide?

I have little doubt the revised targets will be met. The rate of increase in broadband take-up at 400% over the past 12 months is indicative of a significant acceleration in the take-up and provision of broadband. No targets have been set for individual sectors, whether that is wireless, satellite or whatever. The overall target is most important and I am satisfied, based on the take-up over the past six months, we will achieve the target we have set.

I would like to conclude this line of questioning.

I call Deputy Broughan. I do not make the rules.

My questions are brief and I do not interrupt. Please let me conclude my questioning.

I do not make the rules of the House but they must be enforced.

May I ask one supplementary question?

The Deputy will have an opportunity to ask further questions after Deputy Broughan.

Those are new rules. There are no such rules.

Is it not depressing to read media reports every week about various indices such as the World Economic Forum's network readiness index, according to which Ireland is static in 22nd position? We used to be top of the premiership table, together with Sweden, in e-government but we have slipped to fourth. We have slipped in the areas of health, library systems and taxation to 12th, 15th and 24th of 28. Even during the Minister's administration of the programme, does he agree Ireland's performance in availing of broadband and ICT is increasingly worrying and needs urgent action? Is the Northern Ireland example not the way to go? Northern Ireland was 100% broadband enabled a few months ago but only 200 of 1,400 Eircom exchanges are broadband enabled in this jurisdiction. Is that not a total disgrace?

Recently the Minister for Transport represented the Minister at a conference in Kilkenny. He lost his temper with the chief executive of Eircom and said he wanted action. Is it time the Minister called in Dr. Nolan, Mr. McRedmond and the other Eircom board members to tell them enough is enough, that our situation is embarrassing and disgraceful and that we are at the bottom of the league in broadband provision?

Ireland used to be at the cutting edge of technology but earlier significant job losses were threatened by IBM, a company which has been in the State for a quarter of a century. Is it time the Minister took dramatic action in the provision of broadband and ICT? If not, the next Government, whatever its complexion, will face a great crisis. Must the Minister not take action now and at least copy his counterpart in Northern Ireland?

It is a little stretch of the imagination to link job losses at IBM with the roll-out of broadband in Ireland.

It is central.

I do not agree with the Deputy that Ireland is slipping down on every index in European terms. Ireland is at full employment and has one of the lowest personal taxation models in Europe.

We will not be if this continues.

I do not share the Deputy's doom and gloom. He referred to the World Economic Forum index. Ireland was ranked 21st of 80 countries in 2002, 22nd of 102 in 2003 and 22nd of 104 in 2004. Ireland is seventh in the EU rankings behind the UK, Germany, the Netherlands, Luxembourg, Austria and France.

We used to be top of the premiership. We are slipping down.

I do not agree with the Deputy's gloomy outlook. However, I agree that we need to ensure the rate of increase in the availability and take-up of broadband is maintained and we will do so. Governments cannot direct private companies to do anything.

Seán Lemass did.

I hope private companies will recognise the commercial advantage to be gained and that they will continue to roll out broadband at the current rate.

I thank the Minister for his broad reply. Is the Government's main input in this area the provision of the MANs, which represents a significant investment in fibre optic rings? How many of the commercial suppliers of broadband use the MANs? If the Minister does not have the information to hand, will he forward it to me later? What was the turnover of the MANs in the last financial year? While they are operated by an independent company, I would like to ascertain how successful the strategy has been to date.

I am interested that the Minister is optimistic that the target of 500,000 customers will be achieved by next year because it is ambitious. While the increase in take-up over the past year is welcome, the figures presented by him earlier demonstrate it is slowing.

The dramatic increase in DSL broadband connections which occurred last year and saw up to 120,000 connections by the end of the year has slowed considerably based on the figures presented by the Minister today. The first four months of this year saw only an additional 20,000 connections.

The Deputy will have another opportunity to ask questions.

I will finish if I may. On that basis from where does the growth come? Does the Minister believe we will get the additional 350,000 connections in the next year and a half from DSL connections, wireless Internet or other connections? On what does the Minister base his optimism?

I do not have the level of detail the Deputy requests on MANs but I will provide him with as much information as possible. Where the MANs are in operation they are used by almost all operators including Eircom for enhancing its network. It is used extensively by service providers in various parts of the country.

My optimism for take up of broadband arises from the introduction of the metropolitan area networks, 19 of which are now in place with an additional seven currently being built. The schools broadband programme is also rolling out, and all schools will have it by the end of this year. That will have a revolutionary effect in increasing the level of demand. I met the co-ordinators of the county broadband group scheme yesterday. They referred to approximately 500 more communities availing of that scheme throughout the country, and a significant level of interest. I base my optimism on that demand and interest. If the Deputy drops me a note on those specific points I will be delighted to provide him with the information.

How many service providers are there, what number of connections is attributable to each, how many service providers have offered to provide service, what is the manner and methodology whereby they intend to provide the service and to what extent, if any, has the Minister or ComReg evaluated their potential in accelerating the provision of broadband services throughout the country?

To what extent has the Minister received submissions from service providers with a view to enhancing and improving the service? To what extent has he received submissions from the business sector, particularly the IT sector and those involved in high technology, with a view to seeking an acceleration of the provision of the service throughout the country? I ask the Minister to indicate the extent to which he feels service can be provided which is comparable, competitive and in line with the accelerated programme available to consumers in other jurisdictions.

The number of service providers registered with ComReg, the body with which they must be licensed, has increased from 80 to 130 companies. At least 45 different broadband offerings exist across a range and variety of technologies, including DSL mainly, but also fibre, cable, lease lines and satellite technology.

Business people, including people who work at home and from home, are regularly in contact with the Department on the provision of broadband. I do not know the numbers of representations but there are quite a few. We recently had meetings with the chambers of commerce of Ireland and discussed the role they might play in the rollout of broadband. I am in touch with two bodies linked to IBEC, the Telecommunications and Internet Federation and the Telecommunications Users Group, and they are also anxious to roll out broadband in all its forms throughout the country. The €15 million required for the broadband for schools scheme was provided by TIF. While a significant level of interest and representation comes from the private sector and the public generally for this, the largest group of people who make representations or raise queries on this matter are Members of the Oireachtas on behalf of their constituents.

The Members of the Oireachtas then write to those constituents.

There seems to be a greater awareness in this House of the benefits and needs for it than in some of the business organisations.

Is the Minister definitively stating that he will not take a similar initiative as was taken in Northern Ireland, where BT won a tendering competition to enable the Six Counties to be fully broadband enabled? What does the Minister expect will happen regarding local loop unbundling? When telecom companies other than Eircom make a case to either an Oireachtas committee or Members, it is generally top of the agenda and an issue about which they feel upset. Will the Minister comment on the consequent high cost of DSL and the low speeds we have in comparison with countries such as Korea and Japan? When will the interactive public sector broker for the citizen be fully operational? This is within the remit of the Minister and Deputy Kitt is also involved.

The Deputy has raised an issue on which we need more focus. It is convenient for me and Opposition Members to discuss quantity of broadband but the issue of its quality is even more important. Even if the country was entirely broadband enabled, not everybody would want it or use it. The quality of what is on offer is extremely important and perhaps we would be better employed focusing on that rather than quantity.

Would the Minister choose fibre optics?

That is what we are doing in the MANs programme. That is based on fibre optic because that is what we believe is necessary. Eircom has indicated that by the end of next year it will have achieved 90% coverage with DSL. We must focus more on quality as 512 bytes DSL is basic broadband and we should have at least one or two megabytes. Local loop unbundling is a matter for ComReg which knows the urgency of this and I do not want to interfere in its work. I agree with Deputy Broughan that it is urgent. Circumstances here are not the same as in Northern Ireland so we will not hold that type of competition, and instead we will provide MANs and the group broadband schemes. Alternatives are available, therefore, including open access fibre-optic cables, that will allow people, companies and competition come into the market. My concentration is on trying to increase the type of competition in the market that will have the most beneficial effect by providing a wider level of service at more competitive rates.

On the point Deputy Broughan made earlier, is the Minister aware that IBM made a presentation to the Oireachtas joint committee examining the area of broadband? It made the point that in many ways Ireland was an unattractive venture for business and that it could not provide home broadband connections to its staff. That was the specific point IBM wanted to raise before the committee. Is the Minister aware of that?

The Minister referred to the roll-out of school access to broadband. I presume he is counting each school as a connection point and that the 500,000 does not refer to every child, welcome though that access would be. While I accept the Minister's point that it is not simply a numbers game, his solution of providing a competitive market does not include a significant section of our community who cannot afford a €400, €500 or €600 a year connection charge for broadband, regardless of the quality of the connection made. What efforts does the Minister have in mind to bridge that digital divide where significant sections of our community will be unable to access such connections? Other than trying to provide for a competitive market, how does the Minister see that divide being crossed in the roll-out of broadband? How many of the 500,000 people mentioned will be classified among those who may not come within the normal commercial market?

I can confirm to the Deputy that for counting purposes, it will be 4,200 schools rather than 500,000 students who will have access. That relates to the last question the Deputy raised. Part of the rationale behind the rolling out of the schools broadband programme, as was my rationale when I was Minister for the Environment, Heritage and Local Government in rolling out direct broadband access in libraries throughout the country, was to try to counteract and prevent the widening of the digital divide that exists in society. It is by such means that we can try to affect the situation regarding the digital divide to ensure that people have access and, if they cannot afford access themselves, that there will be public points where people can have access to the Internet.

Will that be via the schools or elsewhere?

It will be via schools, libraries and public buildings generally. I encourage local authorities, through the libraries, their offices and so on, to make these points available. Government should be more active in making public places available for people to ensure they are not unduly affected by the digital divide.

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