Dáil Éireann Debate, Tuesday - 14 October 2014
356. Deputy Michael Lowry asked the Minister for Communications, Energy and Natural Resources if he will expedite the national broadband plan in view of the financial hardship being caused to families in rural areas as a result of the drastic hike in broadband prices and further to the abolition of funding under the national broadband scheme by the Government earlier this year (details supplied); and if he will make a statement on the matter. [38871/14]
Amharc ar fhreagraThe provision of telecommunications services, including broadband services, is a matter, in the first instance, for private sector service providers operating in a liberalised market, regulated by the Commission for Communications Regulation (ComReg). The State can only intervene to ensure access to broadband services in areas in cases of clear market failure, as was the case with the National Broadband Scheme, which commenced in 2008. Through this scheme my Department, with the support of the European Union, invested significantly to ensure that infrastructure and services were made available to redress the deficit in basic broadband connectivity which existed at the time in certain designated rural areas. Under EU rules, the Scheme was required to be limited in its duration and therefore it expired on 25th August following a 68 month operational period.
“3”, the NBS service provider, has confirmed that, following the expiry of the Scheme, they will continue to provide coverage throughout NBS areas on a commercial basis, offering consumers the same choice of broadband plans and tariffs as those offered to consumers outside of the NBS areas. Furthermore, they plan to extend 4G coverage across all of the NBS areas, offering significantly enhanced mobile broadband speeds within the next 3 years. This rollout is already underway, with a number of NBS sites now 4G enabled.
The details provided in the Question refer to customers previously served by the NBS satellite service, which was utilised in a small number of cases for technical reasons associated with the location of the premises. Digiweb, which provided the NBS satellite service on behalf of “3”, continue to offer broadband services on a commercial basis to these customers. I understand that Digiweb have recently contacted customers regarding an increase in tariff to rates similar to those charged by the company outside of NBS areas. For this increase the majority of customers will receive increased download and upload speeds and a 37% increase in data allowance. A very limited number of customers affected by this tariff increase cannot receive the upgrade in speeds and data allowance as the technology deployed does not allow for an upgrade to their service. Digiweb have advised my Department that they are investigating a plan to transfer these customers to the newer technology.
With basic broadband services now available throughout Ireland, the next phase of Ireland’s broadband evolution is focused on the delivery of high speed broadband under the Government’s National Broadband Plan.
The Government’s Statement of Priorities for the period 2014 to 2016 reaffirms our commitment to delivering a State-led broadband intervention in rural areas. Through the National Broadband Plan (NBP) the Government aims to ensure that high speed broadband is available to all citizens and businesses in Ireland. This is being achieved through measures designed to accelerate commercial investment and the development of a State-led intervention for non-commercial areas.
Under EU State Aid Guidelines, Member States cannot intervene where commercial investors have plans to roll out services. A comprehensive mapping exercise is underway in my Department to identify those areas that require a State intervention. An initial list of areas has already been identified and includes 78 areas in County Tipperary, including Upperchurch. I am also aware of extensive rollout of high speed broadband services in County Tipperary by at least one commercial operator.
As part of the mapping process, an initial stakeholder consultation on certain technical aspects of the proposed Plan was launched in June with a deadline of 15th September. 31 submissions were received as part of this process and non-commercially sensitive versions of these responses will be published over the coming weeks.
I expect to publish the maps for public consultation later this year. These will include details of the areas requiring State intervention. The maps will be dynamic and will be subject to change if new commercial investments are announced in the future.
A further public consultation on a detailed intervention strategy will be launched in mid-2015.
EU State Aid clearance will be required for the State intervention. My Department will be working closely with the European Commission on this important aspect of the programme.
Finally, a detailed procurement process will have to be undertaken in order to select a potential preferred bidder(s) prior to commencing the roll out of high speed broadband services.
This complex and ambitious project is a key priority for Government and for my Department. It aims to conclusively address current connectivity challenges in a sustainable and meaningful way. Our goal is to ensure that quality broadband services are available to all citizens regardless of where they are located.
