John McGuinness (Carlow-Kilkenny, Fianna Fail)
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Question 376: To ask the Minister for Communications, Marine and Natural Resources the level of grants approved in the past ten years to private companies, local and regional authorities for the provision of broadband infrastructure; if his Department monitors or audits the take-up of the service relating to the grants given to determine if the State is getting value for money for the investment; his views on the level of unlit fibre throughout the country and the poor back haul in certain locations; his plans to overcome the problems in the market and to encourage a greater take-up of the service; his plans regarding connectivity relative to the last mile; and if he will make a statement on the matter. [5068/06]

Noel Dempsey (Meath, Fianna Fail)
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Grants amounting to €117,581,623 have been approved by the Department of Communications, Marine and Natural Resources for the provision of broadband infrastructure over the last ten years. Some €34,800,952 has been given to private sector projects and €82,780,671.62 has been given to public sector projects.

Following a poor response to a call for proposals from the private sector, the Government decided to address the infrastructure deficit in the regions by building high-speed, open access, carrier neutral metropolitan area networks in 120 towns and cities on a phased basis, in association with the local and regional authorities. Phase 1 of the programme has delivered fibre optic networks to 27 towns and cities so far. The networks were built on time and under budget.

The programme has been extended to a further 94 towns in various locations nationwide — these metropolitan area networks are due for completion during 2006 and 2007. They will allow the private sector to offer world-class broadband services at competitive costs. The Government has approved €80 million for the roll-out of this phase of the metropolitan area network programme. The Department continually reviews all aspects of the regional broadband programme, including monitoring the usage of fibre and the provision of backhaul.

The management services entity, e-Net, won the contract to manage, operate and maintain the local authority metropolitan area networks under phase 1. Activity has started on the networks with several customer contracts being signed by e-Net, including arrangements for backhaul. Twenty of the 23 metropolitan area networks handed over to e-Net have been lit to date. Details of the contracts are commercially sensitive and are a matter for e-Net. The contractual obligations are set out in the concession agreement that was agreed by the Department of Communications, Marine and Natural Resources and e-Net. Tight controls exist within the agreement to closely monitor e-Net's performance closely. E-Net formally reports to the Department on a quarterly basis and is obliged to file various documents throughout the contract term dealing with its activities. E-Net also publishes an annual set of accounts.

The Government recognises that supply issues are being addressed under the regional broadband programme, but demand issues require focused attention. The Department recentlypublicised a discussion paper on this area,which is available for public consultation atwww.dcmnr.gov.ie/Communications+Development/Broadband+demand+report.htm. Feedback on the demand paper is welcomed. The Department invites interested parties to send their comments by email to information@broadband.gov.ie by Wednesday, 1 March 2006. Local loop unbundling is mandated by a European Council regulation. Responsibility for its implementation is a matter for the Commission for Communications Regulation under the Communications Regulation Act 2002 and the transposed EU regulatory framework for electronic communications networks and services.