Monday, August 04, 2014

Mulcahy concerned over potential broadband price hikes

Clare Fine Gael Senator Tony Mulcahy has called on Eircom and other fibre broadband providers not to increase internet charges after Commission for Communications Regulation (Comreg) said rural internet users are not paying the full cost of broadband provision.

Senator Mulcahy, who is Fine Gael Seanad spokesperson on Communications, Energy and Natural Resources, expressed his concern following a report by IrelandOffline which outlines how urban broadband customers are subsidising rural users and that Eircom may apply to the regulator to raise its rural broadband prices to recover rural costs.

The Shannon-based Senator said he would be contacting COMREG and Minister for Communications, Energy and Natural Resources, Alex White, requesting them to discourage operators from introducing price hikes.

"The quality of fibre broadband services in rural parts of County Clare is generally well below that of what is provided in larger towns such as Kilrush, Shannon and Ennis. The recent news that the ESB and Vodafone's are to deliver a 100% fibre-to-the-building broadband network offering speeds from 200 Mbps to 1000 Mbps in Ennis and Shannon is of little consolation to rural communities where fibre broadband services are significantly inferior in comparison. Therefore, it would clearly be a retrograde step for telecoms companies to consider increasing broadband prices for rural customers," he commented.

Senator Mulcahy said the recently announced National Broadband Plan confirming the rollout of fibre broadband to 56 Clare towns and villages is a positive step in the right direction but will be undermined if it is accompanied by broadband price increases.

"The absence of high speed broadband has been a significant problem in rural parts of Clare, and is hampering job creation.  While I am delighted that 56 locations in the County are set to benefit from fibre broadband service, every effort must be made to ensure that these services are not overpriced and that rural customers are offered value for money. Quality fibre broadband services and not mobile or fixed wireless broadband is the way forward if we are to properly invest in the future of our rural communities," he added.

The Clare locations scheduled to benefit from fibre broadband under the National Broadband Plan, announced in April, are Ardnacrusha, Aughinish, Ballinruan, Ballycannon, Ballynacally, Ballyvaughan, Ballyvelaghan, Bealaclugga, Bodyke, Caher, Carran, Carrigaholt, Connolly, Coolmeen, Craggagh, Cranny, Cree, Cross, Darragh, Doolin, Doonaha, Drumandoora, Drumdigus, Finvarra, Flagmount, Inagh, Kilbaha, Kilbane, Kilkee, Kilkishen, Kildysart, Kilnaboy, Kilmaley, Kilmihil, Kilmore, Kilmurry, Kilnamona, Kilshanny, Knock, Labasheeda, Lissycasey, Lisdeen, Mahonburgh, Maurices Mills, Mountshannon, Moyasta, Newtown, Oatfield, O’Callaghans Mills, Ogonnelloe, Querrin, Quilty, Ruan, Spanish Point, Tullig and Whitegate.

The Department of Communications, Energy and Natural Resources is presently preparing an implementation plan.