Ahern will act to cut telecom prices

MINISTER for Communications Dermot Ahern says he wants prices in the telecommunications sector to fall or he will intervene in the market.

He told a conference yesterday that he wants prices for high speed Internet access to come down, or the Government would introduce regulations and legislation to bring prices down.

The Minister said that almost 80 large towns were losing out because the market was not addressing the challenge of providing broadband Internet infrastructure.

“It is simply unsustainable that this infrastructural deficit is not being met. I want that deficit addressed in a pro-competition, pro-choice, and low-cost fashion,” he told IBEC's Telecommunications and Internet Federation (TIF) conference, in Dublin yesterday.

“If it isn't addressed quickly by the market, I will intervene on the regulatory, infrastructural, and legislative fronts to advance change.”

Minister Ahern added: “I certainly will not stand idly by while towns like Newbridge, Maynooth, Ardee, Mitchelstown, Roscrea, and Cobh do not even have a basic DSL broadband service.

"Plainly, Ireland cannot preside over a culture of regional broadband indifference. The case for broadband is as strong now, as the case for providing digital exchanges 20 years ago, and the rewards are potentially more promising.”

The minister also says he is establishing a telecoms strategy group, consisting of his department, IBEC, and the telecoms lobby group, ALTO.

“What I don't want from this group is telco's simply holding out their hands looking for tax-payers money, to subsidise their services. Because, to be blunt, in the present climate those sort of policies are simply untenable. We need imaginative broadband stimulation measures. And we need them quickly.

“We need DSL packages which are as cheap as our European neighbours. Through DSL we can deliver high speed internet access to a mass market. Broadband DSL can deliver always-on access at a much faster rate, and with much better quality, compared with normal telephone Internet dial-up.”

The chairman of TIF, George Young, said yesterday that the industry was poised for a return to growth after a “patchy” few years. “The industry has gone through a restructuring, and I think that going forward we have some great opportunities,” Young said.

“I think we see growth in all areas. The mobile sector is one area, 3G is coming down the tracks. I think we will see a lot of movement in the broadband area, and is this is all good for Ireland.”

He said the TIF was against the proposed levy on phone company revenues, put forward by the minister to bring high speed internet access to all schools.