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"We are already one of the most expensive countries in Europe for leased lines and we think that always-on flat rate Internet access should be the priority," Karen Hynes, manager of e-business services for CCI (Chambers of Commerce of Ireland) told ElectricNews.Net. The CCI said it "completely rejects" the recommendation by IBEC that telecommunication providers should be allowed raise the cost of services to businesses.
The CCI said it believes that the most important service to SMEs is to have flat-rate dial-up access to the Internet. The CCI supports this argument with its annual survey results that found that 81 percent of Irish SMEs are content with dial-up access and do not require broadband. The CCI explained that SMEs are not using the kind of applications that require broadband, as most SMEs use the Internet for e-mail, communications and to source information.
In order for flat-rate access to be available, the CCI argues that the unbundling of the local loop should be given top priority in Ireland as well as the introduction of the Communications Bill, which gives stronger powers to the telecoms regulator.
But the IBEC believes that broadband is the priority. It argues that the ODTR-mandated price caps on telcos, including Eircom, should be removed in order to stimulate competition and rollout broadband services. "Broadband is analogous to the mobile phone. Before people had them, they didn't know they needed them. We believes that the SME market needs broadband," Tommy McCabe, director of the Telecommunication and Internet Federation for IBEC said.
McCabe also suggested that the government should help provide incentives for businesses and consumers to take-up broadband services. He gave an example that a business or residential broadband user could set his broadband bill against his tax bill as one way the government can stimulate the demand for broadband.
Both organisations agree that the Communications Bill is imperative to improve Internet access developments in Ireland, but are frustrated by the lack of progress that the bill is making through the Dail. "The inexplicable delays in the introduction of the Communications Bill, the fact that the local loop in Ireland is still effectively monopolised by one operator and the long delays in re establishing the Information Society Commission make a mockery of Ireland's pretension to be an e-commerce hub," said John Dunne, chief executive of the CCI.
The Communications Bill, which has been described as crucial to the effective regulation of the telecoms sector in Ireland, has not been included in the government's legislative programme for the Autumn. In fact, the bill is not expected to be passed through the Dail before a general election next year. The new legislation, if passed, would replace the ODTR with a three-person commission. The commission would have broader powers over telecommunication regulation including the authority to impose fines.
For more information visit http://www.chambersireland.ie and http://www.ibec.ie/tif
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