The EC cleared the state aid measures for the plan, which will set up a wholesale-only network to cover rural areas with broadband at speeds of at least 150Mbps.
Background: The Irish National Broadband Plan aims to deliver high-speed broadband to all businesses and households in Ireland, through commercial investment combined with state intervention in areas where there is no incentive for the market to deploy. A standalone, open-access wholesale company called National Broadband Ireland (NBI) will be set up. NBI will have a contract of 25 years with the government, with an additional 10 year commitment to offer services at no cost to the State.
The EC gives the green light: The Irish National Broadband Plan has an indicative budget of €2.6 billion (government figures indicate a range between €2.1bn and €3bn over 25 years). The European Commission assessed the measure under EU State aid rules, in particular its 2013 Broadband Guidelines, and concluded that the scheme's positive effects on competition in the Irish broadband market outweigh potential negative effects brought about by the public intervention. On this basis, the Commission approved the measure under EU State aid rules.
What to expect: The scheme aims to achieve 100% high-speed coverage, by deploying a network capable of supporting download speeds of at least 150Mbps, and upload speeds of at least 30Mbps. These minimum speeds will rise to 300Mbps after five years, and to 500Mbps after 10 years. Business and residential connections between 1Gbps and 5Gbps will also be available. The network will pass 133k homes in the first two years, and between 70k and 100k per year thereafter.
