Page 10 - Irish Examiner USA
P. 10
businessexaminer
10
2019 Senior Official Says Visitor Growth To Ireland Up
29th, National Broadband Costs More Than 5% In First Four
May Months Of 2019
| Could Fall By $1billion
EXAMINER
IRISH
In April 2019, the total number of trips to Ireland by over-
seas residents increased by 4.3% to 938,300 – an overall
he cost of the National tractual controls will play a key sibly 144,000 km of new cable.”
Broadband Plan to the role in ensuring the costs are He said another big area is increase of 38,400 compared to twelve months earlier.
Tstate could drop by minimized and the deliverables the cost of connecting to Trips by residents of Great Britain increased by 5.1% to
$1.12bn (€1bn), a senior govern- are met.” “every single house and farm”. 339,000 while trips by residents of European Countries
ment official has claimed. He told the committee that “It is a very difficult area to other than Great Britain (Other Europe) increased by 3.3%
Fergal Mulligan, pro- there are “extensive controls” go to in terms of estimating to 364,600. Trips by residents of USA and Canada to Ireland
gramme director of the in the contract, adding that costs, so what we have done in increased by 3.7% to 185,200 while trips to Ireland from
National Broadband Plan, said there are substantial oversight the bid model, and accepted, is Other Areas increased by 8.1% to 49,400.
it is a “very optimistic” but arrangements to monitor somewhere in the order of 400 The total number of overseas trips made by Irish resi-
doable scenario to significantly progress, costs and take-up. million to 700 million euro to dents during April 2019 increased by 13.2% to 745,100.
reduce the overall subsidy to “There is significant check- connect homes,” he added. The total number of trips (Irish residents’ trips overseas
the Exchequer. points at various stages in the “That will also be paid on plus trips to Ireland) in April 2019 increased by 8.0% to
Under the current plan, the project in addition to ongoing actual costs. 1,683,300 when compared to twelve months earlier.
total cost to the taxpayer is monitoring,” he added. “In a very optimistic sce- In the four months to the end of April 2019, the total
capped at just under $3.36bn nario, but is quite doable, you number of trips to Ireland increased by 5.1% when com-
(€3bn). Fine Gael’s Hildegarde could see that subsidy come pared with the same
The roll-out of the scheme, Naughton and chairwoman of down by up to a billion euros.” period in 2018. Irish
which will bring fiber broad- the committee queried the Patrick Neary, from the residents’ trips
band to 1.1 million people capped cost and asked how that Department of overseas during the
across the country, will begin at could be reduced. Communications, said using same period
the end of the year. She also queried whether ESB infrastructure during the increased by 9.5%.
Ciaran O hObain, the senior the ESB infrastructure can be roll-out is still an option. Commenting on
department official in charge of used instead. Green leader Eamon Ryan the figures, Niall
the broadband, said in the first Mr Mulligan said he hoped raised concerns in a letter from Gibbons, CEO of
year of roll-out, National for the overall cost to be a lot Secretary General Robert Tourism Ireland,
Broadband Ireland (NBI) will less than three billion. Watt, who strongly recom- said: “Today’s fig-
deploy some 300 broadband “The €2.9 billion is the over- mended against the ures indicate a solid
connection points across the all capped subsidy, which Government appointing the performance from
country. includes the VAT of €355 mil- preferred bidder, Granahan our source markets.
Appearing before the lion,” he added. McCourt, on grounds of afford- Visitors from North
Communications Committee Mr Mulligan confirmed that ability, risk and value for America grew by
he said: “It is anticipated that the department will pay up to money. +8.3% in the first
between seven and 23 broad- €2.6 billion. “Their warnings in this four months of
band connection points (BCP) He said: “Within €2.6 billion regard are very stark,” he 2019, an extra 42,300 US and Canadian visitors. We’ve also
will be deployed in each coun- there’s €480 million that is set added. seen good results from Mainland Europe, up +6.1%, with
ty. aside for eventualities that are He also raised a detail con- strong performances in particular from France and Spain.
“These BCPs will provide a unforeseen and unavoidable. tained in a letter from the Visitor numbers from the rest of the world increased by
community-based high speed “That is not going outside Department of +7.3%.
broadband, enhancing online the department until the actual Communications which said “Britain remains our most challenging market for the
participation and allowing for cost incurred is verified as that the department would upcoming peak season. While we welcome the fact that vis-
the establishment of digital something that wasn’t fore- incur a €10m year-on-year cost itor numbers are up +2.4% for January-April, we know that
work hubs in these locations. seen. to maintain the team to over- currency fluctuations and the Brexit extension will continue
“Turning to value for “The question of where can see the project. to cause uncertainty for the summer season and may affect
money, there has been, and we reduce cost, and where we Mr Ó hObain confirmed the travel demand. Next week, we will launch a new strategy
rightly so, a very key considera- plan to reduce costs, we cost of governance has not for the British market; we will also continue to monitor the
tion in preparation of the NBP absolutely hope and expect it to been factored into the cost of market closely, working in conjunction with our British-
contract over the past three be a lot less. the project. based Brexit Taskforce. Our aim is to continue to grow
years. “What that billion includes Mr Ryan said that this overseas visitor numbers and revenue this year despite the
“The contract contains is all the material you have to would cost an additional €25m uncertainty around Brexit and some slippage in planned air
strong provisions. These con- buy, the brackets on poles, pos- of public funding. C services from North America and Britain.” C