A new plan to bring broadband to 350,000 people in 80 rural towns across Ireland was announced today by the Minister for Communications, Mr Dermot Ahern.
The key elements in the Broadband Action Plan include connecting 80 towns with populations of at least 1,500 to broadband with community broadband exchanges and strategic fibre.
There will also be a new group broadband scheme similar to group water schemes where smaller rural communities can pool their demands and secure high speed connectivity from a range of providers in the Irish market through grants from the Government.
The Government will spend €140 million on the plan which runs till 2007 representing an annual spend of €35 million.
The Minister said the current metropolitan area networks 19 towns project will be completed in the middle of next year thanks to Government funding of €64 million. But he conceded the project does not go far enough in delivering on a new high speed agenda which any "go-ahead economy demands".
"It is simply untenable in a modern society and economy that so many have no access to broadband and no immediate prospect of it. That is all going to change. We are in the middle of a global information revolution and we are running to catch up with economies such as Korea and Japan," said Mr Ahern.
The Government will provide up to 50 per cent of funding for rural communities who want to set up a group broadband scheme. The communities can assess local interest and sign up those who want to access broadband. This programme will be run in partnership with the industry.
As part of legislation which will be brought forward next year, the regulatory framework will involve tougher fines to be imposed on companies in breach of communications law. This will allow the Commission for Communications Regulation to impose fines of 10 per cent of revenue or up to €3 million. The Minister added he would consider increasing those penalties.