Capital Infrastructure priorities – Broadband remains top of the list!

Engineers Ireland recently published The State of Ireland 2017, which focuses on the state of Ireland’s infrastructure and the extent to which it is fit for purpose. This is timely as the Government are in the process of considering the capital infrastructure priorities to be funded over the next few years.

This State of Ireland 2017 report, download here (3.4MB), is the seventh in a series of annual independent reports, on the state of the country’s infrastructure, informed by panel discussions and expert advisory groups.

This year’s report focuses on two key sectors, transport and communications though the report also makes separate recommendations on the infrastructure areas of energy, water supply and wastewater; flood management, water quality and waste infrastructure.

Transport

Ireland’s transport system was awarded a ‘C’ grade – meaning it is of mediocre standard: It is inadequately maintained, and / or unable to meet peak demand, and requiring significant investment. The report notes that investment in Ireland’s transport infrastructure is simply too low to support economic growth and jobs and more investment is needed to reduce congestion and increase sustainability.

Communications

The WDC was a member of the Communications Advisory Group which considered the coverage and connectivity of Ireland’s communications network and how Ireland’s communications network rates with the country’s needs.

As is evident from the report, unlike any other infrastructure considered, the quality of the broadband and communications network was graded spatially. A different grade was awarded depending on whether the infrastructure was located in urban, intermediate urban or remote rural areas which highlights the different quality of the infrastructure depending on location.

The urban areas are classed as the five major cities of Cork, Dublin, Galway, Limerick and Waterford. Intermediate urban areas are those other urban areas and surrounding townlands. The third category, rural including remote rural are the hinterlands of towns and remote locations.

Considering the question How would you rate Ireland’s communications network with the country’s needs, urban and intermediate urban were awarded a ‘B’ grade, whereas rural areas were awarded  ‘D’, conveying a poor, below standard poorly maintained, frequent inability to meet capacity and requiring immediate investment to avoid adverse impact on the national economy. The report notes that in rural and remote rural areas, State intervention is needed and the Government’s NBP programme must intervene for 542,000 premises representing 21% or one million of the national population.

For those of us who have long advocated that intervention is needed and that the National Broadband Plan needs to be implemented speedily and comprehensively, none of the report’s finding are a surprise. However the fact that the Communications Advisory Group, composed of companies such as the main telecoms providers, the telecoms regulator and Google among others, highlights the universal agreement that investment is needed as a matter of urgency.

Census 2016

Elsewhere, publication of Census 2016 data provides county data on broadband use in households.

Census 2016 Summary Results Part 1 Section 9, download here (1.1MB) shows the increasing take-up of broadband nationally, from 20% in 2006 to 70.7% in 2016.

The report also highlights the rural – urban divide where 61.1% of households in rural areas have a broadband connection compared to 76.2% of urban households. Looking at counties in the Western Region, all have a broadband rate lower than the state average of 70.7%, apart from Galway city, see Fig 1 below. Leitrim and Roscommon have the lowest broadband rates across the Region with 58% and 59.8% respectively.

Fig 1. Percentage of households with broadband internet access, Western counties 2006-2016

The National Broadband Plan

These same counties are relatively poorly served with broadband infrastructure. As the State of Ireland 2017 report shows the more rural areas are often the least well served. Under the National Broadband Plan the Western Region counties are among those requiring the most state intervention in rolling out high speed broadband networks. While 23% of premises nationally will be included in the National Broadband Plan ‘Intervention Area’, the rate is much higher across the Western Region with an average of 36.5% of all premises. Counties such as Roscommon and Leitrim are particularly dependent on the National Broadband Plan with 48% and 51% of premises respectively in the NBP Intervention area. The state intervention area in the other counties of the Western Region extends to 44% of premises in Mayo, 36% in Sligo, 34% in Donegal, 34% in Clare and 29% in Galway.

How Ireland Compares Internationally

Data recently released from the OECD highlights the need for urgent investment in Ireland’s fibre based broadband infrastructure. As Figure 2 below shows, Ireland is nearly at the bottom of the pile for the percentage of fibre connections as a share of total broadband subscriptions.

Fig 2. Percentage of fibre connections in total broadband subscriptions, December 2016

Located 4th from the bottom of OECD countries, this data published in July 2017 relates to December 2016 and there is likely to be an improvement since then, however the relative position of Ireland in the OECD group shows how far we are from being in the top tier. Without a doubt, investment in fibre connectivity throughout the country is needed. These data and additional comparative data across the OECD are available for download here.

 

Deirdre Frost