Statement Re ComReg Report
The Department of Environment, Climate and Communications has published a ComReg report reviewing Enet’s operation of the Metropolitan Area Networks (MANs) and compliance with obligations under the Code of Practice - specifically in terms of the intercompany pricing policy with ETNL, a company within the Enet group of businesses. The independent report states that: “the difference arising from the pricing comparison calculation does not represent a material unfair advantage to ETNL.”
On publication of the findings, John Gilvarry, Enet’s Chief Operating Officer stated: “The key finding of the report is unambiguous. The report states that the intercompany pricing policy did not represent any unfair advantage. As a result, we sincerely hope that this draws a line under the matter.”
The ComReg report also determined progress in relation to the implementation of the recommendations as set out in a previous report, the Analysys Mason report, and it states that it found ten recommendations have been fully implemented and two recommendations have been partially implemented. The report did not identify any recommendations that have not been implemented in some form.
Mr. Gilvarry also stated: “Having co-operated fully with ComReg, we continue to review and improve the processes and systems in place to maintain the integrity of the business. In fact, since the ComReg report was concluded, we can confirm that all Analysys Mason recommendations have been fully implemented.”
Enet co-operated fully with ComReg and their appointed agent during the review process. This involved site visits by their appointed team to our Limerick headquarters, interviews with our key staff, and the sharing of detailed records and data with them. The report states that access to management was “good” (highest score), access to information was “extensive” (highest score), and that clarity of information was “good” (highest score).
While operating the MANs, Enet has always worked to meet its obligations under the Code of Practice and ensure that the defined policy objectives for the State have been and continue to be delivered. These objectives include:
- The facilitation and stimulation of competition in the telecoms space in regional Ireland. The MANs have broken the single supplier monopoly that existed prior to their construction. For example, the Cork MAN has approx. 30 different service providers routinely using the network to enhance their retail offerings.
- The reduction of bandwidth costs. The local platform competition enhances the quality, range and competitiveness of broadband. The State itself would be a beneficiary of this, with increased competition vying for Government business resulting in lower costs.
- Underpinning a policy of balanced regional development in removing a barrier to Foreign Direct Investment (FDI). There is now demonstrable evidence that MAN towns secure the vast majority of FDI jobs.
The company is looking forward to continuing our work with the Department, as well as our retail service provider customers, to ensure the MANs operate as efficiently and transparently as possible.
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