7. 6. Statement: Superfast Broadband in Wales

Part of the debate – in the Senedd at 4:48 pm on 11 October 2016.

Alert me about debates like this

Photo of Julie James Julie James Labour 4:48, 11 October 2016

Thank you very much for those points. In terms of the roll-out and the rurality issue, the point about this programme is it is almost entirely based in rural areas, or non-metropolitan areas, because it’s a market intervention. So, the point about it is, we’re only allowed to go where the market isn’t going to go. So, it’s a truism, I’m afraid, that the market only goes to high-population areas and therefore this programme goes to lower population areas. So, you can see from the roll-out that that’s how it works. The figures are for the whole of the connectivity across, and bear in mind we’ve still got another year or so to go.

So, this isn’t the final situation; this is the situation of premises passed—those are premises that definitely have a speed of 30 Mbps download or more, and most of them have 66 plus, but it’s 30 Mbps that’s the cut-off point. BT does not get paid for any premises that do not make the 30 Mbps mark. That is the target for them. So, the roll-out of broadband is faster than the premises passed number—this is from the end of June—and that’s because we have a rigorous process to test that the premises that they claim actually get the speeds that we think they should. So, there’s quite a lag in that and I spoke about the lag at the end of the contract while we get those final premises through and so on. This has been a very vigorous process to make sure that people get what we’re paying for, and we’re very keen that they should do that.

At the same time, we always knew that this wasn’t going to get to 100 per cent of premises across Wales. We all are aware of the beautiful terrain in Wales and it is glorious and very much part of what we are, but it is, of course, problematic in telecommunications terms. It’s difficult to cable, there isn’t line of sight for telegraph poles and all the rest of it; Members will be more than familiar with that, I don’t need to tell them that. That’s why we have a project that is aimed at getting to the final 4 per cent or 5 per cent of premises and that will be via other methodologies. So, people will be aware—. I’m sure all Members have had constituents talk to them about the Access Broadband Cymru scheme, for example. There are some really good examples across rural Wales. I visited one with Kirsty Williams only the other day, where really excellent satellite technology is used to get speeds of up to 100Mbps down and upload, actually. So, it’s not a second-class service in any way; it just isn’t that cable service that we’re paying for.

So, we will get to everyone. The problem we’ve got is that nobody wants to be in the last year. So, we are where we are. BT are going to meet those targets or pay a very severe financial penalty for not doing so. They will meet them. We monitor them very closely in that and, at that point, we will have a picture right across Wales where we can target the further resource we get from the gain share from the contract into those last few premises.

On the businesses, we don’t control the cost that the ISP people charge, but I encourage all businesses to shop around, as I encourage all individuals to shop around. I’m more than happy, if you want to write to me, to come and meet any businesses that have concerns in that regard. We do have a list of ISPs that are available, and as they say on the BBC, other brands are available. But shopping around really does get benefits for people in terms of the cost of the service afterwards.