3G Licence Squabble Must End, Says Irish Business And Employers Confederation

by Amanda Banks, Tax-News.com, London

18 July 2001

ICT Ireland, an association recently established by the Irish Business and Employers Confederation (IBEC) representing companies in the Information and Communications Technology (ICT) sector, has warned that ongoing delays in the allocation of 3G mobile phone licences could seriously compromise Ireland's international reputation and competitiveness.

Already, Ireland has missed the 1 June, 2001, deadline - the date originally targeted by the Office of the Director for Telecommunication Regulation (ODTR) for the issuing of 3G licences in Ireland.

In a statement released by the ICT, director Brendan Butler says that it is totally unacceptable that the tender process in Ireland has not yet begun. Of the 15 states within the European Union, only Ireland and Luxembourg have yet to begin the licence allocation process. He comments: 'As well as missing the Regulator's self-imposed deadline, we are now likely to miss the EU's deadline of 1 January, 2002. 3G licences must be issued by 31 December, 2001.'

Butler claims that while some doubts have emerged in relation to the eventual effectiveness of 3G technology both the government and industry are fully aware that the effective, timely and successful deployment of 3G infrastructure and services is a pre-requisite for Ireland's continued standing in today's global economy.

Currently there is a dispute between the Department of Finance and the ODTR in relation to the appropriate level of the licence fee which IBEC has described as 'unseemly' and damaging to Ireland's international reputation. IBEC has urged that the matter be resolved as quickly as possible to establish an appropriate licence fee structure. 'The current uncertainty in Ireland regarding the allocation of licences is fuelling already difficult circumstances,' argues IBEC.

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