Leader of the Labour Party in Ireland, Brendan Howlin has asked Communications Minister Richard Bruton why the cost of next-generation broadband will cost double in Donegal compared to Derry.
According to Mr. Howlin, Dublin’s National Broadband Plan would cost €5,000 per home, while for Belfast’s Project Stratum, the figure was substantially lower at €1,900.
He said: “We have also learned that the same preferred bidder, Granahan McCourt, is also bidding for NI’s Project Stratum at an expected cost of €1,900 per home.
“The Government is planning to sign off on a deal that will cost €5,000 per home in this jurisdiction while the same product, by the same bidder and on the same island, will cost €1,900 in Northern Ireland.
“How did the Government manage to preside over a contract negotiation that has allowed the same company to provide the same product at less than half the price in Derry than in Donegal?” he asked.
Mr. Bruton replied: “We have entered into a 25-year contract to design, build and operate this service, which will cost €2.1 billion, plus a contingency of €480 million and a VAT payment which will be recouped by the State.”
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