The ODTR letting us down again. Click for a bigger version >
Hello Etain Doyle,
The time has come to hold back no longer. The damage already done to the future development of this country is getting far to big. The time of polite waiting and hoping is over. The harsh truth has to be said:

The ODTR is a disaster.
The ODTR is incompetent.
And the ODTR is deceiving us.


Your incompetence is allowing one inefficient, grotesquely overstaffed private company, EIRCOM, to ruin Irelands Internet development.

You are allowing this dominant Telco to charge € 41 for one day of slow modem Internet access (and, to add insult to injury, advertise this as "free Internet access"), thus pricing the Irish citizen out of using the net. With 32 minutes online time per citizen per month Ireland has become the worst performer of all countries of the developed world.

You have allowed EIRCOM to block the roll out of broadband ADSL since 1998. An act of sabotage on the whole nation.
You have now allowed EIRCOM to set a whole sale price for ADSL that is simply a sick joke.

You are supposed to regulate for cheap Internet pricing, the universally accepted precondition for Internet success and you just don't or can't .

Instead you are deceiving the public about the catastrophic state of the Internet in Ireland in your Quarterly Review of June.

We ask you to immediately introduce two simple and long overdue measures to correct the situation:
1. Set a whole sale price for flatrate modem and ISDN Internet access that will allow a retail pricing of under € 15 per month.
2. Set a whole sale price for uncapped ADSL broadband Internet access, that will allow a retail price of under € 35 per month.
And you should immediately start work on splitting the line business from EIRCOM.

Regards,
Eircomtribunal


We'd love to know how the ODTR would reply to our letter. Meantime, we thought we'd try and present their side for them:

Dear eircom tribunal

If only the ODTR had as much influence as you think. This letter in response is addressed to you - but it's aimed at the Irish government. Some home truths:

1. Our government doesn't care about Internet access for consumers and small businesses. This is a government whose visions coincide 100% with whatever will gain them the most votes. Since voters' expectations about a quality infrastructure have been managed through the floor, the state of Internet access in Ireland is no longer a voter-sensitive issue. The government's vision of an e-commerce "hub" (remember that one?) starts and finishes with enticing large overseas companies to locate here. Nice headline, voter-friendly stuff. We are a small twig on a minor branch of government. If you think that the government cares about the ODTR or about the Internet, think again.

2. eircom, despite the makeover, is ran by an old-guard Politburo rump of Telecom Eireann monopoly-mindset managers whose defensiveness and resistance to change exceeds that of Mr Paisley's DUP. They measure success in terms of how obstructive - not how co-operative - they can be. The company should be split up. The ODTR simply should not have to deal with it in its present structure.

3. In this, eircom is aided and abetted by a pro-eircom Cabinet. There are elements in government who resent the ODTR's very existence. Perhaps they see it as a man's job - sorry, make that "a one of the boys" job? Perhaps the ODTR's existence deprives them of the usual opportunities for a few backhanders.

4. Given the foregoing, it is hardly surprising that, until very recently, the ODTR's enforcement powers were a joke - they ranged from the derisory (a £1,500 fine) to the suicidal (taking away eircom's licence). The former was akin to taking a pea-shooter to an elephant. The latter is wildly impractical - you cannot shut down an entire country, start a constitutional crisis and utterly wreck this country's reputation - just to apply a regulatory sanction.

5. Further, there is an inherent contradiction between our mandate and the
legalistic parameters within which the ODTR is asked to operate. On the one
hand, we are supposed to act fast and deliver early. This is particularly true of the Internet side of the ODTR. On the other hand, the ODTR is also required to always move in lock-step with the delays of a commercial legal court system. That system is a cynical playing field where rival private companies grind each other down in expensive wars of attrition. It's a bit like being asked to sprint in leg-irons. For instance, we operate mostly in fear of an administrative law challenge - lest it could ever be argued that the ODTR has ignored or given short-shrift to any sector opinion. Effectively, we need the entire industry's permission to move - every step of the way. This overly-consultative mindset is imposed on us. This is not the stuff of leadership. It is akin to leadership by referenda. Ludicrous in government - and no less so for the ODTR. This devotion to legal due process is commendable when our fundamental freedoms are at stake (not that Ireland is exactly at the forefront there) - but this devotion to unturning every legal stone in advance is sheer misplaced pedantry when no personal freedoms are at stake; and when the greater good of the Irish people is dependent upon our being freed up to move quickly. Effectively, it amounts to asking eircom for reasons why things cannot progress. Naturally, once the ODTR has officially absorbed those reasons - invariably hyped up and unbelievably complex (mixing up detailed PhD level network engineering arguments with complex economic and pricing arguments) - then the ODTR is immediately on the back foot, trying to sort out the beef from the bull.

6. Telecom Eireann grew under a protectionist legal regime. Despite this, eircom's submissions to the ODTR are afforded parity of status (at best) to those of the other licensed operators. As noted, this even-handedness, in a context of unfairly-inherited power imbalances, is inequitable and is a barrier to change. There needs to be a period of sustained positive discrimination in favour of change until we have obtained real competition. As part of this, the government needs urgently to look at reducing, to the fullest extent possible, the rights of parties to mount cynical spoiling court actions against initiatives taken by the ODTR - so that we can get on with doing the job we want to do.

Kind regards

The ODTR

The author of this letter has experience of the telecommunications regulatory sector. He does not represent the ODTR and has no association with it. The views expressed in this letter are his alone and do not represent the views of the ODTR.
Visit the author's legal weblog at
http://www.maccann.com
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