IFA president Joe Healy has said the roll-out of the National Broadband Plan (NBP) approved by the Government this week should start with the most remote users.

“I believe the roll-out plans should have a parallel process for starting at the most rural edges of the network to ensure that those most underserved receive it quickly," Healy said, describing the plan as an important development for rural Ireland.

“There is only one chance to get this right and given the scale of investment by taxpayers, the focus must be laser-like to ensure value for money,” Healy added.

'Pro-business decision'

Head of food and agribusiness at ifac accountants David Leydon said the selection of a contractor to deliver high-speed broadband to all addresses in the country with up to €3bn in Government support was a "pro-business decision", which will make a very significant difference to thousands of small and medium rural businesses.

"In an already very challenging business environment we’re finding that Irish food and agribusinesses are in many cases putting digital at the heart of their growth plans," Leydon said. A survey commissioned by ifac last year found that only 28% of food and agribusiness companies reported sufficient broadband connectivity, yet social media was an important marketing tool for 62%.

Warning

These reactions come as the Government published advice from senior officials at the Department of Public Expenditure and Reform, who said they "strongly recommend against approval of the appointment of the preferred bidder to the current NBP". They warned that cost, value for money and "unprecedented risk to the Exchequer" pleaded against the decision.

Instead, they recommended cheaper "incremental" broadband roll-out, avoiding "the significant costs of reaching more sparsely populated locations" until more affordable technologies become available.

The officials listed rural road projects, schools, health centres and flood relief works among investments likely to suffer as a result of the combined high cost of the NBP and the national children's hospital.

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The IFA has called for a strong focus on value for money in the delivery of the Government's €3bn broadband plan, and ifac has said it would help rural agribusinesses.