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ComReg - Eircom's Mouthpiece?
Dear Dermot,
In your recent email you've asked me these questions and here is my reply:
| Subject: Re: ComReg - Eircom's Mouthpiece From: john.doherty@comreg.ie To: dahern@iol.ie Date: 27th Feb 2004 > Subject: ComReg - Eircom's Mouthpiece > From: dahern@iol.ie > To: john.doherty@comreg.ie > Date: 14th Feb 2004 > Dear John Doherty, > I am getting so many letters now complaining about you > and ComReg. While some may be aggressive on the > outside – see this postcard here –  > they make valid points I also want to have answered. > 1. What Adsl Price Reduction? > On ComReg's web site of 12/2/2004 I see your media > announcement, containing these claims: > "ComReg Welcomes Broadband Price Reductions > ComReg welcomes eircom’s decision, announced today, to > reduce its entry level retail price for broadband to > €39.99. Affordable broadband is vital to the > development of the knowledge economy and to Ireland’s > international competitiveness…" > Many consumers have demonstrated to me, that this > claim is hideous. I ask you seriously: Why does our > "independent" Comms Regulator allow himself to be used > as the propaganda mouthpiece for eircom? > Here's the sums – and frankly, I don't understand why > you could not do them: > A customer of Eircom's entry level broadband product > has to sign up for one year and he has to have a land > line with Eircom. > Cost of entry level Eircom adsl product to customer > for one year up to March 2004 is as follows: > 54.45 euro per month for the > product (one month free) 11X €54.45 = €598.95 > no set-up fee > line rental, necessary for adsl 12X €22.50 = €270.00 > yearly cost to consumer €868.95 > old monthly cost to consumer €72.41 > Cost of entry level Eircom adsl product to customer > for one year from March 2004 – praised as the > "reduced" price – is as follows: > 39.99 euro per month for the > product 12X €39.99 = €479.88 > Set up fee, no longer waived €100.00 > line rental,increased 12X €24.18 = €290.16 > yearly cost to consumer now €870.04 > new monthly cost to consumer €72.50 > John, however you turn and spin it, ComReg's media > release is a lie, a sad piece of one sided propaganda: > The cost of the entry level adsl product to the > consumer has not been reduced, it even has been raised > slightly. > While it is regrettable but understandable that a > private company like Eircom would deliberately > misinform the public, the misuse of the Communications > regulatory body of Ireland as a propaganda mouthpiece > for the one company which has so far single-handedly > sabotaged Irelands progress into the future of IT is > unacceptable. > Don't try to wriggle yourself out of this with > claiming the monthly adsl subscription fee to have > gone down or blaming it on change of promotional > offers or other nonsense. Remember when you were > pressed by the Joint Committee about the rise of the > line rental, you claimed, that this single part was > not important, but the overall bill to the consumer > was. > You can't have it both ways. > What counts is the overall cost to the consumer. > And that has not come down. Dermot, you know our attitude to the consumer: we don't care. ComReg's finances are determined by the turnover of Eircom. Full stop. Although your figures about the consumer price of Eircom's adsl are correct, i.e. they have not been reduced at all, we are still technically not lying, and will claim that the old adsl price was a promotional price and the "regular" price, although not relevant for the consumer, should be used for comparison. > 2. Adsl Wholesale Price > You praise Eircom for reducing the whole sale price of > their adsl product to € 20.10. > I am told that this price is still way more expensive > than that of our European counterparts. Tell me, how > high is that price in the UK? I am told it is much > lower. > How can we ever have a chance to catch up, if we do > not offer at least the level of prices as our > neighbours? Yes, adsl wholesale pricing in Ireland is still much higher than in the rest of Europe. But: We do not have to catch up with them. In your new policy directive to ComReg you only ask us to make it to the average of the expanded EU by 2005. And even with those high prices and the consequential slow uptake, we will be able to beat seven of the 9 East European newcomers and Greece. We can sit back and relax. > 3. Why are users of sex chat lines more important to > ComReg than ordinary folk? > Why does ComReg give more protection to customers of > sex chat lines than to ordinary folk inquiring for a > telephone number. I've made you aware of Eircom's > massive TV ad campaign and how customer's are not made > aware of the high price of call connection on these > services, neither in the ads nor at the point of > getting connected. > Don't tell me about your customer brochure on that > issue. It's not even an ass-wipe. > We need immediate action on that one. If Mary Harney > with her new consumer rip-off hobby horse or some Joe > Duffy take it up we stand again being accused of > licking up to Eircom or having missed the ball. Dermot, Are you suggesting to upset the very people who are going to make a killing out of the forthcoming Eircom flotation? Tony is a heavyweight and could do enourmous damage to your party. And by the way. Don't get too cheeky with me. It was your colleagues who bent the law to give Eircom to this group of vultures in the first place. I return your favour with the picture card and show you one I got regarding your friends (it's an e-card, so don't be afraid to move your mouse over it):  Yours John |
resources: ComReg media release
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