The Republic's attractiveness as a location for knowledge-based industries and the technology sector is being undermined due to its weak broadband infrastructure, low levels of R&D and poor adult education, a new report has found.

Engagement with internet technology is low in comparison to other countries, and the Republic also lags in the application of information technologies to education, a report by the Information Society Commission (ISC) found.

The report - which is the first work published by the ISC since it was established in November 2001- makes 60 recommendations to Government to help build a knowledge society. These include specific calls to accelerate the pace of the State's plan to build broadband networks in towns throughout the regions; to consider using the existing telecoms assets of semi-State firms to stimulate additional competition; and to complete work on a common strategy for all local authorities.

The report says the Government needs to adopt a clear strategy to stimulate demand for broadband services and should commit the public sector to adopt the new technology. It should aggregate public-sector demand to support the development of critical mass which would create a commercial case to build network.

It also highlights the slow pace of the establishment of the Government's proposed public service broker as a "cause for concern" and says it needs to be accelerated. The broker would act as single contact point for citizens to interact with Government but it has been delayed by several months.

The Commission expresses concern about a cut in the Budget for investment in information communication technologies (ICT) in schools for 2003 and urges that this area be given a high priority by Government. It should make a high-level commitment to setting up high-speed internet links for all schools, says the report.

It also highlights the Republic's weakness in the provision of life-long learning for adults. Basic ICT skills training should be established as a key component of the Back to Education initiative, and the Government should recognise the fee barriers that deter participation of adults in part-time courses.

Cyber-crime should be given a high priority by the Garda and adequate resources and specialist staff should be assigned to tackle the problem. A major study should be conducted to assess the impact of cyber-crime in the State.

However, the ISC's report also highlights some of the advantages that the Republic enjoys over its competitors. It pinpoints the Republic's small size as a relative strength as it enables the State to respond quickly to developments, and has been a factor in building competitiveness. The Republic's reputation for its well-educated, highly skilled workforce and its responsiveness to the skill needs of the high-tech sector is another strength, along with its performance in attracting foreign direct investment.

Dr Daniel O'Hare, chairman of the ISC, said the report should be a call to action for the Government.

The Commission would monitor progress on all the issues, he said.