Public Service Obligation

Thursday, 19 January 2023

Questions (41)

Éamon Ó Cuív

Question:

41. Deputy Éamon Ó Cuív asked the Minister for Transport the steps being taken by him to improve subsidised Bus Éireann and PSO services in 2023, including funding for more buses and a further reduction of fares; and if he will make a statement on the matter. [1370/23]

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Written answers

Minister for Transport

As Minister for Transport, I have responsibility for policy and overall funding in relation to public transport; however, I am not involved in the day-to-day operations of public transport. The National Transport Authority (NTA) has statutory responsibility for securing the provision of public passenger transport services nationally and for the scheduling and timetabling of these services in conjunction with the relevant transport operators.

Since 2010, the award of Public Service Obligation (PSO) funding falls under the independent statutory remit of the National Transport Authority (NTA). The allocations to the transport operators for the provision of public transport services are decided by the NTA in exercise of its statutory mandate and in accordance with the various contract arrangements that it has in place with PSO service providers.

This Government is firmly committed to enhancing and expanding our public transport services provision across the country. To support this objective, in Budget 2023, I secured a €563million funding package to support the PSO services. Further a number of fare initiatives were introduced in 2022, such as the 20% average fare reduction on PSO services and the Young Adult Card, and funding has been provided in 2023 for the continuation of these initiatives. I can also confirm that funding of approximately €136m is being provided in 2023 for the purchase of new buses for Dublin Bus, Go Ahead and Bus Eireann PSO fleets.

In addition, the NTA also has responsibility for the regulation of fares charged to passengers in respect of public transport services provided under public service obligation (PSO) contracts.

The PSO programme represents a significant expenditure of taxpayers' money, and funding has increased in recent years to cater for additional services and growing capacity. Any assessment of a proposed change to public transport fare structures would be a matter for the NTA to consider in the first instance.

Therefore, in light of the NTA's responsibility in these matters, I have forwarded the Deputy's question in relation to the improvement of subsidised Bus Éireann and PSO services in 2023, to the NTA for direct reply. Please advise my private office if you do not receive a response within ten working days.

A referred reply was forwarded to the Deputy under Standing Order 51.

I am writing to you concerning the matter you raised in Parliamentary Question No. 41 on 19 January last which has been referred to the National Transport Authority (NTA) for reply.

The NTA is aware and cognisant of capacity issues on many bus routes across the country at the moment. It is worth noting that passenger numbers on many routes now are close to or some cases exceed pre-Covid levels. That said, we have asked Bus Éireann to compile details of the worst affected routes from a capacity viewpoint, and to advise us on the potential to address capacity issues.

The Authority will review any proposals for increases in services to cater for excess demand, but it should be noted this will be dependent on bus fleet and driver availability, as well as the availability

of additional funding for PSO services.

In addition to the above, the Connecting Ireland programme will continue its rollout in 2023. The Authority will be announcing the next phase of routes being launched under the Connecting Ireland programme next month which will provide new and improved PSO services across the public transport network. It is also worth noting that the BusConnects Network Redesign for the Regional Cities will continue this year. The first phases of the redesigned Cork Bus Network will be launched this year and public consultation will take place on the proposed Draft Limerick and Galway redesigned Bus networks.

In respect of the aspect of your Parliamentary Question related to fares, it is worth noting that the Authority undertook a National Bus and Rail fares review in the latter part of 2022. We anticipate that publication of the fares review report, setting out an overall bus and rail fares strategy, will occur in the first quarter of 2023. It should also be noted that the 20% cost of living fares reduction will continue to apply in 2023 for all fares including taxsaver on all subsidised public transport services.