Oireachtas Joint and Select Committees

Wednesday, 17 October 2012

Joint Oireachtas Committee on Transport and Communications

Public Service Obligation Bus Contracts: Discussion

10:45 am

Photo of Timmy DooleyTimmy Dooley (Clare, Fianna Fail) | Oireachtas source

I thank Mr. Nolan for his presentation and welcome Mr. Fitzgerald, Mr. Leahy and Ms Flynn. The presentation sets out clearly what the company does, some of which is probably lost on the public on occasion. However, we are not here to talk about the company but to discuss whether it is better for the National Transport Authority to proceed with the direct award system or to go down the road of selective tendering for certain bundles of routes. Previous speakers have outlined where they believe considerable cost savings can be made. We would like to hear the particular views of the representatives on the issue.

A couple of issues arose during the previous presentation. I do not know whether the representatives had an opportunity to hear it. Mr. Mullins asked, in the event that a decision was made to opt for selective tendering, if there would be a requirement in respect of the transfer of undertakings for the CTTC to hire people from CIE. If it were to be successful in that regard, what would be the cost of having to dispense with the services of some of the drivers in question? Would it be seen as a significant cost and, if so, can Mr. Nolan quantify it? In the event that a decision is taken to go down the route of selective tendering, does he envisage an impact on the network as a result of the reassigning of certain bundles of routes?

Will the NTA have to bear additional costs to manage the route? Bus Éireann has control of the entire route now, so this is clearly within its remit. Will Bus Éireann continue to provide that service to new entrants to the market or does it expect that the administration and management of the more dislocated network will be a role for the NTA? Are there any other cost implications for Bus Éireann that will ultimately be cost implications for the State?

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