Martin Cullen (Waterford, Fianna Fail)

My Department was unable at short notice to collate the information requested for the years prior to 2004. This information will be forwarded directly to the Deputy as soon as possible.

The numbers of passenger road licences issued to private operators for new routes and the numbers of new routes by Dublin Bus and Bus Éireann noted each year from 2004 to date are as follows: 138 passenger road licences were issued to private bus operators for new routes in 2004; there were 24 notifications to State bus companies for new routes; and in 2005 so far, 72 licences have been issued to private operators and there have been two notifications to the State for new routes.

The information provided relates only to new routes. There may be cases where existing routes have been amended to include new services, re-alignment of an existing route or to extend the existing route, for example to a university, and this information is not included in the records supplied. However, the Department will be happy to forward this information to the Deputy should she require it.

The commencement of new routes by State bus companies is an operational matter for Dublin Bus and Bus Éireann. However, the information given includes the proposed implementation date and the date the proposed route was noted by my Department. I can advise the Deputy that as of 17 June 2005, there is a total of 74 applications for passenger licences for new routes on hand in my Department. These applications are at various stages of processing. In the case of two applications carried over from 2003, my Department has had extensive correspondence with the applicants and they are now at an advanced stage of consideration. I expect decisions will be given shortly. Of the remaining number, 24 applications on hand were carried over from 2004.

The Road Transport Act 1932 provides the legislative basis for entry to the public transport market by private bus operators. In accordance with this legislation, private operators are licensed to operate coach and bus services within the State. At any time there are approximately 500 licences held by private bus operators for a range of public bus services including regular scheduled services, school and college services, occasional bus services for special events such as concerts, city tours and so on.

My Department is required, under the provisions of the Road Transport Act, to apply a range of criteria in considering applications. These include a public interest test and issues such as frequency, capacity, adequacy or otherwise of existing services and availability of buses. Generally, the "public interest" is interpreted as being best served by enhancing and facilitating an expansion of the range of public transport services available to the public as opposed to allowing unrestricted competition for market share.

The adequacy or inadequacy of existing services and the net benefit to the public interest of a proposed service is assessed by the Department on the basis of the best evidence available to it. This includes evidence submitted by the applicant in support of the licence application, and outcome of consultations with such interests as local authorities and regional, community and business groups. The Department also examines applications for their added value to the public in terms of the route and locations to be served, the timing of services and the days on which services are available, in order to maximise the availability, regularity and frequency of service.

Additional information not given on the floor of the House.

The Road Transport Act 1932 does not provide for any distinction between passenger road services in rural or urban areas. In accordance with standard practice, all licence applications and notifications are dealt with on a first come, first served basis. However, pressing or exceptional circumstances can be taken into account in determining the order in which applications are dealt with. This would, for example, cover applications for passenger services to operate in conjunction with other transport modes such as Airport services or Luas feeder services, time-bound applications such as tour services or student services and commuter services, for example, in conjunction with the development of a quality bus network.

Such exceptional treatment is based on added value in terms of integrated transport, reducing congestion and meeting peak demand. However, due consideration must be given to all existing services and prior applications for passenger services on the same or similar routes in accordance with the Road Transport Act. The provisions of the Road Transport Act no longer provide an adequate basis for regulating the bus market and discussions are currently taking place with all the stakeholders with a view to replacing the Act with a modern regulatory framework, in line with the commitment in the programme for Government.

In this context, I propose to establish an independent national public transport commission to, inter alia, allocate Exchequer subvention for public transport services, both bus and rail, through public service contracts, to license commercial bus services and regulate fares on all rail services, Luas and buses.

See this speech in context