Dáil debates

Wednesday, 25 November 2009

Public Transport Regulation Bill 2009 [Seanad]: Report Stage (Resumed)

 

6:00 pm

Photo of Fergus O'DowdFergus O'Dowd (Louth, Fine Gael)

Some form of economic charge needs to be imposed. I presume the levy will be imposed on everyone who applies for a licence. I ask the Minister to clarify the matter. Under Deputy Broughan's amendment, the levy would only apply to private operators. If it is applied to all applicants for a licence, it should be set at a level that is not prohibitive. It must be fair and equitable because many private bus companies are small operations with fewer than five buses. They must operate in a competitive environment and one must consider that a levy a CIE company would regard as small may be substantial for a small, private operator. I urge the Minister to ensure any levies are reasonable.

While I am not certain how one would define the word "reasonable", in setting the level of a levy consideration should be given to the economic circumstances of the applicant and the type of route for which the application is being made. I presume the approach taken to public service obligations will differ from the approach to profitable routes. If a company is being considered for a profit-making route, different economics should apply. The levy applied to applicants seeking a licence for loss-making routes should not prohibit competition. I oppose the amendment for this reason.

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