Alan Kelly (Tipperary North, Labour)

The Luas opened in 2004 and operated at a profit without a subvention every year until 2011, when it operated at a deficit of €3.1 million as a result of the economic downturn. That is why changes and cost savings are now required in addition to the fare increases that have been implemented. Deputy Boyd Barrett is well aware that the Luas lines were extended into the Cherrywood and Citywest areas. Unfortunately, the planned residential developments in those areas have not materialised. As a result, the projected passenger numbers have not materialised. The Railway Procurement Agency is working with Veolia on a new service level agreement that will ensure cost savings are made in the future. Obviously, we do not want this service to continue at the same level of loss. As part of that, a number of people will lose their current roles. The company is examining its wider operations to see whether these people can be facilitated in its broader areas of work. The changes in service levels mentioned by the Deputy will relate mainly to off-peak periods - early in the morning and very late at night. There are no plans to provide for half-hour gaps in service as suggested by the Deputy. In some cases, we are talking about increases of four or five minutes. The service levels and the frequencies that are changing will mainly affect those areas where planned extensions took place. We need to be able to deliver a service at a frequency level that continues to work for the majority of passengers.

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