Dáil debates

Thursday, 19 January 2017

Topical Issue Debate

Bus Éireann Services

4:45 pm

Photo of Shane RossShane Ross (Dublin Rathdown, Independent) | Oireachtas source

I thank the Deputy for raising this very important issue. I agree with a great deal of what Deputy Calleary said. The need for respect on all sides, including among employers, employees and all other stakeholders, is absolutely imperative in this very delicate situation. It would be a pity if it were exploited for political advantage when so many people need protection in this threatening industrial relations dispute. I include in that group those rural communities in particular which are worried about what would happen if routes closed. In particular, I include the employees who feel, due to many alarmist statements, that their jobs are at risk. I also include the taxpayer who it is my duty to protect and members of the travelling public who will be inconvenienced if this particular dispute accelerates.

This Topical Issue is an opportunity for me to clarify a number of the misinformed comments which have been made in recent days. Last week, I met with the chair of Bus Éireann who briefed me on a Grant Thornton report which had been presented to the board by the consultants a few days previously. Following that meeting, I updated my Government colleagues at this week’s Cabinet. First, there may well be different drafts in circulation. However, and as I stated last week, the consultants presented their report to the board. I will clarify once and for all what that report is. Irrespective of what draft people are focusing on, the media and, unfortunately, some Deputies are convinced the Grant Thornton report is a plan. It is no such thing. The report is an analysis prepared as advice for the board which reviews some previously developed options, provides a critique of them and makes suggestions for further areas to consider. The report is not a plan in itself and it was not intended that it would be a plan. On foot of the report and the board's deliberations, the company is now engaged in preparing an actual plan for its future and will be developing and finalising this over the coming weeks.

Everyone in the House is aware of the circumstances in which Bus Éireann finds itself. It is losing approximately €6 million a year, which is simply unsustainable. These losses are not a result of the taxpayer's subvention. In fact, the company received €40 million last year, which was over 17% more than it received in taxpayer funding in 2015. The Deputy will know and, no doubt, welcome the fact that this year further increases will be made available for PSO services thanks to the fact that I secured an 11% increase in PSO funding generally in the budget. Bus Éireann's losses stem from its Expressway services. Expressway is a fully commercial network of routes which does not receive any Exchequer funding and competes with other operators in a highly competitive market. While some voices in recent days have spoken of a policy problem as a driving force behind all this-----

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