Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I propose to take Questions Nos. 41 and 49 together.

The free travel scheme is a valuable support for older people, those with disabilities, carers and their companions. I am fully committed to its retention and I am keen to see more private bus operators participating in the free travel scheme, particularly across rural Ireland. My Department, the Department of Transport, Tourism and Sport and the National Transport Authority are reviewing the overall funding mechanisms underpinning the scheme to ensure equity, consistency and transparency in approach to all participating travel operators. These discussions are going well and I expect matters to be brought to a conclusion in the near future. The Deputy will appreciate that I am not yet in a position to make any specific announcement on the future level of funding for the scheme.

My Department makes a block payment to the CIÉ group and the apportionment of payment between the three constituent companies, Bus Éireann, Bus Átha Cliath and Iarnród Éireann, is a matter for the group's board. This payment reflects a range of factors negotiated over the years, including fare increases, peak-time access to free travel and service improvements, changes and enhancements. A discount of 40% is applied to reflect the fares forgone nature of the scheme.

Payments to private travel operators participating in the scheme, new operators wishing to enter the scheme or existing operators seeking an increase in payment are determined by way of a survey of their passenger numbers. An average fee is agreed on foot of surveys undertaken over a six-month period and based on an operator's own fare charges. This is then discounted by 30% to reflect the fares forgone nature of the scheme. Discounts are the norm for bulk purchases and also reflect the savings that arise from not having to collect fares and issue tickets. Many journeys undertaken would not have taken place at all were it not for free travel.

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