Dáil debates

Thursday, 4 December 2014

10:20 am

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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9. To ask the Minister for Transport, Tourism and Sport his views on the recent fare increases by Dublin Bus, Bus Éireann, Luas and Irish Rail; and if he will make a statement on the matter. [46330/14]

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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Will the Minister comment on the recent increases in public transport fees? Leap card fares increased at the beginning of November and cash fares on Dublin Bus increased at the beginning of December. Dublin Bus caters for 50% of all public transport users.

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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Notwithstanding the fact that the NTA is responsible for determining fares in respect of publicly funded bus and rail services and the fact that I have no role in the setting of public transport fares, I am aware that the changes in bus and rail fares recently announced will cause hardship for many commuters in this city and across the country. I am also aware that they may lead to some questioning the value of public transport.

As the Deputy knows, on 28 October the NTA issued its 2015 fares determinations for Luas and the CIE companies, covering monthly and annual tickets, cash fares, Leap card fares and prepaid tickets. The NTA has continued its plans to increase use of the Leap card integrated ticket by keeping fare increases to a minimum on the card when compared with cash. In fact, even with the fare increases approved by the NTA, a Leap card fare in 2015 will nearly always be the same as or lower than the cash fare was in 2012. More than 750,000 Leap cards are in circulation and almost €2 million per week is used in travel credit, which is strong evidence of the convenience and value that Leap cards offer to the travelling public.

In contrast to a trend of reducing public service obligation, PSO, allocations in recent years, I have ensured the level of PSO subvention for rail and bus services is being maintained in 2015 at current levels. The maintenance of subsidy funding for public transport at current levels has enabled the NTA to moderate the fare increases necessary so the operators can maintain as far as possible the current level of services and also can respond to sectors where demand is growing and capacity needs to be increased.

The cost of public transport is one of the reasons I was very keen to ensure we stop cutting the level of public subvention to the CIE companies and why, I hope, we will start to see that level of funding start to grow again from 2016. Coupled with increased passenger numbers in the future, I fully expect to see such fare increases become a far less frequent occurrence in the future.

10:30 am

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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It is convenient for the Minister to say he does not have a role in fare increases. It is like the HSE, Irish Water and the NTA. It is at a remove from Government. This might explain the Government parties plummeting in the polls. This is a significant increase in expenditure for ordinary working people. The cash fare to get to the city centre from Blanchardstown or Tallaght on Dublin Bus is €3.30. With a Leap card, for regular users, it is €2.60. Since this Government has come to power, the cost of public transport has increased by 48%. A fare into the city in 2011 was €2.30, now it is €3.30. Since 2007, it has increased by 75%.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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A question, please.

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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People's wages and incomes have not increased by the same percentage and many people are in part-time and precarious work and they are working less.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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The Deputy is over time.

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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It is costing an hour's labour to pay the bus fare.

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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In 2013, CIE received €408 million in current and capital funding from the Government. I am absolutely aware of the hardship the fare increases have caused, due in part to the terrible difficulty the economy is in. I have said that, as we can rebuild the level of funding, I hope and expect what has happened over the past number of years does not happen again in terms of frequency or magnitude of fare increase.

The figures speak for themselves in terms of how much funding has been made available. It amounts to over €400 million and, in response to a priority questions from Deputy Niall Collins earlier, I indicated I will look to increase the level of funding and capital funding for the group to make further support available to it.

The question for Deputy Coppinger is where she believes the money could be found. Does she believe the fares should be scrapped, does she believe further money should be made available and, if so, from where?

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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We could try a wealth tax on anything over €1 million. That would bring in a huge amount of money, almost €3 billion. We could try a financial transactions tax. I dispute the Minister's figures in respect of subvention. The Government is deliberately allowing the public transport system to run down and to have to provide a service on less money so that the Government can privatise it in a short time. That was the aim of the previous Minister, Deputy Leo Varadkar, and it is the aim of the current Minister.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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This is question time. The Deputy should put the question rather than making statements.

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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As it is, Dublin Bus is trying to maintain services. How can it do so with less money? Since 2009, the public transport subvention has been cut by €55 million. The NTA aims to privatise 10% of all Dublin Bus routes. Can the Minister comment on that? Workers at those companies will be transferred to the private company under recent legislation, where they are supposed to be able to maintain their wages and conditions. As we saw with the Greyhound workers, that did not work out too well.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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The clock shows the Deputy's time has expired.

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Socialist Party)
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The Minister went over his time each time he replied.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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Excuse me, I am trying to get proper answers for Deputies to their questions, not having statements.

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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At this point, some 181 million journeys have made on public transport this year. It is a 4% increase over the same period one year ago and within this period Dublin Bus and Bus Éireann have recorded their first increase in passenger journeys in many years.

What strikes me about the answer provided by Deputy Coppinger is that she gives the same answer to every question. When asked where she would find more money for hospitals, she says a wealth tax, when she is asked where she would find more money for schools, she says a wealth tax, and the only thing constant in the answer is that it is the same answer to everything. She spends the money again and again and, if she was in a position to introduce it, it is likely there would be no wealth left in our country. The Deputy is speaking to the Minister who, for the first time in many years, maintained the level of subvention and current funding that went into the CIE group. I have given a commitment to look to increase the amount of capital funding in future.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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Other Deputies are in the Chamber, waiting to have their question answered.

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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I am well aware of the difficulties people face but we have companies doing well and we have increased the funding to them for the first time in a number of years.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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Deputies are sitting in the Chamber waiting for questions and Members are going over time. We only have eight minutes left. I ask Members to stick to the rules.