Seanad debates

Thursday, 3 July 2014

Adjournment Matters

Free Travel Scheme Eligibility

3:25 pm

Photo of Hildegarde NaughtonHildegarde Naughton (Fine Gael) | Oireachtas source

I welcome the Minister of State. In view of the recent kite flying by the Opposition, I hope he will provide clarity on the free travel pass issue. Will he confirm that the current review of the system is not due to any wish on the part of the Government to withdraw the pass, but rather that it wishes to review the operation of the scheme to ensure the avoidance of fraud and in the context of the provision of the service via private operators?

The scheme permits free travel on most CIE public transport services, the Luas and a range of services offered by over 90 private operators in various parts of the country at an annual cost to the Exchequer of €77 million. There are in excess of 745,000 customers eligible for the free pass and when spousal and companion passes are included, that figure increases to 1.1 million, or almost 20% of the population. The fact that the Government is reviewing the scheme does not mean that it is to be withdrawn. Every scheme operated by the State must be subject to constant review in terms of efficiency and protection against fraud. Not to do so would be irresponsible on the part of the Government.

Under the Programme for National Recovery, increases in subventions for private operators were frozen. It is also the case that no new operators were allowed to join the scheme. Given the state of the public finances at the time, that decision was warranted. In these circumstances, I can understand why private operators might have a difficulty, given that inflation, although low, has eaten into the moneys they receive to provide the service in recent years. A review is, therefore, necessary.

There has been speculation on another issue in recent days, on which the Minister of State might give the House the benefit of his thinking, the issue of means testing. Will he confirm, for the avoidance of doubt, that no such action is envisaged?

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