Róisín Shortall (Dublin North West, Labour)
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Question 261: To ask the Minister for Transport his plans to commission a study to calculate the comparable overall costs to the State of rail freight [i]vis-À-vis[/i] road freight; the reason no such study has yet been commissioned by his Department; the way in which his Department determines its subsidisation and rail investment policies without such information; and if he will make a statement on the matter. [20156/05]

Róisín Shortall (Dublin North West, Labour)
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Question 262: To ask the Minister for Transport the assessment his Department or others on its behalf has carried out to examine the way in which rail freight services can be expanded; and if he will make a statement on the matter. [20157/05]

Róisín Shortall (Dublin North West, Labour)
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Question 263: To ask the Minister for Transport further to previous questions on his rail freight policy, the action he has taken to assist and facilitate Iarnród Éireann to remain in the rail freight industry; and if he will make a statement on the matter. [20158/05]

Eamon Ryan (Dublin South, Green Party)
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Question 267: To ask the Minister for Transport his views on Iarnród Éireann's decision to withdraw from the carriage of container traffic; if Iarnród Éireann had any discussions with his Department on the matter; his plans for this sector in the future; and if he will make a statement on the matter. [20238/05]

Michael Ring (Mayo, Fine Gael)
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Question 269: To ask the Minister for Transport if he has had discussions with Irish Rail on the discontinuation of the freight service in County Mayo; the Government policy on freight service; if any study has been undertaken by the Government on this; if so, if he will provide information on same. [20406/05]

Martin Cullen (Waterford, Fianna Fail)
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I propose to answer Questions Nos. 261, 262, 263, 267 and 269 together.

It is my policy that Irish Rail should remain in the rail freight business and the company has made significant progress in growing the rail freight business in areas where it holds a competitive advantage over road haulage, such as in the carriage of sugar beet, cement and pulpwood. Irish Rail continues to pursue a policy of growing its rail freight business where opportunities present. However, as in all businesses, it must adjust the freight business from time to time to reflect changes in the marketplace.

The company has developed a business plan based on a strategy with regard to freight which is to break even by 2006; increase the profitability of the existing profitable business; withdraw from those businesses that are heavily loss-making; and target trainload traffic. In formulating this plan, Irish Rail has held wide-ranging consultations with business interests around the country, including representatives of business located in the west of Ireland, to identify those freight activities which are best suited to rail transport.

The strategic rail review, commissioned by my Department and published in 2003, contained a comprehensive examination of the rail freight business and its realistic potential to support economic development and contribute to a sustainable environment. The Irish Rail business plan has been developed against that background.

Since 1999, we have invested over €1.5 billion in rebuilding the railways, with Government and EU support for the investment programme delivering improvements in new trains, upgraded infrastructure and customer facilities. While such investment has primarily focused on improving passenger services, the investment in improving rail infrastructure also has a direct beneficial impact on freight activities.

It remains my priority that any additional Exchequer subvention should focus on expanding passenger services to meet the continuing unmet demand for such services, in seeking to address the adverse social and economic impacts caused by traffic congestion.