Written answers

Wednesday, 8 February 2006

10:00 pm

Photo of Olivia MitchellOlivia Mitchell (Dublin South, Fine Gael)
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Question 274: To ask the Minister for Transport the independent advice, distinct from Irish Rail, he has received to advise him with regard to the development of the Irish rail freight industry; and if he will make a statement on the matter. [4495/06]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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The strategic rail review commissioned by my Department and published in 2003 contained an examination of the rail freight business and its realistic potential to support economic development and contribute to sustainable development. In preparing the report, the public were invited to make submissions on rail policy and a number of public consultation sessions were held around the country.

Iarnród Éireann, in responding to the challenges contained in the review, held wide-ranging consultations with business interests around the country to identify those freight activities which are best suited to rail transport. Arising from this process, the company has developed a business plan for freight with the objective of achieving break-even by 2006; increasing the profitability of the existing profitable business; withdrawing from those businesses that are heavily loss-making; and targeting trainload traffic.

The company advises that it is making good progress in growing the rail freight business in areas where it holds a competitive advantage over road haulage. The key areas in this respect are sugar beet, mineral ore, pulpwood and keg distribution. Iarnród Éireann continues to pursue a policy of growing its rail freight business where opportunities present. Separately, I am open to receiving representations in this regard, particularly given that full liberalisation of rail freight services will come into effect from 1 January next.

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