Written answers

Wednesday, 11 October 2017

Department of Transport, Tourism and Sport

Public Service Obligation Services

Photo of Brendan  RyanBrendan Ryan (Dublin Fingal, Labour)
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64. To ask the Minister for Transport, Tourism and Sport if he has requested increased funding to be included in budget 2018 in order to increase the subvention for public transport companies such as Dublin Bus, Irish Rail and Bus Éireann in order to improve services and reduce costs for commuters; and if he will make a statement on the matter. [42160/17]

Photo of Shane RossShane Ross (Dublin Rathdown, Independent)
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As the Deputy is aware the allocation for Public Service Obligation (PSO) public transport services is subject to the annual Budgetary process. I did of course engage regularly with Ministerial colleagues as Budget 2018 was developed and PSO subvention was one relevant area of expenditure which formed part of that engagement.

Throughout the year I committed publicly, both here in the House and in the Joint Oireachtas Committee, to further increasing PSO funding levels in the future as resources allowed.  Therefore, I am pleased to inform the Deputy that, in Budget 2018 I secured an 8% increase in the overall Exchequer funding available for PSO services throughout the country. This means that over €285 million will be allocated via the National Transport Authority (NTA) in 2018 to support the continued delivery of these socially necessary but financially unviable services that have grown in recent years, and to facilitate some further expansion including the commencement next year of the planned roll-out of bus market opening.

The Deputy has asked about the proposed 2018 PSO allocations to individual companies.  As is normal, the precise allocations to the companies will be decided by the NTA in exercise of its statutory mandate and in accordance with the various contract arrangements that it has in place with PSO service providers.

Finally, I am sure the Deputy will agree that the PSO is a large expenditure area, and one which requires careful scrutiny to ensure the taxpayer receives value for money in respect of the services delivered given the considerable expenditure incurred.

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