Claire Kerrane (Roscommon-Galway, Sinn Fein)
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295. To ask the Minister for Transport, Tourism and Sport if the rules for bus operators (details supplied) will be relaxed in respect of their financial standing when applying for the renewal of the road passenger transport licence. [14502/21]

Hildegarde Naughton (Galway West, Fine Gael)
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Financial standing is one of the requirements to engage in the occupation of road transport operator.  The specific requirements of financial standing are laid out in Article 7 of EU Regulation 1071/2009 which states that undertakings shall at all times be able to meets its financial obligations in the course of the annual accounting year. Financial standing is demonstrated on the basis of certified annual accounts showing capital and reserves of at least €9,000 when only one vehicle is used and €5000 for each additional vehicle used.

Regulation (EU) 2021/267 of the European Parliament and of the Council dated 16 February 2021 lays down specific and temporary measures in view of the ongoing the COVID-19 pandemic concerning the renewal or extension of certain certificates, licences and authorisations, the postponement of periodic training in certain areas of transport legislation and the further extension of certain periods referred to in Regulation (EU) 2020/698.

Article 6 of Regulation (EU) 2021/267 (provided below for reference) deals with the issue of financial standing and allows an extension under Article 13 (1) (c) of EU Regulation 1071/2009 from six months to 12 months when a competent authority establishes, on the basis of annual accounts for accounting years covering all or part of the period between 1 September 2020 and 30 June 2021, that the transport undertaking does not satisfy the requirement of financial standing.

Therefore, should a road transport operator not be in a position to show sufficient capital and reserves in their annual accounts covering all or part of the period between 1 September 2020 and 30 June 2021 they can be afforded a period of up to 12 months to again meet the requirement of financial standing.  I must also point out that should they fail to meet the requirement of financial standing within the 12-month period granted to them in accordance with Regulation (EU) 2021/267, their road transport operator license must be suspended or withdrawn as outlined in Article 13 (3) of EU Regulation 1071/2009.

I would encourage any road transport operator who has any queries regarding their financial standing situation to contact the Road Transport Operator Licensing Unit of my Department at rtol@transport.gov.ie.

Article 6 of EU Regulation (EU) 2021/267

Extension of time limits provided for in Regulation (EC) No 1071/2009

1. Notwithstanding Article 13(1), points (b) and (c), of Regulation (EC) No 1071/2009, where a competent authority establishes in respect of the period between 1 September 2020 and 30 June 2021 that the requirements regarding the vehicle or vehicles to be kept at the disposal of and used by the road transport undertaking, as set out in Article 5, points (b) and (c), of that Regulation, are not satisfied, or establishes, on the basis of the annual accounts and certificates referred to in Article 7(1) and (2) of that Regulation for accounting years covering all or part of the period between 1 September 2020 and 30 June 2021, that a transport undertaking does not satisfy the requirement of financial standing laid down in Article 3(1), point (c), of that Regulation, the time limits set by the competent authority for the purposes of Article 13(1), points (b) and (c), of that Regulation shall not exceed 12 months.

2. Notwithstanding Article 13(1), points (b) and (c), of Regulation (EC) No 1071/2009, where the competent authority has established between 28 May 2020 and 23 February 2021 that a transport undertaking does not satisfy the requirements regarding the vehicle or vehicles to be kept at the disposal of and used by the road transport undertaking, as set out in Article 5, points (b) and (c), of that Regulation, or the requirement of financial standing laid down in Article 3(1), point (c), of that Regulation and has set a time limit for the transport undertaking to rectify the situation, the competent authority may extend that time limit, provided that the time limit has not expired by 23 February 2021. The time limit thus extended may not exceed 12 months.