asked the Minister for Transport how he envisages that a reduction in the subvention to CIE of £70 million in 1980 to £65 million in 1981, as provided in the Book of Estimates, will be achieved.
Ceisteanna — Questions. Oral Answers. - CIE Subvention Reduction.
10.
CIE are at present examining the measures necessary to contain subvention requirements within the limit of £65 million as provided in the Estimates for my Department. Decisions on the manner in which this is to be achieved must await the completion of the CIE examination.
Surely the Minister must have some idea how the reduced estimate will affect the CIE services. There must be drastic cuts. Can the Minister give us some idea what will be cut off, reduced or terminated?
Day-to-day management of CIE is a matter for the board of CIE. At present they are looking at the overall situation. I received a letter from the Chairman of the CIE board today stating that this will be a subject for discussion at the next board meeting on 19 February.
Would the Minister agree that there has been a cutback from £70 million to £65 million as between 1980 and 1981 and no allowance has been made for the inflation rate? The Minister is putting CIE in an impossible position. There is a cut-back of approximately £15 million which will involve a serious cut-back in all the services and will put many of the bus and train services in jeopardy.
I will not anticipate the reappraisal being carried out by the CIE board and management at present.
Does the Minister accept that there has been a cut of £15 million?
I do not.
In real terms.
Are the Government determined that CIE will keep within the figure of £65 million this year?
The Government are very concerned about the increasing deficit and the burden placed on taxpayers. They decided on a figure of £65 million. I communicated that to the board of CIE and asked for a reappraisal. When that reappraisal is carried out it will be forwarded to me.
Are the Government determined that CIE will keep within £65 million this year? That is a simple question. If the Government are determined that CIE will get no more than £65 million this year, and if CIE experience increased costs because of increases in the cost of oil or of wages, does it follow that the only way in which that can be achieved is by sacking men or increasing fares?
That does not necessarily follow. A reappraisal is to be carried out within the whole of CIE. There were certain items last year which we would not expect to recur this year.
A final supplementary from Deputy Horgan.
What are the items which will not recur this year?
Would the Minister not agree that he has put the financial gun to the head of CIE and that there is absolutely no way in which they can meet this target without, to some degree, jeopardising the already dangerously affected commuter services in our cities?
And in the country.
We are having uneducated guesses as to what may or may not happen.
What items will not recur this year?
I said quite clearly that there are certain items we expect will not recur this year.
Ceist 11.
What are they?
Name one.
High redundancy payments, losses on cement bulk traffic, and many other items.
I could not hear the Minister.
Ceist 11, le de thoil.
(Interruptions).
Higher prices and sacked men.
Will the Minister kindly answer Question No. 11?