Dáil Éireann debate -
Thursday, 14 Nov 1996

Vol. 471 No. 6

Written Answers. - Closure of Rail Line.

Noel Treacy

Question:

147 Mr. N. Treacy asked the Minister for Transport, Energy and Communications the date on which he met a group of western politicians pertaining to the closure of the Sligo/ Claremorris/Tuam/Athenry/Gort/Ennis/Limerick line; if he has requested the board to rescind its decision; and if he will make a statement on the matter. [21491/96]

Minister for Transport, Energy and Communications (Mr. Lowry)

I met with a group of western politicians on 6 November 1996. The position regarding freight services on the rail line between Limerick and Claremorris was raised at that meeting. Decisions in relation to the operation of services on any rail line are day to day commercial matters which fall entirely within the responsibility of the boards and management of CIE and Iarnród Éireann. I have no function in relation to such decisions.

In the light of information provided to me by Iarnród Éireann, I confirmed at the meeting on 6 November that Iarnród Éireann had not taken a decision to close the rail line between Limerick and Claremorris. There are no plans within Iarnród Éireann to do so, and there are no proposals before me, or under consideration in my Department, for the closure of any rail lines, including the line between Limerick and Claremorris.

It has been confirmed to me by Iarnród Éireann that it is the company's aim that freight traffic on the line should continue, provided that the right business conditions can be created and sustained.

It must, however, be acknowledged that Iarnród Éireann faces very strong competition on the Limerick-Claremorris corridor from the road haulage sector, which enjoys advantages in terms of cost and flexibility. The company has no option but to face up to the commercial realities of the situation — it must get its costs down if it is to complete successfully in this market.

I have been informed by Iarnród Éireann that, in the context of the company's cost reduction plan, potential savings of £250,000 per annum have been identified which could be achieved through a transfer of freight traffic on the Limerick-Claremorris line to other rail lines. This underlines the urgency of making substantial reductions in the cost base of the operation. Iarnród Éireann has assured me that they are anxious to secure the future of commercial freight operations on the line by reducing costs, and especially the costs associated with maintaining the line in full operational order. I welcome this positive approach and would wish to see the company arrive at a position where the future of freight traffic on this line would not only be maintained at existing levels but could be developed where suitable commercial opportunities could be identified. In this regard, I have asked that Iarnród Éireann engage in an intensive marketing drive with the aim of realising the full commercial potential of the Limerick-Claremorris line.

I have publicly urged both management and unions to enter into meaningful negotiations in a spirit of partnership and co-operation with a view to agreeing on ways and means to achieve the cost savings envisaged by Iarnród Éireann and the other CIE companies in their viability plans. The aim should be to meet these challenging targets by securing improvements in productivity and efficiency rather than by curtailing services.