Vol. 551 No. 4
6 Proinsias De Rossa asked the Minister for Public Enterprise if the closure of the Kingscourt rail line runs contrary to the Government decision of 1 March 1999 not to close any railway lines; and if she will make a statement on the matter. [10527/02]
I have been advised by Iarnród Éireann that the Kingscourt line is open to traffic. The only traffic up to recently was freight – gypsum – from Kingscourt to Drogheda and Limerick cement factories. This traffic was discontinued last year following a decision by the customers of Iarnród Éireann to transfer their business to road hauliers as a proposed increase in charges by Iarnród Éireann to part finance capital investment on the line was unacceptable.
Arising from the report "Iarnród Éireann: The Way Forward", I recently announced a major strategic study which will provide a strategic framework for future Government decisions on rail development over the next decades and will provide priorities for investment. The study will include a particular examination of the future potential of rail freight in contributing to economic development and environmental considerations and the funding issues arising, including those raised by the Deputy.
I thank the Deputy for the information he sent me recently on European ideas on corralling funding for rail subventions.
The study will also take account of the recent EU Commission White Paper on European transport policy towards 2010 which aims to promote the revival of the rail network in the EU and particularly the rail freight network.
Does the Minister agree that there seems to be a contradiction between the position of the Government, which is that no railway lines will be closed, and the acknowledgement by Mr. Barry Kenny of the Iarnród Éireann PR department that the Cavan-Kingscourt line has been closed. Similar lines have also been put into disuse, to use the terms the Iarnród Éireann spin doctors now use for closure. I asked a specific question about this line so the Minister could answer: this line is closed and while Iarnród Éireann acknowledges it is, the Government said no lines would be closed. This seems to be a contradiction of Government policy.
When I was dealing with this question yesterday I spoke to the assistant secretary in charge of this and he got straight back to Iarnród Éireann because I agree with the Deputy: there seems to be a distinct contradiction between the reply as written here and the actuality.
The Kingscourt line is open to traffic but there is no traffic on it because Iarnród Éireann sought a 25% price increase from its only two customers on the line. A £3 million investment was required at the time and Iarnród Éireann sought a 25% increase in its charges. I agree that this matter has occasioned much correspondence. My remark that more and more heavy freight will have to be carried on the rail network rather than the roads, which are congested with huge trucks, has also occasioned a great deal of correspondence.
(Mayo): Following the Minister's comment that a report on freight is awaited, has she contacted Iarnród Éireann with a view to a deferral of its proposal to decrease its freight handling business? Such a move would mean the loss of 400 jobs and a huge increase in the volume of heavy traffic, leading to further congestion on our roads which are already clogged with articulated trucks. Coillte has decided to transfer its freight to Limerick and Waterford by road rather than continuing to use the rail network. There is an urgent need to defer this disastrous plan to move away from transferring freight by rail, especially as the rest of Europe is encouraging such transport where possible.
Does the Minister agree that Iarnród Éireann is deliberately pricing itself out of the market in an attempt to frustrate Government policy? I believe it is.
I have some sympathy with such a perception. The contributions of many Ministers last Tuesday in Brussels during the discussion on the rail freight industry made clear that there is an expectation that rail freight customers should pay their way, as distinct from being heavily subsidised. I have told the chairman, to answer Deputy Higgins's question, that the Government wishes to see an increase in the quantity of freight carried on our rail lines. The Taoiseach and I have made this clear in the Dáil and it continues to be our position. I imagine that the study will show clearly the financial aspects of Iarnród Éireann's considerations. I hope there will be a ring fencing of income, as proposed by Deputy Stagg on a previous occasion, to allow rail freight to continue to be carried. The customer must pay, however, as freight cannot be carried inexpensively.
