Dáil Éireann Debate, Tuesday - 31 January 2017
723. Deputy Robert Troy asked the Minister for Transport, Tourism and Sport if he will provide a summary of the plan that was presented to his Department in early 2016 from Bus Éireann regarding the commercial business, in addition to the advice received from NewERA relating to financial difficulties at the company; and if he will publish the report. [4367/17]
View answerAs the Deputy is aware, Bus Éireann is developing plans to address its financial position. The company is currently loss-making and these losses are not sustainable. The Company's difficulties stem from its commercial Expressway services which are not subsidised by the taxpayer and operate in competition with other non-subsidised operators.
During the course of 2016 Bus Éireann management worked on developing a business plan to address the loss making situation in its commercial Expressway business. Several drafts of Bus Éireann's proposals were presented to my Department and NewERA – my Department's financial advisors – and were discussed. These discussions highlighted some shortcomings that existed in the draft proposals.
In September 2016 the Board of Bus Éireann commissioned its own independent consultants, Grant Thornton, to review the company's proposals and to advise the Board. The consultants' confidential report to the Board - which was widely commented upon in the media - essentially came up with a similar analysis as that which had been given over the preceeding months by the Department and NewERA. Arising from the Board's consideration of the Grant Thornton advice, the company has now embarked upon developing a new plan to address the company's loss making situation and restore it to a sustainable future, and it aims to have this plan in a few weeks' time. Meanwhile it is taking various measures to address its costs. One of several elements of the plan will be proposals to address the Company's pay bill, and to this end the Company has put forward proposals on which it is seeking to negotiate with staff.
