Public Service Obligation Services

Dáil Éireann Debate, Wednesday - 24 March 2021

Wednesday, 24 March 2021

Questions (367)

Darren O'Rourke

Question:

367. Deputy Darren O'Rourke asked the Minister for Transport if further emergency PSO funding will need to be provided to support the public bus and rail services; the amount intended to be provided in 2021; and if he will make a statement on the matter. [1840/21]

Written answers

Minister for Transport

As Minister for Transport, I have responsibility for policy and overall funding in relation to public transport.

The National Transport Authority (NTA) has statutory responsibility for securing the provision of public passenger transport services nationally.  Since 2010, the award of Public Service Obligation (PSO) funding falls under the independent statutory remit of the NTA.  The allocations to the companies are decided by the NTA in exercise of its statutory mandate and in accordance with the various contract arrangements that it has in place with PSO service providers.    

Public transport’s designation as an essential service throughout the pandemic means that, although fare revenues have collapsed, most of the cost of operations remains and must continue to be met in order to fulfil Government’s broader policy objectives.   For 2021, I secured in excess of €640m from the Exchequer in respect of the PSO and Local Link allocations to public transport operators. By comparison, the level of PSO and Local Link funding provided in 2019 was in the region of €300m.

An additional amount of €30m is provided in 2021 as ongoing support for the licensed bus sector. In January 2021, the Government agreed that the Department and the NTA can continue to provide financial support to that sector for an initial extension of 3 months with an option to extend contracts on a monthly basis subject to engagement with the Department of Public Expenditure and Reform.

Due to the current Level 5 restrictions in operation, fare revenues on all modes of public transport continue to be severely depressed. My Department, in conjunction with NTA, will continue to monitor PSO, Rural Transport funding and other commercial bus support during 2021.