Dáil Éireann Debate, Thursday - 1 February 2024
30. Deputy Richard Boyd Barrett asked the Minister for Transport when he intends to act on the motion passed by Dáil Éireann in October 2022 in favour of free public transport; and if he will make a statement on the matter. [4625/24]
View answerAs Minister for Transport, I have responsibility for policy and overall funding in relation to public transport; however, I am not involved in the day-to-day operations of public transport. The National Transport Authority (NTA) has statutory responsibility for the regulation of fares charged to passengers in respect of public transport services provided under public service obligation (PSO) contracts.
In 2022, the NTA commissioned a report with Ernst & Young Business Advisory Services which examined the impacts of free fares on public transport. That report concluded that to fund a fully free public transport system at the time, without accounting for the likely increased passenger demand, would have required an additional €540m in Exchequer funding per annum at a minimum, on top of the existing annual PSO subvention. Given the increase in costs in the intervening period, this figure has risen to closer to c. €786m for 2024.
The report also found that any increase in public transport demand due to free fares would largely be achieved by reductions in walking (7%) and cycling (13%), resulting in just a 1% reduction in car travel.
My Department’s funding for public transport services is therefore focussed on existing fare initiatives and service improvements such as BusConnects in the five cities, expanding town services in the larger towns, and rolling out Connecting Ireland in rural Ireland. These improvements are delivering real benefits for citizens across the country.
