Vol. 572 No. 6
318 Mr. Crowe asked the Minister for Transport if his attention has been drawn to the European Commission's transport White Paper and its proposal to shift the balance between modes of transport in favour of rail, especially for freight; and the measures he has taken to support that proposal. [23867/03]
The Commission White Paper on transport, published in September 2001, envisages that, in the context of sustainable development, EU financing should be directed towards giving greater priority to more sustainable forms of transport and, in particular, to rail, sea and inland waterway transport.
The rail freight option in Ireland has been assessed in the context of the strategic rail review, SRR, published in April 2003. The review recognised that the geography and industrial base of Ireland limit the potential of rail freight somewhat. However, the review found that there remains an opportunity to reverse the decline of recent years in some freight sectors and envisaged that freight services will operate where they can be cost effective and can contribute to the economic development of the country in an environmentally sustainable manner.
The Deputy will be aware that I believe that every effort should be made by Iarnród Éireann to develop its rail freight business. Since the publication of the strategic rail review my Department has held a number of meetings with Iarnród Éireann at which the company has reported on its progress in improving the performance of its freight business. Iarnród Éireann informs me that the fortunes of its freight operations have improved considerably. It has secured two major contracts and is in the process of consolidating those markets which are financially sustainable. The company has stated that it is confident that the outlook for its freight business is good in the short to medium term.
