Dáil Éireann Debate, Wednesday - 12 May 2021
88. Deputy Darren O'Rourke asked the Minister for Transport the estimated cost of the additional investment needed to provide greater capacity across all modes to meet expected increase in demand if free public transport was introduced; and if he will make a statement on the matter. [25023/21]
Amharc ar fhreagraAs Minister for Transport, I have responsibility for policy and overall funding in relation to public transport.
The National Transport Authority (NTA) has the statutory responsibility for the regulation of fares in relation to public passenger transport services and also has statutory responsibility for securing the provision of public transport services by way of public transport services contracts in respect of services that are socially necessary but commercially unviable. The funding of those services comprises both the fares paid by passengers and the subvention payments from the Exchequer. The main purpose of the subvention payment is to meet the gap between income from fares and the cost of operating services.
The provision of public transport services is heavily dependent on passenger fare revenue as it normally contributes about 65% of the operational cost. The remaining 35% of cost is covered by the PSO grant and the Department of Social Protection grant under the Free Travel Scheme. In Budget 2020, and prior to the Covid-19 pandemic, over €300 million was provided for PSO and Local Link services. Due to the impact of Covid-19, which resulted in the collapse of fare revenue on public transport, a further €370 million (in addition to the c. €300m already provided) was allocated to enable the continued operation of public transport services in 2020. My primary focus is to ensure that public transport services continue to operate during this pandemic, and I secured almost €659m for PSO services in 2021, of which €30m is to support the licensed bus sector.
Any assessment of a proposed change to public transport fare structures would be a matter for the NTA to consider in the first instance. I have, therefore, forwarded the Deputy's question to the NTA for direct reply. Please advise my private office if you do not receive a response within ten working days.
