Licence not renewed over non-stop route

THE DEPARTMENT of Transport has refused to renew a licence held by Citylink to operate its existing bus service between Dublin…

THE DEPARTMENT of Transport has refused to renew a licence held by Citylink to operate its existing bus service between Dublin and Galway until it shuts down an unlicensed non-stop service on the same route.

The latest list of licensed bus services from the department does not include Citylink’s service between Galway, Dublin and Dublin airport, even though this was due for renewal at the end of October.

A Department spokeswoman said Citylink’s licence had not been withdrawn, but before it was renewed, the department must be satisfied that the licensed operator was complying with all its obligations.

Last month, the department ordered Citylink to cease operating the new non-stop service because it was unlicensed. However, the company refused to do so, arguing that this service was properly licensed because it was a variation of the existing service between Dublin and Galway, which is slower because it stops along the way.

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Since then, the department has fined the company €6.35 a day, the limit allowed under legislation, and referred the matter to the Garda, but the unlicensed service has continued to operate.

A spokesman for Citylink confirmed yesterday it had received a letter from the department stating that it “does not propose to renew the [Dublin-Galway] licences as there are outstanding allegations that Citylink is operating in breach of the licences which were issued to this company”.

“Citylink will be responding to this letter by return with the intention of resolving this matter,” the spokesman said, “but would add that it is disappointed that the department should issue such a letter based on, as they say themselves, ‘allegations’ alone.”

The department’s intervention followed a complaint by rival coach operators GoBus (trading as Evobus Ltd), which obtained a licence from the department for a non-stop service between Dublin and Galway last August after almost three years of waiting.

The row has provoked a price war on the route, with fares as low as €1 for some online bookings with Citylink. GoBus claimed Citylink, which is owned by global transport company Comfort Del Gro, is using unfair tactics to drive a family-owned firm out of business. Citylink has denied this.

Paul Cullen

Paul Cullen

Paul Cullen is a former heath editor of The Irish Times.