Private operators give transport Bill guarded welcome

A NEW Public Transport Bill to end a 77-year-old near-monopoly by CIÉ bus companies has been given a guarded welcome by private bus operators.

The Coach Tourism and Transport Council (CTTC) which accounts for 6,600 vehicles – more than three times the combined number of Bus Éireann and Dublin Bus vehicles – said reform of the route-licensing system was welcome. However, it said it was disappointed that the State companies were to be allowed to keep all their existing routes, at least for the present.

Despite the numbers of private operators seeking business, CTTC said the regulatory system ensured that in Dublin CIÉ company Dublin Bus enjoyed a near monopoly, while between the capital and the regions Bus Éireann was hugely dominant.

Under the new measures announced by Minister for Transport Noel Dempsey yesterday, responsibility for allocating route licences will move from the department to the Dublin Transport Authority – which will be renamed the National Transport Authority (NTA).

The Bill also provides that the Commission for Taxi Regulation will be subsumed into the NTA.

Under the terms of the Bill, competition for routes will only be introduced on new routes, or as licences for existing routes come up for renewal.

Where an application for a new route is unsuccessful, an appeals mechanism will be in place.

Also, for the first time, non-State companies will be able to bid for routes which carry a State subvention as in future all such routes will be put out to tender.

Extensive powers to penalise companies and revoke licences for poor performance are to be put in place, and by December 1st, 2009, both CIÉ companies are to be held more accountable for their expenditure of State funds.

However, the Coach Tourism and Transport Council, which represents private bus and coach owners, described the entire Dublin Bus operation as “a subvented service”.

A spokesman said the Bill appeared to leave all existing Dublin Bus routes with the company, “which is hardly a level playing field”.

He said that the CTTC would have liked to see more of the Dublin routes opened to competition now.

However, he said the removal of the licensing arrangements from the Department of Transport was “potentially” very significant.

“In the past it was the State adjudicating on applications when the State owned the biggest bus companies.

“It was like being player and referee at the same time.”