CIE Route Profitability and Competition
Bruton sought route-level financial data in CIE’s annual reports and asked about competitive tenders for routes. Wilson said detailed publication was inappropriate for commercial reasons, believed the data existed and could be obtained, and said tendering would be considered in the forthcoming review of the Road Transport Act.
asked the Minister for Tourism and Transport if he will ask Córas Iompair Éireann and its subsidiary companies, to include data in the annual report that they make to him on the profit and loss on individual scheduled routes and on each category of non-scheduled service, persuant to section 34 (i) of the Transport Act, 1950; and if he will provide for an examination by him of this information to see if there are more competitive methods of providing the individual services in question.
Comment on this
The collection of data in relation to such matters as the financial performance of individual CIE services is a matter for the board and the boards of the subsidiary companies. The purpose of the annual report of CIE is to give an overall general view of the activities of the organisation during the preceding year and in the circumstances the inclusion of the detail sought would not be appropriate. Futhermore, such publication would not be desirable for commercial reasons.
It is the responsibility of the board and their subsidiaries to manage in the most effective and efficient way possible the limited resources available to them. As CIE are required to operate so as to achieve the financial targets set for the various sectors and as many of the CIE services are dependent on State subvention, the board are under pressure to reduce costs and effect whatever savings are possible.
The general question of liberalisation in the provision of road passenger services, with its implications for competition, is being examined in the context of the review of the Road Transport Act, 1932, which regulates the bus passenger industry. As I informed this House recently, that review is now at an advanced stage.
Comment on this
Apart from whether it should be published, is the information sought in the question available?
Comment on this
One commercial reason is that when a person is conducting a business he does not want everybody to know about it.
Comment on this
Will the Minister consider the possibility of allowing other operators to tender for individual routes or for groups of routes, taking due account of the social dimension to CIE's work?
Comment on this
All these matters will come up for consideration in the review of the Road Transport Act, 1932, which I mentioned in my reply.