[article] No fare increases

[Mark Gleeson]

CIE pledges freeze of bus and train fares
08 November 2009 By Niamh Connolly Political Correspondent

CIE is to freeze its fares for next year on all Iarnród Eireann, Dart, Bus Eireann and Dublin Bus routes, The Sunday Business Post has learned.

The company confirmed there would be no statutory fare increase sought in the new year, compared with an average 10 per cent fares increase across all services last January.

Iarnród Eireann spokesman Barry Kenny said the company’s cost base had reduced as a result of the nonpayment of the 2009 wage deal, and lower oil prices.

‘‘The cost increases are not in the economy at the moment, and there is no need to increase fares for customers," he said. The company hedged its fuel requirement at $100 a barrel when oil was at $150 a barrel last year. The hedging period had since lapsed, and the company was now benefiting from lower oil prices, Kenny said.

The government has previously come under attack over consumer price index figures showing that transport and energy prices are falling at a slower rate than other prices. However, Kenny said the figures did not reflect online fare reductions, which had seen significant price shifts for intercity routes and tax-saver rates.

Dublin Bus has announced cuts to 10 per cent of its fleet, with 290 job losses, and Bus Eireann plans to cut 150 routes and 300 jobs.

CIE has received €312 million state subvention in 2009, an increase of 1.5 per cent on 2008. It reported a €39.5 million operating deficit for 2008, compared with a deficit of €1.47 million the previous year.

All so lovely until you see 'statutory', the vast bulk of fares charged are below the statutory level and can be increased without permission

http://www.thepost.ie/news/ireland/c...res-45530.html