host posted on March 19, 2009 17:25
Press Release 19th March 2009
"How much money does Dublin Bus expect to save by axing 120 buses?” asks An Taisce
Environmental charity An Taisce says the company could lose as much as €12 million annually by cutting its fleet by 10 per cent
In the light of the forthcoming devastating cuts to the public transport network in Dublin, one of Europe’s most congested cities, An Taisce questions: How much does the Dublin Bus company think it will actually save by axing 120 buses?
Simple calculations show that the amount of revenue lost by cutting nearly 50,000 passenger journeys a year will be considerably more than the amount saved in fuel and staff cost.
The planned revenue losses of cutting back 10% of the fleet would be nearly €26 million while the savings would be only between a half and three quarters of this depending on numbers of staff who accept redundancy. This simply does not make financial sense
"Even the primary children, who are the focus of An Taisce’s Green Transport project could do the maths of this one” says James Nix , Transport Co-ordinator working with the Irish Environmental Network which includes An Taisce.
"We estimate that 500,000 litres of fuel are being saved annually by schools taking part in the Green Transport project” he continued “but if services are being cut back how can families make the green choice and take their cars off the road for the notorious school run?”
In addition to the direct costs to Dublin Bus of these ill-conceived cuts, the cost to the State of these job losses would also be significant. In the current economic climate it is likely that the majority of staff made redundant will end up being in receipt of social welfare, at least in the short term, and the loss of tax revenue to the government will also be considerable.
Service and network reform with Quality Bus Corridors, Real Time Passenger Information and Integrated ticketing are what will ultimately transform our public transport system into the efficient, cost effective one Ireland deserves and needs, not short term cuts that will only see more customers move away.
ENDS
Notes to editors:
Calculations are based on a recent report by Deloitte which determinedthateach bus makes an average of 6.6 trips per day meaning a reduction of 792 daily bus journeys by cutting 120 buses. With the average bus taking 63.7 passengers the cuts will actually reduce bus journeys by 50,450 a day. The average fare is €1.41, so a simple multiplication shows a loss of revenue to Dublin Bus of €25.9 million over a 364 day year.
For further information please contact:
James Nix on 086 8394129 or 061 322594