Commission to examine bus company subsidies

Investigators from the European Commission arrive in Dublin today as part of their inquiry into possible infringement of EU competition law by the Government over subsidies granted to Bus Éireann and Dublin Bus on certain routes.

The EC officials are due to meet with representatives of the Department of Transport as part of the long-running examination of tens of millions of euro paid out to the two CIÉ companies over many years.

The commission has expressed doubt over whether such subsidies are compatible with EU state aid rules. It has also expressed reservations about state grants to upgrade bus stations and maintenance facilities on the basis that such funding is not available to private bus operators.