UP TO 300 private bus operators could pull out of the school bus scheme next September unless the Government addresses the soaring cost of diesel, according to their representatives.
As hauliers separately warned yesterday that the global rise in oil prices is set to become “the worst oil shock since 1973”, Mike Goodliffe, general manager of the Private Association of Motor Bus Operators (Pambo) said he had received “endless calls and e-mails” from some 150 operators telling him they would be pulling out of the scheme in September.
He warned that this number could rise over the summer.
Pambo represents some 900 of the approximately 1,400 individuals and companies who operate school buses around the State.
Mr Goodliffe said the price of diesel had risen by some 50 per cent since September of this year, and is expected to increase by at least a further 10-15 per cent before September.
“If you take the total operating costs for the operators, fuel is now running at about 35 per cent of the total costs,” he said. “It was 23-24 per cent a year ago.”
He called on the Government to reduce the rate of tax charged on diesel or to provide operators with “real and significant daily allowances” to help address rising fuel costs.
Fine Gael spokesman on school transport, Frank Feighan TD, urged Minister for Education Batt O’Keeffe TD to meet with private bus operators on the issue.
However, a spokeswoman for Mr O’Keeffe said his department was talking with Bus Éireann concerning the issues raised by Pambo and would respond in due course. It had responded to communications from Pambo earlier this week. “The issues are between Pambo and Bus Éireann who negotiate on our behalf,” she said.
A spokeswoman for Bus Éireann said contracts with operators run until June of this year.
“Contracts will be renewed in the run-up to the 2008/2009 academic year, as per usual. While it is recognised that the cost of fuel, diesel particularly, is increasing, it is one element of a contractor’s cost base and contractors have been paid very significant increases in recent years,” she said.
She added that Bus Éireann foresaw “no adverse impact on services”.
“Suppliers are out there and are forthcoming. We also have the ability to put in additional Bus Éireann buses if required,” she said.