Package described as 'an insult' to hauliers

Transport : An extra €115 million has been allocated for transport spending in the Budget, bringing total transport investment…

Transport: An extra €115 million has been allocated for transport spending in the Budget, bringing total transport investment for 2006 to €1.87 billion.

The allocation represents the first rollout of funding from the Government's €34.4 billion 10-year Transport 21 plan.

However, hauliers last night condemned the Budget, saying Mr Cowen had ignored the needs of their industry.

The Irish Road Haulage Association (IRHA) had sought a rebate for duty paid on fuel to compensate for increases in oil prices. The rebate would have cost the Exchequer some €79 million.

READ MORE

The Budget was "an insult" to the industry, the IRHA said, and it was putting the Department of Transport on notice of its withdrawal from co-operation with the Government.

"A lot of members belonging to this organisation expected a Christmas bonus from this Budget. Unfortunately, this Christmas offering is not what they envisaged. Because of this let down it is fair to surmise many will not be in business in the year 2006," said IRHA spokesman Gerry McMahon.

However, Mr Cowen said the transport funding showed an unprecedented level of commitment by the Government to the development of modern infrastructure.

"It recognises the importance of a world-class public infrastructure in securing the competitiveness of the economy, and enhancing the economic and social gains made in this country since we took office."

The first steps in implementing Transport 21 would see the country's motorway expand, a new docklands railway station, the upgrade of the Kildare line, new rolling stock and the Cherrywood Luas extension.

He said the first moves would be made to re-open the Western Rail corridor, while a new transport authority would be set up to ensure Transport 21 was brought in on time and within budget.

Funding for the development of regional airports has also been increased by €11 million, bringing regional airport investment to €15 million next year.

Welcoming the Budget, Minister for the Transport Martin Cullen said the airport funding demonstrated the push by Government to invest in the regions.

"Air access to the regions is vitally important. It enables Government to use resources to contribute to the achievement of more balanced economic development by guaranteeing scheduled air services for consumers, business and tourism."

Olivia Kelly

Olivia Kelly

Olivia Kelly is Dublin Editor of The Irish Times