The Minister for Transport, Mr Brennan, has approved an increase of 9 per cent on all CIE fares. CIE had applied for a fare increase of 20 per cent.
The Minister pointed out that CIE has only had two fares increases over the past ten years.
The Minister said the increase had been granted in the context of the progressing of proposals for public transport reform.
The news comes just hours after the Minister announced plans for deregulating bus serives outside the Greater Dublin Area.
The news comes just hours after the Minister announced plans for deregulating bus serives outside the Greater Dublin Area.
His recommendations include a regulatory authority to oversee services outside Dublin, in conjunction with two regional authorities and a Dublin authority, with responsibility for services into Dublin.
Fine Gael Transport spokesman, Mr Dennis Naughton criticised the proposals saying they would increase bureaucracy and in turn lead to increased costs which would be passed on to the consumer.
He said congestion was the main problem and that the Minister had "ignored" the issue. "No matter how many regulating bodies he establishes they will not resolve congestion, which is grinding this country to a halt.
"There must be competition. However, competition is only worthwhile if it is opened up in a manner that will actually work to improve the level of service provided to the public, not just establish more quangos," he said.