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The Minister of State at the Department of Education and Skills, Ciarán Cannon, has welcomed confirmation from Bus Eireann this afternoon that it is significantly reducing the administrative costs of the School Transport Service and will continue to do so over the next three years.

The Minister and officials from the Department met with Bus Eireann yesterday afternoon as part of their on-going negotiations with the company on finding savings in the School Transport Scheme which currently costs the state some €180 million.

"I can confirm that Bus Eireann has reduced its administrative overheads by approximately €1.5 million this year and the company has committed to finding further cost reductions over the next three years," said Minister Cannon.

"This means that the total administrative costs of Bus Eireann to operate the scheme will be in the region of €16.7 million this year, and not €25 million as has been suggested by some people."

Minister Cannon also announced that Bus Eireann has now agreed to publish its audited accounts on the School Transport Scheme.

"I sought the publication of the accounts and Bus Eireann was more than willing to oblige. This is a welcome move and it is very much in keeping with this government’s commitment to transparency in the public sector. This is public money that it is being spent on providing school transport and the public needs to see every detail of that expenditure. From today, those accounts will be available on line and should dispel any suggestions that the money received from the Department is subsidising commercial services."

"I look forward to further engagement with Bus Eireann in a constructive manner in order to meet the targets this Department has set of saving €17 million in the School Transport Scheme by 2014," the Minister concluded.

ENDS