The Welsh Assembly Government’s statutory bus pass scheme has issued over 530,000 bus passes to people over the age of 60 or eligible on grounds of disability since it was introduced, but ministers believe that in some rural areas the railway represents a more viable and effective means of local travel than commercial bus services.

Plans have therefore been unveiled to pilot proposals for community rail designation on the rural stretches of the Heart of Wales Line and the Conwy Valley Line. Designation on these two lines could take place from early 2007. "If these pilots are successful the Assembly Government would look to extend them next to the Cambrian Coast, Borderlands (Wrexham-Bidston) and Shrewsbury-Chester lines," said Andrew Davies, Minister for Enterprise, Innovation and Networks.

The announcement follows discussions with the Department for Transport’s Community Rail Team, Network Rail, Arriva Trains Wales and local community rail partnerships - initially, the Heart of Wales Line Forum and the Conwy Valley Rail Partnership.

Cllr Trevor Roberts, Chair of TAITH - the north Wales consortium of local authorities, said: "This is really exciting news for the people in our rural areas, for many of whom rail travel is a better option than local bus services. Thanks to the hard work of all the partners involved, those with a bus pass in the rural areas served by the railway will benefit greatly, particularly along the Conwy Valley line between Blaenau Ffestiniog and the coast which I am delighted to say will be one of the first in Wales to benefit."

"ACORP has argued that concessionary travel should be available to pensioners and the disabled using not only buses but also community rail services, which can often be the sole public transport facility in an area," added Neil Buxton, general manager, Association of Community Rail Partnerships. "We are delighted that the Welsh Assembly Government is proposing to support concessionary fares on both road and selected community rail lines. We hope that this will set a precedent for the rest of the UK."

One of the main benefits from Community Rail service designation is the relaxation of the strict regulatory and franchise requirements that can apply to main line services. This can allow the introduction of more responsive timetables; flexible fares and simpler contractual requirements and aims to improve net revenue by increasing patronage and/or ticket income. It can also deliver lower costs and increase community participation.

Community Rail designation is an initiative across England and Wales, led by the Department for Transport’s Community Rail Team, and established in 2004.