Disabled and elderly people in Mid Wales who rely on community transport schemes have been given a £1 million boost, as the scheme is extended.

Two voluntary organisations in the area are set to benefit from Welsh Assembly Government funding, it was announced today.

Powys Association of Voluntary Organisations (PAVO) and Llanwrtyd Wells Community Transport schemes, which provide buses for elderly and disabled people from villages to be taken to larger towns, faced an uncertain future as the end of a three-year pilot scheme neared.

But now the Welsh Assembly has announced the scheme will be extended for a further three years, until 2012.

Ieuan Wyn Jones, Assembly economy and transport minister, said: “This pilot project has proved to be extremely popular and has given many people greater independence and improved quality of life – particularly in our rural communities, such as Powys.

“I am therefore pleased to confirm this extra investment to enable the pilot projects to continue until 2012.”

He said an independent study has been carried out by Capita Symonds to evaluate the initiative’s success.

“The evidence from the study does suggest there is merit in continuing with the initiative for a further three years,” he said.

Kirsty Williams, leader of the Welsh Liberal Democrats and AM for Brecon and Radnorshire, said: “The schemes provide an invaluable service to the vulnerable and isolated, never more so than in this difficult economic climate.”

Mick Bates, Montgomeryshire AM, said: “Reliable transport is a vital component of sustainable rural areas.”