Mr. Fintan Towey:

I understand committee members want to discuss the appointment of Ms Rose Hynes as chairperson of the board of the Irish Aviation Authority. I thank members for their time and I trust they have had a chance to consider the briefing material that has been provided.

I will begin by explaining that the appointment of Ms Rose Hynes is on an interim basis. A vacancy for the chair of the Irish Aviation Authority occurred at short notice last December. The Minister decided it was important that the vacancy be filled by a suitably qualified person as quickly as possible.

As members will be aware, the IAA is in the midst of a reform process that will result in significant institutional changes. The Air Navigation and Transport Bill is currently before the Houses for consideration. It was published in November last and passed Second Stage in the Dáil in February. It is hoped the Select Committee on Transport and Communications Networks will have time to consider the Bill soon.

The Bill provides that the commercial functions of the IAA will be separated out into a new company called the Irish air navigation service while the IAA will continue to have its primary role as the regulator for the aviation industry. As part of the reforms, the IAA will also absorb the regulatory functions of the Commission for Aviation Regulation to form a single national regulator with responsibility for all aspects of aviation regulation. To support that process a new chief aviation regulator was appointed in January following an open recruitment process.

Extensive internal work is under way within the IAA on all of the practical measures necessary to divide the existing organisation into two parts in anticipation of the Bill becoming law. This is no small task given that the IAA employs more than 700 staff and has net assets of almost €216 million. In 2019 the authority had a turnover of more than €197 million. Its functions include the regulation of civil aviation safety, oversight of aviation security and the planning and implementation of air navigation services.

Apart from restructuring, the effects of Covid-19 on the aviation sector generally, including on the IAA, clearly present extraordinary challenges. All the authority's operations have been deeply affected by Covid-19. Important strategic and business decisions are being progressed in the early part of this year to prepare the ground for the restructuring. In that context, the Minister for Transport was unwilling to risk leaving a vacancy while a more permanent chairperson was being sought for this crucial period. Keeping up the momentum for progress that had developed in 2020 with the assistance of the previous chairman was an important factor as well. On this basis, the Minister made the decision and, with Government approval, appointed an interim chair. Ms Hynes has extensive experience in aviation and in leading State agency restructuring programmes. This was a key reason for her appointment as the interim chair. It was noted by Government that the interim chair would appear before this committee.

The Minister intends to initiate the formal recruitment process under the State boards appointment guidelines for a permanent chair at the appropriate time in parallel to the consideration by the Houses of the Air Navigation and Transport Bill. Formal processes will be put in place to recruit a permanent chair for the newly restructured IAA and the proposed new Irish air navigation service. I trust that this information is of assistance to the committee and I am happy to take any questions that arise.