Oireachtas Joint and Select Committees

Thursday, 5 November 2020

Public Accounts Committee

2019 Annual Report of the Comptroller and Auditor General and Appropriation Accounts
Vote 7 - Office of Minister for Finance
Chapter 1 - Exchequer Financial Outturn for 2019
Chapter 17 - Ireland Apple Escrow Fund

11:30 am

Mr. Derek Moran:

It was a €10 charge for flights generally, and a lower rate of €2 for flights within a 300 km radius of Dublin, which took in the north of England and all the regional airports in Ireland. There were two pieces. There were four of five strands of precedents around this. The first challenge was a complaint made by Ryanair to the Commission that it was state aid, and that they should be refunded the difference between €10 and €2 on their flights. The second strand was when the Commission spoke to us on the basis that the imposition of differential rates had an impact on freedom of travel within the Union. The Directorate-General for Competition was dealing with two elements, one on a complaint from Ryanair and one on the concern that it distorted the freedom to travel within the Union. On the first matter we engaged with them and within one year the conclusion was that a single rate was most appropriate. Some 12 months after the measure had been introduced, we imposed a single rate of €3.