Dáil debates

Tuesday, 5 October 2010

9:00 am

Photo of Timmy DooleyTimmy Dooley (Clare, Fianna Fail)

I thank the Acting Chairman for the opportunity to share time with Deputy Joe Carey. I also welcome the opportunity to contribute to this debate. Shannon Airport is a vital cog in the infrastructure of County Clare, the mid-west and west. It has provided employment for many families throughout the region and created the conditions for the development of the Shannon free zone as a base of foreign investment that has created and retained many jobs in Shannon, Limerick, Galway, Ennis and further afield. Shannon Airport has opened the region to tourism, which created jobs and allowed people to find gainful employment in many rural communities. In particular, it has protected employment in villages and our county's population.

Shannon has faced many challenges in its long history. Aviation has changed and so has the airport. It now faces a new challenge brought about by the recession. Passenger numbers have dropped to 1999 levels to approximately 1.7 million. In 2006 and 2007, Ryanair services drove passenger numbers above 3 million, much of it based on Irish people travelling abroad. Routes have been cut, impacting tourism and business interests in the region.

Taking everything into account, I am not sure whether the response from the Shannon Airport board to increase charges was the best option. We need fresh thinking. We must address the situation rapidly if we are to protect what we have built up. There are governance issues at Shannon and Cork. Airport separation as outlined in the State Airports Act 2004 has not occurred. I never believed in the plan and it was not to the benefit of the airports. Shannon Airport needs more autonomy. It must be in control of its own business plan and asset base. It must be able to compete effectively with Dublin and Cork while relying on subvention from Dublin. It cannot be viewed in terms of profits and losses. It is key infrastructure - not a corner shop. We need a sustainable business plan that is not plot driven. The Shannon Airport Authority has much to do in this regard.

The 2004 Airports Act has not worked and was a mistake. Shannon Airport is in a worse position than it was under the Aer Rianta structure. We must accept this mistake and move on. Shannon has a board that has neither assets nor power. We need change and we need it quickly. Shannon Airport will need ongoing support and subvention if it is to provide a centre for growth and balanced regional development in tourism and business activity. The solution is based on taking Shannon Airport from the perceived stranglehold of the DAA, keeping it in State ownership and giving day to day responsibility to the Shannon Airport Authority. We can do this with the establishment of an umbrella organisation that has supervisory control over the three airports and the capacity to ensure that Shannon Airport receives the kind of ongoing support which is such a vital part of its future.

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