Leo Varadkar (Dublin West, Fine Gael)

I appreciate what the Deputy says about airports with fewer than 5 million passengers not being sustainable, but there are airports throughout the world with passenger numbers of approximately 1 million which are sustainable. They have to match their operations with the level of sustainability.

Local authorities may have a role to play in ensuring the future of Shannon Airport, but I do not believe it will be their role to subvent or run it. Notwithstanding the fact that there are very strong local authorities in the region, they do not have the skills to do this and it is not what was intended. When the consultants were examining this issue, they might have been thinking more of Manchester and Leeds-Bradford Airports, but they are within the remit of very different local authorities for areas of population of 1 million to 4 million people.

The overall policy has been to reduce the number of airports. To this end, subvention has been withdrawn from Galway and Sligo Airports. Over time other airports being subvented will have to break even. By 2014 it will be unusual or unique for any airport to receive a subvention. This needs to be borne in mind.

On the future of Shannon Airport, its debt presents a big issue. As the Deputy mentioned, it needs approximately €8 million in cash to break even. If this debt can be written down or part of it left with the Dublin Airport Authority, it would drastically reduce the subvention. This is one of the issues that must be considered. Notwithstanding what action will be taken, at a minimum some form of golden share arrangement will be required to ensure the Government can step in again to ensure there is no risk or concern of closure at any stage.

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