Dinny McGinley (Donegal South West, Fine Gael) | Oireachtas source

The four year public service obligation contract for the Aran Islands air service will end on 31 August 2013. In addition, the related aerodrome management service contract will end on the same date. These contracts cost in the region of €2 million per annum and this equates to approximately one third of my Department's overall budget for island transport services.

My Department is examining various options with regard to these services. One option is to extend the existing contracts. I hope that I will be in a position to announce the decision on the matter by the end of February at the latest.

Ultimately, any decision on the future of the air service will be made in the context of the overall budget available for island transport services. I announced in the House in December last that there would be an allocation of €5.9 million for current expenditure on the islands for 2013. Naturally, this figure is subject to the Revised Estimates being published and approved in due course.

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