Brian Walsh (Galway West, Independent) | Oireachtas source

When we were here this morning very early to change the Order of Business of the Dáil, the Leader of the Opposition, Deputy Martin, bemoaned the fact that this was being rushed through, according to himself. I examined the record of the Dáil from 2006, when the privatisation of Aer Lingus was approved. The then Fianna Fáil-led Government, of which Deputy Martin was a member, allocated two hours of time to debate the disposal of 75% of Aer Lingus. Deputy Martin also mentioned in his contribution this morning that it is very important that the issue be debated by the Oireachtas transport committee, of which I am a member. It was very comprehensively debated and discussed by the committee. A large number of witnesses came before the committee to discuss the proposal, the vast majority of whom were very supportive of it.

When Willie Walsh came before the committee, I asked him a question about his opening offer. I said he had not become the pre-eminent airline executive in the world without being able to negotiate, and I asked him about how he could enhance his opening offer. He was direct and frank in his response, and said if he made a second offer it tended to be much weaker and that his opening offer was always his best offer. He said if he had to make a second offer, it was usually much weaker than the original one. Obviously, he has never had to negotiate with somebody of the calibre of the Minister, Deputy Donohoe, given that the second offer he has come back with is greatly enhanced. It is a much stronger and better offer for Aer Lingus and Ireland Inc.

All along, there has been broad consensus for some time that, in principle at least, the sale of the company had the potential to be good for Ireland and for Aer Lingus. However, the initial offer was unacceptable and there were legitimate and very considerable concerns relating to, for example, connectivity and job losses. This weighed very heavily on the debate. The offer has been strengthened considerably and I am pleased that all the concerns raised have been addressed in the most recent proposal. The Minister has used the time since the original bid well to secure a better deal for all concerned. The commitments secured on the Heathrow slots were vital, and the potential for route expansion to North America in particular is vast and could have substantial implications for economic growth and development. The deal protects 2.5 million additional passengers, more than 600 new jobs and four new North American routes. We are looking at new dawn for the company in a very competitive environment. It will be strengthened by the takeover and the sky is the limit for Aer Lingus. This is happening at the right time for Aer Lingus, which, in its current state, faced a very uncertain future as a stand-alone operation. It is happening at the right time for the State as the injection of capital and further job creation that will arise from the deal will fuel the momentum we have as the fastest-growing economy in Europe.

Tourism, one of the pillars on which we have built our economic recovery, stands to benefit greatly from the development of Aer Lingus under the auspices of IAG. I represent the west of Ireland and Galway, where the growth in tourism numbers has contributed greatly to the recovery we are seeing on the ground. It has been a very important factor in the domestic economy and its recovery. The commitments that the Ministry has secured for Shannon and Knock airports will have a very positive impact on Galway city, Connemara and the surrounding areas. One very important aspect of it is the marketing expertise the IAG group has across the globe and Ireland will benefit greatly from that. Ireland will be promoted in new markets in which we have not had a presence heretofore. It is a cause for great optimism for the future of the tourism industry.

Last weekend, people across the globe decided that they would like to visit this little country of ours which captured their attention as it asserted its regard for equality and inclusion by popular vote. Through this deal, they will find more numerous and varied ways of visiting Ireland as the airline expands. Willie Walsh gave a commitment that he would invest in more long-haul aircraft, which is very positive for the North American market. I welcome this from a local point of view, given the measures that are there to support the two local airports in the west of Ireland. It is good for Aer Lingus, which could have faced difficult times. If there were another downturn in the aviation sector in the future, there was no guarantee that Aer Lingus would have survived. Its future is secure under this deal. I commend the Government and the Minister, Deputy Donohoe, in particular on the work he has done in negotiating this new deal.

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