Dáil debates

Wednesday, 11 November 2020

Regional Airports: Motion [Private Members]

 

11:40 am

Photo of Hildegarde NaughtonHildegarde Naughton (Galway West, Fine Gael) | Oireachtas source

I thank Deputies for their valuable contributions to this important discussion. The importance of the aviation industry in terms of its contribution to Ireland's GDP, foreign direct investment, FDI, and job creation cannot be understated. Aviation plays this vital role in facilitating economic growth, but on a human level it also links different cultures and peoples.

The national aviation policy, Project Ireland 2040 and the Programme for Government: Our Shared Future recognise the significant importance and value of the aviation sector in supporting economic development, international connectivity and tourism via all of our airports. When the time is appropriate and the national aviation policy is being updated, the importance of regional connectivity to a balanced and more sustainable regional development in a post Covid-19 context will be reaffirmed.

The current crisis in aviation is the worst we have ever witnessed. It is an industry that tends to be extra sensitive to economic cycles and prone to shocks. This crisis has far outweighed the challenges of previous shocks such as the global financial crisis ten years ago and the aftermath of 9-11 ten years before that. I am conscious that companies have had to take difficult decisions to address their cost bases and seek to safeguard their liquidity. As part of those cost-cutting measures, many people have taken pay cuts, been temporarily laid off and, in a number of regrettable cases, lost their jobs.

In recognition of the devastating impacts of Covid-19, the Government has put in place a range of measures to help our citizens and all sectors of the economy, including the aviation sector. The Government acted early in the Covid crisis and introduced unprecedented wage supports and other measures to assist businesses. Airlines, airports and others in the aviation sector are rightly availing of these substantial Government supports. In addition to these measures and in recognition of the contribution made by aviation to society and the economy here, I have advised that the Government agreed a revised funding package of almost €80 million for the Irish aviation sector yesterday. These measures are a clear indication of its commitment to ensuring that the aviation sector can maintain the necessary core capability to retain strategic connectivity and to regrow when possible.

While forecasts across the airline sector do not anticipate global capacity returning to 2019 levels before 2023 or 2024, we had some welcome positive news earlier this week. We learned of encouraging early results from phase 3 trials of a vaccine announced by Pfizer. However, the National Public Health Emergency Team has advised that while this is a good first step, it is not time yet for celebration. People need to continue to stick to the basic public health measures. The news does, however, offer hope to the aviation industry. Stock markets throughout the world have reacted positively.

The Government will continue to do what it can to help the aviation industry. We have implemented the EU traffic light system, including ensuring the provision of testing as an alleviation for the requirement to restrict movement on arrival into Ireland in certain circumstances. A framework is now in place for people travelling from the green, red and orange regions of Europe. There are several Covid-19 testing technologies currently available or emerging on the commercial market. Importantly, though, testing provision under Ireland's framework for international travel will not be provided through the public health system but rather will be met by the private commercial sector testing supply on a user-pays basis. All of these measures have been put in place to ensure that the aviation industry will be in the best possible shape when air travel returns to some kind of normality. I am confident that it will, given time.

I have listened closely to all the contributions made this morning. I assure Deputies that I am committed to ensuring that we can maintain strategic connectivity and the viability of our airports so that the sector is well positioned to return once again to being a key driver of the economy and to help facilitate a wider economic recovery. This position is reflected in the countermotion I have put forward.

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