Catherine Connolly (Galway West, Independent)
Link to this: Individually | In context | Oireachtas source

We have five speakers on the final Topical Issue debate to whom I will allocate one minute each and, therefore, I ask for the co-operation of all Deputies. The normal time for a debate is four minutes. Deputies will have a minute each with half a minute for a supplementary question. I call Deputy Crowe.

Cathal Crowe (Clare, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

The aviation sector supports upwards of 140,000 jobs. Some 40,000 of these are directly employed in the sector. Shannon Airport has been disproportionately hit and staff there have been exposed to temporary lay offs and pay cuts more so than their counterparts in Dublin and Cork airports. Shannon Airport is experiencing a sharp decline in passenger numbers and desperately needs a financial adrenaline shot to ensure it survives the economic uncertainty brought on by Covid-19 and comes out the other side in a healthy state.

The aviation task force reported to the Government on 7 July and there is an urgent need to adopt its recommendations and provide a stimulus package for Shannon Airport. We need a high-profile, highly capable individual to replace Rose Hynes as chair of Shannon Group. I look forward to the Department leading a review of the management structures at the airport. The Covid crisis presents an opportunity to redesign aviation policy. I encourage the Minister of State to look at the proposals put forward by the chambers of commerce in the region.

I would like to hear the Minister of State's views on the proposed rapid testing at the point of departure and arrivals. It is the only way to scientifically guarantee that passengers coming into Ireland and departing are Covid free.

James O'Connor (Cork East, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

We need a two-pronged approach to address the situation facing our airports. We need to get clarity on international travel on and off the island, and we need to put a stimulus package in place to sustain the aviation industry over time. We need to recognise that the Covid-19 pandemic will be with us for the long term and we need to plan accordingly. Too many livelihoods are at stake.

A recent article in The Irish Timeshighlighted how the aviation sector got us out of the last recession due to its major economic contribution to society, through airports such as the one in Cork which we are here to discuss today, and the aircraft leasing business. If we do not act now, we will not survive this recession. The passenger numbers in Cork fell by over 95% during the lockdown compared with the same period in the previous year. Air traffic is not expected to recover until 2024. It is urgent for the Government to act now to ensure a proper recovery plan is put in place for the aviation sector.

Joe Carey (Clare, Fine Gael)
Link to this: Individually | In context | Oireachtas source

Shannon Airport is a key strategic asset for the mid-west, the western region and all of Ireland. Some 40% of the FDI companies in the State are concentrated in the Shannon catchment area. These companies depend on international connectivity. Our entire tourism sector right along the western seaboard depends on inbound connectivity. Some 140,000 people in the country work in the aviation sector, many of them in Shannon which has 80 aviation-related companies.

We need to adopt an EU travel policy to bring us in line with other EU states so that we can get the aviation industry up and running again.

Kieran O'Donnell (Limerick City, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I thank the Minister of State for taking this debate. I want to deal with this issue by addressing the two prongs relating to the aviation sector. I understand we will see a new reopening roadmap for the aviation sector next week. I ask the Minister of State to confirm that will be the case. It is critical for us to align with the EU proposals in terms of reopening. It is about testing. It is about adding to the green list countries with lower infection rates than we have. The airlines will not survive without an expansion of this reopening of air travel.

Shannon Airport needs support through Aer Lingus restoring the Shannon to Heathrow service, along with the transatlantic services to John F. Kennedy Airport and Boston. We need State supports for companies like Aer Lingus. It is a major worry with Ryanair talking about needing the green routes to be relaxed and reopened in line with EU policy. I ask the Minister of State to give a commitment that there will be a change in the reopening in terms of the green route policy and ensuring that supports will be provided for the Aer Lingus Shannon to Heathrow service and the its transatlantic services out of Shannon.

Darren O'Rourke (Meath East, Sinn Fein)
Link to this: Individually | In context | Oireachtas source

I agree with the points the previous Deputies made. I focus my comments on two groups of workers directly affected by the failed foreign travel policy the Government is pursuing. Representatives of the travel agency industry held a protest outside Leinster House. The travel agencies remained open throughout the pandemic despite a 95% reduction in business. They have reported negative revenues in excess of 100% because they are paying out on bookings from last year. The responses from the Government have been completely unsatisfactory. We need to look after this sector.

Aer Lingus workers are being threatened with lay-offs and the Minister of State has probably received hundreds of phone calls. Is she satisfied and is the Minister satisfied that Aer Lingus operated the temporary wage subsidy scheme, TWSS, appropriately? There are severe criticisms of it.

Hildegarde Naughton (Galway West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I thank all the Deputies for raising this important issue. I am acutely aware that, as an island nation, Ireland is particularly dependent on air connectivity both socially and economically, and aviation plays a critical role in our economy. However, due to coronavirus, global civil aviation is currently experiencing its most challenging crisis, more severe than what happened after the attacks on 11 September 2001 or the global financial crash, with many analysts predicting that it will take several years for the sector to return to 2019 levels. Irish aviation stakeholders are fully exposed to the resulting dramatic downturn in activity and it is clear that should Covid-19's impact on aviation be prolonged, this will affect their long-term financial health. I have met all key aviation stakeholders and officials have ongoing engagement with airports and airlines.

I am particularly concerned by a recent announcement by Ryanair of the possible closure of its bases at Shannon and Cork, and also media reports that Aer Lingus might relocate aircraft from its base at Shannon. These are commercial decisions of the companies concerned and it should be noted that route schedules for the winter season at Shannon and Cork have not yet been finalised.

In order to assist businesses and further protect employment, the Government has put in place a comprehensive suite of generalised supports for companies of all sizes, including those in the aviation sector, which includes a wage subsidy scheme, grants, low-cost loans, a waiver of commercial rates and deferred tax liabilities. Liquidity funding is also available through the Ireland Strategic Investment Fund, ISIF, pandemic stabilisation and recovery fund. The existing support mechanisms available for the aviation sector will be reviewed in the context of the Government's plans for international travel.

In line with priorities for regional development, the Government is also maintaining subvention for air services to the regions. Approximately €2.5 million in Exchequer funding is being provided for capital investment in the areas of safety and security for Donegal, Ireland West and Kerry airports. A new regional airports programme for 2020 to 2024 is being prepared, incorporating a number of support schemes for our regional airports.

Shannon Airport has been provided with an emergency grant of over €6 million to complete its hold baggage screening project, a safety and security requirement under EU regulations.

Legislation has been introduced to provide a State guarantee for refund credit notes issued to consumers of Irish licensed travel agents and tour operators who have had to cancel holiday bookings. This guarantee ensures that where a credit note is accepted by a consumer, its monetary value is secured until it is used in the future.

These supports notwithstanding, our airlines and other aviation stakeholders have had to make a number of difficult decisions in order to best ensure their long-term commercial viability. These decisions have focused on areas such as redundancies, laying off staff and the potential closure of operational bases, all in response to the significant reduction in their operations. Industry has also introduced shorter working schemes, which have reduced both hours worked and levels of pay received by their staff.

The aviation recovery task force set out recommendations for consideration by Ministers and the Government on what needs to be done to assist the Irish aviation sector to recover from the Covid-19 crisis. The task force report contains a number of recommendations on how to support Irish aviation, which has been badly affected by the almost complete shutdown of international air travel. The recommendations include measures to sustain the industry for as long as travel restrictions are in place and also measures to help stimulate a return to growth, when the time is right.

The Government has already implemented several recommendations, including the publication of safe air travel protocols. We have progressed a European slot rule waiver for airlines in consultation with the European Commission. The wage subsidy scheme was extended to April 2021.

The other recommendations, including further targeted financial supports to help reinstate connectivity, are being examined by Government. Work is required to develop these recommendations into effective interventions and that work is under way. This will feed into the Government's further plans to aid the broader economic recovery, including in the aviation sector. I thank the Leas-Cheann Comhairle. I just wanted to get my reply in.

Catherine Connolly (Galway West, Independent)
Link to this: Individually | In context | Oireachtas source

I know. I am very conscious of that but replies can be read into the record. We have to apportion time.

Cathal Crowe (Clare, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

I thank the Minister of State for the positive elements of her reply. In my follow-up statement I will address the issue of Aer Lingus and Ryanair. Their commitments to Shannon are quite questionable. I ask that the Government intervene and address some of the things these airlines have sought through the aviation task force in its recommendations. Aer Lingus is operating pseudoflights out of Shannon. One can book three flights a day but they will be cancelled and one might have to wait four or five months to get a refund. There is something immoral about that. Aer Lingus is either committed to flying out of Shannon and to having its aircraft there or it is not. I want the Government to intervene so that this will be solidly nailed down for the months ahead. I thank the Minister of State for her support and positive indications.

James O'Connor (Cork East, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

The final point I want to make relates to the task force report provided to the Department of Transport, Tourism and Sport. This report stated very clearly that the State is required to intervene with our airports if we are to ensure they will be able to survive this pandemic. People are extremely worried about their livelihoods. They were perfectly fine until this pandemic came upon us. The Government must step in and provide a comprehensive plan as to how it is going to rescue this sector. It would be unacceptable for connectivity on this island, for our economy and for our society if a major failure in this sector were to be allowed. I strongly encourage the Minister of State to do something about this urgently.

Joe Carey (Clare, Fine Gael)
Link to this: Individually | In context | Oireachtas source

We need to restart aviation. What is the Minister of State's view on pretesting people for Covid before they enter the State? Has consideration been given to introducing such a policy? Other European states are doing just that. We should also introduce a system of rapid testing at our airports. Has the Minister of State given consideration to that? We need a roadmap to get aviation started again. I look forward to its publication next week.

Kieran O'Donnell (Limerick City, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I have a couple of questions for the Minister of State. When will the roadmap for the reopening of the air travel sector be published? Does she expect it to align with the European Commission model? This is something for which the airline industry and those of us in the Shannon-Limerick region have been calling. As has been mentioned previously, pilots, cabin crew, the staff at Shannon Airport and travel agents have been greatly impacted by this particular decision. Does the Minister of State believe the Government will provide State supports for airlines such as Aer Lingus and Ryanair?

Darren O'Rourke (Meath East, Sinn Fein)
Link to this: Individually | In context | Oireachtas source

Those workers will be very disappointed with the Minister of State's response. There is no clarity as to their future prospects. I will repeat my question; is the Minister of State satisfied that Aer Lingus operated the temporary wage subsidy scheme appropriately? What supports will be provided for travel agents? Of the €335 million the State made from the sale of its stake in Aer Lingus, €245 million is still available. Will the Government use that money to take a stake in Aer Lingus? Has that been considered? Will it be used to support the sector?

Hildegarde Naughton (Galway West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I will be brief and try to keep to the time allotted. I have engaged with travel agents and have written to the Tánaiste and Minister for Business, Enterprise and Innovation and to the Department of Public Expenditure and Reform regarding supports for them. With regard to Aer Lingus workers, the Deputies can be assured that protecting jobs and employment is a key priority for the Government.

To answer some of the Deputies' other queries, the Government is acting on public health advice and has adopted a very cautious approach to international travel. It is currently finalising a new medium-term roadmap for living with Covid which will include its approach to international travel. The Cabinet sub-committee on Covid is meeting tomorrow. It is envisaged that plans for international air travel will be considered. We need to explore whether the introduction of Covid testing in the context of international travel can provide an alternative to the restrictions and allow for the reopening of international travel. The Government will discuss that medium-term plan at the Cabinet meeting next Tuesday and it will be published shortly thereafter.

The Deputies can be assured that a great amount of work is happening across Government, led by the Taoiseach's office. Different Government Departments are feeding into this work. My own Department of Transport, Tourism and Sport is feeding in with regard to international travel. I have already highlighted the importance of connectivity, including regional connectivity, for our island and the importance of protecting jobs while, at the same time, ensuring that public health is safeguarded.

I thank the Deputies for raising this issue. I know it is a real concern for all of them and for the workers in their constituencies. We are here to try to protect jobs and to ensure connectivity, while remaining highly aware of the need to protect our citizens and public health.