David Cullinane (Waterford, Sinn Fein)
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It seems to the people of Waterford that, when it comes to the application for funding for the runway extension at Waterford Airport, which is not just an issue for Waterford but for all those who live in the south east, it is a case of "Send the fool further". That is now said to me regularly. In 2019, I attended a meeting with the then Minister for transport, Shane Ross, one of the Minister of State's former colleagues. He gave a commitment to fund the runway extension. At the time, that was a commitment of €5 million. At a meeting that he organised, he informed Members of the Oireachtas from Waterford that there was very serious pushback from the Department of transport and officials but he made the decision. Here we are six years later and there is still no funding. I have raised this issue with the Taoiseach, the Tánaiste and I do not know how many Ministers for transport and, every time I do, I am told the same thing. I am told that it will be reviewed and examined, that it is under consideration and that work is being done behind the scenes. All of it has come to nothing.

While I do not begrudge Cork any funding, we saw a €200 million investment in Cork Airport. Part of this was to extend car parks and remediate existing runways but funding was also provided to extend the executive lounges and duty-free shop at the airport. We have an airport that needs a runway extension if it is to have a fighting chance. It is needed to allow jet planes to take off and land and to allow a new carrier to come in to provide connectivity to Britain and Europe. There is an inherent unfairness in what is happening here.

Can we cut to the chase and cut out the crap on this once and for all? Will the Minister of State tell the people of Waterford and the south east if he is going to fund the runway extension at Waterford Airport? It is "Yes" or it is "No". Let us have no more dithering and no more delays. Will he please tell us if he is going to fund it?

Conor McGuinness (Waterford, Sinn Fein)
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The Government is stifling the economic potential of Waterford and the wider south east. That is the simple truth of it and there is no getting away from that. Every week that goes by without this decision being made puts a noose around the neck of the regional economy in the south east. Our region has been left waiting and waiting for critical investment in infrastructure that would unlock jobs, tourism and regional growth. Chief among this infrastructure is the long-promised runway at Waterford Airport. Planning permission has been granted and regional funding from local authorities and private investors has been secured. The business case is clear. Year after year, the Government refuses to put its hand in its pocket.

As Deputy Cullinane has said, the Taoiseach has announced a capital injection of €200 million into Cork Airport for additional retail space and a refurbished executive lounge but €12 million cannot be found for an extended runway at Waterford Airport. Let us be clear; Waterford does not begrudge Cork its investment but we do resent being left behind. This is part of a wider pattern. The N25 remains dangerous and underfunded. The N24 is forgotten. Local roads like the R671 between Dungarvan and Clonmel are starved of investment. When it comes to the south east, it is not just that the scales are not balanced. In fact, it seems the Taoiseach has not just his thumb, but his whole hand on the scales. We talk about regional balance but where is the balance or fairness in this? The south east and Waterford are left behind again and again. It is regional bias rather than regional balance. There is no other way of looking at this. It is failing communities and businesses across counties Waterford, Kilkenny and Wexford. We are running out of road or runway here so I will ask the Minister of State a plain and direct question. Will he commit today to funding the long-awaited runway extension at Waterford Airport?

Seán Canney (Galway East, Independent)
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I thank both Deputies for raising this matter. I understand their frustration. This has been going on a while. I assure the Deputies that this Government is committed to working with all stakeholders to see the Waterford Airport project to lengthen and widen the runway progress. In line with this and on behalf of the Minister for Transport, Deputy Darragh O’Brien, I welcome the opportunity to update the House on the topic this evening.

As the Deputies will be aware, Waterford Airport is owned by Waterford Regional Airport plc. As well as general aviation services, the airport operates as an Irish Coast Guard search and rescue base, which is currently under a commercial contract with CHC Ireland. Unlike the local authorities in Waterford, Kilkenny and Wexford, the Department of Transport does not have a shareholding in the airport company nor does it have a role in the commercial operation or future business planning of the airport. Having said that, Waterford Airport was eligible for Exchequer funding from the Department under the most recent regional airports programme, which was for the period from 2015 to 2019. However, following a steady decline in passenger traffic from a peak of 143,000 passengers in 2008, scheduled passenger services at the airport ceased in 2016, with only 15,000 passengers that year.

National policy on regional airports has always been focused on optimising conditions for connectivity. As a result, Exchequer funding is contingent on airports operating scheduled passenger services as part of that programme. Without scheduled passenger services, Waterford Airport’s operations fail to meet the connectivity objective associated with Government policy on funding of regional airports. However, it is recognised that Waterford Airport has faced serious financial challenges. I understand that, to avoid liquidation, the airport sought emergency subvention from the Department totalling €1.5 million over the period 2017 to 2020. This Exchequer funding was provided on an exceptional basis to allow time for the airport to consider future options, including a proposal to expand its runway. It was 2018 when Waterford Airport brought forward this proposal. Following this, in June 2019, the Government gave approval in principle for an expression of support for the expansion proposal and to providing Exchequer funding of €5 million towards the project, which was then estimated to cost €12 million.

Government support at that time was not only contingent on the €2 million in local authority funding and €5 million in private investment funding necessary to complete the project being committed and any risks relating to cost escalation being borne by the non-State investors, but also on full details of the project being provided to the Department for appraisal. Despite engagement with the airport over the intervening period, this detail remained outstanding from Waterford Airport until 13 December 2023. I understand that the Department prioritised the necessary assessment of both the proposal and the significant additional documentation provided by the airport in response to queries raised by Department officials up until July 2024. The Deputies will be aware that this detail outlined that the project costings have increased substantially above the original estimate of €12 million to €27 million, deviating significantly from the original proposal.

11 o’clock

The Exchequer contribution now has risen from €5 million to €12 million. The assessment undertaken was in line with requirements under the Department's transport appraisal framework. This framework provides guidance to ensure investment schemes in the transport sector can comply with government infrastructure guidelines. While this assessment was submitted to the former Minister, Eamon Ryan, and the then Minister of State, Deputy Lawless, for review and consideration of next steps on 19 September 2024, next steps were not determined at that time. I understand that the Minister, Deputy O’Brien, is currently considering the next steps in this regard and is looking forward to positive engagement with Waterford Airport on this matter. Any potential Government support will be considered when this engagement and appraisal process is complete.

David Cullinane (Waterford, Sinn Fein)
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I do not blame the Minister of State who is taking the debate but, as I expected at the start of my original contribution, the written statement from the Minister of State again talks about a review, consideration and next steps. It states that it will be considered and there will be further engagement and an appraisal process. We need the money. It is that simple. It is "Yes" or "No". Will the Government fund the runway extension or not? This was signed off in principle, as the Minister of State knows, back in 2019. It really is a case of sending the fool further. Every single time I come in, I get the same recycled speech. I could be here in a year's time again still listening to talk about next steps and appraisals. Yet Cork Airport is getting tens and hundreds of millions. Dublin Airport gets funding. Shannon Airport gets funding. Kerry Airport gets funding. Other airports get funding and we are left behind. This is an issue for the Taoiseach, Deputy Micheál Martin, for the Tánaiste, Deputy Simon Harris, and for the Ministers of State, Deputies Mary Butler and John Cummins. They must step up to the plate and tell the people of the south east if the Government is going to do this or not. Stop sending the fool further in relation to this.

Conor McGuinness (Waterford, Sinn Fein)
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With respect to the Minister of State, the line about engaging with stakeholders is wearing fairly thin at this stage. We have heard it over the years. Everything that needs to be done in Waterford has been done by the local authorities and by the airport. Planning is in place, the regional funding is there and the project is ready to go. What is missing here is the decision by the Minister for Transport that just needs to be made. This prevarication and dancing around the issue is no longer good enough. It is time just to make that call and let us know.

In his response the Minister of State mentioned that the costs have gone up. They have gone up precisely because the Government has dithered and done nothing. Inflation has made this project a lot more expensive in the time we have wasted when the Government would not make a call on this and when they backtracked and tried to backtrack and renege on their earlier decision.

There is the catch-22 whereby the Government is pushing Waterford Airport by saying we do not have scheduled services so we cannot get funding and they are not going to support us. We do not have scheduled services because we do not have the runway extension. It is time now to fund the runway extension at Waterford Airport. Not next year, not next week, but now.

Seán Canney (Galway East, Independent)
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I thank the Deputies. I feel and hear their frustration. The programme for Government commits to working with all stakeholders to quickly progress the Waterford Airport project to lengthen and widen the runway, building on the previous Government. The Government recognises the huge value of the aviation sector in supporting international connectivity, economic development, and tourism via our airports.

The Deputies will be aware that the infrastructure guidelines set out the value-for-money guidelines for the evaluation, planning and management of public investment projects. The arrangements apply to all public bodies and all bodies in receipt of Exchequer capital funding. Some may argue that given the level of private investment being proposed to support this development, such due diligence is not required by the State. However, the rationale for, and objective of, any prospective private investor investing in the airport is likely to differ from that of the Government. It is reasonable to expect that the State would have its investment protected also. Compliance with state aid rules on funding to regional airports must also be considered.

I understand that the former Minister of State at the Department of Transport, Deputy James Lawless, met with the airport management to discuss this matter. The current Minister, Deputy Darragh O’Brien, has also had engagements with the Ministers of State, Deputies Mary Butler and John Cummins, on this issue and also looks forward to positive engagement with Waterford Airport on this matter. The Minister, Deputy O'Brien, will be taking it up further.

Conor McGuinness (Waterford, Sinn Fein)
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Do we know when?

Seán Canney (Galway East, Independent)
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No.