Jim McDaid (Donegal North East, Fianna Fail)

Shannon Airport no longer needs to be as dependent on Aer Lingus as it has been. More than 70% of people from Munster must fly from Dublin when going on holidays when that is not necessary.

This is a complicated area and it is a case of the best interests of Irish aviation versus the best interests of Aer Lingus. The slots issue is a concern because 40% of all European passengers travelling to the United States fly out of Heathrow Airport. However, the issue will be addressed separately at European level and, if an airline is taken over, it will have to be given rights to the slots out of necessity. Slots are also a major problem because they are responsible for between 20% and 30% of delayed and cancelled flights. The slots would naturally be part of whatever transaction involved Aer Lingus. I have reservations about this issue and, before privatisation takes place, it will have to be addressed at European level.

Slots are important as, apart from Aer Lingus, only British Midland operates Heathrow-Ireland services. Their value arises from their scarcity which may change in future when additional runway capacity is developed. Heathrow Airport is still the largest international hub in the world and an important part of the Aer Lingus network.

It is essential that we continue to have access to this large hub. I have no problem with the privatisation of Aer Lingus because it has a market of 14 million to 20 million at Dublin Airport and nobody will turn his back on this large hub. There has been an increase in direct services from Ireland to other large European hubs in Paris, Frankfurt and Amsterdam. The slots would be part of any deal in the negotiations on privatisation, if the Government should so decide.