Shane Ross (Dublin Rathdown, Independent) | Oireachtas source

I thank Senator Coffey for his kind words and congratulate him on his election to the House. I look forward to meeting him here in the near future.

I thank the Senator for raising this particular matter. I am well aware of the difficulties he is experiencing, particularly in the context of the airport in Waterford. A colleague, Deputy Halligan, chews my ear off daily about the matter as well. The Senator can rest assured that his raising of it in this House is extremely useful and adds to the strength of the argument which undoubtedly exists. To reassure him and anyone who might think otherwise, I do not believe that the benefit of regional airports can be measured in the annual profit and loss accounts or balance sheets alone. I know there is a serious regional benefit for the whole locality in Waterford Airport and in other airports as well.

My Department has, for many years, operated a programme of support for our regional airports, including Waterford Airport, with substantial levels of funding provided in recognition of their contribution to balanced regional development. The latest iteration of this programme covers the five-year period 2015 to 2019 and was approved in August last year by the EU Commission as being in conformity with its 2014 guidelines on state aid to airports and airlines.

The national aviation policy, which was published by my Department last year, acknowledges the role played by the regional airports in Donegal, Ireland West Airport Knock, Kerry and Waterford in promoting a level of international connectivity to support the tourism and business sectors in the regions in which they are located. I should also mention that an extra €10 million in capital funding is being provided in the programme for Government for the regional airports. This is additional to the €28 million already provided for this purpose in the capital plan 2016 to 2022 and will enhance my Department's ability to further support the four airports.

In terms of capital support, my Department's regional airports programme provides Exchequer funding to the four regional airports to assist them with implementing necessary safety and security related projects, including measures in these two areas that are requisite to comply with regulatory requirements. The funding that is provided by my Department for such safety and security purposes is vital for these smaller airports and it is no exaggeration to say that without this Exchequer support, the airports would almost certainly be unable to continue to facilitate scheduled passenger services. In the past five years, Waterford Airport has received €9.6 million in operational and investment support from my Department. In April of this year, a further €157,500 in grant aid was approved for a number of security projects, including new X-ray equipment, at Waterford Airport.

While our support programme for safety and security measures is important to the airports, it does not extend to investing in new capacity or expansions in airport infrastructure. The Exchequer is not in the business of investing in airports for development purposes and has not engaged in such investment, whether at State airports or regional airports. However regrettable, decisions of that nature - for example, in respect of extending a runway to cater for larger aircraft, expanding the capacity of a terminal building or building a new car park - are commercial matters for airport authorities. I am aware that the authorities at Waterford Airport have ambitions to extend the runway there and I understand that they are pursuing local interests for funding in respect of these plans. I will give them all possible encouragement.

I was disappointed to hear last week that VLM Airlines, the only remaining commercial operator using the airport, has now withdrawn its London-Luton service. VLM also withdrew from another route last month. However, I understand that the airport is in detailed discussions with a number of airlines with a view to securing a replacement carrier.