Róisín Shortall (Dublin North West, Labour)
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Question 179: To ask the Minister for Transport the progress in meeting his commitment given in Seanad Éireann during the course of the Air Navigation (Eurocontrol) Bill 2005 to consult with industry in relation to meeting the concerns expressed by many indigenous companies regarding the implications for competitiveness of firms here if the Air Navigation (Eurocontrol) Bill 2005 passes unamended; the outcome of such discussions; and the way in which he proposes to meet these concerns. [36248/05]

Ivor Callely (Dublin North Central, Fianna Fail)
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The main purpose of the Air Navigation (Eurocontrol) Bill 2005 is to give effect to the International Convention relating to Co-operation for the Safety of Air Navigation signed at Brussels on 13 December 1960, as consolidated by the protocol signed at Brussels on 27 June 1997. The revised Eurocontrol convention was concluded following several years in negotiation. The changes represent a major revision of the convention and are designed to update the convention to take into account progress made in the area of air navigation services.

Articles 5 to 9 of annex IV to the revised Eurocontrol convention refers to the issues of attaching the en-route charge as a lien on the aircraft and making the operator and owner jointly and severally liable. Ireland is under no compulsion to legislate for creation of liens or joint and several liability as to operator and owner of the aircraft and has not made provision for this in the published Bill. By not so introducing the creation of a lien and joint and several liability, Ireland cannot be said not to be discharging its obligations under the new Eurocontrol convention, as it is matter of choice for a contracting party to introduce domestic law to this effect. The passage of this Bill in its current form would not impact on our current powers relating to detention and sale of aircraft for unpaid charges, which have been in place since 1988.

Representations have been received, however, from a number of aircraft leasing companies regarding the powers of detention and sale contained in earlier legislation, specifically the Air Navigation and Transport (Amendment) Act 1998. Their concerns stem from the situation that aircraft leasing companies can be made liable to pay substantial charges incurred by airlines and which allow for the aircraft, engines and equipment they own or finance to be seized and sold to clear those debts in disregard of their ownership or secured lender position. This is the fundamental issue of concern to aircraft lessors and they have asked that it be rectified in the Air Navigation (Eurocontrol) Bill 2005.

My Department has had a number of discussions with aircraft leasing companies and these discussions are ongoing. Following advice received from the Attorney General's office, discussions have also taken place with the Irish Aviation Authority, the Dublin Airport Authority and Eurocontrol. Further discussions with interested parties will take place over the coming weeks following which a decision will be taken on the need for amendments to the Bill prior to its consideration in the Dáil.