Written answers

Wednesday, 9 November 2011

Department of Transport, Tourism and Sport

Economic Competitiveness

6:00 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 197: To ask the Minister for Transport, Tourism and Sport the extent to which he has identified costs affecting the transport sector here as compared to such costs in competing jurisdictions; the actions needed to address any such issues; and if he will make a statement on the matter. [33690/11]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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I refer to my previous replies to the Deputy in relation to this matter - reference Dail questions numbers 224,226,227,230 on 1 June, Numbers 56,182 and 183 on the 6 July and No 216 on 29 September, 2011.

International comparative data on transport costs are not readily available from respected international statistical sources such as Eurostat and the International Transport Forum. My Department has no direct control of transport costs in general but keeps under review costs arising from the services provided through our agencies. Cost competitiveness is a key consideration for Ireland as an open export-oriented economy and transport is one of the many factors influencing that competitiveness. The Government's plans to improve competitiveness are set out in the Programme for Government and place a heavy emphasis on the delivery of effective transport services. I have also outlined my priorities to 2016 for the Transport, Tourism and Sport sectors on my Department's website.

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 198: To ask the Minister for Transport, Tourism and Sport the extent to which comparisons have been made between airport charges here and those applicable in competing jurisdictions; the degree to which any such issues can be addressed with a view to ensuring the competitiveness of the sector; and if he will make a statement on the matter. [33691/11]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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The Commission for Aviation Regulation (CAR) regulates airport charges levied at Dublin Airport since 2001. Airport charges at Cork and Shannon Airports are set by the relevant airport authority while charges at the six regional airports, which are owned and operated independently, are a matter for each airport concerned.

A study of airport charges conducted in 2010 by the Airports Council International (ACI) found that Dublin Airport's charges were amongst the lowest of comparable metropolitan airports in Europe. Cost comparative exercises however are not straight forward and need to be approached cautiously, particularly given the impact that subsequent developments at individual airports and currency movements can have.

This Government is committed to delivering increasing routes, airlines and passenger numbers through Irish airports and to this end has developed a comprehensive three-pronged strategy to encourage in-bound tourism. Included in this strategy is a new growth incentive scheme which has been introduced by the Dublin Airport Authority applying to the three airports under its remit. It provides for a rebate scheme for airlines, depending on passenger growth at the airports in question. The package also includes a commitment to abolish the travel tax, subject to agreement on the re-instatement of routes and the restoration of lost capacity, and more targeting co-operative marketing of new routes from key source tourism markets.

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