Written answers

Thursday, 19 December 2013

Department of Transport, Tourism and Sport

Aviation Issues

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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407. To ask the Minister for Transport, Tourism and Sport if he expects to follow a particular policy strategy in the future in regard to the respective roles of Aer Lingus and Ryanair with the objective of providing the maximum possible number of travel options for air passengers, long and shorthaul; and if he will make a statement on the matter. [55078/13]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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Existing aviation policy is to encourage competition in the market for long and short haul air services in and out of Irelandon policy for decades. This policy recognises that the best outcomes in terms of prices and connectivity are likely to come from a healthy competitive market with multiple airlines competing on multiple routes. Since Ryanair was first set up in the 1980s, Irish aviation policy has favoured having at least two major Irish airlines competing with each other. In addition the policy has encouraged multiple foreign airlines to also serve the Irish market. This policy has served the country and the aviation sector well.

Between them the two largest Irish airlines, Aer Lingus and Ryanair, currently provide over 80% of the seat capacity in the Irish market, thus making the competitive dynamic between these two airlines particularly important. However, increasing consolidation in the airline industry, both in Europe and globally, is likely to have implications for Irish airlines and indeed the number of foreign airlines operating in the Irish market in the future.

This issue is one of the many raised in the consultation document issued by my Department as part of the review of national aviation policy that is currently underway. The next step in that policy review will be the publication of a draft National Aviation Policy Statement early in the New Year. There will be a further opportunity for stakeholder input at that point and I expect that  the final policy document will be published during the first half of 2014.

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