Written answers

Tuesday, 1 December 2015

Department of Transport, Tourism and Sport

Airport Development Projects

Photo of Pearse DohertyPearse Doherty (Donegal South West, Sinn Fein)
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613. To ask the Minister for Transport, Tourism and Sport if he is committed to the current application by the Ireland West Airport Knock for 90% Exchequer funding for the expansion plans associated with the operation of the airport, and to further business proposals to facilitate the ongoing development of the airport and the region; and if these expenditure measures are included in the capital expenditure programme. [42302/15]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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The Regional Airports Programme 2015-2019 was approved by the EU Commission in August last and is available on my Department's website. This Programme was approved under the 2014 EU Guidelines on State aid to airports and airlines.

The Programme provides for Exchequer support to cover safety and security related projects/activities at the four regional airports in Waterford, Kerry, Donegal and Knock (IWAK) under four separate Schemes - Capital Expenditure Grant Scheme (CAPEX), the Core Airport Management Operational Expenditure Subvention Scheme (OPEX), Public Policy Remit Capital Expenditure Grant Scheme (PPR-C) and Public Policy Remit Core Airport Management Operational Expenditure Subvention Scheme (PPR-O)).

My Department is currently assessing the necessary supporting  documentation provided by the airport in compliance with the various Schemes, including its Business Plan for 2015-2019.

Under the CAPEX Scheme, the maximum aid contribution allowed under the EU Guidelines for these types of investment is 75% and this is reflected in the latest business plan received from IWAK.

I am aware that IWAK believe that they will require up to 90% grant aid in order to implement the larger safey and security related projects. There is provision under the EU Guidelines that, in exceptional cases, a separate submission may be made to the EU Commission for consideration to exceed that 75% maximum laid down in the Guidelines. Such submissions will be considered on a case-by-case basis by the Commission.  IWAK are fully aware of these provisions.

This issue will be dealt with as we progress the implementation of the Programme in 2016. 

Over the life of the new Programme, almost €18m has been allocated for capital expenditure, and in excess of €28m over the seven years of the Capital Plan. Funding availability in any particular year will be subject to the outcome of the normal Exchequer budgetary process and all airports are aware of this.

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