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Dáil Éireann debate -
Thursday, 22 Jun 1939

Vol. 76 No. 12

Air Navigation and Transport. - Subsidy Order—Approval Motion.

I move:—

Go n-aontuíonn Dáil Eireann leis an Ordú um Chongnamh Airgid (Air-Rianta Teóranta) (Uimh. 2), 1939, do rinne an tAire Airgeadais fé Alt 79 den Acht um Aer-Loingseoireacht agus Aer-Iompar, 1936 (Uimh. 40 de 1936), an 14adh lá de Mheitheamh, 1939, agus do leagadh fé bhráid Dháil Eireann an 15adh lá de Mheitheamh, 1939.

That Dáil Eireann approves of the Subsidy (Aer-Rianta, Teóranta) (No. 2) Order, 1939, made under Section 79 of the Air Navigation and Transport Act, 1936 (No. 40 of 1936), by the Minister for Finance on the 14th day of June, 1939, and laid before Dáil Eireann on the 15th day of June, 1939.

One of the provisions of the Air Navigation and Transport Act is that an order made by the Minister for Finance concerning the annual subsidy paid to the Air Transport Company covered by that Act must be confirmed by a resolution of Dáil Eireann within a stated period. This motion is, therefore, submitted for the approval of the Dáil. A similar order, made last year, was approved by a similar motion. The amount required for the purpose of the subsidy has already been voted by the Dáil in the Estimate for the Department of Industry and Commerce. Last year the amount provided was £33,000. This year the order provides for a total subsidy not exceeding £40,150. The amount is larger this year because some extensions of the operations of the company are contemplated, and also because it is proposed to purchase new machines in connection with the extensions of the company's operations. As the House is aware, there are, of course, two companies, Aer-Rianta, Teóranta, the National Air Transport Company, and the subsidiary to that, Aer-Lingus, Teóranta, which is operating the cross-Channel air service.

The activities of the operating company, Aer-Lingus, Teóranta, show substantial increases in the course of the past year. As compared with 1936, the number of miles flown increased from 151,000 to 385,000. The number of passengers carried increased from 1,300 to 4,987. The weight of goods carried increased from 6,000 lbs. avoirdupois, to 35,000 lbs. avoirdupois. The regularity of services has increased from 90.9 to 94.2 per cent. The figures show cause for optimism in regard to the future and they indicate that a very high standard of safety in operation and regularity in conduct has been secured by the company.

The company is not, of course, making any profits. It is not a feature of any air transport company at present that it operates without loss and most of the civil aviation companies of Europe are being conducted under Government subsidies. The percentage of the subsidy in relation to the total receipts is not higher in this country than in other European countries and is, in fact, substantially lower than in a number of countries where civil air transport has been in operation for a longer period of time than here.

Has the Minister any objection to indicating what it is?

The percentage of the subsidy in relation to the total receipts here in 1938-39 was 60.8; in the case of Air France it was 61.92; CzechoSlovakia, 66.97; in the case of the Polish air lines it was 70.73; the German air lines, 40.63; and the Belgian air lines, 34.33.

Is that the subsidy as a percentage of the total receipts?

It is the percentage of the subsidy in relation to the total receipts. I can give the Deputy particulars for all countries if he wishes. In a number of European countries the transportation of mails by air has developed as a normal practice and the receipts of the air transport companies in these countries have been enhanced accordingly. In due course the transportation of mails by air will be a normal practice here, but a beginning cannot be made until certain arrangements have been completed. As a matter of fact, it is in anticipation of such arrangements being made at a fairly early date that Aer-Lingus Teóranta, is now purchasing additional aircraft which will be necessary, of course, if the mail services by air become an established practice.

The total amount I have mentioned, £40,150. has to be divided into two parts. One part, £6,000, is a subsidy to Aer-Rianta, Teóranta, and represents practically the total outgoings of that company, which has at present no other source of revenue. It will have in future, but at present it has no other revenue except what it gets from the Government. The balance of the amount is required by Aer-Lingus, Teóranta, and represents the amount necessary to meet the loss in working, plus the additional expenditure contemplated during the course of the present year.

The Minister says that some new machines are being bought in order to extend the service. What is being done to train new pilots and personnel? Where are these being recruited from? Where do they get their training?

In accordance with an arrangement with the Army authorities, they are being recruited from the Army Air Force. Selected pilots from the Army Air Force are transferred for a time to the civil air company to test their suitability. Very often they are found suitable, but some may be unsuitable. If found unsuitable, they go back to the Army Air Force, so that the officers concerned are not losing anything by the experiment. One of the functions of Aer-Rianta, the major company, is to make adequate provision for the training of the personnel for all operations in connection with civil aviation. They are making their plans for that at the moment. It involves not merely the training of pilots, but the training of ground staffs and others who require expert knowledge in the conduct of the air service.

None of that work has been begun?

A certain part of it has been done by arrangement with the training authorities. Preliminary work of one class or another has been begun.

Question agreed to. Order approved accordingly.

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