asked the Minister for Tourism and Transport the arrangements he is making to compensate for the loss of one of the three United States air carriers into Ireland, Northwest Airlines, which ceases operations on 26 November 1988.
Ceisteanna-Questions. Oral Answers. - Airline Traffic.
11.
Northwest Airlines, who operated daily services between Boston and Shannon during the 1988 summer season, has announced their intention to cease operations between the US and Ireland after their last flight on 25 November. While the decision to terminate services is to be regretted, I am satisfied that Aer Lingus have adequate capacity to meet demand between Ireland and Boston this winter. With regard to next summer, plans by Aer Lingus to increase their capacity on this route and other North Atlantic routes are well advanced. These involve the acquisition on a temporary lease basis for the summer of an additional aircraft which will enable Aer Lingus to operate a daily service to Boston, two additional flights weekly to New York and a once weekly service to Chicago, to which Aer Lingus will be resuming services after an absence of eight years. As a result, Aer Lingus will have their largest ever schedule of services and fleet on the US-Ireland routes in 1989. Aer Lingus are also planning to increase their marketing and advertising expenditure in support of plans for tourism development.
While I would welcome additional US carrier service to Ireland, I am satisfied that the total capacity to be provided by Aer Lingus, Delta and Pan Am on US-Ireland routes in summer 1989 will be higher than in 1988. Looking beyond 1989 I would like to see direct service to Ireland from additional points in the US, including in particular a point on the west coast, and negotiations on that issue have been commenced with the US authorities.
The Minister will be aware that the loss of the Northwest Airlines service will mean the loss of some 30,000 tourists and that the airline now run a service between Detroit and Paris. In his reply the Minister raised the question of flying rights to the west coast. In view of the fact that the reports on those discussions are not optimistic and the fact that the US authorities are being less than helpful in this matter would the Minister not see, as part of his responsibilities, the need for him to get involved in these discussions in regard to flying rights to the west coast and that it is he who should be out in America conducting these talks? These matters must be treated with much more seriousness than is the case at present.
This is a very long question, Deputy Hussey.
With regard to the figure of 30,000, I think I have already answered that question and indicated the services for 1989. These will more than cover the number taken to this country in 1988 or the capacity that was available in 1988. Secondly, with regard to the negotiations for a locus on the west coast, preliminary discussions have already taken place between the highest ranking officials in my Department and officials in Washington. The Deputy said that the vibes she was getting on that were not too good. All I can say is that the discussions will resume in the early part of 1989. The Deputy will realise that there will be a change in the administration in the United States and that this in a sense was in the background all the time the discussions were taking place. We will resume the discussions strongly—at ministerial level, if necessary — to try to get a place on the West coast of the US for Aer Lingus. I can assure the Deputy of that.
A Cheann Comhairle—
May I ask——
Order, please. We are now encroaching on the time allocated to priority questions. A brief supplementary from both Deputies.
Arising out of the Minister's reply, may I ask him if he regrets that there will not be competition on the Boston-Ireland route? Is the Minister not concerned that Aer Lingus will have a monopoly on the Boston-Ireland route?
I instinctively dislike monopolies but as the Deputy knows competition and fare cutting on the transAtlantic routes have been quite spectacular during the past few years and I am confident that Aer Lingus in regard to their Boston route will be fully conscious of that and that their fares will be competitive and keen.
The Minister indicated that Aer Lingus should be able to take up the market segment left over as a result of the withdrawal of North West Airlines. May I ask the Minister if he is concerned that North West Airlines who have a vast route network in the United States, who have had Ireland in their marketing system, who have been selling Ireland as a tourist venue, will, given the fact that they have withdrawn from servicing Ireland, obviously be selling against Ireland by virtue of the fact that they will be catering and servicing routes they have retained within their operations? Is this not a matter which seriously concerns the Minister?
I can tell the Deputy that I am confident with regard to the filling of the slot. The Aer Lingus L-1011 which has been acquired for this particular route is much larger than the DC 10 which operated on the route before. The capacity of the Aer Lingus plane is 344 seats while the capacity of the DC 10 is 282 seats.
That is not the question I asked.
I am confident that Aer Lingus will be well able to cater for the business. Their advertising and publicity campaign has always been very good in the United States, particularly in the part of the United States in question.