Before the debate was adjourned I referred to the need to support the campaign to retain duty free which is at the core of Aer Rianta's income and is crucial as support funding for the new style organisation proposed. We should be excited about the development given that we have a booming economy and are regarded as a model environmental and investment nation. Ireland, which has the largest growth economy in the world, is among the most popular tourism choices.
We are transferring more than assets to Aer Rianta under the proposed restructuring. We are handing it an opportunity to bring Ireland confidently into the next millennium and the freedom to take initiatives to encompass more than it does today. I look forward to backing Aer Rianta and its staff in this new challenge as they target new goals.
Since the time Sean Lemass proved that rabbits would not run across the desolate runways of Shannon airport, as predicted by the then Fine Gael leadership, Fianna Fáil has shown that it can deliver. We can be proud of our nation which was born out of the brilliance of Lemass. What we are doing today is offering a successful State agency the freedom to go forward, to expand into new horizons and to continue its success. We will deliver fairly to all airports and ensure competition in the air industry. This will guarantee that the current scandal of the inordinate and totally unfair levels of fares and services out of Dublin is ended.
Will Cork airport be put on an equal footing with Shannon and Dublin airports as regards marketing support for new and existing business? What will be the valuation system after the assets are transferred to Aer Rianta? Infrastructural investment in Cork airport was minimal for many years relative to Shannon airport and many of its assets are in a very rundown condition. These assets should be transferred to Aer Rianta at zero value. At present, route subsidies are paid by the EU via the Government to specific routes, for example, Dublin-Kerry, Dublin-Sligo and Dublin-Donegal. Will a similar arrangement be implemented for Cork airport which badly needs investment in infrastructure to assist it in exploiting the major opportunities which growth in traffic has presented? Passenger traffic has trebled over the past ten years and continued growth is inevitable. Will the Government consider purchasing additional land on a once-off basis to enable Cork airport to continue developing and contributing to the region's economic success? Cork airport will have a throughput of 1.2 million passengers this year. At least one of Aer Rianta's directors should be from the Cork region. The board should have equal representation from the three regions, Cork, Shannon and Dublin.
On section 55, given the contribution by the then Department of Transport and Power towards the cost of providing a water supply to Cork airport in l960-1, from which the city and county benefit, a proportional rebate in rates should be agreed with the local authority. On section 58, it is unfair to compel Aer Rianta to accept liability for personal loss or injury claims which relate to events which occurred prior to vesting day.
Are the same criteria applied to investment in each airport? I understand £35 million was invested in Shannon airport which is four times the size of Cork airport and has a passenger throughput of approximately 1.3 million per annum, if one excludes the 400,000 passengers who do not leave the aircraft. I am not opposed to investment in Shannon airport but Cork airport needs investment with similar incentives to those enjoyed by Shannon airport. The Minister must address how European Regional Development Fund grants are allocated among the airports. Duty free profits of approximately £2.5 million account for the total Cork airport surplus annually. If this money is lost after l999 there will be no further development at the airport unless funding is raised from other sources. Increased fares could adversely affect passenger numbers and there is, therefore, a special case to be made for retaining duty free at Cork airport, the most peripheral airport in Europe.
In supporting the Bill there are a number of important points I will bring to the attention of the House. We do not often discuss air navigation and safety and when we do the importance of air travel needs to be recognised by all Deputies. Flying is no longer the preserve of the so-called jet set, it is now a routine method of transport for many people. People who fly frequently and holidaymakers are particularly concerned about air safety issues, while business people are concerned about ease of access to different regions.
The main purpose of the Bill is to terminate the present airport management arrangements under which Aer Rianta operates as an agent of the Minister and to put new arrangements in place. The Minister is also availing of the opportunity to update a number of provisions of airport related legislation, some of which dates back to l936. Aer Rianta is being established as a semi-State body and will assume ownership of Dublin, Shannon and Cork airports which up to now it has managed on behalf of the Minister. The Minister said the current arrangement is outdated and needs to be modernised and streamlined. I anticipate that greater cost effectiveness and the more rigorous commercial climate in Aer Rianta to which the Minister referred will result in a reduction in landing fees and a greater level of service to Cork airport.
Cork airport has a throughput of approximately 1.2 million passengers per year. However, the level of service to the airport, particularly by Aer Lingus, has not changed for several years. For example, the connections to Dublin are inadequate. There is much dissatisfaction among frequent business travellers about the 6.25 a.m. flight which does not arrive in Dublin in time to enable them make connections to most European destinations. It is unacceptable that they should have to fly via Heathrow at the peak time of 9 a.m. when there are long stacking delays over London. There is also a changeover time from terminal 1 to terminal 2 at London Heathrow of a minimum of 17 minutes. The last flight from Heathrow to Cork leaves at 10 p.m. which means people often have to fly out via Heathrow and back via Dublin, thus precluding them from availing of cheaper fares and often necessitating a third flight on the homeward leg of the journey. These points are relevant to the debate in that the routing of significant volumes of Cork-continental traffic over Heathrow means a loss of landing charges at Dublin. I hope the newly constituted Aer Rianta will be pro-active in stimulating the improvement of services at the airports under its control.
I am also concerned at the poor connections to destinations other than Dublin and London. I put down a marker that the people of Cork will no longer tolerate an airport which is treated as an outlying branch of the Dublin and London international hub airports. We want direct connections beyond England. I do not understand why more airline companies do not make use of the so-called fifth freedom rights to pick up passengers in a third country. A little imagination might promote more air travel in Europe. For example, Iceland Air runs flights for shoppers into Cork on certain weekends and carries tourists back. It also runs a daily service from Reykjavik to London. It might be possible to make a service to Paris or Brussels via Cork into a paying proposition.
It is also time we promoted better domestic services. At present a tiny plane operates a direct service between Cork and Belfast. However, many people only fly by jet. The one domestic jet service which has the potential to beat rail and car travel in terms of time is the one from Belfast Aldergrove to Cork. An addition to this service to the Continent would pay. For example, a Belfast-Cork-Brussels route could pay for itself.
There are frequent aircraft changes in Dublin on the so-called direct flights from Cork to Paris and Frankfurt. This annoys passengers who believe they have chosen a direct flight and makes a farce of the claim that Cork Airport has direct connections to the Continent.
Another concern is the decision by Aer Lingus to purchase a number of Airbus 321 aircraft for the Dublin-London route. Cork is not the poor relation but an important economic region acting as a counterbalance to the Dublin metropolis and its centralising forces. A larger aircraft should be assigned to the Cork-London Heathrow route, specifically to work the business flights in the morning and evening. The present Boeing 737 400 aircraft on this route is filled to capacity and has limited room for the large amount of hand luggage of business passengers. The Airbus 321 aircraft has more space and would be more comfortable for passengers.
I wish to refer to a matter of deep concern to me. I have been advised that 260 passengers were left stranded by Ryanair at Cork Airport last Sunday. They were left in limbo for up to eight hours and were not told the reason for the delay or about the flight cancellation. The company has a duty to relieve the anxiety of passengers and advise them as quickly as possible of alternative flights or the provision of accommodation. No one can disagree that passenger safety is paramount in air travel. Passengers are entitled to information regarding planned flights. Contingency plans must be put in place by Ryanair to deal with breakdowns and delays. Information, food and accommodation are the basic rights of air passengers. The Minister should order an inquiry into last Sunday's incident because the tourist industry could be damaged by justifiable comments from irate passengers. The Minister should insist that Ryanair puts in place a strict code of practice on passenger care in the event of delays.
As a Cork Deputy, I cannot leave the subject of air transport without referring to the Aer Lingus Tuskar Rock disaster on 24 March 1968 when the St. Phelim mysteriously crashed into the Irish Sea with the loss of 57 passengers and four crew. People in Cork are no more satisfied with the answers given in the 1970 report than people in Derry are with the official reports of the events of 1972. I hope, with a new British Government in office, which appears to be opening files kept shut by the Cold War mentality, the Minister will ask her British counterpart to disclose all military aircraft and missile actions in south Wales and over the Irish Sea on the day of the crash. It is almost 30 years since that event and there are persistent suspicions of a cover-up on the cause of the crash. Only a full disclosure of documents on the event, which should have no military sensitivity at this stage, will answer the questions about this incident.
In supporting the Air Navigation and Transport (Amendment) Bill, I look forward to a better and safer level of air transport for my region as a result of the legislation. We should show confidence in the achievements of Aer Rianta and give it the mandate to seek new partners, investment and projects so that in years to come we will look back at this measure as a giant step forward in the ongoing success of Aer Rianta.