Vol. 514 No. 3
68 Mr. Allen asked the Minister for Public Enterprise if this extra revenue generated due to the EU directive, which obliged Aer Rianta to terminate discount landing charges for new routes with effect from 1 January 2000, will be used to reduce the general level of landing charges; and if she will make a statement on the matter. [4023/00]
Aer Rianta's standard charges have not increased since 1987. Discount schemes which the company has operated from time to time represented the sacrifice of some aeronautical revenues for a limited period to stimulate the establishment of new routes and passenger growth on existing routes. The resulting growth in passengers and associated growth in duty free revenue more than compensated for the loss of revenue due to the discounts.
That the EU Commission had expressed its concern on the issue of the discounts was a major factor in Aer Rianta's review of the position.
As to the general level of Aer Rianta's charges in the future, this will be a matter for the aviation regulator who will be statutorily appointed later this year upon enactment of the necessary legislation.
Aer Rianta is continuing its successful programme of promoting the establishment of new routes from Dublin, Shannon and Cork Airports with a new scheme of marketing supports this year. The new package on offer by Aer Rianta which is available to any airline contemplating a new route in 2000 is very attractive and will contribute to the stimulation of further traffic growth at each of the three airports.
