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State Airports

Dáil Éireann Debate, Thursday - 18 October 2012

Thursday, 18 October 2012

Questions (252)

Bernard Durkan

Question:

252. Deputy Bernard J. Durkan asked the Minister for Transport, Tourism and Sport the extent to which comparisons have been made between airport charges here and those applicable in competing jurisdictions; the degree to which any such issues can be addressed in the coming year with a view to ensuring the highest possible level of competitiveness within this sector; and if he will make a statement on the matter. [45525/12]

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Written answers

The Commission for Aviation Regulation (CAR) regulates airport charges at Dublin Airport, while charges at Cork and Shannon Airports are set by the relevant airport authority and charges at the regional airports are a matter for each airport concerned.

Within the limits of the overall price cap set by CAR, the Dublin Airport Authority (DAA) sets variable annual charges in respect of specific services such as passenger charges, aircraft charges etc. Under Regulations which I introduced last year, the DAA is required to consult on proposed changes to airport charges and this process has been completed in relation to 2012 charges. The price cap set by CAR for this year is €10.76 but the DAA has, however, kept the headline charge at the 2011 rate of €10.43 which is 3.2 % below the cap for 2012. 

A published study of airport charges conducted in 2010 by the Airports Council International (ACI) found that Dublin Airport's charges were in the middle range of comparable metropolitan airports in Europe. A cost comparative exercise would be beneficial but difficult, as the data needed is commercially sensitive and not readily available.

The Jobs Initiative launched by the Government last year includes a three-pronged strategy to encourage inbound tourism. One element of this is the introduction of a new growth incentive scheme by the DAA at the three State airports.

This scheme which is due to run until 2014 was designed to encourage growth in passenger numbers.  Earlier this year, DAA paid a rebate of €1.5 million to the 30 airlines that grew their business from Dublin last year. 

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