I move:—
Go ndeontar suim Bhreise ná raghaidh thar £3,500 chun íoctha an Mhuirir a thiocfaidh chun bheith iníoctha i rith na bliana dar críoch an 31adh lá de Mhárta, 1936, chun íocaíochta bhaineann le Seirbhísí Iompair in Eireann.
That a Supplementary sum not exceeding £3,500 be granted to defray the Charge which will come in course of payment during the year ending 31st March, 1936, for payments connected with Transport Services.
There are two sub-heads to the Supplementary Estimate. In the first sub-head we ask for a token Vote of £10 for minor expenses in connection with the establishment of commercial air transport services in the Saorstát. There is a note at the foot of the Estimate which states: "Legislation will be introduced to give effect to the Government's proposals for the development of commercial air transport." As, however, certain minor expenses may be incurred in that connection this token Vote is being taken with a view to securing the approval of the Dáil. The second sub-head provides that a sum of £3,490 be voted, being the cost of wireless installation and wireless equipment for the guidance of aircraft, including the provision for maintenance and running charges, etc., in connection with the installation.
I informed the Dáil last week, however, that I proposed to take advantage of the introduction of this Supplementary Estimate to give an indication of the Government's plans in connection with air transport and to inform the House in regard to the negotiations which have taken place and the arrangements which had been made with the object of initiating the operation of commercial air transport services in the Saorstát. A scheme has been under consideration for some time past for the establishment of a national air transport company in the Saorstát and I hope to be in a position at an early date to introduce legislation dealing with this national company and with the scheme of its operation. It is intended that the national company will finance or hold interests in air transport operating companies, operating between the Saorstát and other countries. The national company may also engage in or hold interests in other activities bearing on air navigation. In view, however, of the desirability of establishing at the earliest possible date air transport services between the Saorstát and Great Britain it has been decided, pending the formation of the national company, to which I referred, to establish a Saorstát company which will subsequently be one of the subsidiaries of the national company, for the operation of cross-Channel services. In connection with these services and, in fact, with any other services to be established later, it is highly desirable, with a view to economy in operation and for other reasons, to endeavour as far as possible to restrict competition. At the same time it must be recognised that no one country can hope to reserve to its own nationals the whole of the air transport between its own territory and that of another country. Consequently, in connection with the proposed cross-Channel services a large number of proposals submitted from time to time by British air transport operators for the establishment of air services with the Saorstát were seriously examined, and certain discussions took place with the authors of some of these proposals in order to determine how far satisfactory arrangements could be made for more or less joint working by two companies, of which one would be British and the other Irish. An arrangement of this nature had almost reached completion some months back when, owing to unforeseen circumstances, it was not found possible to conclude the negotiations. An arrangement with Olley Air Services, Limited, of London, has now, however, reached a stage at which the authority of the Dáil is necessary to enable commitments to be entered into in advance of the full scheme to be dealt with by contemplated legislation. Preliminary steps have been taken for the establishment of a Saorstát cross-Channel air transport company, the directors of which have been nominated by the Government and the terms of a provisional agreement for joint working arrangements, including provision for the pooling of receipts and a joint committee of management, have been agreed to between these directors of the Saorstát company and Olley Air Services, Limited. The joint committee of management will have equal representation from both companies. The chairman will alternately be chosen from the Saorstát company's representatives and from the British company's representatives year after year. But as at the outset of the service the experience will come from the British side, and as many technical questions will arise, it is proposed for the first three years that the chairman will be appointed by the British company. It will be open at the same time to the Saorstát to have any services they desire operated in addition to those jointly operated with the advantages of the joint organisation.
The agreement contains adequate safeguards for both companies, and on the whole embodies arrangements which would be to their mutual advantage. It is intended that the cross-Channel services shall be operated strictly on commercial lines, and, consequently, it is proposed that the first services to be established will be between Dublin and Liverpool and Dublin and Bristol, connecting with the fast express trains serving those ports. It is very probable that after a little time it will be found practicable to establish a through service between Dublin and London and perhaps Cork and London. Arrangements in connection with the proposed services are now in a forward stage, and it is hoped when approval for the Supplementary Estimate is obtained the companies will be in a position to commence operations early next year. I may say it would be possible to have the services commence at an earlier date, but it is desired that they should not begin until all the equipment considered desirable for their safe and regular operation is completed, including a wireless installation, for which this Supplementary Estimate is being taken.
It is proposed that the Saorstát cross-Channel operating company will be financed by the national Saorstát company to be established under the proposed legislation. Liabilities, however, will commence to accrue to the Saorstát company as soon as the operation of the services has commenced, and these liabilities will be met by borrowing, but it is anticipated the total liability for the first year of operation will not exceed £20,000. During the remainder of this financial year the amount of the liability which will arise will not be appreciable, and no immediate financial provision is, therefore, necessary so far as the cross-Channel company is concerned. The amount provided under sub-head D is merely the token sum of £10. It is anticipated the several Saorstát groups who have proposed services will have every opportunity of supporting the national company when established, and their participation will be welcomed.
At the inception of the services, and pending other arrangements, it is proposed that the services shall for the present operate in the Saorstát from Baldonnel Aerodrome, and it is necessary, not only in connection with these services, but in view of developments and for aviation generally, that a properly-equipped wireless installation should be provided for the assistance of pilots in flight and for communication with other aerodromes. It is accordingly proposed to set up this wireless installation at once in the immediate neighbourhood of Baldonnel and provision is included in the Supplementary Estimate for the expenditure in connection therewith of a sum of £3,490 for the remainder of the financial year. The capital cost of the equipment and its erection is estimated at £3,050, the cost of the staff at £350, and maintenance and incidentals at £90.
