asked the Minister for Transport and Power if he will state with reference to the Manchester to Shannon direct air service operated by Aer Lingus (a) the date on which the service was inaugurated, (b) the reasons why it was decided to introduce the service, (c) the date on which the service will be terminated and (d) the reasons why the service is being terminated; and whether Aer Lingus will consider continuing this service for 1971 so as to give tourist interests in the Shannon region an opportunity to assist in making the service viable.
Ceisteanna—Questions. Oral Answers. - Aer Lingus Manchester/Shannon Services.
13.
Mr. O'Donnell
I am informed by Aer Lingus that the information required by the Deputy is as follows—
(a) The Manchester/Shannon service was inaugurated on 31st May, 1965.
(b) It was introduced because it then appeared to be a particularly economic operation.
(c) The service operated during the summer season only and Aer Lingus propose to discontinue it as from the coming summer.
(d) The service is being discontinued because of financial losses and because Aer Lingus see no prospect of economic operation in the foreseeable future. An alternative service is available through Dublin.
(e) Aer Lingus have already given the fullest consideration to keeping this service but have reluctantly concluded that it has no prospects of becoming viable.
Mr. O'Donnell
If the service has now proved to be uneconomic and if there is no hope of the service being economic, could the Minister tell me on what grounds Aer Lingus decided at the outset to put on this service and the factors which have changed in the meantime? Why was it decided to put this service on in the first place? Why have circumstances changed?
They undertook the experiment because there was very great pressure exercised on them by various people interested in the Shannon traffic. They found that the losses were enormous. Not only has the aircraft failed to make any contribution to the overhead costs but the actual running losses have been enormous.
Mr. O'Donnell
Why were they enormous?
Aer Lingus will make a marketing survey of the prospects in the coming year and season as they will with all their services. If, as a result of making use of the most modern marketing research methods, they do not see any likelihood of an increase in traffic, then they will decide to discontinue the service. As the Deputy knows, there are links between the midlands and Shannon through Manchester and Dublin.
Mr. O'Donnell
Is the Minister aware that this service was promoted by five different State bodies—Aer Lingus, CIE, SFADCO, Bord Fáilte and the Shannon Regional Tourist Organisation, and that despite all those efforts by private tour operators in Britain this service has failed? Surely this bears out what I said on the previous question, that the cross-Channel Aer Lingus service from Britain to Ireland is not catering for the tourist industry?
I could not agree.
15.
Mr. O'Donnell
asked the Minister for Transport and Power whether Aer Lingus have investigated the possibilities of introducing a direct air service between Birmingham and Shannon; if so, whether it is proposed to introduce such a service; and, if not, why.
Aer Lingus have under constant review the question of the expansion of their services. I am informed by the company that they do not propose to introduce a Shannon-Birmingham service at present because their investigations have shown that it would be uneconomic.
Mr. O'Donnell
Would the Minister say whether any survey has been undertaken by Aer Lingus into the feasibility of a Birmingham to Shannon service and, if so, what are the findings of that survey?
They have undertaken the survey as far as I can see from this. They found it would not pay. They found that a Shannon-Birmingham-Manchester service would not pay either.
Mr. O'Donnell
Is the Minister aware that Aer Lingus have had no proper survey of the feasibility of a Birmingham to Shannon service and, in fact, are not interested in tourist traffic into Ireland? They are only interested in "feeding" the transatlantic service from Britain. This is the whole problem.