Bernard J. Durkan
Ceist:115 Mr. Durkan asked the Minister for Public Enterprise if she has satisfied herself that the future of Aer Lingus as an Irish based carrier will be maintained; and if she will make a statement on the matter. [4402/00]
Written Answers. - Air Services.
I envisage that Aer Lingus will always remain an Irish based carrier serving Ireland's principal aviation markets in Great Britain, Europe and the United States of America.
Foreign ownership and control limitations on airlines fall under two separate forms of regulation – EU Regulation 2407/92 and the terms of bilateral air services agreements.
Under the EU regulation, airlines must be owned directly or through majority ownership by member states and-or nationals of member states to operate in the Single Market.
The terms of bilateral air services agreements stipulate that designated carriers must be substantially owned and effectively controlled by nationals or corporations of the State which designate the airline, or by the State itself. Aer Lingus is a designated carrier for Ireland under the various bilateral agreements with other countries, the most important of which as far as Aer Lingus operations are concerned is the agreement with the United States.
Those ownership and control requirements must continue to be complied with by Aer Lingus, notwithstanding any sale of shares in the proposed IPO of the airline.