Dáil Éireann díospóireacht -
Wednesday, 9 Oct 2002

Vol. 554 No. 5

Written Answers. - State Aid.

Denis Naughten

Ceist:

1265 Mr. Naughten asked the Minister for Transport the payments which have been made by the European Commission to Ireland in relation to applications made for compensation following the 11 September 2001 atrocities; if the full amount requested has been paid; the status of the further submission made by Ireland for increased compensation based on the losses incurred by Aer Lingus; and if he will make a statement on the matter. [16682/02]

Minister for Transport (Mr. Brennan):

I would like to clarify that there was never any question of compensation being paid by the European Commission.

The Transport Council on 16 October 2001 agreed that, subject to the approval by the European Commission of the terms of each member state's scheme, member states could pay State aid to airlines whose operations were affected by the four day closure of US airspace. This aid is in recognition of the impact of the costs incurred by EU airlines during this closure.

My Department paid €6,668,770 to Aer Lingus and €197,867 to Cityjet before the end of 2001. Aer Lingus decided not to pursue a claim for compensation beyond the four day compensation measure agreed at the October 2001 Council, as the European Commission had made it clear that it would be very unlikely to approve any proposals to provide State aid for any other purposes associated with the events of 11 September.