I thank the committee for inviting me to attend today’s meeting. I was honoured to have been asked to take on the role of chairperson at Shannon Group by the Minister for Transport, Deputy Eamon Ryan, with the agreement of the Government. It is a privilege to attend this committee as chair-designate of Shannon Group. I will start by telling the committee about my background. I am originally from Belfast and now live in Dublin. I graduated in law from Queen's University Belfast in 1991 and I am a member of the Chartered Institute of Management Accountants. I have over 15 years of experience at board level in both executive and non-executive roles across the aviation, telecom, retail and banking sectors. Over the years, I have gained comprehensive board and corporate governance experience, both in chair and non-executive director positions. I am the founder and chair of Fibrus, a telecommunications provider which has raised £500 million to invest in broadband infrastructure in the North of Ireland. Before Fibrus, I spent 12 years as CEO of Limerick-based Enet, a telecoms provider, taking it from start-up to its £200 million acquisition by the Irish Infrastructure Fund in 2017. As CEO of Enet, l also led what is now known as National Broadband Ireland, NBI, to become the winning bidder for the €2 billion Irish national broadband plan. Prior to Enet, I was commercial director at Ryanair, which gave me a good insight into how airlines think and operate, in particular into how the airline identified and developed new routes. It is important to stress that I have spent a significant amount of my time in the mid-west over the years. As well as running Enet for 12 years, I also served two terms as a director of the Shannon Foynes Port Company so I have a good understanding of the challenges associated with the region and with its economic issues.
This is an unprecedented period of challenge for airports globally and for the entire aviation industry. This sector has been devastated by Covid-19 and there is no one in the industry that is not facing significant challenges. We need to recognise that and, as we emerge from the pandemic, that the aviation landscape has changed. The aviation industry, route patterns and work patterns are different. We must quickly learn what is temporary and what is permanent. We must develop plans to adapt to that and find ways to identify and deal with the new threats and opportunities that emerge from this landscape in post-pandemic Ireland.
I want to talk about the Shannon Group's potential. The importance of the Shannon Group in supporting the regional economy does not escape me. It is the beating heart at the centre of prosperity in the mid-west and our entire Atlantic corridor. At the core of this group is Shannon Airport, which provides essential air connectivity that supports businesses and the livelihoods of thousands of people in the west of Ireland. It is a vital national strategic interest that plays an essential part in bringing business people, tourists and cargo into the region. As a gateway, the airport assists with the dispersal of international tourists, particularly US visitors, to the benefit of tourism, hospitality and service businesses right along the Wild Atlantic Way. Over the years, Shannon Group has contributed significantly to economic activity and growth in the mid-west region. I am already confident it will rebound fully, and the committee has my full commitment to assisting with this in whatever way I can.
I also believe that working together with the team in Shannon, the board and stakeholders across the region, we can build back stronger. All of the ingredients are there for this to happen. The group is uniquely placed to act as a catalyst for future economic growth through its mix of business activities. It has a successful property portfolio, a strong investment strategy and the airport is recovering well from one of the worst catastrophes in the history of global aviation. There is a strong management team at Shannon Group with a good business plan in place. One only has to look at last week’s announcement by Ryanair of a €10 million investment, creating 200 jobs at the airport, as a clear vote of confidence in the group’s CEO, Mary Considine, and her team, from our largest airline. The group has made huge strides in its ambition to build back air traffic. The immediate focus at Shannon has concentrated on restoring passenger traffic and I am pleased to see the airport already recovering, with 26 services to 11 countries on offer this summer.
Prior to the outbreak of the pandemic, 1.7 million passengers travelled through Shannon Airport per year. It is important to remember that in early 2020, Shannon Airport was set for a year of growth, with new routes and having secured locally-based aircraft. Since its establishment, the Shannon Group has invested €146 million, demonstrating its commitment to stimulating regional growth. As part of this, it has regenerated the Shannon free zone on its campus, stimulating foreign direct investment and indigenous investment and jobs for young people around the region. Recovery is not a given, however, and it will only happen through the concerted efforts of all stakeholders pulling in the same direction.
In my role as chair, but also as a citizen, I remain deeply concerned at the widening gap between Dublin and our other four airports. In Ireland, the east coast airport captures 87% of all travellers, while the four other airports in the west compete for the remaining 13%. This undermines balanced regional development and will destroy competitiveness unless a way is found to create a more coherent airport offering. Government support to date for Shannon has been welcome and I thank the committee for its role in securing this. In the medium term, however, to allow them to fulfil their potential, airports like Shannon need continued support. I would advocate for the airport to remain in the regional airports programme and I ask the committee today to support this move.
I want to assure the committee that I have not sought the role of chair on a whim. It is something which I have sought for some time. I know there will be challenges ahead but I have dealt with many challenges in my time and I am looking forward to working with the team to bring whatever expertise I have and whatever support I can to bear to make the most of the opportunities that I know exist for Shannon Group. My focus as chair will be on working with the CEO and board on the recovery of Shannon Airport in the aftermath of what has been one of the most challenging periods the global aviation industry has ever faced.
I am ambitious for the group. While restoring pre-pandemic traffic levels will be crucial, that does not mean we stop there. I will do everything in my power to support the group to fulfil its vision of reaching further to build a thriving, connected place. In a wider context, I strongly believe that, with the right policy supports, it should be possible to grow Shannon and to provide the vital air connectivity into our airport that will deliver a balanced economy for our citizens.
Finally, and perhaps most importantly, it has not escaped my attention that Shannon has an unparalleled reputation for driving innovation. As chair, I hope to ensure the group builds on that tradition. As we decarbonise our economy, there is an opportunity to develop the Shannon Estuary into what might be called the Aberdeen of offshore wind. That will require a clear, co-ordinated approach. I will ensure Shannon Group plays a full and proactive role in realising this once-in-a-lifetime opportunity for the mid-west. As chair, it will be my privilege to lead the board and to guide Shannon Group on its journey through recovery, rebuilding and growth. I am committed to pursuing Shannon Group's mission of restoring airport traffic and to building on its strong property investment strategy, all of which will enhance the group's economic contribution to the mid-west and nationally. I welcome the opportunity to work with the CEO and the board to ensure Shannon Group continues to deliver successfully through the years ahead. I thank the committee for the opportunity to address it. I would be happy to take Members' questions.
