Dáil Éireann Debate, Thursday - 12 January 2012
19 Deputy Martin Ferris asked the Minister for Transport, Tourism and Sport the progress made in developing new routes and additional capacity to airports here; the estimated impact that this will have on tourist numbers visiting Ireland; and if he will make a statement on the matter. [1555/12]
Amharc ar fhreagra54 Deputy Tom Barry asked the Minister for Transport, Tourism and Sport his position regarding the future of the travel tax; and if he will make a statement on the matter. [1355/12]
Amharc ar fhreagraI propose to take Questions Nos. 19 and 54 together.
The questions relate to progress made in developing new routes and additional capacity to Irish airports, and the position regarding the future of the travel tax.
As the Deputies will be aware, the market for air services in the EU is fully liberalised so it is a matter for carriers to decide what routes to serve; there is no scope for Government intervention in the market except through public service obligation routes and strict conditions are laid down in EU law for the application of PSOs.
The Deputies will also be aware of the Government's 2011 Jobs Initiative which included a three-pronged plan to enhance overseas access and thereby promote inbound tourism through:
abolishing the travel tax conditional on clear commitments by airlines to increase inbound capacity from our source markets;
the introduction of a new growth incentive scheme by the Dublin Airport Authority; and
more targeted co-operative marketing of new routes from key source tourism markets by Tourism Ireland, DAA and the airlines to encourage more tourists to fly into Ireland.
Subsequently, the Government decided, in the absence of a sufficient response from the airlines, to retain the air travel tax and to avail of part of the receipts from its retention to fund additional co-operative marketing activities. A €9 million overseas tourism marketing campaign over the Autumn/Winter period was led by Tourism Ireland, inclusive of matching funding provided by partner companies, including Ryanair, Aer Lingus and Aer Arann, overseas airlines, tour operators and online travel agents, and ferry companies.
The Central Statistics Office Overseas Travel statistics for the first 11 months of 2011 show that there were just over 6 million overseas visits to Ireland in that period, representing an increase of 6.8% compared to the corresponding period of 2010. Ireland grew market share from all its top markets, including Great Britain. Tourism Ireland has set a target of growth of 4.5% for visit numbers for 2012 based on expected levels of access.
In relation to the future of the travel tax, despite the failure to conclude an agreement with the airlines last summer, I undertook at that time to review the position in the Spring of this year. As my colleague Minister Noonan stated in his Budget speech: "This offer is still on the table and while the Government appreciates the contribution to the Irish economy being made by the main carriers, we want them to bring additional tourists into the country." Therefore, I will be engaging with the airlines again on this matter and hopefully we will achieve further progress on the matter this year.
