Charges blow for airport board
The regulator will today publish a consultation paper seeking views of the industry on any changes to the level of charges the airport can impose.
However, the regulator said the break-up of Aer Rianta into three separate airport authorities, with Dublin taking on much of Cork and Shannon’s debt, “does not itself require any significant adjustment to airport charges at Dublin.”
The regulator said the restructuring of Aer Rianta should not add to the cost of running the airports - one of the main factors which determines how much airport charges will be.
“On the contrary, we note that the Government expects the demerger to generate benefits in terms of improved efficiencies, higher utilisation and lower costs.”
The board of the new authorities will become the legal management of the airports this morning.
Last night, the outgoing chairman of Aer Rianta, Noel Hanlon, used an interview with RTÉ to criticise the plan.
He said the plans “destroyed” the company and was an “appalling” conclusion to the life of a semi-state company.
As part of the Government’s plans for the break-up, the debts of Cork and Shannon will be subsumed by the Dublin Airport Authority (DAA).
The regulator's report said: “The impact that the final allocation of assets and liabilities may have on the value of the new DAA can be regarded as irrelevant for the regulation of airport charges.”
The boards will have until next April to develop business plans for the airports on a standalone basis. The plans will have to be approved by Finance Minister Brian Cowen and Transport Minister Martin Cullen.
The regulator says he hopes to set the level of airport charges for Dublin Airport by next October or sooner.
If the regulator keeps charges at their current rate in Dublin it could lead to headaches for the new board, headed by Smurfit boss Gary McCann.
The airport needs new investment to curb the growing congestion problem and to build new facilities.
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