Subsidy withdrawal ‘threat’ to airport

A withdrawal of a government subsidy on the Kerry /Dublin route could threaten the survival of Kerry Airport, the airport’s AGM was told yesterday.

Kerry Airport plc chairman Denis Cregan said there was a feeling in “certain quarters” in Dublin that the airport does not need the public service obligation grant — effectively a government subsidy paid to airlines operating on regional routes.

Mr Cregan said 2011 was a bad year for the airport — with a €3m drop in revenue and a 19% passenger decline — which reinforced the need for the public service obligation.