Competition watchdog blocks sale of car park to Daa

The proposed deal would have 'likely to lead to higher prices for consumers because Daa would not have to compete to win car parking customers', said the CCPC

Dublin Airport. File photo

Cáit Caden Competition watchdog Competition and Consumer Protection Commission (CCPC) has blocked the Daa from purchasing a car park near Dublin Airport over concerns it would lead to higher prices for customers.

The Daa, the State-owned company in charge of the operation and management of Dublin and Cork airports, proposed to buy a car park located on the Swords Road in Santry from Gerard Gannon, but the CCPC has stopped the transaction.

“Our investigation found that this deal would eliminate Daa’s only significant competitor for public car parking serving Dublin Airport and result in Daa essentially having a near monopoly,” CCPC chairperson Brian McHugh said.

A QuickPark-branded car park had operated on the site before closing in September 2020 during the pandemic. Daa currently owns and operates all other large car parks serving Dublin Airport.

CCPC chairman Brian McHugh said the potential deal will 'result in Daa essentially having a near monopoly' on car parking in the vicinity.

The proposed deal would be “likely to lead to higher prices for consumers because Daa would not have to compete to win car parking customers”, Mr McHugh said.

During its investigation into the potential deal, the CCPC issued legal requests to the parties involved for further information and engaged with many third parties. The CCPC received 18 submissions from third parties, 16 of which raised concerns about the purchase.

The watchdog found that, if the purchase had been a success, the Daa would control over 90% of the car parking spaces serving Dublin Airport.

“Although there are six hotels which provide car parking to airport passengers, these car parks are very small in comparison, with five of the six having a share of approximately 1% each,” said the CCPC.

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The parties involved can appeal the Commission’s decision to the High Court within 40 working days.

Ryanair was publicly critical of the deal and called on the Daa to instead open its land bank around Dublin Airport for a temporary car parking during the peak summer months.

“The Daa should stick to growing traffic at Dublin Airport, and reducing its expensive passenger fees,” a Ryanair spokesperson said last year.