Shannon stopover may end in summer

THE Shannon stopover could officially end this summer with the Government preparing to break the agreement with the US that ensures regular landings at the international airport.

Ireland and other EU members are preparing to send a letter to the US in June, that will end their agreements on flights between Europe and America.

The European Commission will then take over the negotiation of a new agreement aimed at giving

Europe’s airlines a more competitive edge on transatlantic flights.

While the government has been committed to maintaining the Shannon stopover, behind the scenes it admits it is retarding the growth of traffic from the US.

Transport Minister Seamus Brennan said he is investigating the situation.

“I believe that there may be serious implications for Shannon,” he said.

Aer Lingus is limited to flying to just four US destinations. It wants to fly to eight US airports and believes this would double the number of passengers it brings in from America from one to two million a year.

“Studies show we could bring in far more visitors from the US than we currently do if we could fly out of more cities. This would benefit the whole economy, including the west,” said a spokesperson for Aer Lingus.

The American airlines have made it clear they would demand the end of the stopover as part of any new agreement.

All the EU countries have individual agreements with the US that has fragmented European air transport, reducing competition between them and giving American airlines an advantage, according to the EU.

“American companies can pick up passengers at one European city and fly them to another but European companies are denied that right in the US,” said Commission transport spokesperson Giles Gantelet.

The Commission has long claimed Europe should unite to renegotiate agreements with other countries, including the US. “If we stick together we will get a better deal for everyone,” said Mr Gantelet.

The European Court of Justice in November ruled that bilateral agreements between eight countries and the US were contrary to EU law. Ireland was not one of the eight but the Commission says the ruling applies to its agreement also.

The governments and the Commission have had discussions on ending the current arrangements with the US and the matter will come up at the transport ministers’ meeting in Brussels next week though is not expected to be agreed finally until June.

The Commission is finalising an arrangement that will see each country send an identical letter to the US breaking their bilateral agreements.