Brennan backs second airport terminal despite charges

TRANSPORT Minister Seamus Brennan yesterday backed the proposal to build a second independent terminal at Dublin Airport - despite predictions it will lead to higher landing charges.

The Government-commissioned report on the proposed second terminal published yesterday by the minister predicted Dublin Airport landing charges would have to rise for the project to be financially viable.

While Mr Brennan accepted charges may have to rise in the short-term, he said the increase should be off-set by the surge in passenger numbers using Dublin Airport predicted to climb to 20 million by the end of the decade.

But Mr Brennan predicted that a competitive environment should push down charges in the long-term and have a subsequent impact on airline prices.

Defending the expected rise in landing charges, Mr Brennan said Dublin has a relatively low level of charges by international standards and substantial investment will be needed to cater for the forecasted increase in passengers to 42 million by 2030.

The independent Commission for Aviation Regulation will ultimately make a decision on any increased landing charges.

The minister said he believed Aer Rianta would respond to competition and would ‘hold their corner’ in the market place.

Asked if the independent terminal could lead to possible job losses, he said increased activity should lead to more jobs, not less.

Meanwhile, the Dublin Airport Terminal 2 Ltd consortium welcomed the Minister’s support for proposals to build a second terminal.

“The consortium is delighted with the findings of the review which fully endorses the consortium’s long-held view that a second and independent terminal building for Dublin airport is of major importance,” a spokesperson said.

Aer Rianta also welcomed the opportunity offered by the minister to present its detailed analysis of the best options for development of the airport.

But Labour questioned the wisdom of going ahead with a second terminal if it is not going to guarantee lower landing charges. The party’s Transport spokesperson Roisín Shortall said: “Mr Brennan still has to come up with a cogent argument that favours the project and must spell out its implications for the future of Aer Rianta and jobs at the airport.”

Mr Brennan sought expressions of interest from the private sector last autumn to see who would be prepared to build a second independent terminal at Dublin

Airport.