Ryanair deal could double passenger numbers

Jimmy Woulfe

Ryanair boss Michael O’Leary has told the authority that the low-fares airline will open up 10 new routes from the airport, serving Britain and mainland Europe, if it slashes airport charges by 87%.

In a submission to the authority, Mr O’Leary said his proposals would almost double the number of passengers using Shannon. Last year 2.3 million passengers passed through the airport and he said the new Ryanair services would add more than two million passengers.

In return, he wants the authority to reduce its landing charges from €7.50 per passenger to €1 per passenger.

Ryanair pulled out of Shannon last year and transferred its German flights to Kerry Airport after a row with Aer Rianta over landing charges.

The deal is being considered as part of the business plan which the new authority has to prepare for the Government. Although the seven-member authority was appointed recently, it will not take over the running and management of Shannon Airport until next April when the business plan will be submitted to the Cabinet for approval.

The Dublin Airport Authority has temporary responsibility for the running and management of Shannon Airport, following the recent abolition of Aer Rianta.

“Ryanair will be a major factor in the considerations which are going in to the preparation of the business plan,” a source close to the new authority said.

Mr O’Leary has met the new board, headed by businessman Pat Shanahan, on two occasions.

Mr Shanahan has already stated that his priority will be to cut costs and double passenger numbers.

Shannon is the only State airport to suffer a drop in passenger numbers this year. Passenger numbers at Dublin increased by 8% and at Cork Airport numbers were up 3.5% by the end of September. Shannon was down 2% over the same period.

The airport blamed the slump on the drop in US, London and EU markets because of loss of service or reductions in capacity.

Tourism sources last night said the opening of new Ryanair routes at Shannon would be a tremendous boost for hotels in the mid west and west.

New routes out of Shannon have recently been announced by several other carriers.