Airport talks ‘constructive and useful’

CRUNCH talks yesterday between the Transport Minister and the boss of Cork Airport over the €200 million debt and rising board tensions were described last night as “constructive and useful”.

Joe Gantly, chairman of Cork Airport Authority (CAA), said there had been a “good and frank exchange of views” with Transport Minister Noel Dempsey.

But he declined to comment on the details of the talks, the first between the two men since Mr Dempsey took over the transport portfolio.

The meeting, which took place in Dublin, came against a background of growing tensions and frustration within the CAA board. Cork commissioned its €150m terminal last year, but its controlling group, Dublin Airport Authority (DAA), want the CAA to accept a portion of the overall €200m debt incurred.

This is despite a Government promise that the CAA would start independent operations debt-free.

The impasse has led to a bitter split between the two boards.

It is understood that at least two CAA board members are considering resigning unless the Government deals with the debt issue which is preventing them finalising a detailed business plan.

The board is also frustrated that three years into its five-year term, it has still not achieved full independence from the DAA.

A spokeswoman for Mr Dempsey said there was no change in the status relating to the debt issue following yesterday’s meeting.

She said the minister could not make any decision relating to the future of either the Cork or Shannon boards until he has seen detailed business plans for each airport.

It is expected that a motion of no confidence in Mr Dempsey will be tabled at a meeting of the South West Regional Committee’s airport consultative group next week.

Meanwhile, Clare-based Fine Gael TD Pat Breen said it is not too late for Mr Dempsey “to do another U-turn” and reverse his decision not to use the Government’s shareholding in Aer Lingus to hold an EGM to force the airline to retain its Shannon/Heathrow service.