Shannon Airport model ‘race to the bottom’

The business model in place at Shannon Airport represents a race to the bottom that has resulted in the airport taking 100,000 passengers from Cork Airport.

The claim was made by Fianna Fáil leader Micheál Martin who said Shannon can offer deals to Ryanair that Cork cannot. “That is fine except it does not add any value to the country.”

Mr Martin said substantial discounts, success fees and marketing payments are all factors in thousands of passengers transferring from Cork to Shannon.

“Approximately 100,000 passengers were going through Cork and they are now going to Shannon because of the deals that can be offered. That is what DAA officials are saying behind the scenes,” he said.

In a Dáil debate on the issue, Mr Martin had stated: “I believe it is a race-to-the-bottom model and one the Government should reflect on and change tack in terms of ensuring a feasible long-term future for Cork Airport.”

Mr Martin said a route development fund had to be put in place for Cork Airport.

He said Cork was not competitive in the Irish market because of the way the Government structured the three main airports in terms of governance and supports to the respective airports.

However, in response, Transport Minister Paschal Donohoe said his department could find no evidence whatsoever to back up Mr Martin’s claim that the airport was being downgraded in any way.

However, Mr Martin’s comments on Shannon provoked a strong response yesterday from Clare Fine Gael TD Joe Carey who said that the Fianna Fáil leader’s comments “are an insult to Shannon Airport, its management team and the people of the midwest”.

Mr Carey said Mr Martin’s comments were “parochial”. “How can he say an expanding and growing Shannon Airport does not add value to the country?”

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