Airlines criticise airport security levy plan
New legislation is being introduced which will allow the IAA to charge airlines, airports and firms which provide goods used on airlines and after airport security gates for the cost of ensuring the safety of all goods onboard aircraft and in secure areas of airports.
To date the IAA has met the cost of such oversight through its own resources.
Transport Minister Shane Ross has claimed the establishment of the new levy is “a matter of utmost national interest” in order for Ireland’s aviation security regime to comply with enhanced security arrangements being proposed by the International Civil Aviation Organisation and the EU.
Ireland is currently the only EU member state without a funding mechanism for the oversight of civil aviation security.
The Irish Aviation Authority (Amendment) Bill 2017 is designed to allow the IAA, which has responsibility for civil aviation security since 2013, recoup the cost of increasing its oversight and inspection capabilities.
Oversight involves checks on more than 500 regulated entities including agents which screen aircraft cargo, firms who secure their own goods at source, in-flight suppliers of meals, newspapers and goods sold on board and certified hauliers as well as airlines and airport operators.
Under the proposed legislation, all such firms are liable for the planned levy on a “user pays” principle.
There are approximately 200 Irish-based manufacturing companies, including many multinationals, which export goods through Irish airports.
Both Aer Lingus and Ryanair said they believed the existing system where the State bears the cost of security-related charges should continue.
“It is appropriate that the State should carry the cost related to ensuring that it complies with its international obligations,” Aer Lingus said.
The DAA, previously known as the Dublin Airport Authority, argued the funding should be the responsibility of the Department of Transport.
However, the DAA said if a levy was to be introduced, it would be more appropriate for it to be imposed on airlines rather than airports. It suggested airlines could recover the cost from passengers.
“The ultimate objective of such regulation is to protect consumers, airlines and other stakeholders. Primarily it is airlines and their passengers, rather than the airport management company, who are the ultimate recipients of the protection afforded,” the DAA said.
It added: “It is only appropriate that those who benefit from security regulation should be liable for the costs associated with such regulation.”
The DAA claimed the charging system proposed under the new bill “lacked clarity”. It also expressed concern that the new levy could result in increased airport charges which would have a negative impact on the attractiveness of Irish airports.
The Department of Transport has promised that any charges introduced by the DAA will be transparent. It has promised that the size of the levy will be proportionate to the level of activity at the airport.
It also said it did not believe the levy would have any material impact on the cost to consumers of using Dublin Airport.
