No EC payoff for Shannon stopover

NO special compensation package will be put in place for Shannon Airport when the stopover is abolished, the European Commission has warned.

Neither will the commission give any guarantees that the compulsory stopover will continue.

However, the commission has promised not to forget Shannon in its negotiations with the US on new landing agreements, due to begin later this month.

“We take Shannon very seriously, but we have to face the new reality and it will also be up to the Americans to agree on a new deal,” said commission spokesperson Gilles Gantellet.

Ireland withdrew its objection to the EU negotiating with the US on behalf of all member states about flight

arrangements between the two continents.

This followed a court finding that European countries discriminate against one another because of the terms of their direct agreements with the US and that this is against EU competition law.

Ireland’s bi-lateral agreement with the US meant all American carriers had to land as often in Shannon as in Dublin.

In return, Aer Lingus is limited to landing in just four US airports.

EU Transport Commissioner Loyola De Palacio said she will begin negotiating with the US towards the end of this month, but expects putting together a new package will take three years.

Munster MEP John Cushnahan accused Transport Minister Seamus Brennan of selling out Shannon airport and of misleading people by suggesting compensation was available.

Aer Lingus insisted yesterday that all three airports will benefit from increased transatlantic flights under the new open skies deal.

But it could not give specific details about Shannon until the open skies deal had been finalised.

The company was responding to Mr Brennan’s call on the company to give details on how much new business will be brought into Shannon to compensate for the loss of the stopover.

The minster said the Shannon stopover will not be given up without first ensuring a high level of aviation business was put in place for the airport.

SIPTU, which represents more than 60,000 workers in the South West said the retention of a regular transatlantic service through Shannon is critical to the maintenance of thousands of jobs.

The Technical Engineering and Electrical Union, representing Aer Rianta craft workers, is also against ending the stopover without a guarantee of increased transatlantic traffic.

The Atlantic Technology Corridor, an alliance of 272 companies from the technology community along the Western seaboard, wants the Government to fund a development plan to attract new airlines for Shannon.