State aims to give airports more autonomy

SHANNON and Cork airports will be made independent of Dublin next month in a radical shake-up of the industry.

The aim is to make all three airports more competitive and ensure they deliver low-cost travel, a senior Government official said yesterday.

The Progressive Democrats made the autonomy of Cork and Shannon airports a major plank of their election manifesto and it was adopted in the Programme for Government.

Transport Minister Seamus Brennan will bring the proposal to the first Cabinet meeting next month and it will be announced officially in the middle of September.

“There was a feeling Dublin was not giving the other two airports a fair deal and this is why the Government is proceeding with the plan,” the senior official added.

The move to make Shannon and Cork more independent comes just a week after Mr Brennan moved to bring more competition to Dublin airport by seeking proposals from the private sector to build a second low-cost airline terminal there.

Aer Rianta currently manages all three State airports through a centralised board in Dublin which also controls the company’s overall budget.

But Shannon and Cork will now get their own autonomous boards, separate major budgets and freedom to generate their own business, the Government official confirmed. This will deplete Aer Rianta’s power and budget in Dublin considerably.

Aer Rianta which has consistently opposed independent boards and budgets for Shannon and Cork airports refused to comment yesterday until the move is announced officially.

But the main driving force behind the Progressive Democrats’ aviation policy, Tadhg Kearney welcomed the move.

“This will lift Irish air transport to a new level of growth and Minister Brennan has done five years work in his first five weeks in office,” Mr Kearney said.

As chairman of the Air Transport Users Council of the Chambers of Commerce of Ireland (ATUC), Mr Kearney warned that it was important to put people with aviation, financial and professional expertise on the new airport boards.

“There is no point in filling these boards with political quangos - the structure must be right if they are to work,” Mr Kearney added.

Cork Airport Director Joe O’Connor said Aer Rianta has a commitment to invest 130 million there to build a new terminal and car park and he was satisfied with that.

Shannon Airport Director Martin Moroney said he had no comment to make.