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Council to own the airport?

This article is from page 17 of the 2011-11-15 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 17 JPG

COUNCILLORS have backed a proposal that could eventually see Clare County Council take a role in the future ownership of Shannon Airport.

Yesterday’s special council meeting was called for the council to formulate a submission to Booz and Company who have been appointed by the Minister for Transport, Tourism and Sport to advise on options for the future ownership and operation of Cork and Shannon airports.

In a briefing document circulated to members, Mr Coughlan outlined four potential options regarding the future of the airport: (1) Retaining the status quo – to continue to operate as present; (2) Divest public control – privitisation; (3) Long term lease of the airport – commercial lease without public sector involvement; (4) Retain state ownership of the airport facility, including the airport landbank by vesting the facility and landbank in local public sector authorities who could; (a) involve regional private sector interest and/or (b) concessions for operational services and the vesting of ownership of the airport landbank in local public authorities.

Commenting on the first option, Mr Coughlan states that the decision by the Government to appoint consultants “is a clear indication that the current model, whereby Shannon airport is controlled by the Dublin Airport Authority, is not operating satisfactorily and will not secure the optimum development of the airport as a strategic asset for the region.”

In reference to privatisation, Mr Coughlan states that the “transfer of the airport and its assets to private, profit driven operators would be a matter of serious concern to the region”.

Regarding the prospect of a long term commercial lease of the airport, Mr Coughlan states that a “commercial lease without public sector involvement would be profit driven rather than public interest driven and this could lead to a concentration on financially lucrative routes at the expense of routes which would meet the needs of the people and businesses in the region.”

Mr Coughlan states that option four “would have a number of distinct advantages in that the public sector authorities have a vested interest in the sustainable development of the region. He explains that given the long existence of local authorities, “authority for the airport and adjoining landbank would be vested in the people of the region through the democratically elected local authorities”.

Referring to the financial health of the airport, Mr Coughlan states, “It would be imperative that the airport would not become a financial liability for the local public sector agencies and the issue of outstanding debt would have to be resolved as would other legacy financial matters.”

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