This article is from page 9 of the 2006-05-02 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 9 JPG
THE Minister for Transport, Martin Cullen, has confirmed that Shannon Airport will not have its €70 million debt cleared by the Dublin Airport Authority (DAA) when it becomes independent.
The Minister said there was no question of either Shannon or Cork escaping debt.
Mr Cullen’s view, expressed in the Seanad, runs contrary to that expressed by former Transport Minister, Seamus Brennan in July 2004.
Mr Brennan, also speaking in the Seanad, said that under the terms of the restructuring, both airports would commence operations debt free.
Minister Cullen said his job was to ensure that both airports were “set off” with the strongest possible commercial mandate for future development.
“That is the only agenda that the Government and I wish to pursue. Therefore each authority is required to prepare a comprehensive business plan and obtain our approval for these plans before any assets can be transferred.
“The Commissioner for Aviation Regulation made clear that he will not allow a charging regime at Dublin Airport to cover the costs of Cork or any other airport.
“That is the law within which we must operate.”
Senator Timmy Dooley (FF) said the inability of Dublin Airport Authority to “spin off” assets into the two separate companies had created a problem.
“There is no point dwelling on the reason this was allowed to occur or whether better or different advice should have been obtained,” he said.
“The intent at the time was to ensure the airports had sufficient capacity to manage their business, expand their market, generate increased numbers of passengers and provide better facilities for customers.
“A review of the progress achieved in realising the aims set down in the legislation is required. Policy could then be examined in light of the outcome.
“It is possible, for example, that the spin-off of assets to three individual companies will prove unnecessary.
“I propose such a review on the basis of the position at which we have arrived as opposed to the original aim.
“Given the substantial progress achieved to date, perhaps the establishment of three independent, statutorily constituted companies operating under the provisions of company law is no longer required.
“It is this proposal that is causing the problem.
“The airports are working well in the current hiatus.
“While I am not an expert in this area, I suggest that the Dublin Airport Authority be restructured to act as an umbrella encompassing all the State airports,” he said.