Dublin airport charges set to rise - McGann

Airport charges at Dublin airport are set to rise regardless of what site the Government selects for new terminal facilities, …

Airport charges at Dublin airport are set to rise regardless of what site the Government selects for new terminal facilities, the chairman of the Dublin Airport Authority (DAA) has predicted. Emmet Oliver reports.

Gary McGann, speaking to the Joint Oireachtas Committee on Transport, called on the Government to reach a decision on the terminal soon. "It is vital that these decisions are taken as quickly as possible," he said.

Asked by members would the owners of a new facility need to increase charges, he said: "It is a racing certainty that nobody could do it without raising airport charges."

He said charges at Dublin were less than half the average European airport charge.

READ MORE

Mr McGann put a €300 million price on a new terminal on the north apron site at the airport. He said this was one of the higher estimates and included all ancillary costs. He agreed that any terminal would be built according to the Government specification.

He acknowledged that a report prepared by consultants Skidmore Owings Merrill had not been passed to current Minister for Transport Martin Cullen.

This was described as "wrong" by committee chairman John Ellis. The report is believed to outline potential shortcomings of the north apron site. Mr McGann said the Government, as shareholder, was entitled to whatever information it wanted, but no request had been made for the report.

Mr McGann devoted a significant part of his presentation to airport charges. He said that if more "appropriate" charges were not introduced the airport could be facing serious problems.

"We will not be in a position to build the facilities needed at the airport over the next 10 years. It's as simple as that," he said. "Dublin airport urgently needs additional capacity in order to meet the reasonable expectations of its growing numbers of passengers. Given the long lead time for planning permission, building and commissioning, it is vital that these decisions are taken as quickly as possible."

Mr McGann was asked by several TDs why the DAA wanted to build on the north apron site. He replied that the decision was one for the Government but the DAA was keen to exploit whatever assets were on its balance sheet.

DAA secretary Oliver Cussen, accompanying Mr McGann, said the authority owned all the land on the north apron site, although SR Technics had a long lease on several maintenance hangars.

Mr McGann emphasised throughout his presentation that the DAA needed to exit from loss-making activities, such as the Great Southern Hotel chain.

Asked about another subsidiary, Aer Rianta International, which has shareholdings in Birmingham, Dusseldorf and Hamburg airports, Mr McGann hinted that a sale of these shareholdings could not be ruled out.