The Dublin Airport Authority warned today it will not be able to afford to expand capacity at the airport and manage the break-up of Aer Rianta without an increase in landing charges.
The company announced profits of €50 million for 2005 an increase of 63 per cent on 2004. Turnover rose by 13 per cent during 2005 to €525 million. Passenger numbers at Dublin Airport totalled 18.5 million, a rise of 8 per cent for the second successive year.
The authority called on the Aviation Regulator to raise the current charges which were capped last year at €6.14. The regulator deemed the charge to be sufficient to cover the estimated €1 billion needed in capital expenditure over the next decade.
The authority's chairman Gary McGann said the current level of charges leaves Dublin Airport "significantly under-funded" at a time when it must deliver a €1.2 billion development programme.
Mr McGann claims that the equivalent charge at Europe's main airports is approximately €11 per passenger.
However the authority said it will move ahead with the initial phase of the development programme at Dublin despite what it calls the "current unsatisfactory regulatory position."
Mr McGann reported that plans for the separation Dublin Cork and Shannon was progressing slowly
"The timeframe reflects company law requirements whereby the DAA needs sufficient distributable reserves to facilitate the transfer of Shannon and Cork Airports as a dividend, either sequentially or together," Mr McGann said.
"As matters currently stand, the DAA does not have sufficient distributable reserves though the Board will seek to increase their value over time," he noted.
Shannon and Cork Airports also achieved record passenger volumes with Shannon's numbers 35 per cent higher at 3.3 million and those at Cork, 21 per cent up at 2.7 million.