The Government has ordered lower airport charges and private development at Dublin Airport to boost tourist numbers.
With a three quarters of a million shortfall in the number of US visitors expected next year, the Government has told Aer Rianta to offer more generous incentives to airlines that promise to bring tourists to Ireland.
The recommendations are made in the interim report of an interdepartmental committee set up to limit the economic fallout from September 11th. The committee finalised its report on Friday and its conclusions are to be communicated to the state airport company today.
The biggest winner is expected to be Ryanair, which has said it will start five new routes from Dublin and Shannon if it gets the right deal on airport charges. The low-cost carrier has said it will fly an extra one million people to Ireland from Italy, France and Scandinavia if charges are reduced. It has dismissed incentives already announced by Aer Rianta since September as inadequate and Mr Michael O'Leary, the airline's chief executive, has intensively lobbied the Taoiseach and other ministers for even lower rates.
The new airport charges will be available to any airline that can prove it will bring extra visitors to Ireland, according to Government sources. At present, airport charges work out at around £7 per passenger.
The interdepartmental committee has also recommended the development of low-cost facilities at Dublin airport by the private sector. However, it did not support Ryanair's request to be allowed built its own £16 million terminal. This represents a victory for the Minister for Public Enterprise, Mrs O'Rourke, who has maintained that Ryanair could not be favoured over other airlines.
As a state-owned company, Aer Rianta has little choice other than to comply with the Government's wishes. However, it is expected to argue that under its governing legislation it cannot offer deals on airport charges that would jeopardise its financial viability.
