Policy on airports remains uncertain

There are echoes of the Mad Hatter's Tea Party in the ongoing dispute between the Minister for Transport, Mr Brennan, and the…

There are echoes of the Mad Hatter's Tea Party in the ongoing dispute between the Minister for Transport, Mr Brennan, and the various interest groups opposed to the break-up of Aer Rianta. Differing realities have collided and there is a lack of objectivity and clarity in the entire exercise.

The Government's desire to create three airport agencies as a means of encouraging greater competition, efficiency and value for users is commendable. But its plans have become bogged down in confrontations with various trade unions and the Aer Rianta board. It has yet to show that the strategy embarked upon will have the desired effect. More importantly, the key requirement to provide a second terminal for Dublin airport has been seriously delayed.

Legislation giving effect to the break-up of the company and the establishment of alternative structures will go before the Dáil today and is expected to become law before the summer recess. But while the old Aer Rianta board will effectively be replaced by a Dublin Airport Authority, the new companies at Cork and Shannon will not receive formal recognition until viable business plans have been produced and accepted by the Government.

The old Aer Rianta board, under the chairmanship of Mr Noel Hanlon, is refusing to go quietly. Following months of stand-off with Mr Brennan and facing imminent dissolution, it has produced a ten-year plan for the development of the company under existing structures and has made common cause with the trade unions. There is the prospect that board members may take legal action to frustrate the establishment of new structures. All of this, along with linkage of the issue to negotiations on the pay elements of a national agreement, has undermined the authority of Mr Brennan and raised serious questions about the viability of Government policy.

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In its election manifesto two years ago, Fianna Fáil promised specific and immediate action to improve our aviation infrastructure. But the handling of the various issues by Mr Brennan has been painfully inadequate. The development of Pier D at Dublin airport, which was to have been completed in time for the 2003 tourist season, never happened. There is huge uncertainty about the alternative plan to construct a new airport terminal there, in terms of timing, staffing and control. The result is increasing congestion that strangles the airport at peak times and inhibits its ability to attract new airline business.

The Government has said the break-up of Aer Rianta will not occur unless approval is given by both the Minister for Finance, Mr McCreevy, and Mr Brennan. But, with a Cabinet reshuffle expected in the autumn, other ministers may acquire those responsibilities. The uncertainty and confusion that has been allowed to develop is damaging to the aviation industry and casts a long shadow over parallel Government plans to introduce competition in public transport.