A decision on state aid for Shannon Airport will be made this month.
The Tanaiste has confirmed that a rescue package is being put together for the aviation sector, which includes funding for the Midwest Airport.
Shannon Airport says it has witnessed an almost total colapse in traffic, connectivity and revenues this year, with passenger numbers expected to have decline by 80% across 2020.
A meeting of the Oireachtas Transport Committee yesterday also heard that Shannon Group has been hemorrhaging 1.3 million euro a week since March.
The crisis has prompted a government-led review of Shannon’s structures, but they’re unlikely to change, and today the Tánaiste has today said he doesn’t believe that allowing Shannon to separate from the then Dublin Airport Authority was a mistake.
Leo Varadkar, who was Transport Minister when the plan was enacted, also told Clare FM’s Morning Focus that the pandemic has changed things and there’s now a willingness and understanding by Government of the need to provide support to the likes of Shannon and Cork Airports, that wouldn’t have been granted in the past.
He’s confirmed that a rescue package will be announced by the end of this month.
It comes as questions have been raised over whether Shannon Airport can weather the covid storm.
The Chief Executive of Ryanair has said he’s not hopeful of the airline’s bases remaining open in Shannon and Cork for the winter season, having repeatedly threatened to close them if the Government doesn’t adopt the EU’s Traffic Light system.
The Transport Minister has sounded a note of caution on this, saying it will take “a period of time” to put enforcement measures, such as COVID testing, in place.
But Clare’s Fianna Fáil TD, Cathal Crowe says he’ll press the government to ensure there are no unnecessary delays in the opening up of air travel.
Mayors from Clare, Limerick, Kerry, Tipperary and Galway have formed an alliance to support Shannon Airport and have pledged to do all they can to lobby Government for airport supports to ensure balanced regional development.
Cathaoirleach of Clare County Council, Councillor Mary Howard has echoed calls for the Traffic Light System to be adopted.
The Fine Gael Councillor has welcomed the announcement of state support, and is calling for a system which ensures that a portion of all inbound flights go to regional airports to level the playing field.
She says it’s up to our Oireachtas representatives to fight for Shannon.
