Easing turbulence on airport charges

‘The department considers it appropriate and timely to carry out a comprehensive review of the regulatory regime’

Paschal Donohoe:  Government’s draft aviation policy signalled that it would review the current regime. Photograph: Brenda Fitzsimons
Paschal Donohoe: Government’s draft aviation policy signalled that it would review the current regime. Photograph: Brenda Fitzsimons

Airport charges are always a bone of contention in the aviation industry. Airlines don’t like contributing to the cost of infrastructure, while airports maintain they need resources to ensure that those same carriers can continue to grow their passenger numbers.

Ireland is no different and rows between the sides often end in court, or at least with one or all of them threatening to call their lawyers.

Last autumn the Commission for Aviation Regulation set Dublin Airport Authority's tariffs for the next five years. The dispute sucked in the company itself, the Minister for Transport Tourism and Sport, Aer Lingus and Ryanair.

Shortly before this latest spat, the Government’s draft aviation policy signalled that it would review the current regime and, earlier this week, Minister Paschal Donohoe’s department tendered for consultants to do just that. The document indicated that the process should take 10 months.

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A spokeswoman for the Minister points out that the existing system has been in place since 2001.

“Since that time, difficulties with the regime and its operation have been regularly identified and there have been a number of appeals and legal challenges to price-cap determinations” made by the commission, she says.

“The department considers it appropriate and timely to carry out a comprehensive review of the regulatory regime.”

Whatever the review finds, it won’t necessarily determine what ultimately happens with the current regime: the Government that will decide this with the aid of both the consultants’ report and a public consultation.