A new proposal for the construction of a privately-run second terminal at Dublin Airport is being considered by the Minister for Public Enterprise, Ms O'Rourke.
The resurfacing of the idea will be seen as a new blow to Aer Rianta, in the wake of last week's decision by the Airports Regulator to curb landing charges at Dublin Airport.
Yesterday, the Minister said it was "perhaps time to take a fresh look" at the demands for a second terminal at Dublin Airport, which was used last year by 14 million passengers.
The appointment of the Airports Regulator had helped to "clear the undergrowth which had been obscuring the next step" about future changes in Irish aviation, the Minister said.
If accepted by the Cabinet, the construction and management of the new terminal will be done by open tender. All interested parties, including Aer Rianta, can apply.
A number of efforts have been made in the past privately to develop a new air terminal at the airport. Ryanair offered to build one and then hand it over to the Government.
The McEvaddy brothers, Ulick and Des, presented a proposal to develop the small Huntstown facility into a new terminal five years ago. Last week, the Airports Regulator, Mr Bill Prasifka, ordered Aer Rianta to cut landing charges in Dublin and to raise them significantly at Cork and Shannon.
Questioning the need for some of the redevelopment plans, Mr Prasifka said just £250 million of the plan could be financed by revenue from landing charge increases. Some airlines have questioned the need for redevelopment already done by Aer Rianta.
The regulator's report could provoke tensions among Government backbenchers when the Dail resumes later this month. The regulator's recommendation that charges should rise in Cork and Shannon has raised concerns. Yesterday, one Fianna Fail TD said the new main regional airports might have been better off if Aer Rianta had been privatised last year, as the Minister for Public Enterprise favoured for a time.
