Ryanair chief executive Mr Michael O'Leary has said its air fares on routes from Dublin will rise by 9 per cent as passengers will be forced to pay the higher passenger charges to be imposed by Aer Rianta.
Speaking after a consultation meeting hosted by Aer Rianta for users of Dublin Airport yesterday, Mr O'Leary called on the Government to replace the aviation regulator and blamed the Taoiseach for stalling progress at the airport.
"We get what we expect from Aer Rianta. They fight their corner to protect a monopoly. What we are frustrated with is an inept Government. It's about time this prime minister started leading instead of moping around hoping that it will all work out in the end. He is ineffectual," Mr O'Leary said.
Aer Rianta began a consultation process on the increased charges that have now been approved. The airlines and other airport users must now make submissions to the airport authority and the process will conclude on November 11th. The new schedule of charges is due to be published in December and come into effect on January 1st 2004.
The Commission for Aviation Regulation has raised the maximum charge from €5.27 to €5.45 per passenger until September 2004. Aer Rianta has on average been collecting €5 per passenger and intends to collect the maximum €5.45 per passenger, yielding a 9 per cent increase.
Aer Rianta told the meeting that the higher charges will be used to meet rising security and operational costs and to fund essential investment at the airport. The average charges per passenger include landing and parking charges for aircraft on the runways and aprons, charges for the use of air-bridges to the terminal building and security.
It also told the users that the current package of route incentives and discount schemes made available to airlines will close at the end of this year. This comes into effect at a time when Aer Lingus has announced new European routes.
Mr O'Leary said Aer Rianta was being allowed to increase charges because it failed to deliver any growth in traffic last year. "Tourism is struggling, traffic numbers in the UK are down year to date and Ryanair fares will have to go up at a time when there should be lower charges."
He again stated that Ryanair would not open any new routes out of Dublin Airport until there was competition in the form of a second terminal. It is one of 13 parties that has lodged an expression of interest to develop it.
"We have a very good business all over Europe but we have an inept Government incapable of making any decisions. This charge will go directly onto the fare. If we had competing terminals the charges would come down. It's a joke. It's a shambles," Mr O'Leary said.
