Cuts to airport charges could affect safety, IAA warns

Irish Aviation Authority says cuts could make it impossible to license Dublin Airport

The State’s aviation watchdog has warned that it may not be able to license Dublin Airport if some proposals aimed at cutting charges go ahead as they will have serious implications for security and safety.

The Commission for Aviation Regulation (CAR), responsible for consumer protection, recently proposed that Ireland's biggest airport cut passenger charges by 22 per cent over the next five years and recommended a number of measures that would allow this.

A response to these plans from the Irish Aviation Authority (IAA) – which oversees safety and security – warns that the CAR is attempting to limit increased spending that is critical to ensuring the airport remains in line with international rules and best practice.

The authority’s document argues that the extra spending should be allowed in full. “This is a security issue and may impact on the licensing of the airport by the IAA if not implemented,” it states.

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The CAR is responsible for setting a cap on fees that the airport charges airlines for using it. These are ultimately passed on to passengers. It issued its proposals in June and sought responses from interested parties. It will make a final decision this month.

The aviation authority’s submission highlights a number of areas where the CAR wants to “disallow” extra spending by Dublin Airport in order to facilitate reductions in passenger fees that it charges airlines.

One flashpoint is staffing in security screening areas. The Dublin Airport Authority believes staff should be increased to 600 from 550 to cope with projected traffic growth, while the CAR says it should be cut to 500.

Claim 650 jobs could go

The aviation authority warns that this could jeopardise Dublin’s ability to deal with the likely increase in passengers ormore stringent security requirements that could be introduced over the next five years.

It also warns that it could threaten Dublin’s status as a preclearance airport for entry into the US, which is an important element of the DAA’s business plan as it can used to draw more transatlantic traffic through there.

The CAR also challenges DAA plans to spend €11.6 million on new technology for screening liquids and gels, which is part of an EU-wide plan to end restrictions on carrying these. It is also disallowing €13 million for new baggage screening systems.

The airport company has earmarked €38 million for relocating its Terminal One screening area to a larger facility to enhance capacity, a requirement it says was triggered by the fact that over 11.5 million people a year pass through the terminal.

The aviation authority says the CAR demands, that Dublin wait until it is handling 25 million passengers a year before building a new northern parallel runway, will increase the pressure on the existing runway and pose safety risks.

Dublin Airport has already voiced its opposition to the CAR proposals and warned it could cost the company 650 jobs. It wants to be allowed to cap charges at €13.50 per passenger, while the regulator is seeking reductions that will ultimately leave the figure at €8.35.

An airport spokesman said yesterday: “The Irish Aviation Authority submission to CAR highlights a number of fundament errors within the regulator’s draft determination that have the potential to impinge upon the safe and secure operation of Dublin Airport.”

The CAR did not comment yesterday. In June, outgoing commissioner Cathal Guiomard said the proposed cuts were based on the fact that the airport's running costs are lower than predicted in 2009, when charges were last set.

Barry O'Halloran

Barry O'Halloran

Barry O’Halloran covers energy, construction, insolvency, and gaming and betting, among other areas