Reports that the Government today discussed allowing Ryanair construct a second terminal at Dublin Airport are untrue, the Department of the Taoiseach said today.
The Government confirmed, however, that inter-departmental discussions are ongoing in relation to how the aviation industry can assist in boosting tourism to Ireland.
"An ad hoc committee, chaired by the Department of the Taoiseach which includes the Department of Public Enterprise and other relevant departments (set up post-September 11th to consider the effects of that event) is currently engaging with Aer Rianta in considering measures which could assist all airlines to generate extra traffic or new routes," a Department statement said this evening.
However, with Aer Lingus, BMI British Midland and British Airways scaling back services worldwide, and Ryanair’s publicly-stated wish to develop new routes to Europe from Ireland, the company looks poised to benefit from any new Government measures.
The Minister for Public Enterprise, Mrs Mary O’Rourke, announced earlier this year that she would reconsider the possibility of allowing Ryanair construct a terminal at the Airport.
Ryanair chief executive Mr Michael O’Leary responded by saying the company would open ten new European routes over the next two years, conditional on being granted a terminal in Dublin.
He said up to eight new aircraft would be based in Ireland, creating 400 new jobs and delivering a minimum of two million additional passengers annually.
For a brief period yesterday, the company’s stock was trading as the highest-valued airline in Europe before slipping back to third position.
Ryanair is sure to receive support among businesses in Ireland, particularly the tourist industry.
The mid-West branch of the business and employers group IBEC yesterday called for the Government to become involved in a strategy to secure the future of Shannon Airport.
"The priority is [the] restoration of services allied to serious investment to develop the airport for the benefit of the entire West of Ireland" according to Mr Turlough O’Sullivan, IBEC Director General.
He said industry, commerce and tourism would be severely affected by the loss of routes to Shannon and called for the restoration of services withdrawn by Aer Lingus.
Earlier this month, Ryanair claimed the company was responsible for 100 per cent of growth at Shannon Airport. "The future of Shannon Airport will depend on Ryanair's low fare services to Europe and the UK," Mr Kell Ryan, Ryanair spokesman claimed last month.
The company has promised to develop more routes out of Shannon.