Knock International Airport is continuing discussions with three airlines, including Virgin Atlantic, in spite of Ryanair's climbdown in the dispute over a new £6 passenger charge.
Ryanair announced late on Sunday night that it was reversing its decision to suspend temporarily its London service from the Mayo airport from next month. The chairman of Knock Airport Board, Mr Cathal Duffy, yesterday said he was "not surprised, given the profitability that Ryanair enjoyed on the route".
Ryanair issued the ultimatum last week in protest at the new charge proposed by the airport to recoup money lost following the abolition of duty free. Mr Michael O'Leary, chief executive of Ryanair, predicted that at least half of his customers on the London route would object to the charge, and called on the Government to give Knock the same support as that extended to Kerry, Sligo and Galway regional airports.
However, his approach was criticised by the Minister for Public Enterprise, Ms O'Rourke, who accused him of "blackmail", while the Council for the West and the North Connacht Farmers' Co-op expressed concern.
The airport board would not confirm details of its negotiations yesterday, but it is believed that Virgin and Manx Airlines are two of three airlines which have expressed an interest in opening routes. In a statement, Mr Duffy said the board was "determined to get the best possible arrangements for the travelling public into and out of the west of Ireland".
"We are heartened by the support we have received since the issue became public," Mr Duffy said. "We are also heartened by the interest shown by a number of airlines in flying the route," he added.
Fine Gael's spokesman on Arts, Heritage, Gaeltacht and the Islands, Mr Enda Kenny, said Ryanair's decision was "helpful", but was based purely on commercial profitability. Another airline was required to serve the airport, and the Government must do all it could to encourage this, he said.
Mr Kenny, who described Ryanair's initial threat to withdraw as "arrogant", said that the airline would now have to sit down and negotiate a new partnership agreement with the board of Knock Airport.
To ensure Knock's long-term future the Government must take a number of steps, Mr Kenny said, including providing funds for water and sewerage at the airport at a cost of about £1.5 million; front-loading payments under the regional airport section of the National Development Plan which would allow for work on the car-park, provision of fire engines and ancillaries at a cost of £2 million; extending and promoting the tax-designated status given by the previous government; and providing a marketing fund to promote Knock.
