Ryanair welcomes BAA decision

Ryanair was quick to respond to today's news that the BAA had reached an agreement to sell London's Gatwick Airport for £1.5bn. Reacting to the news the airline tempered it's enthusiasm by saying that it recognized the sale of Gatwick as the first step in the breakup of the BAA monopoly, urging the full recommendations of the UK Competition Commission be implemented whereby Stansted and a Scottish Airport would also be sold.
The carrier also called for the breakup of the DAA (Dublin Airport authority) which owns and manages Dublin, Cork and Shannon Airports, forecasting that Dublin will lose 2m passengers this year with Cork and Shannon losing a combined 1m. Against this backdrop, Ryanair will grow by 9m passengers this year. "Even Aer Lingus is growing traffic in the current recession, while the DAA monopoly is losing millions of passengers and thousands of jobs", it added.

 

New airport board structures

In response to questions from Fine Gael's deputy leader and Spokesman on Finance Richard Bruton and the party's Deputy Spokesman on Foreign Affairs and Clare TD (MP) Pat Breen., the Minister or Transport Noel Dempsey issued a written response on Tuesday last relating to the make up of the sub board structures of the DAA (Dublin Airport Authority).
In the past the management of the three state airports was the preserve of airport operator Aer Rianta. The current administration decided to give autonomous control to each of the airports but the decision was subsequently reversed. Both Cork and Shannon airports have fought long and hard for their independence but that day is further away than it ever was.
The original plan to split Aer Rianta was made in 2004 but the decision on whether or not to implement the plan has been deferred until 2011. The irony is that each of the airports is managed by it's own Airport Authority which are subservient to the DAA (Dublin Airport Authority) which maintains overall control of the state airports.
Minister Dempsey announced on Tuesday of this week that he had agreed revised board structures with each of the airports. Under the agreement the Chairmen of the SAA (Shannon) and CAA (Cork) will become members of the DAA board and senior executives of the DAA will be appointed to the boards of the SAA and CAA. Hang on ! Didn't we have this before when it was called Aer Rianta ?
The new structure of the DAA will consist of :


1 Chairman
1 CEO
1 SAA Chairman
1 CAA Chairman
5 members
4 worker directors 


All of which looks like too many chiefs...


The SAA and CAA structure will consist of :
1 Chair
6 members including a DAA executive
2 worker directors

State airport separation defered until 2011

The Minsiter for Transport, Noel Dempsey today announced that the separation of the three state airports in to autonomous authorities would not now take place until 2011.

The Minister said that "Having considered the business plans submitted by the boards of the three airport authorities (Dublin, Cork and Shannon) I have accepted their view that it would be best to defer the separation of the three airports (under State Airports Act) until 2011 given the current very difficult aviation market.

Discussions are taking place between the chairpersons of the three airport authorities to ensure that appropriate governance arrangements are in place in the period before eventual separation. The aim is to put in place structures that will allow Cork and Shannon airports to be operated under a commercial mandate at local level while ensuring appropriate safeguards for accountability to the DAA.

I believe that this decision will provide an opportunity to the newly appointed Chairman of the CAA, Gerry Walsh to work with his board and management to ensure that Cork Airport can realise the potential provided on foot of the very substantial investment in the airport in recent years. Likewise, Shannon Airport will need this period to successfully implement the recently signed Ireland-US Pre-Clearance Agreement and to build on the potential of the soon-to-be restored Shannon-Heathrow route. ”