Second runway for Dublin airport on cards as growth continues

A second runway at Dublin airport may be necessary if current traffic growth levels continue, Minister for Transport said on Thursday as he unveiled a new national aviation policy aimed at supporting the sector.

The strategy, which is the first of its kind, contains a number of measures including a commitment to maintain Dublin, Shannon and Cork airports under State ownership, a bid to increase connectivity with emerging markets, and a promise to ensure a high level of competition among airlines operating in Ireland.

Announcing the national policy in Dublin, Mr Donohoe also promised continued support for regional airports, an independent review into the regulatory regime for airport charges and a commitment to maintain Ireland’s attractiveness as a base for aircraft leasing.

The aviation industry in Ireland currently employs 26,000 people directly and contributes over €4 billion to the economy. Publication of the new policy document, which has been three years in the making, comes just days after the sale of Aer Lingus to IAG was completed.

Introducing the strategy, Mr Donohoe said the aviation sector was critical to the continued success of the economy.

“Airlinks with the rest of the world create our ability to reach a global market with exports and in turn to attract foreign direct investment into Ireland for job creation, he said. “Given our geographic location it is core to how we engage with the outside world, particularly in terms of areas such as tourism, which alone counts for a further €5 billion and 180,000 jobs.

Mr Donohoe predicted increased growth in terms of the sector, with airports handling in the region of 33 million by 2020. Last year, 25.5 million passengers used Ireland’s airports - up 7 per cent on 2013, while total flights in Irish airspace rose by 2.7 per cent. At Dublin airport, close to 11.5 million passengers used Dublin airport during the first six months of 2015, up 15 per cent or 1.5 million passengers compared to the same period a year earlier.

The policy document outlines ambitions to further growth by developing Dublin airport as a vibrant secondary hub that could compete effectively with other European airports for the expanding global aviation services market.

“Irish aviation has to be ready not just to deal with the challenges ahead in this changing global environment but to capitalise on the opportunities that will present, such as the shift taking place in the global aviation from the traditional EU-US axis, eastwards to Asia,” he said.

Mr Donohoe said a second runway at Dublin airport may be required to deal with the projected rise in passengers but said it would be up to the DDA itself to bring forward proposals on this.

“The objective for Dublin is very clear. Because of its location and its current infrastructure it offers Ireland the best prospect for development of a European hub airport... the growth underway now at Dublin airport is substantial and this means we will need to review the infrastructure that’s there and much of that is already underway,” he said.

Mr Donohoe added that all of the State’s airports, including regional ones, had a role to play in Irish aviation and the economy overall.

“We cannot stand still. The successes of our past are no guarantee for the future. Significant challenges and opportunities lie ahead and we need to be ready for both of them,” Mr Donohoe added.

DAA, the company that operates Dublin and Cork airports, welcomed publication of the policy with its chief executive Kevin Toland saying it provided a broad framework for the continued development of Ireland’s aviation sector.

“This new national policy recognises the key strategic roles played by Dublin airport and by Cork airport and supports the expansion of services at both airports,” said Mr Toland.

Cork Chamber also welcomed the strategy document but expressed concerns at what it said was a lack of specifics regarding the position of Cork airport.

“We welcome the inclusion of a number of positive statements with regard to Cork airport, primarily the recognition of the airport as the regional gateway for business and tourism and specifically to the Wild Atlantic Way and Ireland’s Ancient East propositions, which will provide a significant platform on which to grow inbound tourism. However, while the commitment to support these opportunities is important the policy falls short on identifying and committing to specific measures and actions,” said Conor Healy, chief executive of the chamber.