Aer Rianta is preparing to abandon its controversial Pier D facility at Dublin Airport because it claims Government has delayed over the project for too long. The chairman of Aer Rianta, Mr Noel Hanlon, indicated yesterday a large sum might have to be written off as a result of the decision.
He said a "statutory direction" given to the company by the Minister for Transport, Mr Brennan, last year meant the development could not go ahead.
A spokesman said the company had spent over €7 million on planning preparations, engineering works and architectural surveys and this could be lost.
He added that building firms had submitted tenders for the contract, but the long delays meant the competition would have to be abandoned, possibly within a week.
Mr Hanlon spoke about the issue after addressing his final agm of the company (he steps down in September). Aer Rianta reported a drop in after-tax profits from €36.2 million to €20.2 million for 2003, while turnover rose from €420 million to €436 million. The Government will get a dividend of €6.1 million.
Mr Hanlon also reiterated his views on the break-up plan. While he accepted it was now Government policy, he remained concerned.
"Of course Aer Rianta is a great company and I am disappointed to see it being broken up. But Government policy is Government policy and we are there to implement that policy, if its possible to implement it. There are considerable difficulties in doing so," he said.
He added: "There isn't sufficient reserves within the Aer Rianta group to enable that policy to be implemented in full at this time. There is considerable difficulties in facilitating that process."
In relation to Pier D, Mr Hanlon said a direction from the Department of Transport effectively put the company's plans on hold until the issue of an independent terminal was resolved.
He said this had led to major congestion at the airport. "This is the result of a statutory direction which has been given to us by the Department of Transport not to carry out any more development at Dublin Airport pending the decision of the Government on the second terminal."
"There will be various serious issues regarding health and safety at the airport in the coming years," he said. Asked by reporters whether safety was currently compromised, he replied it was not, but warned that the airport could become unsafe within a year to 18 months.
Pier D was designed by international architects Skidmore Owings & Merrill to provide 12 new stands for "quick turnaround" aircraft. Known as "contact stands", they do not require passengers to use buses or airbridges.
Planned for construction in an area known as the north apron, the new pier would be linked to the main terminal building by a semi-circular elevated glazed walkway wrapping around the forecourt of the airport's original terminal. This walkway would contain segregated corridors for departing and arriving passengers.
The cost of the new pier has been put at €50 million while the elevated walkway, suspended from stainless steel pylons, would cost an extra €20 million, according to company estimates.
