Charges should not be used to pay accumulated debts, says airline executive

Ryanair has said the Dublin Airport Authority, formerly Aer Rianta, should be forced to sell its non-core assets and foreign holdings to pay down its debts.

In an angry letter to the aviation regulator, Mr Bill Prasifka, the airline says there is no justification for charges at Dublin Airport to rise to pay down the debts of the authority.

The airline says there is a possibility the debts of Shannon and Cork airports could be transferred to Dublin Airport with adverse consequences.

The airline's head of regulatory affairs, Mr Jim Callaghan, says this should not have any implications for charges. The airline also rejected a recent report that suggested the authority's credit rating could slip because of high debt levels.

"The simple solution for dealing with this accumulated debt is to force the Dublin Airport Authority to sell off its non-core and foreign holdings to pay down its debt, then its credit rating would be immaterial," writes Mr Callaghan.

"The former Aer Rianta management was responsible for the present high levels of debt in Cork, Shannon and Dublin airports by building gold-plated, inefficient facilities against the unanimous opposition of users," he writes. The letter is also critical of Mr Prasifka, with the airline claiming his office failed to prevent Aer Rianta building up gold-plated assets.

"The former Aer Rianta management created this mess with the Commission for Aviation Regulation standing idly by and allowing them to get away with it. It is time for the regulator to take some decisive action," he adds.

The letter is the latest example of serious tension between the Commission for Aviation Regulation and Ryanair. Ryanair chief executive, Mr Michael O'Leary, has previously called for the resignation of Mr Prasifka.

Mr Prasifka in turn has pointed to the lowering of the cap on airport charges since his office was established.