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About LinkBacksin the long term perhaps either Shannon or Knock will also close.
Is there being enough business for both?
in the long term perhaps either Shannon or Knock will also close.
Is there being enough business for both?
Kerry, Cork, Shannon, Galway, Knock, Sligo & Donegal - 7 airports along the western seaboard to service a population of approximately 1.8 million people - absolute madness!Originally Posted by Islandeady
Galway Airport is not and never has been economically independent nor viable, no more than Aer Arann with all it's subsidies.
Unfortunately, Galway Airport is yet another example of a flawed business model getting deeper into debt in the hope that some magic bullet will come along in the future to change the fundamentals. One of their key arguments for the continuation of the airport is that it is essential to entice / retain multinationals, indigenous manufacturing companies and tourism. Galway Chamber members were regularly canvassed for support and signatures to support this view but I have never agreed that this was a major factor, especially given the prohibitive cost of flying to / from Galway and the lack of international route availablility (the runway is too short).
Whereas I feel sorry for anyone losing their job and potentially not getting their full redundancy entitlement, this has nothing to do with any 'Dublin vs the West' agenda.
There needs to be a decision to consolidate air transport access for the western seaboard into a commercially viable centre(s) and, to be honest, Michael O'Leary should have major input into this process. Witness the collapse of Shannon Airport since the Ryanair decision.
But five minutes in Knock feels like five hours in hell. And two of those minutes are spent trying to find a tenner for the bandit at security.
Whats this tenner business?
This was basically the recommendation on the report commissioned on regional airports value for money. And the Minister for Transport has followed this policy in recent years. To paraphrase it said:
- The cost of covering losses at some of the regionals was increasing while losses grew and numbers collapsed.
- This did not represent value for money in these cases given the very small contribution they made to tourism and access.
- IDA Multinationals were happy with air access within 1 hour, services more important than proximity.
- Too many airports in the West duplicating services and damaging the viability of each other.
- Most areas of the country within 1.5 hours of a state airport.
- Less than 5% of Galway tourists used Galway airport
- Sligo would have no commercial routes without PSO
It recommended:
- Cutting all PSO routes other than Kerry/Donegal - Dublin based on their distance
- End OPEX support to Galway and Sligo to consolidate airport investment in the West in Ireland West Airport
- Continue to support Waterford as it has a tourism/business niche in the SE, but must cut subsidy levelto become viable
- Restricting operational support to viable airports and encourage performance rather than rewarding failure with subsidy
In passing, I notice they say:Ireland West Airport Knock
A Development Fee of €10 is charged to all departing passengers from Ireland West Airport Knock aged 12 years and over. <Read more>Are there any pilgrimage flights to Knock?Ireland West Airport Knock recognises its role as a key player in providing air access for pilgrimages to the shrine at Knock and other shrines abroad. As such, the airport takes the position that for pilgrim flights only (Knock, Lourdes, Fatima, Medugorje), invalids and the carer (1) accompanying them will be exempt from the €10 Development Fee service charge, subject to two weeks advance notice of the names of such passengers being furnished in writing by the organiser/tour operator to Ireland West Airport Knock Operations department.
If they allow a waiver in respect of 'pilgrims' on scheduled flights, there might just be a little loophole.
However, banks know they have a duty of care to their clients and I'm sure that this should prevent them lending irresponsibly.
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It's a "development fee" charged up-front at departure. It's how they self finance the airport running and infrastructure investment. The alternative would mean becoming completly reliant on subsidy as seen elsewhere, or increasing ticket and airline charges and ending up with no air services or in a Ryanair war like Shannon.
So it has been used to develop a low cost base and attract airlines in with low fees, meaning Ireland West has sustained numbers and grown routes while most airports were in free fall. It also part finances the capital program with terminal and runway upgrades in recent years, and allowed the airport made a profit or break even for many years negating the need for OPEX subsidy.
Galway added a €10 departure fee in recent years. Shannon were considering it with falling income. Waterford and Kerry had similar charges but have since agreed with airlines to include in the ticket price at booking. Some of the smaller UK airports like Blackpool and Newquay and airports in Asia, New Zealand also use the model. The money has to come from somewhere and the Irish regions don't have large business communities like the continent to charge high fees.
Last edited by tempest; 8th February 2012 at 11:41 AM.
How many Fianna Failers were given handy jobs in Galway Airport?
love the comments about knock- terminal two is the only better terminal in the country. Knock is the only airport that can land an A380, its an absolute miracle to be honest, far more of a miracle than the stund pulled by the church a few miles up the road. If the yanks pull out of IRAQ and evrywhere else shannon is doomed, and mark my words shannon will close before knock is even suggested to close. knock is a shining light to our economy in ireland a bit like ryanair- while everyone is struggingly and making a loss these two aviation greats get better and better, bigger and bigger. knock is a inspiration to this country where hard work and good people (the board are voluntary) with a vested interest in its success at the helm, its not like the rest of the airports a union infested hellhole where everyone involved is in it for themselves and themselves alone. its not surprising that all the best things are in mayo
Shannon. Shannon is the only airport that can land an A380. I'm not sure it has a terminal that could unload passengers from one, though. Someone said Terminal 2 at Dub has a berth that could take an A380 - but the runway is too short for one to land. I suppose it could taxi up the M7.
Knock has a longer runway than Cork, but shorter than Dublin.
Sorry, this is just an anorak post.
Airbus A380 reaches Shannon in test flight - RT News
However, banks know they have a duty of care to their clients and I'm sure that this should prevent them lending irresponsibly.
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