7 days ago
Airlines for America warns Dublin Airport passenger cap bad for economy
A trade association representing US airlines said it expects US Department of Transportation officials to travel to Ireland to raise concerns over the passenger cap at Dublin Airport.
Airlines for America also warned that it believes the US government could respond with "reciprocal restrictions" if the limit on passenger numbers is not lifted.
Aer Lingus is the only Irish airline currently providing transatlantic routes to the US.
The passenger cap was among the conditions attached to the planning permission that was granted in 2007 for the construction of Terminal 2 at Dublin Airport.
It set a limit on passenger numbers passing through the airport at 32 million a year.
Keith Glatz, the A4A Senior Vice President for International Affairs, claimed the cap is a direct violation of the EU-US Open Skies Agreement and is bad for the Irish economy.
That deal opened up all transatlantic routes to EU and US airlines, enabling them to fly between any point in the two territories.
"We anticipate the US government will be on the ground in Dublin later this month to have a first set of conversations with the Irish government to address the concern," Mr Glatz said.
"It's a priority for all of us on the US side and certainly we are concerned about the compliance with the Open Skies Agreement," he added.
Asked what the consequences could be if the passenger cap remains in place, Mr Glatz said: "There's a lot of issues on the table between the US and EU right now, and we do not need a passenger cap in Ireland, that can be solved tomorrow, to become part of that larger conversation."
A4A represents both passenger and cargo carriers, including Delta, American Airlines, United, JetBlue and Air Canada, as well as FedEx and UPS.
The group has also called on the Government to fulfil its commitment to address the limit.
The Programme for Government included a pledge to "work with stakeholders to achieve our objective of lifting the passenger cap at Dublin airport as soon as possible."
Keith Glatz said A4A was pleased to see pre-election manifesto commitments from Fianna Fáil and Fine Gael to resolve the issue.
"We're a bit concerned with the timeline from the election, to now, the fact that nothing has happened, but we know that there are solutions out there that can be handled to move the issue forward," he stated.
A spokesperson for the Department of Transport said Minister Darragh O'Brien is "examining a range of issues in relation to the 32 million passenger cap planning condition".
The spokesperson said the Minister for Transport has also "commenced a process of engagement with key stakeholders."
The trade association's Senior Vice President for International Affairs also said he believes the Government's obligations under the Open Skies Agreement should supersede domestic planning issues.
Mr Glatz said the passenger cap "artificially constrains that [Open Skies Agreement] and it's a violation of the agreement."
"The record's really clear here. Dublin is highly attractive to our members. We've been increasing flights year over year post-Covid. That's why the cap has become an issue today."
He insisted a removal of the cap would result in "further growth, new routes and new entrants" into Ireland.
"What we would envisage is record growth to Dublin, increased flights, new services, different products and new entrants, which are good for the transatlantic market, but also good for the Irish economy and good for the locality," he said.
Asked if Dublin Airport is being overlooked by carriers looking to expand services because of the restriction, he said the passenger cap is "absolutely a limitation."
"You're limiting the throughput to the airport. So that means fewer passengers, fewer business travellers, fewer direct investments that are going to be made into the Irish economy," he said.
Airlines for America was a party to a legal challenge against the Irish Aviation Authority's move to reduce the allocation of take-off and landing slots for the winter and summer seasons to comply with the passenger cap.
The action also involved Aer Lingus and Ryanair, as well as the airport operator daa.
The High Court suspended the cap's implementation, while it referred the matter to the Court of Justice of the European Union for determination.
The Department of Transport spokesperson also said Minister O'Brien has "reiterated the importance of daa continuing to engage proactively with the planning authority and the Aircraft Noise Competent Authority to facilitate progress on the two planning applications" the airport operator has lodged seeking to amend the passenger cap.