Minister Dempsey welcomes DAA Incentive Scheme to encourage traffic growth at the 3 state airports
07-Dec-2010 The Minister for Transport, Mr Noel Dempsey T.D. today (7 December 2010) welcomed the announcement by the Dublin Airport Authority (DAA) that they are to introduce a new Growth Incentive Scheme for airlines operating at Dublin, Cork and Shannon Airports.
The Scheme, which would provide a full rebate of airport charges in respect of traffic at all three airports above an annual threshold of €23.5m, is to encourage overall traffic passenger growth at the airports.
"I believe that today's announcement by the DAA is an innovative response to the announcement in today's budget by the Minister for Finance on the reduction in the level of the air travel tax. While Dublin Airport reported a 1% growth in passenger traffic in October last, the position in Cork and Shannon has not been so positive. All stakeholders have a role to play in reversing the decline in the fortunes of the Irish economy and responses such as this incentive announced today by the DAA are to be welcomed."
In response to the fall in consumer demand for air travel since 2008, all airlines serving the Irish air transport market have taken steps to match capacity with demand. In this context, various industry sources have repeatedly claimed that the €10 travel tax was a key disincentive for airlines operating in the Irish market. The Minister therefore welcomes the measures announced today and is hopeful that capacity will now be re-instated by airlines, particularly on our key strategic routes, for the benefit of tourism, trade and economic development generally.