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Dublin: 11 °C Thursday 20 June, 2013

Galway Airport begs government to reverse funding cuts

The airport says it needs a €1.2m grant to stay in businesses – and still hopes the government will save the day.

Image: mhausenblas via Flickr

Updated, 11.54

THE MANAGEMENT OF Galway Airport is to appeal to the government to reverse its decision withdrawing state funding at the end of this year – a move it believes could force the airport to close for good.

The airport’s managing director Joe Walsh and his colleagues will today appeal to the government to reconsider its funding procedures, which saw the government allocate its €5.9m in funding for regional airports to only four regional airports.

Both Galway and Sligo airports previously received State funding – but now only Knock, Kerry, Donegal and Waterford will share the payments. Transport minister Leo Varadkar has insisted the decision is final.

State funding for Galway and Sligo airport was pulled at the end of last month – though Galway Airport was granted a six-month extension to find alternative funding. Galway’s management team says that window is ‘unrealistic’.

Without the state funding, the airport could be forced to shut entirely with the potential loss of 180 jobs.

The board will meet this morning to consider the looming financial crisis, but RTÉ says the board will appeal the “unexpected and ill-advised” decision.

The Irish Times reports, meanwhile, that Kerry Airport has opened talks with a number of budget airlines in moves aimed at promoting interest in the Kerry-Dublin route.

Ryanair, which currently operates one flight in each direction between Dublin and Kerry, previously operated three return flights from the capital each day. In December it announced it would withdraw from its Public Service Obligation contract, effective from next month.

The airline says it will consider applying for the route again, despite having withdrawn from it only six months ago.

The Department of Transport said that the six-month extension to Galway’s funding, ensuring funding until the end of 2011, had given the airport time to “prepare for the future”.

It added that the economic crisis meant “that substantial reductions will have to be made in next year’s budget, and it won’t be possible to provide further funding to Galway Airport next year.

“The airport should now engage with investors, businesses, local authorities and other interests in order to explore its on-going viability.”

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Comments (14 Comments)

  • Jeff 14/06/11 #

    What do 180 people do at Galway airport ? they only have 8 flights in & out a day ? Mostly to Dublin.

    Reply
  • How can Galway have it’s funding removed and an airport in the UK gets funding from Ireland?!

    Reply
  • There are flights from Galway to Dublin, London Southend, London Luton, Edinburgh, Manchester and Lorient. The 180 jobs may include jobs at Aer Arann (pilots, cabin crew, etc) as well as airport terminal shop, car hire firms, security, aircraft maintenance, etc not all directly employed by the airport.

    Flights to and from Galway to London Southend/Luton are a godsend for an emigrant like myself – Aer Arann operates an excellent service direct to Galway City. Knock or Shannon should be connected to the rail network before any closure of Galway should be contemplated.

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    • Direct bus services would be far quicker, cheaper and could start in the morning.

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    • Totally agree, while I think funding should be given to all regional airports, places like Donegal should not be chosen over Galway.
      Donegal does not have the traffic, Galway does.
      Like what was said previously, it’s essential for a lot of business people in Galway as well as Irish people living in the UK, only for Galway Airport I wouldn’t have gotten home at Christmas.

      It’s as simple as this, no matter how many people say otherwise. The traffic is there, the business is there and it is keeping a lot of people in jobs. If it closes next year, Aer Arann won’t be long closing after and we can wave goodbye to another few hundred jobs.

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    • Yes it seems “unfair” but they are keeping the Donegal PSO as it was less costly to run, and delivers a return on investment as there is no good road or rail alternative to a remote part of the country. Galway city has Shannon, Knock, rail, express busses, M6, M18, some of the best infrastructure in the country by comparison.

      Yes there is demand for air access to the city, but as previously noted the city has 2 other airports and transport many alternatives nearby. The numbers aren’t there, if they were the airport would be able to fund its own operations and maintain a daily London connection.

      Despite what you say the airports numbers are down 75% from peak, many routes have gone and Dublin ends in July no airlines are interested in returning. So it seems those Galway tourists and business people have been moving to other services in recent years.

      Not looking to bash Galway, would be great if they can cut costs and amintain a reduced service. But the airport needs far more than the annual €1m mentioned, they aren’t putting out the full facts and don’t want to look at the reality.

      Reply
  • Why is Waterford still getting funding if Galway is not, as they both have train services. But let’s be honest Galway should have an Airport more than Knock or Waterford. As it’s used for tourism as well as business purposes! This Leo guy is miss managing this situation Big Time.

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    • That may be so if there weren’t two bigger airports either side of Galway and a two new motorways. “This Leo guy” is basing his decision on the findings of a 2 year report from the last Government evaluating all the regional airports. It found poor return on €200m invested by Government over last 10 years. Costs are rising rapidly while services and passenger numbers plummeted at many regionals and advised cutting PSO and various grants.

      The report found only 5% of Galway tourists used the airport, the majority used state airports (23% used Ireland West). The IDA also said in the report that local airports weren’t vital but better connections within 1 hour would satisfy multinationals. Aer Arann boss has said the same recently.

      Reply
  • Beg?

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  • What airport is that in the photo? It’s certainly not Galway or Sligo…

    Reply

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