Newly appointed Minister of State at the Department of Transport, James Lawless, has announced the high-level outcomes of the Mid-term Review of the Regional Airports Programme 2021-2025. His announcement came as he visited Shannon Airport as part of his ministerial responsibility for aviation.
A public consultation was undertaken by the Department of Transport in 2023 to inform a mid-term review of the Programme which currently supports Ireland West, Kerry and Donegal airports. The review found that the Programme is delivering on its objectives and is in line with Ireland’s National Aviation Policy.
With the objective of enhancing Ireland’s connectivity through regional airports, the review recognises that Exchequer funding provided to regional airports and supporting Public Service Obligation (PSO) air services between Donegal and Dublin has supported connectivity. Ireland has established good connectivity through our five regional airports with the UK, Europe and the U.S. Overall passenger traffic across regional airports last year was up 9% when compared with 2019 (the last comparable period prior to COVID-19).
The review acknowledges, however, that further consideration could be given to how the Programme could better support connectivity and regional development. The high-level outcomes announced are:
Immediate Actions
- Develop a new Regional State Airports Sustainability Programme with a capital budget of €4.225m to support Cork and Shannon airports’ sustainability plans.
- Expand the scope of sustainability projects funded under the Regional Airports Programme 2021-2025 to support projects relating to the production of electricity from renewable sources such as Solar PV farms.
Actions in advance of any next Regional Airports Programme (beyond 2025)
- Consider the extension of supports, on a temporary phased step-down basis, for airports who forecast growth beyond one million passengers under any future programme (to avoid a ‘cliff edge’ in supports when breaching the current threshold for eligibility of one million passengers).
- Explore how policy can better align with Project Ireland 2040’s objective of promoting balanced regional development, by undertaking a detailed analysis in relation to the broadening of the scope of Programme eligibility to allow for the inclusion of airports with greater than one million passengers.
- Undertake a consultation process with relevant stakeholders to consider the potential for the development of a Start-up Aid Scheme for airlines to support strategic route development to and from the regions.
Speaking at Shannon Airport, Minister Lawless said: “I am pleased to be here today to announce the high-level outcomes of the Mid-term Review of the Regional Airports Programme 2021-2025. While the primary focus of this review was on the performance of the Programme to date, recommendations and proposed actions on foot of this review, including the high-level actions being announced today, may contribute to the development of policy on future appropriate and cost-effective support measures for regional airports in Ireland, including the development of any future Programme.”
The mid-term review also gave consideration to expanding the scope of the Programme to regional airports that handle greater than one million passengers per annum.
Minister Lawless added: “I recognise that regional airports face financial challenges in meeting their carbon reduction targets under the Climate Action Plan. In recognition of the importance Government attaches to airports being well positioned to meet their carbon reduction emission targets and build resilience against the likely impact of climate change, I am delighted to announce today a new Regional State Airports Sustainability Programme. This Programme, with a budget of circa. €4m, mirrors the sustainability objectives of the Regional Airports Programme by supporting capital investment at Shannon and Cork airports. This investment builds on the €5.6m capital funding announced for Ireland West, Kerry and Donegal airports on 25 April. Further operational supports of an additional circa €4m will be allocated to these three airports later this year.
Minister Lawless concluded: “This level of targeted support is an indication of the importance Government attaches to our regional airports. Our National Aviation Policy is designed to create an environment that encourages the sector to enhance Ireland’s connectivity and to maximise the contribution of aviation to Ireland’s sustainable economic growth and development.
“I am pleased to see the continued growth in connectivity across our regional airports this year with passenger traffic to end June being 9% higher when compared with the same period last year. With a view to further enhancing regional connectivity, I have asked my Department to undertake a consultation process with relevant stakeholders to consider the potential for the development of a Start-up Aid Scheme for airlines, to further support new strategic route development to and from our regions.”
The Regional Airports Programme supports Ireland’s smallest airports that handle fewer than one million annual passengers and provide scheduled passenger services, facilitating international connectivity, either directly or via another national hub airport such as Dublin. In addition to targeting funding at safety and security related projects and activities, the Programme also supports projects with a sustainability focus, encouraging airports to reduce emissions and build resilience to climate change. Airports eligible in 2024 are Ireland West (Knock), Kerry and Donegal.
An Exchequer funded Public Service Obligation (PSO) air service between Donegal and Dublin is also supported under the Programme, providing vital connectivity to the people and businesses in the North-West region.
The principal goals of Ireland’s National Aviation Policy are to:
- Enhance Ireland’s connectivity by ensuring safe, secure, and competitive access responsive to the needs of business, tourism and consumers.
- Foster the growth of aviation enterprise in Ireland to support job creation and position Ireland as a recognised global leader in aviation; and
- Maximise the contribution of the aviation sector to Ireland’s economic growth and development.