Airlines Urge Court Action Over Dublin Airport Cap

DALLAS – Several carriers, including Aer Lingus (EI), Ryanair (FR), and a consortium of U.S. airlines represented by Airlines For America (A4A), are seeking urgent court intervention to prevent what they describe as "imminent, permanent and irreparable harm" due to passenger capacity restrictions at Dublin Airport (DUB).

This legal action comes in response to recent measures imposed by the Irish Aviation Authority (IAA) to enforce the airport's existing 32 million annual passenger cap, established as a condition of planning permission for Terminal 2’s approval 15 years ago. In 2019, 32.9 million passengers passed through the airport, making it the airport's busiest year on record.

Given the industry's post-pandemic recovery, it is no surprise that the Dublin Airport Authority (DAA) has warned that the current cap will be surpassed this year. As of August 2024, the airport has already welcomed 22.7 million passengers, indicating a 5.5% increase compared to 2023. Based on current projections, the total passenger traffic for 2024 is expected to reach closer to 33 million passengers.

To address this projected exceedance, the DAA has submitted an application to Fingal County Council to increase the current cap from 32 million to 40 million passengers annually. This proposed increase is part of a broader Infrastructure Application (IA) that seeks permission for substantial sustainable investments to facilitate the anticipated growth.

The DAA argues that the proposed increase is necessary to meet the growing demand for air travel. However, the IAA has a diametrically opposite view.

IAA's Restrictive Measures, Ramifications

The IAA has proposed significant restrictions on DUB's capacity to ensure compliance with the 32 million annual passenger cap:

• For the Winter 2024/25 season (October 26, 2024 to March 29, 2025), a seat capacity limit of 14.4 million has been set.
• For Summer 2025 (March 30 to October 25, 2025), the IAA has proposed a cap of 25.2 million seats, approximately 1 million fewer than the previous summer.
  

As for the ramifications for airlines and the Irish economy, the carriers argue that these restrictions will have severe consequences:

• Financial losses: EI projects revenue losses of €84 million in 2025 and up to €130 million in 2026.
• Loss of valuable airport slots: Airlines risk losing their "historic" take-off and landing slots, which are crucial for their operations.
• Economic impact: The DAA estimates that the passenger cap could cause €500-700 million in damage to the Irish economy.
• Job losses: Projections suggest up to 20,000 jobs could be lost by 2030 if the cap is maintained.

Major U.S. Airlines Flying to DUB include:

• American Airlines (AA): Offers flights from various cities including Dallas (DFW), Chicago (ORD), and Philadelphia (PHL).
• United Airlines (UA): Provides services from major hubs such as New York/Newark (EWR), Chicago (ORD), and Washington, D.C. (IAD).
• Delta Air Lines: Operates flights primarily from New York (JFK).
• JetBlue Airways: Offers seasonal services to Dublin.
• Alaska Airlines: Provides connections to Dublin through its partner airlines.

Broader Context, Conflicting Interests

While airlines and the DAA push for increased capacity, they face opposition from local residents and environmental groups concerned about noise pollution and emissions. However, the DAA acknowledges the importance of sustainability in aviation.

The DAA says its infrastructure and operational improvements project will ensure that DUB can accommodate the increased traffic while minimizing its environmental impact. €400 million will be invested directly into sustainability and carbon reduction measures as part of the DAA’s Infrastructure Application and Capital Investment Programme.

Still, the Irish government is caught between adhering to planning regulations and supporting economic growth. Finance Minister Jack Chambers has warned that the IAA proposed cap poses a serious risk to overall economic growth in Ireland.

November 4 Update

The number of passenger seats available on aircraft using DUB next summer will remain unchanged. The High Court granted a stay on the aviation regulator’s decision to cap the number of take-off and landing slots during the peak season.

The High Court has authorized airlines to review the summer slot decision, but the hearing hasn’t occurred. The aforementioned Irish airlines and the DAA are also suing the IAA over the winter passenger seat cap. Their proceedings are before the court in December.

Aer Lingus warned the court it could lose 362,000 seats next year if the cap remains. FR said it would lose 3,000 slots, 550,000 passenger seats, and €50 million annually.

Article sources: ire.ie, businessplus.ie, melaniemay.com, ebba.org, irishexaminer.com