Airline gets leave to appeal desk rental charges

Ryanair has secured leave to challenge a decision of the Commission for Aviation Regulation to approve fees for the rental of check-in desks at Dublin Airport.

The company says it should not have to pay the full charge because it does not use a computerised check-in system.

Mr Bill Shipsey SC, for Ryanair Limited, yesterday secured leave from Mr Justice McKechnie to bring judicial review proceedings challenging the Commission's decision of October 6th last.

Mr Shipsey outlined that check-in desks include facilities provided under the CUTE (Common User Terminal Equipment) system and these allowed different airlines to use the same desks.

Ryanair did not operate a computerised check-in system but rather operated an internet-based booking system and a manual check-in system which, it claimed, was more efficient and cheaper than the computer system.

When seeking approval for check-in charges from the Commission, Aer Rianta (since replaced by the Dublin Airport Authority) had included cost proposals for the CUTE system.

After the Commission issued a consultation paper on access fees, Ryanair took issue with several aspects of the fees sought, including the inclusion of CUTE costs.

At the Commission's instigation, the airport authority had addressed that matter and sent the Commission revised costings, excluding any allowance for CUTE.

The revised costing for annual check-in desk rental excluding CUTE was €54,951, down from €64,751.

The airport authority had said it was seeking approval for an annual check-in desk rental fee of €16,718, and, because that proposed charge was substantially below the full €54,951 costing, it did not include any element of the charge for CUTE.

In the event, the Commission had approved an annual check-in desk rental at Dublin Airport of €16,718 and hourly check-in desk rental of €20.90.

Mr Shipsey said that this differed from the situation at Shannon Airport, where there was a separate charge for CUTE.

In an affidavit, Mr Jim Callaghan, head of regulatory affairs with Ryanair, said the Commission did not or did not adequately scrutinise check-in costs. Ryanair was puzzled by and disappointed with the Commission's approach and found it hard to follow its reasoning.

More worryingly, Mr Callaghan said, the Commission for Aviation Regulation appeared to have taken the Dublin Airport Authority costings at face value, and to have adopted without question the authority's policy not to reduce the charges because they were purportedly below cost.