Ahern welcomes Cork airport move to hire consultant

The Taoiseach said today he welcomed the decision by the board of the Cork Airport Authority (CAA) to hire an independent consultant to develop a plan on the airport's viability.

Speaking to reporters in Cork today, Bertie Ahern said there should be "co-operation" between the CAA and the Government on the matter.

"The board have put out a strategy of what they want to do. I welcome it, we'll work with that, and we'll now take it forward," Mr Ahern said.

Last night, the CAA board declined to accept a Government proposal that it pay €100 million of a €220 million debt, having been promised by the Government in 2003 that it would start life debt-free.

In 2003, then minister for transport Seamus Brennan, said: "It is envisaged that the two independent airport authorities for Shannon and Cork will both commence business free of debt and that the debts associated with these airports, including the debt associated with the major new investment programme currently underway at Cork airport, will remain with Dublin airport."

When challenged by reporters on this today, the Taoiseach refused to be drawn before answering "I've said what I've said".

The CAA said yesterday it was not in a position "to evaluate or discuss the long-term financing of Cork airport as recently proposed".

Meanwhile the Progressive Democrat's John Minihan said that his party would not support any transfer of debt to Cork airport.

The Cork South Central senator said: "In Government we will not agree to any decision to saddle Cork airport with a debt that will leave it unable to compete effectively for the business that this region needs if it is to grow and prosper.

"Neither will we agree to it being anything other than an independent entity with the freedom to make decisions in Cork's interest. It is that clear and simple," he added.

Cork airport is believed to owe €220 million to the Dublin Airport Authority, made up from €90 million owing on the new terminal building, a further €90 million on ancillary new facilities and €40 million in a longstanding debt.