The Government has once again deferred a decision on a second terminal at Dublin airport after pre-Cabinet meetings yesterday involving Taoiseach Bertie Ahern, Tánaiste Mary Harney and Minister for Transport Martin Cullen failed to resolve differences on the issue.
Despite a widespread expectation that the matter would be discussed - and possibly even decided - at yesterday's weekly Cabinet meeting, the issue did not come up at all. Before the Cabinet meeting Mr Ahern and Ms Harney met to discuss the disagreement over the expansion of Dublin airport.
Ms Harney then met Mr Cullen. It was after these meetings that it became clear there was still no agreement, and that there was no point in having a full Cabinet discussion.
The Taoiseach insisted in the Dáil yesterday that agreement would be reached.
"When the Government has finalised the best and most efficient mechanism for doing this [ building a new terminal], we will announce all the details and will do so shortly," he said.
A spokesman for Mr Cullen also sought to suggest that a deal was close. Mr Cullen had had "a very positive engagement with the Taoiseach and the Tánaiste which addressed the matter further, and we look forward to final agreement shortly," the spokesman said.
Ms Harney indicated on Monday that she would not object to the Dublin Airport Authority tendering in a public competition to run the second terminal. This seemed to remove the major stumbling block, which well-placed Government sources had said was the PDs' insistence that the authority not be allowed to tender.
Fianna Fáil and PD Ministers are now in agreement on most elements of the long-awaited aviation package, which requires Cabinet approval. This includes the sale of a majority share of Aer Lingus, and the building of a new extension to the current terminal, Pier D. It also involves the building of a second terminal at Dublin airport by the Dublin Airport Authority, which currently operates the airport.
The two parties also agree that a competition should take place to decide who will run this second terminal. While they were reported to be in disagreement over whether the authority should be allowed a chance to tender to also run this facility, Ms Harney's comments on Monday indicated that this issue had been resolved also.
While the PDs were initially insisting that there be competition between the terminals at the airport, her remarks suggested that she would see her requirement for competition as being fulfilled if there were an open competition for the contract to run the terminal.
The Government's plan is also expected to envisage a third terminal, although this will be portrayed as part of a long-term plan to deal with expected continuing growth in passenger traffic through Dublin airport after the second terminal is built. The possibility that this could be run by a private entity and not the authority will be left open.
Mr Ahern told the Dáil yesterday that when Dublin airport reaches the stage where there are 20 million passengers passing through it each year, "not alone will we have Pier D but we will also have a second terminal to cater for them".
Employers' group Ibec yesterday expressed its concern that the Government's delay in providing an additional terminal was damaging Ireland's reputation among the international business community and having a detrimental effect on foreign investment and tourism.