Dublin Airport is expected to handle approximately 31.1 million passengers this year, while remaining the “Aldi and Lidl” of Europe’s capital city airports in terms of its airline charges, according to Kenny Jacobs, the CEO of DAA.
He made these remarks after the UK’s Competition and Markets Authority (CMA) announced its intention to uphold a decision made by the UK’s Civil Aviation Authority earlier this year regarding the charges Heathrow Airport can levy on airlines.
Heathrow Airport, which is privately owned, was instructed by the CAA to reduce fees to £25.43 per passenger between 2024 and 2026, compared to the current charge of £31.57 per passenger for 2023. However, Heathrow Airport and airlines such as Delta, Virgin, and British Airways appealed this decision.
The CMA stated that Heathrow’s appeal expressed concerns about insufficient revenue to support investments, particularly in the aftermath of the Covid pandemic. Conversely, the airlines argued that the CAA allowed Heathrow Airport to charge too high a price per passenger.
The CMA has until October 17 to determine whether to accept or reject the appeals brought forth by the parties affected by the decision.
Meanwhile, the Commission for Aviation Regulation (CAR), which now falls under the Irish Aviation Authority, determined that the maximum charge per passenger levied by Dublin Airport this year is €7.59, based on early 2022 calculations. The nominal maximum charge for 2023 is €8.50, significantly lower than the €13.04 to €14.77 requested by DAA, which argues that this amount is necessary to hire enough security personnel and continue with major infrastructure projects.
Ryanair and Aer Lingus, Dublin Airport’s largest customers, have joined a High Court case supporting the DAA’s pursuit of a judicial review of the charges. Ryanair has criticized DAA’s multi-billion euro capital investment plan as “wasteful”.
Kenny Jacobs emphasized that despite inflationary pressures and cost increases, Dublin Airport’s charges remain extremely low. He stated, “Even if we were to secure the modest increase we have sought to be resilient and allow us to meet the demand for international travel as Ireland’s population grows, we will still be considered ultra-low cost.” He added that no other capital city airport in Europe can provide the same level of affordability and service as Dublin Airport, as it continues to invest in facilities to meet customers’ expectations.
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