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Ryanair pleads with EC over Charleroi deal
Ryanair’s chief executive has been meeting EC representatives in an attempt to convince them that the carrier’s business model is a legal one – but received a “cool” response, according to reports.
According to The Guardian newspaper, Michael O’Leary made an “impassioned plea” as the European Commission entered the final phase of its investigation into “potentially illegal” subsidies it receives from one of its main hubs, Belgium’s Charleroi airport.
The newspaper states that the case’s outcome will be crucial to the carrier’s future – and for other low-cost airlines – because it will determine how much small airports are allowed to subsidise airlines in return for a guaranteed level of traffic.
One unnamed commissioner told the newspaper there were concerns over the manner in which the deal had been struck: “It is one thing to make an investment but it’s another to do it secretly. When the negotiations took place they were not public and a lot of people did not know what was available and now all the slots are taken. It’s too late.”
For his part, Mr O’Leary reportedly told The Guardian that if the decision went against the carrier, there were at least four other airports “willing to step in” – but he did not identify them.
Meanwhile a new fund is to be set up to encourage the development of new direct air routes between Northern Ireland and continental Europe. The money will enable Northern Ireland’s aiports to reduce landing charges for carriers on selected and targeted new routes.
See today’s story:
Northern Ireland airports to get new route subsidies
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