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New contracts for regional air services - Varadkar
Transport Minister Leo Varadkar today announced that following an EU public tendering process, contracts for scheduled air services on the Public Service Obligation (PSO) routes between Donegal and Dublin and Kerry and Dublin have been secured by two airlines.
The Scottish regional carrier Loganair has been awarded the contract for the operation of the Donegal/Dublin service and Aer Arann has been awarded the contract for the operation of the Kerry/Dublin service. Services are expected to start this November.
The new contracts are for the three year period commencing on 3 November 2011 with two return flights each day on both routes. It will involve an average subvention of €7.6 million per annum.
Minister Varadkar said:
Donegal and Kerry are the most remote of the regional airports from Dublin. This was a key factor in the Government’s decision to continue funding for the PSO air services to these two airports for a further three years, despite the current public funding constraints. Renewal of the contracts in 2014 will depend on how extensively the services are used, and on public finances.