Funding for Irish airports

Exchequer support is provided to Ireland’s regional airports through a Regional Airports Programme 2021 – 2025. In light of the impact of COVID-19 on Ireland’s smaller regional State airports Exchequer support was also provided in 2021 to regional State airports under a COVID-19 Regional State Airports Programme 2021.

See below links to both programmes and the associated Regional Airports Investment Scheme, which are administered by the Department of Transport in line with relevant EU rules on State aid and the General Block Exemption Regulation (GBER).

While funding under both Programmes is predominantly targeted at safety and security related projects and activities, funding also supports sustainability objectives. This helps eligible airports comply with international regulatory requirements in the areas of safety and security and contribute to national climate targets. The National Development Plan has committed €82.37 million in capital funding to regional airports over the period 2021 to 2030.

In line with the publication requirements of the 2014 Guidelines on State aid to airports and airlines, the following represents the form and amount of aid that was granted to airports under the CAPEX and OPEX Schemes of the previous Regional Airports Programme. Also included is aid granted in 2021 under the Regional Airports Programme 2021-2025 and COVID-19 Regional State Airports Programme 2021.

Principal Economic Sector: Aviation

Region: NUTS Level II (Code IE04 and IE05)

Type of Undertakings: SMEs

Principal Economic Sector: Aviation

Region: NUTS Level II (Code IE05)

Type of Undertakings: SMEs

Funds relating to air traffic control, fire services and security were also provided to airports under the Public Policy Remit (PPR) Schemes of both Programmes.

Exchequer supports were provided under a Supplementary Support Scheme to Irish Airports in 2021 to help address liquidity issues at airports as a result of COVID-19. The overall budget for the Scheme in 2021 was €116 million.

See below link to the European Union Decision approving the Scheme, which is administered by the Department of Transport in line with the EU’s Temporary Framework for State aid measures to support the economy in the current emergency of COVID-19, and Article 107(2)(b) of the Treaty of the Functioning of the European Union (TFEU).

This funding has compensated Ireland’s smaller regional airports for the damage caused to them by COVID-19 and has provided Ireland’s State airports with flexibility to roll out route incentives/charge rebates, in consultation with airlines, with a view to supporting recovery and growth of connectivity.

In line with the publication requirements on State aid to airports the following represents the amount of aid that was granted to airports under this Scheme.

Principal Economic Sector: Aviation

Region: NUTS Level II (Code IE04, II05 and IE06)

Type of Undertakings: SMEs, Large Enterprises

While the Scheme was initially approved by the EU on 23 February 2021 with a budget of €26 million a subsequent amendment to increase the budget by €90 million to €116 million received EU approval on 3 December 2021.

Read both European Union Decisions in full:

European Union (EU) Decision State Aid SA. 100481 (2021/N) Amendment of State aid scheme SA.59709 – Ireland – COVID-19 aid to airport operators

The aim of this Programme is to support Cork and Shannon airports in achieving their climate targets under the Climate Action Plan and investing in infrastructure to build resilience against the likely impacts of climate change.

This Programme has been designed in line with the EU’s General Block Exemption Regulation (GBER) Commission Regulation (EU) No. 651/2014. These rules place limits on the amount of aid that can be given to regional airports in respect of their ‘economic’ projects or activities i.e., those that give an economic return to the airport. This Programme will support capital investment of an economic nature under a CAPEX Scheme. In line with Article 56a of the GBER investment aid to regional airports will be provided to support up to 50% of eligible project costs

Principal Economic Sector: Aviation

Region: NUTS Level II (Code IE05)

Type of Undertakings: SMEs