EU rejects Aer Lingus aid request
The European Union’s Council of Transport Ministers has indicated that it will not allow the Government to give state aid to Aer Lingus.
Public Enterprise Minister Mary O’Rourke pleaded with the council to be allowed to give cash to Aer Lingus but it is expected to announce that her requests have been denied.
Under EU competition law, member states are banned from providing aid to airlines.
The European Commission has already allowed governments to help airlines overcome the rising insurance and security costs incurred since the September 11attacks in the United States.
The EC has also allowed governments to compensate airlines for the four days’ business lost while US airspace was closed. The Council of Transport Ministers is expected to announce that no expansion of these measures will be allowed.
Meanwhile, union officials representing Aer Lingus staff will meet senators and TDs tomorrow in an attempt to save the 3,200 jobs at risk since the September 11 attacks.
The delegation is also expected to attend the Dail debate on the outcome of today’s meeting of the Council of Transport Ministers, while SIPTU plans to send a group to Brussels on Thursday to lobby Irish MEPs about the question of state aid.
