Ryanair sues European Commission
Ryanair have lodged a case in the European Court against the European Commission.
The airline has said that the Commission has failed to act on Ryanair’s complaint regarding illegal State aid granted by the German authorities to Lufthansa at Terminal 2 in Munich Airport.
Michael O’Leary, Ryanair’s CEO, said: "Lufthansa / Star Alliance have exclusive use of Terminal 2 in Munich, which was provided at a cost of €1.5bn (over €1bn paid by the German Government and the Regional Authorities), and which has led to the airport incurring losses of over €100m in 2004-2005.
"No private investor would have invested in the loss-making facility and then granted exclusive access to just one airline.
"Lufthansa is therefore receiving substantial State aid at Munich airport, which distorts competition in the European air transport market."
"We have called on the European Commission to investigate these serious distortions of competition in favour of Lufthansa at Munich. Munich Airport’s refusal to allow Ryanair to use this facility has subjected passengers in Bavaria to the stranglehold of Lufthansa’s high fares and fuel surcharges while Lufthansa has unfairly benefited from substantial amounts of State aid.
"Ryanair has been left with no alternative but to challenge the Commission’s inaction in the European courts. We are calling on the Commission to start promoting competition and to stop protecting flag carrier high fare airlines which continue to receive large amounts of unlawful State aid."
