PSO contracts for regional air services on Donegal-Dublin and Kerry-Dublin routes announced
The Minister for Transport Tourism and Sport, Paschal Donohoe TD, has announced today that he is to retain the Public Service Obligation (PSO) Donegal-Dublin and Kerry-Dublin routes.
Following an EU public tendering process the Minister announced that Stobart Air has been successful in securing the tender to provide scheduled air services on the those routes, subject to a contract being put in place.
The current PSO contracts on these two routes expires on 31st January 2015 and the new combined contract will operate from 1st February 2015 until 31st January 2017. This contract may be extended for a further period of a maximum of one year, following the initial two year period, subject to a satisfactory review undertaken after the initial period of 18 months of operation.
Under EU Council Regulation (EEC) No. 1008/2008 of 24th September 2008, the Government established Public Service Obligation (PSO) air services schemes. Such schemes provide financial support to airlines, based on a competitive tender, to operate essential services serving peripheral or development regions which are considered vital for the economic development of those regions and which would not otherwise be provided on a commercial basis.
Donegal and Kerry Airports are the most remote of the regional airport network from Dublin and continuation of the PSO air services promotes balanced regional development for those areas.
Passengers from Donegal and Kerry are able to conduct their business in Dublin and return home on the same day. Travellers also benefit from the international connectivity available from Dublin Airport. Regional airports are viewed as being important because of the level of international connectivity that they bring to a region for tourism and business. That connectivity is seen as being a significant contributory factor underpinning Ireland’s economic recovery and sustainable development into the future.
Following an assessment of tenders by an Evaluation Panel, Stobart Air was selected to have the most economically advantageous bids for the routes.
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