8 Nov 2013, 15:08
The Oireachtas Joint Committee on Transport and Communications has called for more defined objectives for the regional development subsidiary of the new Shannon Group to ensure functions are clear and to avoid any misinterpretation or duplication with existing State bodies.
8 November 2013
The recommendation forms part of a newly published Committee report on the General Scheme of the Shannon Aviation Services and Miscellaneous Provisions Bill 2013. The Bill will provide for a new commercial State company that merges an independent Shannon Airport and Shannon Development.
The report also says that a more detailed comparative analysis may be required to ensure that the new Group’s proposed borrowing limit is sufficient to take account of the commercial realities of the Group and to avoid any necessity to have recourse to exchequer funding.
The Committee also recommends greater clarification in the legislation for:
- Term limits for board members and the Chief Executive.
- Appointment functions of the Chairman in relation to boards of subsidiary companies.
- Appointment of worker directors to boards of subsidiary companies.
The report follows a detailed session last month with selected stakeholders including the Shannon Airport Authority (SAA), Shannon Chamber, Clare County Council and SIPTU.
Chairman of the Committee John O’Mahony TD says: “This report forms part of a wider initiative to shape draft legislation at the Oireachtas Committees, with input from key stakeholders at the earliest stages. The Minister for Transport Leo Varadkar TD referred this important piece of legislation to the Committee, which seeks to establish a new commercial State company through merging an independent Shannon Airport and Shannon Development.
“In October, the Committee hosted a session on the legislation with selected stakeholders, and the exchange of views helped inform this Committee Report. This is a significant piece of legislation, particularly for the long term development of the Shannon-Limerick region. The report was compiled with a view to ensuring that the proposed legislation is appropriate to underpin these ambitious plans.”
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Committee on Transport and Communications
Deputies: Paudie Coffey (Vice-Chair), Michael Colreavy, Timmy Dooley, Dessie Ellis, Tom Fleming, Brendan Griffin, Noel Harrington, Seán Kenny, Éamonn Maloney, Helen McEntee, Mattie McGrath, Michael Moynihan, Patrick O’Donovan, John O’Mahony (Chair) and Ann Phelan
Senators: Sean D. Barrett, Terry Brennan, Éamonn Coghlan, Paschal Mooney, Ned O’Sullivan and John Whelan