asked the Minister for Transport the present position in relation to the negotiation's between Aer Rianta and Federal Express on the possibility of Federal Express using Shannon airport as its European base.

Aer Rianta are actively pursuing the possibility of attracting Federal Express to use Shannon Airport as a base for their European operations. A number of other airports are also in contention and I understand that Federal Express are unlikely to take a decision until early in 1982. I can assure the Deputies that every effort is being made to attract Federal Express to Shannon.

7.

asked the Minister for Transport the present position in relation to the proposal by the US Federal Post to establish a European and Middle-Eastern base at Shannon; and if he will take every possible action in an effort to secure this project for Shannon Airport.

I am not aware of any proposal by the US Federal Post to establish a European and Middle-Eastern base at Shannon.

8.

asked the Minister for Transport if he is prepared to grant licences to additional airlines to operate services between Shannon and London and Shannon and continental Europe.

9.

asked the Minister for Transport if he will accede to the request by Dan Air to provide an early morning and late night return service from Shannon Airport to London.

With the permission of the Ceann Comhairle I propose to take Questions Nos. 8 and 9 together.

The operation of scheduled air services to and from Ireland is governed by Inter-Governmental Bilateral Air Services Agreements. Subject to the terms of the relevant agreement, I am prepared to consider any proposals for additional scheduled services between Shannon and points in Continental Europe.

Designation of an additional carrier to provide scheduled Shannon-London services would fall to be processed within the terms of the UK-Ireland Bilateral Air Services Agreement. As is the case for the Dublin-London route, the agreement provides that the Shannon-London route may be operated by one carrier from each country. At present Aer Lingus and British Airways provide scheduled services on the route.

Has the Minister received an application from Dan Air and from Laker Airways?

I am not aware of any application from Laker Airways. I am aware that Dan Air are interested in the route.

Would the Minister indicate his encouragement of Dan Air on the route in view of the inability of the existing carriers to service the traffic on the route?

I am not aware of the ability or lack of ability of the existing carriers. With regard to Dan Air, as I said in reply to the question, the position is covered by the UK-Ireland Bilateral Air Services Agreement. I understand that this agreement provides that this route may be operated by only one carrier from each country. As there already is a carrier from each country on the route my advice is that a second carrier from the other side or from our side would be precluded.

Would the Minister consider having the bilateral agreement amended to allow two carriers from a particular country in view of the unsatisfactory nature of the present service?

One would have to establish that the present service was unsatisfactory before embarking on something as fundamental as amending an international agreement.

Could the Minister indicate if Dan Air have also an interest in the Dublin-London, Gatwick, route?

Yes, I can so confirm to the Deputy and the same difficulties arise there.

Is the Minister aware that contradictory information in reply to a similar supplementary was given here last week on the Minister's behalf?

What information is the Deputy talking about?

Information contradictory to what the Minister has said now.

I am not so aware.

That has happened.

Would the Minister agree that the company are anxious to provide this service and that Shannon airport could do with extra passengers at this time in view of its financial situation?

I am well aware of the need for generating further traffic in Shannon and I would have no objection to further traffic there but, as I indicated to Deputy O'Malley and to Deputy Kemmy in the original reply, the position is covered by an international agreement.

It is not my intention to get into the Shannon situation. With regard to the Minister's reply to the supplementary from Deputy Reynolds concerning the application for Dublin, will the Minister take into account the legitimate concern of the employees of Aer Lingus with regard to any extra carriers into Dublin and that any decision he makes will not affect the employees of Aer Lingus and the operations of Aer Lingus into Dublin?

The Deputy has touched on the other side of the coin, the consumers and the employees of Aer Lingus.

That does not arise on this question.