Dublin Airport: Aer Lingus Warns of Capacity Cuts & Fare Hikes if Cap Reinstated
Aer Lingus CEO Lynne Embleton will warn the Oireachtas Committee on Transport today that any delay in lifting the passenger cap at Dublin Airport could lead to “very significant capacity cuts” next year and potentially increase airfares, according to prepared remarks released Wednesday.
Embleton is set to describe the 32 million passenger limit as a “historic anachronism that needs to be urgently removed” as the committee begins pre-legislative scrutiny of the Dublin Airport (Passenger Capacity) Bill 2026. The Cabinet approved the draft legislation last month, aiming to revoke the cap which stemmed from a 2007 planning permission.
However, the implementation of the bill is currently stalled. The existing restriction is suspended pending a ruling from the Court of Justice of the European Union following legal challenges. Embleton will notify the committee that enforcement of the cap would necessitate a reduction of approximately 4.4 million passengers – over 12% of current traffic levels – with “a catastrophic impact on connectivity, on the airport, and on the wider Irish economy.”
“Enforcement of the cap would too impact supply and demand dynamics and could cause an increase in airfares,” Embleton will state. She will argue that legislative intervention is “justified” in the public interest and that “swift enactment and decisive use of the powers in the Bill will provide certainty and stability.”
The airline CEO will emphasize that the current legal stay preventing enforcement of the cap is not guaranteed to last. A decision from the European Court of Justice is expected within months, and if the stay is lifted before the legislation is enacted, the Irish Aviation Authority (IAA) could be forced to impose the limit when it sets takeoff and landing slots for the summer 2027 season in October.
Ryanair is also scheduled to appear before the committee, and will argue that the 2007 passenger cap is “unlawful” and violates the EU-US Open Skies Agreement. Ryanair CEO Eddie Wilson will tell the committee that the cap will result in “fewer flights” and “higher fares.” Wilson will also dismiss concerns about noise pollution from residents near the airport as “bogus,” arguing that local opposition should not hinder national economic growth.
Aer Lingus and Ryanair are among a number of carriers and airline representative groups, including Airlines for America and the International Air Transport Association, scheduled to present their views to the committee. A record 36.4 million passengers used Dublin Airport last year, despite the existing restrictions.