
โThe implementation of a roadmap and a clear timeline is crucial for the recovery of air travel and Irelandโs connectivity,โ says Mary Considine, CEO, Shannon Group.
โRestoring regional connectivity and international travel will be pivotal to economic recovery as we come out of the pandemic. We need a clear framework to facilitate the restoration of air connectivity whilst continuing to protect public health.
“Progress with vaccination programmes across our key markets, improved testing and digital technology such as the European Unionโs Digital Green Certificate can help pave the way for travel to reopen in a safe manner.โ said Ms. Considine.
Commenting on the publication today of Shannon Groupโs 2020 annual report, Ms. Considine said: โ2021 will undoubtedly be another difficult year for aviation and tourism. Last year, two of Shannon Groupโs businesses were severely impacted by the pandemic and this was reflected in the Groupโs 2020 annual report with just over 352,000 passengers using Shannon Airport last year, a 79% decrease on 2019, (a 92% reduction in the period April to December 2020 versus 2019).
“In addition, the Group experienced a collapse in visitors across its portfolio of heritage attractions, which are heavily reliant on international visitors. The sites recorded just over 302,000 visitors in 2020, a reduction of almost 69% on 2019.
โThese declines reflect the devastating impact of COVID-19 and were particularly disappointing given the optimism with which we embarked on 2020, forecasting growth for each of our Group businesses.
“We had secured new routes for the Airport, were continuing our strong property development strategy and anticipating growth at our heritage sites. Unfortunately, instead we found ourselves facing an unprecedented crisis which resulted in the Group recording a loss for the year of โฌ28.2 million compared to a profit in 2019 of โฌ21 .6 million,โ said Ms Considine.
โGovernment support through the provision of capital funding under the Covid-19 Regional State Airports Programme is a welcome contribution towards the overall cost of a range ofย critical safety and security projects to futureproof the Airport, included in these are security equipment upgrades and airfield rehabilitation works.
โWe know the importance of air connectivity in supporting tourism, Foreign Direct Investment (FDI) and indigenous investment in our region and along the West Coast and the need to restore air services for these sectors is crucial.
“We appreciate the range of Government supports Shannon Group has received since the onset of the pandemic and we will continue to advocate the benefits of putting in place a multi-year funding arrangement, providing capital and operational funding for State-owned regional airports, support packages for airlines for route development, along with an increase in route marketing funds available to Tourism Ireland which will be critical to the economic recovery of the regions,โ said Ms Considine.
Shannon Groupโs property business performed strongly during 2020. The Group continued to deliver on its property development strategy which has seen it invest over โฌ130 million and deliver 1 million sq ft of commercial property solutions across the Shannon Campus at Shannon Free Zone and Shannon Airport since 2015.
โOur latest project, a development of three advanced manufacturing and logistics facilities totalling 148,000 sq ft on a 12-acre site in the Shannon Free Zone is now complete. US/UK based clinical-stage gene therapy company MeiraGTx have taken two of these buildings and are currently undertaking a significant fit-out,โ said Ms Considine.
Further strategic developments are planned for the Shannon Campus in 2021. The next phase of its property portfolio development strategy will see the delivery of a new 40,000 sq ft R&D high bay technology unit, the redevelopment of two existing buildings as multi-purpose units and small office suites.
The Group is also advancing a planning application for the development of a 60,000 sq ft warehousing facility. In line with its commitment to sustainability, work continues on installing smart infrastructure throughout Shannon Free Zone.
โWe continue to work with Fรกilte Ireland to secure funding that will enable the delivery of an ambitious project to significantly enhance the visitor experience at Bunratty Castle and Folk Park.
โFor much of 2020 our attention was on taking the difficult but necessary steps to allow us to survive the immediate crisis. Our focus is now firmly on recovery and rebuilding our business.
“We will eventually recover from the economic impact of COVID-19; however, aviation industry experts are predicting that it will take a number of years for activity levels to return to anything like normal,โ said Ms Considine.
โThroughout the crisis we continued to maintain close relationships with our aviation partners and were pleased to end 2020 on a positive note, with Ryanair announcing it would re-open its Shannon base with one based aircraft and recommence 14 routes for Summer 2021.
Since then, we have had further good news with Ryanair adding a new route to Corfu, bringing to 15 the total number of destinations available from Shannon in 2021.ย The success of these Ryanair services and the return of the Aer Lingus and other services at Shannon are key to restoring connectivity for this region, and will be dependent on the success of the vaccine rollout and the implementation of a roadmap for reopening aviation,โ she said.
โIt is hoped the expected easing of restrictions over the coming months will see our day visitor attractions sites re-open for the summer and we are delighted to reopen some of our outdoor heritage sites in Clare and Dublin this week.
โPrior to COVID-19, Shannon Group activities made a significant contribution to the economy supporting over 46,000 jobs, generating an economic impact of โฌ3.6 billion per year and contributing โฌ1.1 billion in Exchequer returns annually. I am confident that our own efforts, alongside the right supports for the Irish aviation and tourism sectors, will help ensure Shannon Groupโs recovery from this crisis,โ said Ms Considine.
To view Shannon Groupโs annual report for 2020, click here https://www.shannongroup.ie/news-media/publications