The Minister for Transport Mr Brennan has announced plans for the break-up of Aer Rianta.
Under the proposals, announced by Mr Brennan at a press conference in Government Buildings this evening, the State airport authority will be broken up into three companies with three autonomous boards running Dublin, Cork and Shannon airports.
Mr Brennan said the three facilities will compete with each other and "vigorously pursue new business, free from central control."
"This healthy competitive tension and unrestricted quest for new routes, airlines and passengers will grow the business to the benefit of the airports, the regions, tourism, job creation and the country overall," Mr Brennan added.
Hundreds of million euro in debt, owed by Cork and Shannon airports, will be transferred to the company running the Dublin facility. The status quo, where none of the State airports receive Exchequer funding, will remain.
Legislation allowing for the break-up will come before the Dáil in the autumn and the move itself is expected to happen by July 2004. Mr Brennan said he would be announcing the composition of the three new authorities by the middle of next week.
Addressing the concerns of unions, Mr Brennan said no change in the terms and conditions of workers was envisaged.
"My whole approach is focussed on developing the airports and significantly growing traffic levels. In respect of jobs, let me emphasise that I see strong overall growth in business and employment," Mr Brennan said.
But, reacting to the news SIPTU Vice President, Mr Jack O'Connor, said the plan was "a reckless piece of institutionalised vandalism which is directly contrary to the primary need to develop a coherent and integrated transport network by exacerbating the fragmentation of our existing system."
Fine Gael transport spokesman, Mr Denis Naughten, welcomed Mr Brennan's announcement saying it would "offer the three airports involved the chance to compete for new air traffic and to involve local commercial interests in thedevelopment of services at those airports.
However, the Labour Party said there was "no rationale or logic" in the proposals.
"It will do nothing to serve the interests of travellers or airport workers and it certainly will do nothing to promote proper regional development," the party's transport spokeswoman Ms Roisin Shorthall said.
She said the announcement was in direct conflict with commitments given by the Taoiseach during the negotiations for the partnership agreement Sustaining Progress.
Progressive Democrats transport spokesman Senator Tom Morrissey also welcomed the move.
"Today's announcement paves the way for real competition among the three international airports for the first time," he said.
Green Party Leader, Mr Trevor Sargent, said the Minister was "doing more harm than good" by breaking up Aer Rianta.
"Before we talk about the individual management of each airport within Aer Rianta, Ireland needs a National Aviation Strategy to avoid centralisation at Dublin in the air and on the ground," Mr Sargent said.
