A consultants report on the future of Shannon Airport has said that separation from the Dublin Airport Authority offers better growth prospects for its future.
The report by international consultants Booz, commissioned by Transport Minister Leo Varadkar said Shannon faces a significant threat to its future viability under the current ownership arrangement.
Shannon Airport has lost two million passengers since 2007.
The airport had debts last year of around €8m and is understood to have a long-standing debt of €100m.
Minister Varadkar warned business and community leaders in Shannon last month that the status quo was not working for Shannon, and that change was needed.
The consultant's report has said that a move to a local concession model to include the local county councils in Clare and Limerick and possibly Shannon Development and other commercial interests would offer the greatest opportunities for developing business.
It also recommends that it examine new sources of revenue, including exploiting its 2,000 acre land bank around the airport, more emphasis on cargo including using its US pre-clearance facility for cargo.
The report also looked at Cork airport, but said it was performing well under DAA ownership and enjoyed a healthier financial position.
Mr Varakar has said Shannon will be the first of the State airports to have certaintly about its future and he will make a recommendation to Cabinet on the best option for its future viability by Easter.
