Minister for Transport Darragh O'Brien has said retaining Dublin Airport's passenger cap will stifle its growth.
The Department of Transport will begin the process of removing the Dublin Airport passenger cap in the coming weeks.
The cap, which stands at 32 million passengers per year, was imposed in 2007 as part of the planning conditions around the development of Terminal 2.
At the time, the airport had about 23 million passengers.
Legal proceedings by airlines have effectively suspended the cap, with questions referred to the European Courts.
Speaking on RTÉ's Morning Ireland, Mr O’Brien said the airport is a "critical economic driver for the country, not just for the region, and any stifling of that growth obviously has a direct economic impact".
"I've had a series of meetings over the course of the last number of months, particularly with our legal advisors, and I'll be coming forward to Cabinet, hopefully before the Budget, with legislative options that is in seeking approval to proceed with drafting Heads of Bill and the general scheme," he added.
Mr O’Brien said he was in favour of the removal of the passenger cap, which could see up to 60 million passengers pass through the airport per year, if the growth was managed in a sustainable manner.
"You have obviously got to do that on a phased basis. One is not going to jump from 36 million to 60 million in the course of one, five, ten years," he said.
He said a "couple of very significant planning decisions" have been made.
"The night flights issue has been addressed in July, which gives clarity to the airport and indeed to residents around the operation of the airport at night," he said.
"We're expecting, very, very shortly in the coming weeks, a positive decision on Metrolink, which is a transformative project for the airport, and indeed for the region."
"The physical infrastructure around the airport that existed back in 2007 when this planning permission was granted and that condition was put in place, has changed greatly and will change further," he added.
Mr O’Brien said that there would "unquestionably" be an increase in greenhouse gas emissions if the passenger cap is removed, but added that the aviation sector had responsibilities to combat that potential increase.
"What also is in that [planning] application, and which is understood in the aviation sector, is the responsibilities they have to bring forward the use of alternative fuels, such as SAF (Sustainable Aviation Fuel)," he said.
"Airplanes are far more advanced technologically now and are more efficient in relation to fuel use.
"We have obligations on the climate side and I'm acutely aware of that as Minister with responsibility for that.
"We've seen emissions reduce over the last two years in Ireland, whilst our economy and population continues to grow. So we're making advances in many areas, and this is a balance that we will have to strike."
Mr O’Brien said he had already met with a number of residents groups to hear and discuss their concerns.
"I have met with the residents group from St Margaret's over the summer," he said.
"I'll be meeting with them again. I've met with residents in Portmarnock. I know the area intimately as I've spent my whole life here.
"I also know that there are many residents here who understand we need to grow the airport, and indeed a lot of those residents do, and there are others who have concerns and I continue to engage with them, absolutely."
