A car bought by daa, which operates Dublin and Cork airports, in 2019 for its CEO is "unacceptable in every respect", Fine Gael TD Fergus O'Dowd has said.
The authority confirmed to RTÉ's Morning Ireland that it spent €117,000 on a three-litre Land Rover Range Rover Sport Diesel SUV for its then CEO Dalton Philips.
The use of the car was on top of his salary and pension. The daa said the CEO had the use of the car, but never owned it. The purchase was part of Mr Philips' contract of employment.
The contract was approved by the Minister of Transport and the Minister of Public Expenditure and Reform.
Deputy O'Dowd acknowledged that Mr Philips was also responsible for the operation and management of Cork Airport.
"But this is all the more reason that top executives and daa should be at the forefront of climate change and how we do business," he said.
"It's sports diesel. It's an SUV. It's three-litre diesel. It's everything it shouldn't be.
"The key point is that this person works in Dublin. The average speed in Dublin of a car is about 17km/h. It's the second lowest speed in Europe.
"So this car is going nowhere, but at enormous cost to the environment and to the State and it's entirely unacceptable in every respect."
A source familiar with Dalton Philips' remuneration package at the daa told RTÉ News that "when Dalton Philips took up the role as CEO in 2017, he essentially 'inherited’ a 3-litre Range Rover diesel already being driven by his predecessor in the role".
The source said "Mr Philips continued to drive this care until 2019 when it was replaced with a similar car. He paid the benefit in kind tax liable on the car at all times over the four years he was driving it."
It is 77km by the most efficient route from Mr Philips’ home in Glenealy, Co Wicklow to Dublin Airport where he was based as chief executive.
Cork Airport, where he often needed to attended, is roughly 300km depending on the route taken, well beyond the range you could comfortably rely on to drive in any electric vehicle. Dublin Airport to Cork Airport - a journey he also had to make at times - is a 275km trip via M50, M7 and M8.
"He was glad to have a car he could drive comfortably and safely on his 154km round trip from Wicklow each day and the occasional 600km round trip to Cork.
"During the pandemic, Dalton voluntarily took a 20% pay cut for 11 months," the source said.
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The remuneration packages for CEOs of transport agencies
The car was purchased in 2019 for the CEO at a cost of €117,000.
Figures covering Mr Philips' salary and remuneration show he was paid: €216,000 salary plus €110,000 in pension contributions in 2020 and health benefits; €235,000 plus €110,000 in pension contributions in 2021 and health benefits.
In 2022 - when he left daa -he was paid €172,000 plus €110,000 in pension contributions and health benefits.
The figure for what he was paid in 2019 was not included in the Dáil written question.
Deputy O'Dowd has questioned the Department of Transport on the level of allowances paid to executives in the semi-State sectors.
"The Departments of Transport and Public Expenditure and Reform, who gave the go ahead for the purchase, need to get their houses in order," Mr O'Dowd said.
"All government departments need to assess what vehicles are being purchased with their consent."
Mr O'Dowd highlighted that the CEOs of Irish Rail, Bus Éireann and Dublin Bus are driving electric cars and reducing their carbon footprints.
The airport authority said it is currently leasing an electric Mercedes for current CEO Kenny Jacobs.
It also said it would purchase a new executive level electric car for the CEO for the length of his tenure.
Mr O'Dowd said that €60,000 was "more than enough" to spend on a car for anybody, "no matter what company you run".
"Big equals power equals status is the old way of doing things. The days of the 3L diesel, the Range Rover/SUV is well and truly over.
"It's a complete waste of money as well."
A spokesperson for Minister for Transport Eamon Ryan said: "While the operation of Dublin Airport is a matter for the daa, the minister is asking the department and the daa to provide all relevant information on the company car provided to the previous CEO."
When asked what was the justification for the purchase of the vehicle, the daa said: "This is provided under the CEO employment contract".
It added: "The vehicle was sourced through the daa fleet management contract provider. The fleet management contract was tendered in mid-2012 with a seven year term.
"The terms and conditions attached to the CEO employment contract were determined with the consent of the Minister for Transport and the Minister for Public Expenditure and Reform in compliance with the Code of Practice for the Governance of State Bodies".
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Other payments were made to the CEOs of the airport authority.
Figures show in 2023, the CEO is paid €285,000 with a pension benefit of €71,000 and medical benefits.
In 2021 the previous CEO was paid €235,000 with a pension benefit of €110,000.
Over €25,000 was paid to the CEO as an "other" payment in 2022 for annual leave not taken.
In a written response to a parliamentary question by Mr O’Dowd to the Minister for Transport, the Department stated: "The 'Other' payment in 2022 related to the payment of annual leave earned upon termination of the previous CEO employment.
"This related to payment of c.26 days annual leave (six days carried forward from 2021 and 20 days for 2022). The majority of the balance was accrued during 2022 when the CEO was unable to take leave given the challenges being faced by the business at Dublin Airport throughout 2022."
Shannon Airport
The parliamentary question also shows that health insurance for CEO of Shannon Airport Group Mary Considine in the following amounts was paid: €9,701 (2020), € 11,759 (2021), €11,148 (2022) and €11,140 (2023).
A spokesperson for Shannon Airport Group confirmed the insurance is for Ms Considine, her husband and three children.
The spokesperson said: "The health insurance relates to the CEO and her immediate family. As indicated in the parliamentary question reply by the minster, the CEO of The Shannon Airport Group discharges benefit in kind personally (including health insurance). This means the CEO is responsible for the tax on the value of the health policy.
"The remuneration of the CEO is disclosed in accordance with relevant government guidelines in the Annual Report every year."
Dublin Bus
Dublin Bus CEO Billy Hann was provided with a company car in March 2023. The CEO's salary is €200,000 and there is a 25% contribution of annual salary to Defined Pension Scheme.
The car is fully electric - a Ford Mustang Mach-E - and is leased by Iarnród Éireann on behalf of Dublin Bus via a procurement process in line with CIE Group Procurement Policies and Procedures. The Open Market Value is €60,100 and insurance/tax is covered under the leasing arrangement.
The previous CEO, Ray Coyne, whose term of office ended in June 2022, was also provided with a fully electric company car, a Volkswagen Golf.
This car was also leased and was exempt from BIK as the OMV was less than €50,000, in line with the Revenue Commissioners guidelines. Insurance/tax is covered under the leasing arrangement.
