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Dutch Retreat on Airport Flap That Risked KLM Ouster at JFK

2023-11-15 02:29
The Netherlands abandoned a plan to reduce capacity at Amsterdam’s Schiphol airport, bowing to pressure from the US,
Dutch Retreat on Airport Flap That Risked KLM Ouster at JFK

The Netherlands abandoned a plan to reduce capacity at Amsterdam’s Schiphol airport, bowing to pressure from the US, which threatened to retaliate over JetBlue Airways Corp.’s expulsion, and the European Union.

The Dutch government will no longer implement an experimental regulation which would have reduced the number of flights at Schiphol by 8% for the 2024 summer season, Infrastructure Minister Mark Harbers said in a letter sent to parliament on Tuesday.

The government received a letter on Nov. 13 from the European Commissioner for transport expressing “serious concerns” about the Dutch government’s failure to follow a required so-called balanced approach procedure. The EU body said it “expressly reserves the right to start infringement proceedings against the Netherlands,” and urged the Dutch to ensure compliance with EU law.

JetBlue was ejected from state-controlled Schiphol on Nov. 2 as part of a broad reduction in capacity meant to address concerns over noise levels. The US budget carrier, which started service to Amsterdam in August, was among the newcomers to completely lose access, while others, including KLM NV, saw their takeoff and landing rights cut back.

The Dutch government has taken “a good first step” in suspending the plan for capacity cuts next summer, JetBlue said in a statement. “We continue to advocate for a long-term resolution that allows for new entrants and competitors in the market like JetBlue.”

The Dutch arm of Air-France KLM said it is satisfied with the suspension of the experimental rule. “It is an important step to prevent retaliation and to continue flying to the US,” the airline said in an emailed statement. Its Paris-based parent said it shares the Dutch government’s concerns and is fully committed to reducing its environmental footprint.

KLM, along with other airlines, took the Dutch government to court over the flight capacity restrictions and is currently awaiting the outcome of its appeal challenging the first stage of the cuts. As the results of the appeal are not expected before the second quarter of 2024, the government decided to suspend the first stage of the restrictions, Harbers said in his parliament letter.

The Dutch government’s plan to ultimately reduce flights at Schiphol Airport by 10% from November next year, still stands. “The need and goal to restore the balance between Schiphol and its living environment remain,” Harbers said.

US and European officials met on Monday in Brussels to discuss the dispute over JetBlue’s expulsion from the Amsterdam hub. The two sides, with differences still outstanding, agreed to hold another meeting in January to assess progress.

“We welcome this outbreak of common sense from the Dutch government,” said IATA’s Director General Willie Walsh. “Maintaining Schiphol’s capacity is good news for jobs, the economy, traveler choice and convenience, and better trade relations.”

Delta Air Lines Inc., a partner with Air France-KLM on transatlantic routes, said it “welcomes” the Dutch government’s decision and remains committed to balancing passengers’ desire to travel with advancing quieter and more sustainable aviation.

--With assistance from Sarah Jacob, Albertina Torsoli, Mary Schlangenstein and Lyubov Pronina.

(Updates with EU letter details, airline comments from third paragraph)