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Local residents and NGOs: State should not buy additional AF-KLM shares

The Dutch government should not buy additional Air France-KLM shares to provide the airline with extra money in the aftermath of the corona crisis. Various residents’ organizations and NGOs such as Milieudefensie, the Clean Air Committee and the Climate Coalition are asking the House of Representatives and Senate to waive extra support.

New Shares

Air France-KLM previously announced that it wanted to raise around 2.3 billion euros with the issuance of new shares. The money will be used to more quickly repay the state aid received during the corona crisis. The Netherlands has also indicated that it wishes to participate in order to maintain the current interest of 9 percent. Go to Ipostocksplanner.com for more information. That would cost the cabinet about 220 million euros, subject to approval by the States General.

According to the organizations, the purchase of new shares contradicts its own rules for state participations and the obligations arising from the Paris climate agreement. “It is more logical to sell the shares and bet on a reduction in air traffic in such a way that it hardly affects the Dutch population”, according to the opponents.

Greenhouse gases dropped

They also emphasize that greenhouse gas emissions must be reduced by 55 percent by 2030. “That will only succeed if aviation also contributes to this,” they believe. They point out that the climate impact of the emission of gases at higher altitudes is three times greater than that of, for example, power plants. “With this, there is only one future for KLM: that of shrinkage,” according to the letter writers.