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Transport ministry blocks subsidies for airlines

11:15 28/08/2014

The federal transport mobility ministry has budget problems and is unable to pay expected subsidies to a number of companies, including rail freight company NMBS Logistics and Brussels Airlines.

The package of subsidies concerned comes to €64 million. The three Belgian airlines are due €19 million, including €15 million for Brussels Airlines, while Thomas Cook and Jetairfly share the rest. Air traffic controllers Belgocontrol are expecting €20 million, and NMBS Logistics €25 million.

But the administration does not have the funds to pay out, transport minister Catherine Fonck has been informed. The airlines’ subsidies were intended to be compensated in the budget by income from elsewhere, including fees for motor vehicle licence plates. That income has not been sufficient, however, to cover the subsidies as intended.

Fonck said the subsidies were critical for the recipients and promised to do everything possible. “The government’s decision [to award the subsidies] was clear, and I will see to it that the promised subsidies are paid out to the airlines.”

 

photo courtesy Mopje18/Wikimedia

 

Written by Alan Hope