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Curaçao seeks 'level playing field' for local airlines

Main news | By Correspondent July 26, 2024

WILLEMSTAD - On Thursday, the court case filed by Windward Islands Airways International (Winair) against the Minister of Traffic and Transportation of Curaçao, Charles Cooper, was heard. Winair argued during the substantive hearing that Cooper unjustly refused to issue a temporary permit for Winair to operate additional flights between Sint Maarten and Curaçao. 

Lawyers Rogier van den Heuvel and Peter Lange, representing Winair, contended that the airline has the right to operate these flights under the multilateral protocol between the Netherlands and the islands. They also pointed out the harmful consequences of not issuing these permits, as it would now be difficult to secure a seat on a flight between the two islands. 

On behalf of the minister, lawyer Giselle Hollander argued that Winair's action was premature. "The decision on the request of June 18, 2024 (for extra flights) falls within the legally stipulated 90-day period. Winair's appeal is premature since the decision period has not yet expired," Hollander told the court. 

Hollander also indicated in her argument that it is not just about refusing or allowing extra flights, but that the Curaçao Civil Aviation Authority (CCAA) has an important role in ensuring the market does not become saturated and that there remains fair competition and effective market functioning on the routes between the islands. 

Representing the Country of Curaçao, Hollander also noted that Z Air, operating from Curaçao, is still waiting for a decision from the Sint Maarten aviation authority to operate flights to and from that island. A judicial procedure is also ongoing for this matter, as Sint Maarten has been delaying for over a year. A ruling in that case is expected on August 12. According to the aviation law specialist, it would also be premature to grant Winair a permit now to fully fill the gap created by the bankruptcy. 

Fair Competition 

Granting the frequencies exclusively to Winair now could result in no flights being allocated to Z Air later due to market saturation. "Z Air's request could then be rejected due to a looming overcapacity. The route between Sint Maarten and Curaçao would then be served exclusively by Winair, which does not align with promoting sustainable air connections and fair competition," Hollander stated. 

Hollander also pointed out, perhaps superfluously, that passengers greatly benefit from healthy competition between multiple providers. "We have all experienced how prices can develop if no other competitors enter the market." 

Complex 

The judge, after hearing the substantive arguments from both sides, must determine whether Winair is admissible in its request for a provisional measure and how to proceed in the increasingly complex case surrounding reciprocal permits. 

Meanwhile, neither Winair nor Z Air seems to benefit from the differing perspectives that have arisen at the ministerial level between Curaçao and Sint Maarten, both in terms of the requirements set by the SMCAA for Z Air and the caution with which the CCAA approaches granting permission for extra flights by Winair. 

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