Malaysia Airports quashes AirAsia's LCCT2 plans

PETALING JAYA: KLIA2 is not a low-cost carrier terminal but part of the KL International Airport (KLIA) hub, said Malaysia Airports Holdings Berhad (MAHB).

MAHB said that although KLIA2 currently services low-cost carriers, the airport is capable of supporting a much larger capacity.

"KLIA2 is neither an independent airport nor a hub.

“It is KL International Airport’s (KLIA) second terminal and is a crucial component of the KLIA hub.

“Although KLIA2 is currently mainly used by low-cost carriers, it is designed to cater to all types of airlines as it supports the overall KLIA capacity," MAHB said in a statement on Monday.

MAHB was responding to a statement by AirAsia which said it planned to launch a campaign to promote KLIA2 as a Low-Cost Carrier Terminal 2 (LCCT2).

AirAsia, which accounts for the biggest share of passenger traffic at the RM4bil KLIA2, said this would reinforce Kuala Lumpur’s position as the leading low-cost gateway to Asia and beyond.

MAHB said KLIA2 “is the registered name of the terminal under the International Air Transport Association (IATA)” and calling it by any other name would only mislead and confuse the public and passengers.

It said it was working to position KLIA as an integrated hub (KUL Hub) under its five-year business plan – Runway to Success 2020 (RtS2020).

The hub will provide seamless connectivity between airlines, whether full service, hybrid or low-cost.

“This is similar to other successful international hubs which rely on all types of airlines operating within a single airport system," MAHB said, giving examples of Dubai, Amsterdam, Istanbul, Hong Kong and Singapore.

According to MAHB, when KLIA2 was envisaged, it was meant to enhance KLIA’s connectivity and elevate its position as a competitive hub within the region.

"The KLIA Main Terminal is connected worldwide to 1,026 destinations through 166 airlines, thus, KLIA2 is in good position to leverage this ready connectivity.

“By virtue of this, it is crucial to view and position both KLIA Main and KLIA2 together as KUL Hub or an integrated airport system, instead of taking KLIA2 as an independent low-cost hub,” it said.

It added that Malaysia would be able to serve the air travel market more effectively by having full service and low-cost carriers working together under a single airport system like the KUL hub.