Govt working to reduce soaring airfares, says Dr Wee

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PETALING JAYA: Efforts will be made to reduce airfares to alleviate the people’s burden, says Datuk Seri Dr Wee Ka Siong.

The Transport Minister said the ministry was committed and would make every effort to reduce airfares to alleviate the burden on the people.

This came after the media reported that there was an increase in airfares between Peninsular Malaysia to Sabah and Sarawak.

“I heard and understand that there are complaints from the public, especially air transport users about the increase in airfares between Peninsular Malaysia to Sabah and Sarawak.

“I will investigate the validity of the complaint that has been reported,” he said in a statement on Friday (April 15).

Dr Wee thanked Sarawak Premier Tan Sri Abang Johari Tun Openg, Sabah Chief Minister Datuk Seri Hajiji Noor and Sabah Deputy Chief Minister Datuk Seri Bung Moktar Radin for voicing out the grievances of the people of Sarawak and Sabah for the action of the Transport Ministry.

Dr Wee said that based on monitoring conducted by the Malaysian Aviation Commission (Mavcom), airfares on April 30 (the peak travel date for the Hari Raya Aidilfitri festive season) have increased compared to the average airfares in 2019.

“This increase is due to increased costs of operations, primarily rising jet fuel prices, as well as limited resources for airlines to increase to full capacity.

“The dynamic pricing mechanism also uses artificial intelligence in the process of determining the price, not manually to raise the price as claimed.

“Airlines are having trouble adding flight capacity immediately due to the Covid-19 pandemic.

“Aircraft must go through a process of maintenance, repair and overhaul (MRO) before the aircraft is approved for safe service.

“Airlines had to keep their planes as the state-enforced movement restrictions.

“Once the country enters the endemic phase and demand increases from consumers, airlines will need more time and replacement tools for re-operational readiness,” he said.

Dr Wee noted that for April 2022, the frequency of flights to Sabah and Sarawak is still low at only 68% compared to pre-pandemic times in 2019.

Meanwhile, Dr Wee said he chaired a special meeting involving the Transport Ministry, Mavcom, Civil Aviation Authority of Malaysia (CAAM) and domestic airlines to find the best solution in addressing the problems and complaints of the people on Thursday (April 14) evening.

“In the meeting, I have asked Mavcom and the airlines to immediately conduct a detailed and thorough investigation on the issue of the increase in airfares during this festive season.

“The determination of domestic airfares by national airlines was based on the rationalisation of the domestic air services sector in 2006.

“In this regard, the Cabinet at the time had decided that national airlines providing domestic air services were given freedom in determining network coverage, flight frequency and fare rates to be offered based on market demand.

“This is in line with the practice of most other countries which do not regulate airfares for international or domestic routes.

“Although the ceiling price can lower airfares during the peak season, it will still lead to an increase in airfares during the normal season,” he said.

Dr Wee reiterated that Mavcom, CAAM and the Malaysia Airports Holdings Berhad (MAHB) are ready to consider and approve airlines' applications to increase flight frequencies, and operate air traffic control services as well as extend airport operating hours during this and upcoming festive season.

“CAAM has already approved the necessary extension of the operating hours of air traffic control services at airports.

“This will assist airlines in planning capacity additions especially ahead of the festive season.

“The Transport Ministry through Mavcom will inform the public of the outcome of discussions with all airlines in the near future,” he said.