MCMC freezes issuance of new courier licences until 2022

MCMC explained that during the two-year moratorium period, it will not accept any new application for licenses from those applying to provide courier services in all categories. — Bernama

The Malaysian Communications and Multimedia Commission (MCMC), along with the Ministry of Communications and Multimedia, has announced a two-year moratorium on the issuance of new courier services licences, effective from Sept 14, 2020 until Sept 15, 2022.

MCMC in a press statement explained that during the moratorium period, it will not accept any new application for licences from those wanting to provide courier services in all categories.

The regulatory body said it will continue to process applications that it received prior to Sept 14, adding that as of Oct 2020, there are 109 licence holders for courier services operating in Malaysia under various categories.

The decision to freeze new licensing was made in accordance with the Postal Services Act 2012 and can be revised at any time should the need arise, stated MCMC.

The Postal Services Act 2012 stipulates that a person who provides postal services without a valid licence granted under Section 10 is considered to have committed an offense. Upon conviction, the person shall be liable to a fine not exceeding RM500,000 or a prison term of no more than five years, or both.

The moratorium was implemented to allow the government and the postal and courier industries to formulate new plans to strengthen the sector as it faces numerous challenges due to rapid changes in technology and market trends.

The move is in line with official calls made by the Association of Malaysian Express Carriers (AMEC), which represents 25 courier companies in Malaysia including Pos Malaysia Bhd, GD Express and City-Link Express, among others.

A new action plan will be drafted through discussions at the National Postal and Courier Industry Laboratory (NPCIL) which is scheduled to take place on Nov 2 to 22.

The last study on the country’s postal and courier services was carried out in 2009.

MCMC explained that the outcome of the NPCIL discussions will be crucial for the courier industry that serves as the backbone of e-commerce activities and the digital economy in Malaysia.

A full report with action plans to support the growth of the postal and courier industry will be made available on the MCMC website.