Tuesday, November 22, 2011

NO MORE SUBSIDY FOR PSC

The revision in the passenger service charges (PSC) for international departures from the country's airports means that the Government no longer has to fork out RM180mil a year to compensate Malaysia Airports Holdings Bhd (MAHB).

Transport Minister Datuk Seri Kong Cho Ha said the Cabinet had approved the increase in the charges in February 2009. However, because of the delay in imposing the new rates, the Government had been absorbing the difference until recently. MAHB announced the implementation of the new PSC, aircraft landing and parking charges effective from Nov 15. The PSC for departing international passengers was hiked from RM25 to RM32 at the low-cost carrier terminal (LCCT) in Sepang and Terminal 2 of the Kota Kinabalu International Airport, and from RM51 to RM65 at the country's international airports.

“Taxpayers had been paying the difference (between the old and new rates) as a result of the PSC adjustment since February 2009. I think it's time for the taxpayers to stop subsidising international travellers that use our airports,” said Kong.

He was commenting on reports regarding AirAsia Bhd CEO Tan Sri Tony Fernandes voicing his dissatisfaction, through social media, on the PSC increase. “There have been a lot of other increases done by airlines quietly and nobody is making noise about that,” Kong told the press after a ceremony to mark the re-activation of scheduled flight services into Pangkor Island by Berjaya Air Sdn Bhd later this month.

Asked whether a company controlled by Fernandes has applied to operate a super-premium airline that will fly out of Subang Airport, Kong said his Ministry had yet to receive any such application.

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