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Seth K

Gov. rejected MAS increase fare

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No Increase In Domestic Air Fare

 

KUALA LUMPUR, March 19 (Bernama) -- The government has rejected the request by Penerbangan Malaysia Berhad (PMB), the parent company of Malaysia Airlines (MAS), for a 10 per cent increase in domestic air fares, Transport Minister Datuk Seri Chan Kong Choy said Sunday.

 

However, this did not mean that the government had totally rejected the request but only that "the government is not in favour at this point of time", he said.

 

"Of course there is a ground (for domestic fare increase) as the last MAS domestic fare increase was 13 years ago," he told reporters after gracing the graduation ceremony of Sheffield Hallam University here.

 

He did not give the reasons for the decision, which was made a couple of weeks ago.

 

PMB recently submitted a proposal to the government, requesting a 10 per cent fare increase for all domestic flights operated by MAS.

 

Asked whehter the decision would remain even after the full domestic aviation rasionalisation plan was announced after March 27, Chan said: "Yes, even after the rasionalisation plan being announced, we are not in favour".

 

On whether the decision would affect MAS' business turnaround plan, he said it was too early to tell.

 

He said, however, that the government had approved PMB's request to increase the fuel surcharge for the domestic sector to RM36 from RM15 for flights between the peninsula and Sabah and Sarawak and RM15 (from RM7.50) for flights within peninsular Malaysia, Sabah and Sarawak. The fuel surcharge on rural air services remains at RM7.50.

 

He said fuel prices had gone up and it was only fair to review the surcharge.

 

"With the review, they (MAS) can recover 30-40 per cent. They just absorb additional cost increases, just to help them recover at little bit more." he said.

 

MAS first imposed domestic fuel surcharge in the middle of last year while for the international routes, the national carrier had raised the surcharge three times since it was imposed.

 

Government still hold MAS freedom! What happen to all Green Light promise by PM :o

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Government still hold MAS freedom! What happen to all Green Light promise by PM :o

badan tidak berkanun can be controlled by gov??

sigh... anyway gov only want to ensure they still can collect tax frm MH but not really helping MH to solve the problems :angry: ?

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Is it true that the last fare increase was 13 years ago, i.e. 1993? I thought the domestic fares were up almost 50% around 2000, can anyone recall this, or is it just my illusion....

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The only thing that seems to have remained static, nay, actually suffered decrease, is the average wage. Starting engineers in Malaysia used to get RM 2.2k minimum. Now it's only RM 1.8k for the past couple of years, which is still not too bad, but given the price of everything is going up and up relentlessly it's going to look pretty puny for that profession.

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Is it true that the last fare increase was 13 years ago, i.e. 1993? I thought the domestic fares were up almost 50% around 2000, can anyone recall this, or is it just my illusion....

 

Yes HC Chai, they did increase it just a few years ago, was it 2001 / 2002 (?) I wonder where those politicians who said it was increased more than 13 years ago were at? Either on the moon or in a state of comatose I guess??

 

I remember the increase because a friend of mine used to take the plane from Kuantan to KL almost every weekend in the early 2000, but stopped doing so when the fare increased. He resorted to driving his car since then, and now made easier with the new east coast highway.

 

I took a one way economy flight from Langkawi to KL in 1998, at RM 120+ , airport tax included. Since just a few years ago (certainly not 13 years ago) and up till now, the one way fare for Y class excluding airport tax and fuel surcharge is already RM 205.

 

By the way I was just clicking around MAS website just now. One way fuel surcharge within peninsular Malaysia ( I suppose also for within Sabah / Sarawak) is already up. Total including airport and insurance tax is now RM 26 as opposed to RM 18 just yesterday. Supersaver fares appear to have gone too.

 

 

Edited by Rozhan

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I see that Malaysian gov a.k.a. politicians are clueless with what really happening now :)

Gov treats MAS like a regular market seller, where the gov. raise the fuel price rapidly and expect no increase in market value. It is reasonable to say that seller can sell at high price because of the high cost.........if the gov. keeps saying no raise in selling, whose going to make profit?

 

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Heard Chelsea FC has loyal supporters and gaining new supporters in MH, won’t be surprise to see MH sponsoring Chelsea FC.

 

 

 

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Heard Chelsea FC has loyal supporters and gaining new supporters in MH, won’t be surprise to see MH sponsoring Chelsea FC.

 

Could MH stand for it?

Adding more gold onto the 'gold hill'' and also to our own. :D

 

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