Airport Tax Will Increase

[affendi osman 0]

Tony also questioned the need for a third runway at the Kuala Lumpur International Airport (KLIA).

 

"Why is KLIA building a third runway when they don't use dual mode on two runways? Heathrow has 60 million passengers with two runways.

 

 

I thought it was Tony who requested the shorter taxi way to the runway from the terminal.

If he wants shorter taxi, use main terminal building instead of having another LCC. Why only now he makes noise?

[Ikman Ikreza 0]

I thought it was Tony who requested the shorter taxi way to the runway from the terminal.

If he wants shorter taxi, use main terminal building instead of having another LCC. Why only now he makes noise?

 

Agreed, he always flip flop in statement. He was thinking that his only right person to make decision.

[Mike P 0]

Agreed, he always flip flop in statement. He was thinking that his only right person to make decision.

 

He is still a big boss, big boss always think he is right and has to be firm and decisive.

[flee 5]

I would be more convinced if Tony said that all pax who cancel their bookings will automatically receive the airport tax refund. He is trying to make airport tax so small that it would not be productive for people to sue AirAsia for the airport tax that they collected on MAHB's behalf. AirAsia pockets the tax as well as the fares if a pax cancelled the flight for whatever reason.

Edited November 15, 2011 by flee

[flee 5]

Tony Fernandes hits back at Umno MPs

 

KUALA LUMPUR, Nov 15 ― Tan Sri Tony Fernandes lashed out today at Umno lawmakers for criticising him in the MAS-AirAsia share swap deal, asking them to scrutinise instead how much the new Low-Cost Carrier Terminal (LCCT) had cost the government.

 

He lamented the criticisms, made during debates in Parliament yesterday, were personal in nature, pointing to how one MP had accused him of raping “poor villagers”.

 

“Villagers could never fly before. We have worked so hard to make flying affordable and 130 million people have flown due to us,” the AirAsia CEO (picture) wrote on his Twitter account today.

 

“Why are these members of parliament not questioning the cost of airports and fighting for the people for lower taxes for the rakyat.”

 

“Why has the PAC not looked into the airport cost of the new LCCT and why a third runway is needed,” he added, using his Twitter handle @tonyfernandes.

 

When another Twitter user @gbeejipp asked if the construction of the new LCCT and the third runway had been his idea, Fernandes retorted: “We wanted the terminal to be built behind main terminal. And no third runway.”

 

When called “arrogant” by Twitter user @firdyfire, Fernandes lashed out in his own defence, telling the user to “ask my 9000 staff if I’m arrogant.”

 

“You haven’t met me either,” he added.

 

One user, in explaining criticisms against the share swap deal, expressed fear that with Fernandes’ presence on the MAS board, AirAsia’s services would suffer and model compromised.

 

“Why on earth would we do that? People have a choice. If too expensive they won’t fly. Why do we want lower airport tax for you? To make it cheaper,” Fernandes replied.

 

In Parliament yesterday, Umno lawmakers Datuk Bung Mokhtar Radin and Mohamad Aziz accused Fernandes and Khazanah chief executive Tan Sri Azman Mokhtar of cheating the public in the share swap deal.

 

Kinabatangan MP Bung Mokhtar said Azman should be investigated by graftbusters after the state investment agency exchanged 20.5 per cent of the national carrier for a 10 per cent stake in Asia’s top-performing budget airline.

 

“Whatever he wants, we give. He wants to overcharge for excess baggage and suck the blood of poor villagers,” he said, in reference to Fernandes.

 

The MAS-AirAsia swap has come under fire from both sides of the political divide as well as employees of MAS who believe the deal will affect their careers.

 

The Finance Ministry said earlier this month that the deal is being investigated by Bursa Malaysia and the Securities Commission for insider trading despite the swap being agreed on three months ago.

 

MAS’s poor financial performance of late had resulted in the share swap with AirAsia on August 9. This allowed AirAsia boss Fernandes to sit on the MAS board, ostensibly to help turn the ailing airline around.

 

MAS had announced in August a net loss of RM527 million for the second quarter of 2011 due to higher fuel costs despite recording a better yield and a nine per cent growth in passenger revenue from the same period last year.

 

This brings total losses in the first half of the year to RM769 million even as the airline said that profit outlook for the second half of the year appears bleak.

 

Putrajaya insisted last month it had “no choice” but to implement the controversial share swap as “if (MAS) continues to make losses and the government has to inject funds, then there will be even more anger.”

 

Critics have accused the budget carrier’s boss of taking advantage of the loss-making national airline to fuel his personal ambitions, the latest being the acquisition of English Premier League club, Queens Park Rangers (QPR).

 

Source

[Isaac 0]

When another Twitter user @gbeejipp asked if the construction of the new LCCT and the third runway had been his idea, Fernandes retorted: “We wanted the terminal to be built behind main terminal. And no third runway.”

Behind the main terminal or in front of the main terminal ? If it's behind the main terminal, i assume it's somewhere near the cargo terminal ?

 

 

When called “arrogant” by Twitter user @firdyfire, Fernandes lashed out in his own defence, telling the user to “ask my 9000 staff if I’m arrogant.”

From what we read from his twitter account, especially the comment about Scoot, he is a super arrogant man.

Edited November 15, 2011 by Isaac

[Cheng Long 0]

Third runway is totally unnecessary. Looks like someone just want to make money.. Build it..Get maximum profit and left it to rot..

It becomes other people's problem.

[flee 5]

If you judge a man by his comments on Twitter, then it is probably a misplaced judgement.

 

Just look at the vitriol that comes out of the many forums (and also comments posted on TMI), this one included. If we did not know the people who made them, we would also think that there are many arrogant forummers and commentators as well!

 

I remember TF defending the Chelsea player accused of being racist against a QPR player, on Twitter again. So depending on what posts you read you may form a different opinion of him. I would not be so quick to pass judgement on the guy.

 

Still, I am happy that now I can travel to places like BKI for less than half the cost of a MH ticket that was sold in the mid-1980s. TF has changed the Malaysian aviation scene for the better. If he is destroyed, what makes us think that there will be something a whole lot better to replace what he has built so far?

[Ikman Ikreza 0]

Third runway is totally unnecessary. Looks like someone just want to make money.. Build it..Get maximum profit and left it to rot..

It becomes other people's problem.

 

If 3rd runway unnecessary so I was thinking same as situation we no need to build KLIA2 but just utilize KLIA and AK have to use that airport too.

[flee 5]

But the elites don't like to see the peasants bring down the "class" of MTB. So how?

[BC Tam 2]

But the elites don't like to see the peasants bring down the "class" of MTB. So how?

Go fly Caterham Jet at SZB instead

[affendi osman 0]

But the elites don't like to see the peasants bring down the "class" of MTB. So how?

 

I don't think ELITES doesn't like PEASANTS

Beyond gate A11 and B11, there are still plenty spaces to be utilized as an LCC gate should they feel like using ramp gates as their departure point.

 

Anyhow, if people don't bising bising, no need to have new LCC terminal.

Make use with what we have now indeed. Then we will see the busyness of KUL, barulah syiokkkkkk

[flee 5]

Go fly Caterham Jet at SZB instead

 

But they are afraid to fly small jets - they only fly wide bodies. So Caterham Jet (if it is allowed to fly from SZB) will not do. Their planes are far too small.

Edited November 15, 2011 by flee

[alberttky 0]

Sigh... such is the nature of human beings. We tend to criticize but hardly give credit when it's due.

[Ikman Ikreza 0]

So how about Firefly jet and Jetstar operated at MTB accepted by the elites and the peasants. Is it airport tax really main factor that AK refused to use MTB?

Edited November 15, 2011 by Ikman Ikreza

[flee 5]

So how about Firefly jet and Jetstar operated at MTB accepted by the elites and the peasants. Is it airport tax really main factor that AK refused to use MTB?

That is part of the reason as LCCT taxes are half of that of the MTB. As KLIA is the HQ for AirAsia, lots of flights are operated from this airport. So quick turnaround is their excuse for not using aerobridges. At smaller airports, aerobridges are not such a problem as only a few flights use those airports.

 

Also at small airports with fewer flights handled, delays leaving the gate are not as heavily penalised. If you miss your departure slot at KLIA, you may have to wait a while for air traffic clearance after the aircraft doors are closed.

[Waiping 12]

Any possibility of AK/D7 "buying" over part, or maybe 1 side, of the MTB?

[Mohd Suhaimi Fariz 2]

That is part of the reason as LCCT taxes are half of that of the MTB. As KLIA is the HQ for AirAsia, lots of flights are operated from this airport. So quick turnaround is their excuse for not using aerobridges. At smaller airports, aerobridges are not such a problem as only a few flights use those airports.

 

Also at small airports with fewer flights handled, delays leaving the gate are not as heavily penalised. If you miss your departure slot at KLIA, you may have to wait a while for air traffic clearance after the aircraft doors are closed.

 

Southwest Airlines uses aerobridges and they can have 20 minute turnarounds, so the whole argument over aerobridges delaying flights doesn't make sense to be honest.

[Mike P 0]

That is part of the reason as LCCT taxes are half of that of the MTB. As KLIA is the HQ for AirAsia, lots of flights are operated from this airport. So quick turnaround is their excuse for not using aerobridges. At smaller airports, aerobridges are not such a problem as only a few flights use those airports.

 

Also at small airports with fewer flights handled, delays leaving the gate are not as heavily penalised. If you miss your departure slot at KLIA, you may have to wait a while for air traffic clearance after the aircraft doors are closed.

 

Come on, how far does one has to walk to the aircraft at LCCT to board the plane?

[alberttky 0]

AirAsia lambasts authorities over hike in passenger service charges

 

PETALING JAYA: Tan Sri Tony Fernandes was supposed to meet the press at noon yesterday but called it off and instead turned to the social media platform yesterday morning to lambast the authorities over the controversial hike in passenger service charges (PSCs).

 

Those in the know claimed that Fernandes was supposed to announce yesterday that his airlines AirAsia and AirAsia X would no longer collect the PSC on behalf of airport operator Malaysia Airports Holdings Bhd (MAHB).

 

The new PSC rates took effect yesterday whereby an international traveller now pays RM65 compared to RM51 earlier for departures at all Malaysian airports except LCCT KLIA and Terminal 2 Kota Kinabalu, where the charges have rose from RM25 to RM32. It is the first time in nine years that the Government has approved the hike.

 

Fernandes' contention is that the RM7 increase is too much to pay for the LCCT which he likens to an “air-conditioned horse stable'' on Twitter.

 

The hike also affects travellers and he claimed that it was unjustified and that it would affect his business. He said on Twitter: “... RM25 for services in LCCT? What a rip off! It's an air-conditioned horse stable!''

 

He said on his Facebook, “AirAsia has been fighting to make them cheaper for the common man. Airport taxes are paid by Malaysians and passengers. The money doesn't go to AirAsia but MAHB.''

 

He added on Twitter that “MAHB doesn't help improve guest handling facilities like signage, boarding area at gate and PA system. Why charge more PSC.''

 

His idea of baring it all is to tell passengers that the airline collects the PSC for MAHB and no part of the PSC goes to the airline. PSC is the payment for the use of a respective airport by a traveller.

 

He also lashed out at both MAHB and the Transport Ministry, asking who the ministry was defending?

 

He claimed in his twits: “Are they defending the people to make sure they get good value for the RM25 airport tax. They are the regulators ...”

 

Apparently he had told his decision to pass the buck back to MAHB on Sunday to some parties, but when asked, Fernandes declined to elaborate.

 

Airlines in this country collect the PSC for the airport operator and this decision was made by the Government way back in the 1980s. That was decided with the consumer in mind as the Government did not want to inconvenient the traveller. The PSC charges are paid when purchasing the ticket.

 

If indeed AirAsia does not want to collect the PSC for MAHB, then any decision made by the Government will have to take into consideration the views of other airlines which are now collecting the PSC for MAHB.

 

“That's the norm here and if you change the rule for one you have to change for all,'' said a source.

 

But in some airports such as in Jakarta and Tokyo, the airports collect their own charges by having their own counters or vending machines. That model can be replicated here.

 

There are “pros and cons to the airport operator collecting the PSC. The good thing is that passengers need not worry about refunds of PSC if they cancel their flight as they only pay for the PSC on the day they travel and not when they purchase the ticket.

 

“Under the current system, the airport operator is only paid the PSC 45 days after travel but that will not be the case if the airport operator collects it. It would also save the MAHB 1.25% in clearing fee if it collects the PSC directly from the passengers,'' said a source.

 

Fernandes also said there were too many empty promises made by MAHB and the airlines were blamed for its poor performance.

 

He also questioned the need for a third runway at the KL International Airport (KLIA).

 

“Why is KLIA building a third runway when they don't use dual mode on two runways? Heathrow has 60 million passengers with two runways.

 

“Fixing the air traffic system would have been cheaper than building another runway,” he said.

 

http://biz.thestar.com.my/news/story.asp?file=/2011/11/16/business/9910097&sec=business

[KK Lee 5]

AK as MAB customer is paying to MAB landing charge, parking charge, office rental, checkin counters, luggage sorting system, facilities, services, etc. It is likely that MAB has increased these charges to AK or MAB ignored AK request on KLIA2 e.g. design, operational, retails, preferred location, etc. MAB been a monopoly provider, AK can either take it or leave it, and public and politicians are not in position to meddle in commercial matter.

 

Believe TF take MAB pax charge to the public as a bargaining tool or pressure on MAB.

[Waiping 12]

If you notice AK imposed a "service charge" for airport tax refund on per sector basis. Not sure if it is per passenger too. So if you don't fly not necessary you can get back the airport tax because of the "service charge". Say airport tax per sector is RM6, and service charge is RM15. So it is possible that AK pocket the tax even though you did not fly.

Edited November 16, 2011 by Waiping

[Mohd Suhaimi Fariz 2]

If you notice AK imposed a "service charge" for airport tax refund on per sector basis. Not sure if it is per passenger too. So if you don't fly not necessary you can get back the airport tax because of the "service charge". Say airport tax per sector is RM6, and service charge is RM15. So it is possible that AK pocket the tax even though you did not fly.

 

If that's the case, shouldn't it be better for MAB to pick up the tax at the airport itself rather than having the airlines collecting them?

[flee 5]

Fernandes tweets his ire over host of issues

In a series of tweets, AirAsia CEO Tan Sri Tony Fernandes raised questions on MAHB’s operations, the effectiveness of members of parliament and the objectivity of the Transport Ministry

 

KUALA LUMPUR: AirAsia Bhd may have called off a press conference yesterday on Malaysia Airports Holding Bhd’s (MAHB) airport tax hike but that didn’t stop its co-founder from taking to Twitter to vent his frustration.

 

In a series of tweets which started in the morning, Tan Sri Tony Fernandes raised questions on MAHB’s operations, the effectiveness of members of parliament (MPs) and the objectivity of the Ministry of Transport (MOT).

 

Fernandes also questioned the need for a third runway in Kuala Lumpur International Airport (KLIA) when there are ways to increase utilisation of existing runways.

 

“Why is KLIA building a third runway when they don’t use dual mode on two runways? Heathrow has 60 million passengers

 

with two runways. Fix the air traffic system MAHB. Would have been cheaper than building another runway,” he said.

 

Fernandes questioned why MPs, who had criticised him, have not questioned the cost of airports and fought for lower taxes for the rakyat.

 

MOT was also not spared, as Fernandes put to task its role in regulating airports.

 

“The (secretary-general Datuk) Long See Wool of Ministry of Transport sits on the Malaysia Airports board. How can he be objective and play fair to the airlines?” he asked.

 

Fernandes’ rant was triggered by the hike in airport tax, landing and parking charges which took effect yesterday.

 

Last month, MAHB announced that MOT had approved a RM14 increase in airport tax for international passengers to RM65 per passenger for most of its international airports.

 

The low-cost carrier terminal in KLIA and Terminal 2 in Kota Kinabalu saw charges go up by RM7 per international passenger to RM32.

 

Landing and parking charges will rise in three stages over three years.

 

Landing charges will be nine per cent higher and parking charges will be increased by 18 per cent a year.

 

Source

[alberttky 0]

Rise in passenger volume at Malaysian airports

 

PULAU PANGKOR: The passenger volume for airports in Malaysia showed a 11.97% or 5.17 million increase to 48.38 million passengers for the first nine months of this year against the same period last year.

 

The Ministry of Transport (MOT) said Kuala Lumpur International Airport (KLIA) including LCCT handled the largest portion of passengers at 27.96 million or 57.8% out of the total volume for the period under review.

 

"This is due to the spike in demand, increase in the number of flights and new destinations by airlines.

 

"But, cargo traffic has posed a reduction of 2.65% or 18,285 metric tonnes to 670,462 metric tonnes for the period against last year," said MOT in a statement today.

 

http://biz.thestar.com.my/news/story.asp?file=/2011/11/17/business/20111117120108&sec=business

 

So perhaps the increase in airport taxes is to adjust demand? Too many passengers to handle?