​​​IATA continues to emphasize the need for a uniform passenger service charge (PSC) at KLIA and KLIA2. On 31 October 2016, the Malaysian Aviation Commission (MAVCOM) announced the revised PS​C​ applicable for airports in Malaysia with effect from 1 January 2017.
“The announcement by MAVCOM can be described as taking half a step forward. While we welcome the equalizing of the PSC for domestic and ASEAN flights, we are disappointed that it was not done for all the PSC at KLIA. Nonetheless, we look forward to MAVCOM’s commitment to equalize the PSCs between KLIA1 and KLIA2 in 2018. We will work closely MAHB towards achieving these goals”, said Conrad Clifford, IATA’s Regional Vice President, Asia Pacific.

Clifford noted that the revision in the PSC will also see some costs increase. “The overall aim should be to minimize air travel costs for Malaysia so as to reap the full social and economic benefits of aviation. Aviation currently supports over 500,000 jobs in Malaysia and $13 billion in GDP. This is expected to double by 2035.”

Clifford also highlighted the importance of having an independent regulator for the effective economic regulation of airport charges. “We urge the Malaysia cabinet to ensure that MAVCOM’s independence and freedom in decision making is maintained.”