IATA Urges Malaysia To Implement Balanced Passenger Service Charge At KLIA, KLIA2

www.klia.com.my

KUALA LUMPUR, April 28 (Bernama) -- The International Air Transport Association (IATA) hopes the Malaysian government will implement a balanced passenger service charge (PSC) at the Kuala Lumpur International Airport (KLIA) and the spanking new KLIA2.

KLIA2, the budget carrier terminal, will start commercial operations on May 2. IATA Regional Vice President for Asia Pacific, Conrad Clifford said the trade association for global airline industry had proposed for the PSC at KLIA and KLIA2 to be balanced at the RM44 and RM45 level.

He said that IATA is in talks with the government on the issue and hoped to receive feedback on the matter.
"The facilities at KLIA2 is at least the same, if not better than the KLIA. It is not fair to have a PSC that is significantly lower at the facility that is significantly better. "The airlines that are operating at the KLIA also have a distinct disadvantge (on PSC)," he said.

Clifford was speaking to reporters at the three-day IATA Ground Handling Council Ground Handling Conference, Monday.

PSC, or commonly known as airport tax, is paid by departing passengers. The PSC is collected by the airlines upon purchase of tickets and is only paid to Malaysia Airports Holdings Bhd (MAHB) upon completion of the flight. Passengers who do not travel on the flight for which they have purchased the tickets are eligible for a full refund of the PSC.

The PSC at the current low-cost carrier terminal (LCCT) is RM32 for international passengers and RM6 for domestic passengers. It was reported that MAHB has proposed to increase this to RM35 for international passengers and RM7 for domestic passengers.

MAHB has proposed the new PSC at the KLIA at RM71 for international passengers and RM10 for domestic passengers, compared with the current RM65 for international passengers and RM9 for domestic passengers.

-bernama.