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            january 22, 2020

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IATA asks Malaysia to cut next year's fees hike


The International Air Transport Association (IATA) has asked the Malaysian government to reduce costs for hard-pressed airlines by withdrawing increased landing and parking fees to take effect next year.
IATA director general and CEO Tony Tyler, former CEO of Hong Kong's Cathay Pacific Airways, said that after the increases levied last year, Malaysia Airports Holdings Bhd (MAHB) would still be profitable given growth projections.
"The planned restructuring of air traffic control services should not lead to drastic and sudden increases in costs to airlines," he told a media roundtable at the World Cargo Symposium in Kuala Lumpur, reported the Bernama national news agency.
Any funding for the Advanced Passenger Information System at Malaysia's airports, he added, should be from the national budget and not imposed on the industry, said the Bernama report.
"Though the increases in airport charges announced in 2011 may have a negative impact on the industry, we appreciate the two-year delay in implementation, although approved in 2009, in view of the weak economic situation then," he said.
Mr Tyler said Malaysia has been successful in the aviation industry, because it is competitive compared to regional rivals. "We are also in talks with other airport operators around the world on issues pertaining to airport charges," he added.
On the EU controversial carbon tax, or European Union Emissions Trading Scheme, Mr Tyler said: "Nobody wants a trade war. That is why we are focused on the ICAO, where governments meet to deliver global solutions for the air transport industry. Malaysia was among 24 nations that met in Moscow recently to discuss counter measures."
Mr Tyler spoke of the industry declaration favouring a global solution through the UN's International Civil Aviation Organisation (ICAO) and outlining possible actions if Europe continues on its unilateral and "extraterritorial path", meaning that the tax is imposed on emissions beyond EU airspace. "Non-European states see the intention to tax non-EU airlines as an attack on their sovereignty," Mr Tyler said.

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