This article first appeared in The Edge Financial Daily on March 6, 2019

KUALA LUMPUR: There has been no indication so far from the ministry of transport (MoT) that the Malaysian Aviation Commission (Mavcom) would be disbanded, the aviation regulator’s executive chairman Dr Nungsari Ahmad Radhi said.

Speaking to the media for the first time since speculation spread last week that Putrajaya intended to disband Mavcom, Nungsari said, the government does not conduct its business by spreading rumours.

“The government does not conduct policies by throwing rumours in the market. We have a mature and good working relationship with the MoT, the minister, [while] the secretary-general is our commissioner.

“So, if they have anything like that [to disband Mavcom], they would discuss with Mavcom,” he said after attending Khazanah Research Institute’s panel discussion on “Malaysian Input-Output Analysis and Industrial Policy” here yesterday.

Therefore, Nungsari, who is also the institute’s chairman, said the speculation has had no impact on the morale of Mavcom’s staff, and that the commission’s operation remains as usual.

“Because somebody went and threw something [rumour] out, people got excited ... That is why we have not issued any statement on this. If you listen to everything that everybody says every day, life is going to be difficult,” he added.

Last week, a local newspaper reported that MoT was evaluating a proposal to disband Mavcom and return the commission’s function to the Civil Aviation Authority of Malaysia.

On Monday, Transport Minister Anthony Loke announced that the terms of Datuk Mah Weng Kwai, Datuk Seri Long See Wool and Datuk Fauziah Yaacob as Mavcom commissioners will be extended by another three years.

On a separate matter, Nungsari reiterated that Mavcom will not interfere in the legal dispute between the AirAsia Group Bhd and Malaysia Airports Holdings Bhd over unpaid passenger service charges.

“In this particular case, our role is to set the charges. This was done as per the regulations and they were gazetted, [so our decision] has the force of law. Now there is a dispute between the two parties, let the court decide,” he said.

In a statement issued later in the evening, Nungsari clarified that his comment of non-interference in the dispute between the two companies is on the basis that the matter is undergoing legal proceedings.

“As such, the commission will refrain from making any comments at this juncture on this matter,” he added.