KUALA LUMPUR (Dec 12): The Malaysian Aviation Commission (Mavcom) has expressed its disappointment that the Cabinet has approved the merger of Mavcom and the Civil Aviation Authority of Malaysia (CAAM).
In a statement today, Mavcom executive chairman Dr Nungsari Ahmad Radhi said the Cabinet's proposal had been communicated to the regulator, confirming a report today by The Edge Financial Daily.
Citing a source, the daily said it was a move to empower CAAM, by consolidating both authorities to regulate the economic and technical aspects of the civil aviation industry.
Nungsari said he was disappointed that such a decision was made with seeming disdain and without consultation with Mavcom.
"It reflects poorly on those involved in this decision.
"We are all on the same side; we all have the same concerns about the state and development of the industry in Malaysia, the health of the aviation service providers, consumer welfare and investor confidence. There is also this urgent issue of CAAM downgrade that needs to be addressed together," he said.
Nungsari said the decision by the government to repeal the Mavcom Act is a decision signaling that there is no need for an independent economic regulator for the aviation industry that looks into commercial licensing, competition matters as well as consumer welfare and public service obligations.
Mavcom was formally established on March 1, 2016 under the Malaysian Aviation Commission Act 2015.
Meanwhile, CAAM was established as an incorporated body via the Civil Aviation Authority of Malaysia Act 2017. Prior to this, it was known as the Department of Civil Aviation under the Ministry of Transport. The transition was effective Feb 19, 2018.
Nungsari said he will now focus on two things: first and foremost, to look after the welfare of the staff and to then responsibly hand over Mavcom's statutory role.
"I will work with the commissioners to put into effect a proper transition for the staff, and upon doing that, we will hand over all statutory roles and responsibilities to Ministry of Transport.
"They can then affect their decision. In the meantime, we will continue to perform our role as stated in the Act," he said.