Thursday 28 Mar 2024
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KUALA LUMPUR (Oct 19): Passengers will be able to get refunds in the original mode of payment for flight disruptions under amendments to the Malaysian Aviation Consumer Protection Code (MACPC), which is targeted to be implemented in the first quarter of 2023.

"This new provision will effectively eliminate any inconsistencies in the types of refunds accorded to consumers. Additionally, the commission further proposes that airlines should offer a refund in the original mode of payment should a flight be delayed," said the Malaysian Aviation Commission (Mavcom) in a statement on Wednesday (Oct 19).

The new provision is one of the changes proposed in the 2022 MACPC to protect consumers who have paid money in advance for flight tickets or travel passes if the airline is unable to render services as promised in the event of a financial crisis, such as a debt restructuring exercise, liquidation, or licensing issues, it added.

"Where an airline anticipates disruption to its operations, it is proposed that the airline should notify and submit a plan detailing consumer redress to Mavcom, which can then take appropriate steps to ensure the protection of consumers," it said.

The economic aviation regulator said it has released a consultation paper on the proposed amendments to the code, which include protection concerning refunds, passenger entitlement, travel passes, and the removal of cancelled flights from airlines’ booking systems.

Mavcom executive chairman Datuk Seri Saripuddin Kasim said as part of its effort to champion the rights of aviation consumers, it is proposing changes to the MACPC to better address gaps that have come to light, particularly after the Covid-19 pandemic.

“Mavcom’s stakeholder engagements on these proposed enhancements are already well underway. It is integral to the commission that we take this step together with relevant stakeholders to make certain that they are fully aware of Mavcom’s expectations in the elevation of aviation consumer rights.

"Additionally, the engagement sessions provide an opportunity for aviation service providers to provide their feedback, ensuring that the enhancements proposed champion consumer rights, while still supporting aviation industry players’ business operations,” he said.

Since the MACPC came into force in 2016, airlines are required to refund travellers if flights are cancelled or significantly changed. The inability of airline passengers to get cash refunds on flights that were cancelled as a result of the Covid-19 pandemic was one of the top complaints received by Mavcom. Some cash-strapped airlines were only offering the choice of a travel voucher or rebooking for flights cancelled, rather than providing cash refunds to passengers.

Since its publication in July 2016, this will be the second enhancement of the MACPC, following the first revision in 2019. The amendments in 2019 included eliminating hidden charges for air travel to ensure greater transparency of airlines’ obligations towards consumers, and clearer guidance for consumers on their rights and interests as air travellers.

Mavcom said it is now seeking public feedback on its consultation paper, and all feedback and views must be in writing and delivered before 5pm on Nov 7 via the commission’s website or post to Mavcom.

The MACPC applies to all local or international airlines, full service or budget carriers, operating into or out of Malaysia.

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