Wednesday, May 15, 2019

After pissing off MAHB, Mavcom is sued by two airlines


Judicial review against Mavcom catches two-term former MP Jeff Ooi's attention

Taman Tun Dr Ismail, 10 Ramadan: Come to think of it, the Malaysian Aviation Commission's decision to turn a blind eye on the Air Asia-MAHB's RM480 million dispute does seem odd. 

Mavcom is the country's civil aviation regulator so how could it refuse an opportunity - and obligation, some might say - to bring two feuding customers together? It would surely be in the interest of the industry, no? 

But it was Mavcom executive chairman Nungsari Ahmad Radhi who had said in Mavcom won't intervene in MAHB-Air Asia spat that: 


“We are here to spur the regulations and we are also the competition regulator. We will not let this affect our operations at Mavcom. We have our issues but right now, to us business is as usual.” - Nungsari on Air Asia-MAHB spat


Well, it won't be business as usual now. Air Asia and AAX have filed for a judicial review against the Commission for doing nothing to help resolve the issue. Mavcom, they contend,  has a statutory duty to decide on a dispute once mediation between the parties have failed or is deemed to have failed. Mavcom's failure to act in their dispute with MAHB is contrary to Sections 74-78 of the Mavcom Act.

The Commission has responded. Well, kind of: Mavcom aware of judicial review application by Air Asia, AAX.  But as Jeff Ooi pointed out, has Mavcom outlived its usefulness?

This isn't the first time Mavcom has gotten itself tangled up in the wrong kind of publicity. On Labour Day, Nungsari rile the MAHB people by publicly saying that Malaysia's aviation industry (is) losing out due to the single airport operator system.


Read also:

No comments: