AirAsia ordered to pay outstanding airport fees

Friday, 24 Jul, 2019 0

Buoyed by a legal victory last week, Malaysia Airports Holdings has vowed to collect outstanding passenger service charge (PSC) from AirAsia Group.

The High Court ruled AirAsia and AirAsia X are liable for the RM41.5 million (about $10 million) of arrears the airline refused to collect from passengers during a months-long dispute.

"We operate in a highly regulated industry where the PSC charges are determined by the Malaysian Aviation Commission," MAHB said in a statement.

"We have repeatedly clarified that the PSC charges are not decided or imposed by us. Rather, it is set and regulated by Mavcom and the government," it said.

AirAsia refused to collect the full PSC fee of RM73 from passengers at Klia2, which is applied on flights travelling outside the ASEAN bloc.

It argues that it is unfair to charge passengers the same as the fee imposed at the main full service airport KLIA.

The airline says Klia2 is substandard in comparison.

The rift began after Klia2’s PSC charges were increased from RM50 to RM73.

MAHB said it received notice of appeal from AirAsia against the High Court ruling, but insists it must still pay the full amount specified in the High Court judgment.



 

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TravelMole Editorial Team

Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.



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