All in fixed fares for flight bookings to Sabah and Sarawak for CNY period starting Jan 5

The Star

AirAsia is offering one-way economy tickets at an all-in fixed fare to Sabah and Sarawak at RM348 and RM298 respectively for the Chinese New Year period starting Friday (Jan 5).  Transport Minister Anthony Loke told reporters at a press conference at AirAsia RedQ headquarters on Friday that the fixed-fare tickets are available for purchase from Friday until Feb 15 or once sold out.  Loke added that it was a priority to bridge the gap between East and West Malaysia.  Read more at http://tinyurl.com/mrxsknae  WATCH MORE: https://thestartv.com/c/news SUBSCRIBE: https://cutt.ly/TheStar LIKE: https://fb.com/TheStarOnline

Transcript

00:00 [BELLS RINGING]

00:03 As we usher in the Chinese New Year,

00:13 and what's more, a very significant year

00:15 for the Chinese community in the year of the dragon,

00:19 it is imperative to highlight the government's continued

00:22 commitment to facilitating affordable air

00:25 travel for Malaysians between Peninsular Malaysia and Sabah

00:29 and Sarawak.

00:31 Our collaborative efforts with industry partners,

00:34 especially with AirAsia, underscore our dedication

00:38 to ensuring that Malaysians can reunite with their families,

00:42 friends, and loved ones with accessible and reasonable

00:46 affairs, especially during important periods

00:49 like the upcoming festive seasons.

00:51 This commitment is vital, as air travel

00:54 remains the principal link between East and West Malaysia.

00:59 Above all, these initiatives are intended

01:01 to strengthen our integration and unity as a federation.

01:06 We hold to the words embedded in our national code of arms,

01:10 [NON-ENGLISH SPEECH] or unity in strength.

01:14 As your transport minister, and more importantly, a Malaysian,

01:18 I've made it a priority to bridge the gap between East

01:21 and West Malaysia.

01:22 And in fact, this is the most important media event for me.

01:27 I'm always looking forward to announce this

01:31 during Chinese New Year or Hari Raya at the factory,

01:34 because I know there are thousands of Malaysians,

01:37 especially our fellow Sabahans and Sarawakians,

01:40 who are waiting for this announcement right now.

01:43 At the moment, we open for sales.

01:45 I'm sure a lot of people are logging in to our website

01:48 to purchase their seats.

01:52 Last month, the unity government for the first time

01:54 introduced a subsidized price cap of RM599

01:59 on flights between East and West Malaysia

02:02 during festive seasons for the whole year.

02:05 That means that price cap will not only

02:06 apply during the coming Chinese New Year,

02:09 but also Hari Raya at the factory, Kah Amatan, Kah Wai,

02:13 and Christmas.

02:15 Additionally, the government also

02:16 launched the flight-sales-well program,

02:19 offering a subsidy of RM300 for public universities,

02:22 for attending community colleges, teachers,

02:25 training colleges, and matriculation students

02:28 studying across the South China Sea

02:30 to purchase economy flight tickets home.

02:33 This initiative, in conjunction with Asia's Pesah support,

02:37 serve as a pioneering force in advancing

02:40 the welfare of our citizens.

02:42 I commend Asia's consistent dedication

02:45 to the government's initiative, particularly the fixed-flow fare

02:49 during festive seasons.

02:51 I just want to be very clear to the media

02:54 that the RM599 cap is a subsidized program

02:59 by the government for all flights,

03:02 for all normal flights, the regular frequency, which

03:07 have between Peninsular and Sabah Sarawak,

03:11 there are more than 300 flights just by Asia on a weekly basis.

03:16 But on top of that, what we are announcing today

03:20 is that a fixed fare, a much lower fixed fare,

03:25 in an initiative by Asia on their own initiative.

03:29 And I'm pleased to support that the support of the government's

03:32 efforts, Asia, beginning today, will be offering

03:35 one-way economic tickets and an all-fixed fare of RM298

03:40 to Sarawak and RM348 to Sabah for the Chinese New Year

03:45 period.

03:46 These fixed fare tickets are available for purchase

03:49 from today until 15 February 2024, or until in Sarawak.

03:53 But don't wait until the last minute.

03:55 I'm sure the next one or two days, a lot of people

03:59 will lock in.

04:01 The travel period for these fixed fare tickets

04:03 is from 5 February 2024 until 15 February 2024.

04:08 That is five days before the first day of Chinese New Year

04:12 and five days after the first day of Chinese New Year.

04:16 They will apply to routes between Kuala Lumpur

04:19 to Kota Kinabalu, Sandakan, Tawau, Kuching, Biri, Sibu,

04:24 and Bintulu.

04:26 Secondly, Johor Bahru to Kota Kinabalu, Kuching, Sibu,

04:29 and Biri.

04:31 Kuching to Kuala Lumpur and Johor Bahru.

04:34 Kota Kinabalu to Johor Bahru.

04:36 So this is a very important route because it

04:41 covers all the major airports and major cities

04:44 in both Sabah and Sarawak.

04:47 We applaud AirAsia for providing affordable options that

04:50 complement our efforts to manage the surge in demand

04:54 during festive seasons, ensuring that everyone

04:56 has the opportunity to return home to their loved ones.

05:00 Their commitment aligns seamlessly

05:02 with our broader goals to enhance the travel

05:04 experiences for Malaysians.

05:06 The synergy between the government and industry players,

05:09 as amplified by AirAsia's support,

05:12 is crucial for fostering a robust and dynamic aviation

05:15 sector.

05:17 You mentioned about the $599 subsidized airfare.

05:21 Just curious, how does the government

05:24 put in place the control to ensure that airlines doesn't

05:30 artificially hike the price and claim it from the government?

05:35 Thank you.

05:36 First of all, the government is very smart in spending money.

05:42 Don't underestimate our intelligence,

05:45 that you think that the airlines can easily

05:48 manipulate the prices.

05:50 No, it will not happen.

05:51 Because first of all, the pricing

05:54 are being monitored by MFKOM.

05:56 And we know exactly how many seats they are claiming.

06:01 And we have to make it very clear to them.

06:03 And in fact, I'd like to commend AirAsia.

06:05 They just give me the report.

06:07 And we know exactly each particular flight,

06:10 how many seats are sold at one price.

06:13 And you cannot just artificially increase the prices.

06:17 Because they have an algorithm, and they

06:19 have some pricing mechanism.

06:22 They cannot just hike the price and then claim from the

06:24 government.

06:25 No, it will not happen that way.

06:27 So a thorough process, a thorough audit

06:31 will be put in place to check all the claims.

06:35 And just to be very transparent, they just

06:38 submitted me the report.

06:40 Our initiative for the Christmas season, for three days,

06:44 22nd, 23rd, and 24th December, just on AirAsia alone,

06:48 has benefited 5,000 passengers on the subsidized prices.

06:54 So why only 5,000?

06:55 Because for those who purchased earlier,

06:59 they actually enjoy a much lower fares, below 599.

07:03 Why we put it at 599 is that we know

07:06 that when the demand is high, probably

07:11 in every single flight, the balance 10% or 20%,

07:16 or the final 10% to 20% passengers,

07:19 usually they have to pay a much higher fares.

07:22 So it can go up to 1,000 ringgit, even for AirAsia.

07:26 So we put a cap at 599 so that it will not

07:30 go beyond 600 ringgit.

07:31 599 will still be the fares, but they

07:33 have to top up a bit on BSC and other charges.

07:36 Their baggage and so on.

07:38 So 599 is the cap price.

07:41 So anything above 599, which is supposed

07:45 to be sold by the airlines, are being

07:47 subsidized by the government.

07:49 So they just gave me a report.

07:50 It benefited 5,000 passengers, who

07:53 are supposed to pay beyond 599.

07:55 But we kept it at 599, and the implication to the government

07:59 is 2 million ringgit.

08:01 So 2 million ringgit is about, average about 400 ringgit

08:05 subsidy for each passenger.

08:07 So that helped 5,000 more passengers

08:11 to enjoy at a lower rate, at 599.

08:13 So that is the initiative by the government.

08:16 We have thought through the process.

08:18 So whatever you thought, that the airlines can just

08:20 artificially increase the prices, no.

08:23 I mean, we have had a very, very thorough discussion

08:28 between our aviation division and Mavcom.

08:32 So we have thought through the whole mechanism,

08:34 and we come up with this.

08:36 So regarding the 599 base fare, because according

08:39 to the Malaysian Aviation Consumer Protection Code 2016,

08:45 so one of the subsection two is airlines

08:49 should disclose the final fare of the airfare

08:52 but in their advertisement.

08:55 But most of the airlines, they are emphasized on the 599.

08:57 So it means that it's not the final fare.

08:59 So would it be misleading to the public?

09:02 Well, this is something that, of course,

09:04 we will continue to make improvement in terms of the--

09:13 but what is important is that the fare is 599,

09:16 but they have to stay not inclusive of charges.

09:20 But at the website, before they purchase,

09:24 they will know the actual prices before they pay.

09:27 And I have also spoken to the airlines.

09:30 I just mentioned to AirAsia that they also

09:32 have to disclose the actual price that they

09:35 are supposed to pay.

09:36 For example, that particular seat is, let's say,

09:38 it is up to 900 ringgit.

09:40 They have to put it at 900 ringgit.

09:43 But the subsidized fare by the government,

09:46 the difference are being paid by the taxpayers

09:49 through the Ministry of Transport.

09:51 That has to be highlighted.

09:52 So there will be some improvement

09:54 in terms of the pricing advertisement and mechanism

10:00 during the upcoming China Civil and Hari Raya initiative.

10:05 OK.

10:07 [END PLAYBACK]

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