Kuala Lumpur:The Ministry of Transport (MOT) is taking steps to tackle the issue of unauthorized resale of AirBorneo flight tickets by third parties, which could result in consumers paying higher prices and encountering hidden charges.
According to BERNAMA News Agency, Deputy Transport Minister Datuk Hasbi Habibollah mentioned that the Civil Aviation Authority of Malaysia (CAAM) is aware of the situation, and discussions are ongoing at the ministry level to protect consumer interests. He emphasized the need to prevent third parties from being involved in ticket sales, recalling previous issues with another airline where such practices harmed consumers. He assured that action would be taken if necessary, as stated during a session in the Dewan Rakyat.
In response to questions from Khairil Nizam Khirudin (PN-Jerantut) and Datuk Larry Soon @ Larry Sng Wei Shien (PBM-Julau), Hasbi acknowledged the impact of rising global fuel prices on flight frequency. However, the entry of AirBorneo has increased feeder flights and led to lower fares offered by other airlines.
The federal government allocates an annual subsidy of RM209 million to AirBorneo for the operation of Rural Air Services (RAS) to ensure service continuity in remote areas of Sabah, Sarawak, and Labuan. As the RAS operator under the Public Service Obligation (PSO), AirBorneo is required to adhere to a set price ceiling, with fares ranging from RM30 to RM243 depending on the route. CAAM, acting as advisor, administrator, and manager of RAS, will monitor compliance with these operations, and the price ceiling structure will be reviewed periodically.
The interim RAS agreement, signed on December 18 last year, will expire on December 31, with a new agreement expected by the end of the year. AirBorneo has been operating 14 weekly flights on the Kuching-Kuala Lumpur route since July 20, using Boeing 737-800 aircraft with a seating capacity of 162. Economy fares are set at RM375 one-way, and business class fares start at RM800. The company plans to increase flight frequencies and introduce new routes gradually, based on market demand and aircraft availability, with commercial operations fully funded through internal resources.