The Government Is Increasing Airport Taxes Next Year. Here Are The New Rates

The new rates will be implemented on 1 January 2017.

Cover image via The Malay Mail Online

A report by The Sun today, 22 September, revealed that the Malaysian government will be increasing the airport tax rates in the near future

Image for illustration purposes only.

Image via Malaysia Airports

According to The Sun, the rates are being increased as a way to "level the playing field". An aviation expert that the English daily spoke to said that this move is to ensure that all airlines are at an equal level.

"It is done so that no one airline should have an advantage over another, as they all serve the public at the end of the day.

"By levelling the playing field, passengers flying the Asean route may see their ticket prices actually go down as it is the most heavily travelled route in the world," said the aviation expert, as reported by The Sun.

Shedding light on the matter, Transport Minister Datuk Seri Liow Tiong Lai announced that the rates will actually be implemented starting 1 Jan 2017

Transport Minister Datuk Seri Liow Tiong Lai

Image via The Malay Mail Online

As to details of the new charges, Transport Minister Datuk Seri Liow Tiong Lai said, it would be announced by the Malaysian Aviation Commission (Mavcom) soon.

"Mavcom presented their views to me, and we are looking at the finer details. We also discussed in the cabinet today. The details will be announced by Mavcom.

"We made certain decisions, but all of this is under Mavcom's purview, so I will leave it to them to make the announcement," he told reporters after launching the Sekolah Jenis Kebangsaan (C) Bandar Sungai Long, here, today, 22 September.

While the hike for domestic flights is only RM2 more, it is the international flights to non-ASEAN countries that will see an increase of more than 120%!

Image for illustration purposes only.

Image via Straits Times

Here's a breakdown of the new charges for the airport tax, or formally known as the Passenger Service Charge (PSC):

1) Domestic flights RM11 (the rate was previously RM9, thus an increase of RM2)

2) RM35 for flights to ASEAN countries

3) RM73 for all other international flights (RM8 more from the previous rate of RM65 from KLIA and an increase of RM41 for flights going out from KLIA2 from the old rate of RM32)

It was reported that the ones flying to ASEAN countries from Malaysia will benefit the most from this new fee structure while passengers taking international flights are expected to bear the brunt of the fare hike.

Responding to the sudden hike in airport tax, the aviation expert that The Sun spoke to was quick to comment on the matter.

"An extra RM30 to RM50 should not matter much for a person paying thousands for their tickets."

"The new PSC charges will also help Malaysia Airports Berhad provide better services to the public," he said.

He also explained that the extra hike could help improve the amenities in the airport such as the public announcement system, cleaning services for public areas, and other basic services provided before and after check-in to ensure that the public gets the best service.

Liow, on the other hand, said that the rates are still considerably cheaper compared to other countries.

The transport minister also stressed that there are no discrimination with Malaysia's policies when asked about the differences in charges for international flights going from KLIA and KLIA2, despite its obvious disparity of facilities.

Airport tax isn't the only thing that will see a hike in 2016. It was reported earlier in March that the government may be increasing the toll rates too this year:

Meanwhile, read this and find the most economical and convenient way to get to KLIA and KLIA2:

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