Malaysia
Premier: Sarawak’s airline to operate on business model similar to Emirates
Abang Johari cuts the ribbon to symbolically officiate the grand opening of Sheraton Kuching Hotel while witnessed by Juma’ani (fifth right), Uggah (fifth left), Dr Sim (fourth left), Abdul Karim (third left), Lee (second left), Yee (fourth right) and other guests. — Borneo Post Online pic

KUCHING, Feb 19 — Sarawak’s own airline will operate on a business model similar to Emirates, one of the flag carriers of the United Arab Emirates (UAE), said Premier Datuk Patinggi Tan Sri Abang Johari Openg.

He said the state is looking to emulate Emirates which offers lower airfares when compared to other airlines.

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"Our business model is similar to what Dubai, UAE is doing on Emirates where the airfares are very low compared to other airlines, but this has opened up Dubai to the world.

"Thirty years ago, Dubai had nothing but today, it has become a hub in the Middle East.

"So, if we use that model, we can then bring tourists into Sarawak and that will give extra economic activities to our people,” he said when officiating the grand opening of Sheraton Kuching Hotel here last night.

He pointed out that with the Sarawak government’s acquisition of acquisition of MASwings expected to finalise by the third quarter of this year, the state will not be running its airline on a normal business model where the return on investment (ROI) is calculated upon investment on a project.

"As far as Sarawak is concerned...because we are on an island, we need a ‘bridge’ to connect us to other countries and this airline will serve as the bridge.

"When we invested about RM1 billion on the Batang Lupar Bridge, we never talk about ROI of that bridge because its purpose is to facilitate mobility so that the people can move and travel.

"That is why our business model on our airline is similar to a bridge. What is important is the trickle-down effect or the spin-off that will be measured as the success of this airline,” he said.

Abang Johari also hoped that airfares would be stabilised after the state run its own airline.

"Right now, we are celebrating Chinese New Year and the airfares have gone up. In another month, it will be Hari Raya Aidilfitri and the airfares will increase again, and again when we celebrate Gawai Dayak in June.

"We are at the mercy of these people. So, what we do, we have our own airline, and we will calculate what is the potential airfare in order to avoid others increasing their airfares,” he said.

Among those present at the event were Abang Johari’s wife Datin Patinggi Datuk Amar Juma’ani Tuanku Bujang, Deputy Premiers Datuk Amar Douglas Uggah Embas and Datuk Amar Dr Sim Kui Hian, Tourism, Creative Industry and Performing Arts Minister Datuk Seri Abdul Karim Rahman Hamzah, Transport Minister Datuk Seri Lee Kim Shin, and Sheraton Kuching Hotel owner Tan Sri Yee Ming Seng. — Borneo Post Online

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