SEPANG, Sept 3 — The Cabinet has decided to maintain its ceiling price policy for airfare tickets at a maximum price of RM599, to be applied during national festive seasons, Transport Minister Anthony Loke said.

He said that the rate will be fixed and maintained during upcoming festive seasons like Christmas, Chinese New Year, Hari Gawai and others.

Last year, the government agreed to the proposal by the Transport Ministry to provide subsidies for the purchase of one-way economy class flight tickets that exceed RM599 from the peninsula to Sabah, Sarawak and Labuan from December 22 to 24 for the Christmas holidays.

"Secondly, the Cabinet also agreed that we maintain the ceiling price policy during festive seasons, that is three days before festive seasons we will fix the ceiling price for all airlines flying between the peninsula, Sabah and Sarawak.

"So the balance, we will provide subsidy, from the federal government to the airline companies,” Loke said in a press conference at KLIA 2 here, after launching CapsuleTransit MAX, a premium transit hotel for travellers.

Last year, in announcing the initiative, Loke said the government decided to provide the subsidies as those working in the peninsula had to pay more than RM1,000 for a one-way flight ticket to return to their hometown in Sabah, Sarawak and Labuan as flight services are the only mode of transportation.

During the press conference, Loke stated that the Cabinet meeting had also resolved to continue the Flysiswa initiative, a flight subsidy programme for public university students in Malaysia.

The subsidy is provided as a credit shell, intended for use on domestic flights. It enables students to travel between their home and place of study, specifically for those from the peninsula studying in Sabah and Sarawak, and conversely, for students from East Malaysia studying here.

"They will still be given the RM300 aid this year and that will be made a yearly initiative. So we will help every year, and this is from the Federal Government level.

"The Sabah and Sarawak state governments will also help their IPTA students with RM600. So this can reduce the burden, especially for IPTA students from Sabah and Sarawak, who are studying in the peninsula,” Loke said, using the Malay acronym to refer to public higher education institutions.