No PSC increase, component for Asean destination standardised, says minister

SEPANG, March 18 — The Ministry of Transport stressed that there was no increase in passenger service charges (PSC); rather, a component was standardised following a rate revision for Asean travel destinations.

Transport Minister Anthony Loke said airport operators also needed revenue to manage the airports, pay water and electricity bills, and wages.

“Previously, there was a separate category at a lower rate for Asean destinations, but now they are grouped with international destinations.

“PSC is the charge collected by airport operators, that is, Malaysia Airports Holdings Bhd (MAHB) and Senai Airport (which is not owned by MAHB) to manage and maintain their airports and not paid as a tax to the government.

“The airport operators also have maintenance costs for electric and water bills, as well staff salaries, and the whole ecosystem in an airport,” he said.

Loke noted that the cost of managing an airport is high, and airport operators must have revenue, and the PSC is among their main revenue sources.

Asked for assurances that airport operators would improve facilities following the PSC adjustment, the minister said operators were subject to the requirements of the Malaysian Aviation Commission (Mavcom) and had to meet its standards.

On March 13, Mavcom said the PSC revisions would apply for the First Regulatory Period (RP1) from June 1, 2024, to Dec 31, 2026.

The commission recently revised the PSC rates to between RM7 and RM73 for RP1, payable by passengers departing from and transferring through Malaysia, and they include a security charge for the provision of security services at airports.

It maintained the domestic departure PSC at RM11 at all airports except Senai International Airport.

The PSC for international travel (Asean and beyond) has been unified into a single international departure PSC of RM73 for Kuala Lumpur International Airport (KLIA) Terminal 1 and RM50 for KLIA Terminal 2 (previously known as klia2) and other airports.

Currently, the Asean and beyond Asean PSC are RM35 and RM73, respectively. — Bernama