KUALA LUMPUR, May 25 — Activist Chua Tian Chang, who led a memorandum protesting the Israeli link in the proposed takeover of Malaysia Airport Holdings Berhad (MAHB) on Thursday, has warned of foreign monopoly resulting from the deal.
The former PKR vice-president known as Tian Chua urged Transport Minister Anthony Lok to explain to the public the potential advantages of the deal, after the latter told protesters that the ministry is not responsible for the proposal.
“We’re told that the entire aim of selling MAHB is to boost competitiveness as MAHB lacked competitiveness however MAHB’s inherent lack of competitiveness is also rooted in its design as a monopoly,” Chua told Malay Mail.
“No other company is permitted to manage our airports. Merely transferring control to another entity or wholesaling it does not alter this reality. Although it might seem like fostering competition, it remains a monopoly unless airports are divided among different operators to gauge performance.”
He highlighted the original rationale behind MAHB’s establishment as a monopoly was to facilitate government oversight and maintain affordable prices for the populace.
“Previously, the monopoly was justifiable as MAHB was wholly government-owned, ensuring full control over pricing and costs to shield consumers from undue burdens. However, with privatisation, how do we prevent the monopoly from imposing hardships on the public?” he asked.
Chua, the spokesman for Palestine Solidarity Secretariat (SSP), had along with Perikatan Nasional’s (PN) Machang MP Wan Ahmad Fayhsal Wan Ahmad Kamal led the protest in front of the Ministry of Transport (MoT) office in Putrajaya to hand over a memorandum opposing the proposed takeover of MAHB.
Loke in response said the group should instead direct its grievance to Khazanah Nasional Bhd and the Employees Provident Fund (EPF) over the matter since the ministry is a regulator and has no control over MAHB’s choice to cooperate with any joint venture.
Chua said this was concerning since as minister any sale should come under his jurisdiction as the custodian of the transport ministry and admitting he had no role in it was worrying.
“MoT saying they have no say no knowledge about it is not a healthy sign, I hope MoT takes more initiative to know what’s going on and he shouldn’t be so passive and allow things to happen without his knowledge,” Chua added, referring to Loke.
When asked about Loke’s response which was directed to him, Wan Ahmad Fayhsal accused the minister of attempting to divert attention away from him.
“Anwar handles the divestment part but Loke is the regulator, part of the Cabinet, so there is collective responsibility hence surely he knows about it,” he said, referring to Prime Minister Datuk Seri Anwar Ibrahim’s role in the proposal.
“Before Khazanah sells the shares they must discuss it with Loke because they’re trying to sell to improve the airport’s operations so he must be in the loop. It’s irresponsible to say otherwise. Perhaps he could explain the rationale behind the 30 per cent stake to Global Infrastructure Partners (GIP)?
“For now we ask that they withdraw the sale as there’s no strong rationale to sell. MAHB is doing well. Why do we need GIP, one of the worst airport operators to manage us? There’s no economic merit for this,” he added.
Khazanah and EPF are already stakeholders in MAHB, but wish to raise their stakes in a proposal that entails a takeover worth roughly RM18.4 billion through a consortium that includes two other funds: Global Infrastructure Partners (GIP) and the Abu Dhabi Investment Authority (Adia).
New York-headquartered GIP is a leading infrastructure investor that specialises in investing in owning and operating some of the largest and most complex assets across the energy, transport, digital infrastructure as well as the water and waste management sectors.
GIP is a major investor in Gatwick Airport (London, United Kingdom), Sydney Airport (Australia) and Edinburgh Airport (Scotland).
The move has been opposed by some parties as GIP is owned by BlackRock, reported as the world’s biggest asset manager with huge investments directly in Israel.
Among companies the fund invests in are Lockheed Martin, RTX, Northrop Grumman, Boeing, and General Dynamics — firms that are said to manufacture weapons and vehicles that are used in Israel’s brutal military campaign against Palestinians.
Earlier this month, Prime Minister Datuk Seri Anwar Ibrahim issued a stern response to claims that a pro-Zionist fund would own a stake in MAHB if the privatisation bid goes through, calling it a “baseless” allegation aimed at inciting anger towards his government.
Read here for Malay Mail's explainer on the controversial proposed takeover bid of MAHB: What’s behind the controversy of MAHB’s Khazanah-EPF takeover, and what does Israel have to do with it?
