Statement on merger between MAVCOM and CAAM

Dr Nungsari Ahmad Radhi
Executive Chairman, Malaysian Aviation Commission (MAVCOM)

I take note of the proposal by the Ministry of Transport (MoT) to Cabinet to merge MAVCOM with the Civil Aviation Authority of Malaysia (CAAM) that has been communicated to us.

I am disappointed that such a decision was made with seeming disdain and without consultation with us. It reflects poorly on those involved in this decision.

We are all on the same side; we all have the same concerns about the state and development of the industry in Malaysia, the health of the aviation service providers, consumer welfare and investor confidence. There is also this urgent issue of CAAM downgrade that needs to be addressed together.

All those notwithstanding, the decision by the government to repeal the MAVCOM Act is a decision that there is no need for an independent economic regulator for the aviation industry that looks into commercial licensing, competition matters as well as consumer welfare and public service obligations; functions that did not exist before MAVCOM was set up.

I will now focus on two things: first and foremost, to look after the welfare of the staff and to then responsibly hand over our statutory role.

I will work with the commissioners to put into effect a proper transition for the staff, and upon doing that, we will hand over all statutory roles and responsibilities to MoT. They can then affect their decision. In the meantime, we will continue to perform our role as stated in the Act.

I am very proud of the team at MAVCOM, a blend of experience and highly talented young people, who have performed with integrity and professionalism to improve both the standards of service as well as the regulatory framework in the industry. My heart goes out to them.

Nungsari A Radhi