Pockets of growth in cargo segment, 233% jump in Air Traffic Rights applications

THE Malaysian Aviation Commission (MAVCOM) observed that the cargo segment has been growing in tandem with logistics needs and it is seeing the local players adapting to this new need.

“While the path to recovery for the aviation sector will be a long one, we are already seeing pockets of growth in the cargo segment,” commented MAVCOM’s executive chairman Datuk Seri Saripuddin Kasim.

Meanwhile, the Commission has approved 93% of the Air Traffic Rights (ATR) applications received from airlines for 4Q 2020.

In MAVCOM’s latest report (fourth quarterly), a total of 14 ATRs were approved for international destinations while the remaining 26 were for domestic routes.

The report details the Commission’s ATR allocations for the Malaysian civil aviation sector for the period of Oct 1 to Dec 31, 2020. 

“The ATR application rate increased by 233% as compared with the 12 ATR applications received in the previous quarter due to increased applications for scheduled air cargo services and new domestic routings,” MAVCOM said in its report.

Of the 40 ATR approvals for 44Q 2020, 26 ATR allocations were for domestic destinations, international destinations (14), destinations in China (four), destinations in Europe (two), destinations in India (two) and other Asian destinations (six).

In terms of allocations by airports, 17 ATRs were issued for flights originating from KL International Airport (KLIA), Sultan Abdul Aziz Shah Airport (six), Kota Kinabalu International Airport (five) and other Malaysian airports (12). 

Malaysia Airlines Bhd received the highest number of approvals totalling 11 ATRs, while AirAsia Group Bhd received the second highest number of approvals of 10 ATRs. MyJet Xpress Airlines Sdn Bhd, Raya Airways Sdn Bhd and Fly Firefly Sdn Bhd followed with nine, six and four ATR allocations respectively.

In addition, the economic regulator for the civil aviation industry also recognises the difficulties faced by airlines resulting from the ongoing COVID-19 pandemic and is conscious of the need to facilitate airlines as they endeavour to resume full services.

To alleviate the administrative challenges faced by airlines and allow scheduled airlines to keep their current ATR portfolio active, MAVCOM had temporarily relaxed a condition of the ATR – effective June 4, 2020 – which automatically revokes unutilised ATRs within six months from the date of the ATR approval.

“As a result, no ATRs have expired between Oct 1 and Dec 31, 2020. We will continue to work towards reviving the aviation sector,” he added. – Jan 22, 2021

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