THE Civil Aviation Authority of Malaysia (CAAM) has announced substantial increases in annual aerodrome operating certification charges, set to take effect next year.
This change will impact various categories including airports with single and double runways, many of which are operated by Malaysia Airports Holdings Bhd (MAHB).
MAHB oversees operations at five international airports, 17 domestic airports, and another 17 short take-off and landing aerodromes.
In a notice recently issued to stakeholders, CAAM head Norazman Mahmud detailed that while seven existing certification charges will see significant increases, 128 charges will remain unchanged.
Moreover, 25 new charges related to unmanned aircraft and drones will be introduced.
Starting January next year, airports with two runways will face a 50% increase in annual certification charges, rising to RM300,000 for three years, then to RM390,000 from 2028 to 2030, and RM468,000 from 2031 onwards.
Meanwhile, single-runway airports will see their charges increase to RM225,000 from 2025 to 2027, RM292,000 from 2028 to 2030, and RM351,000 starting in 2031. Short take-off and landing airports will face charges of RM25,000 (2025-2027), RM39,000 (2028-2030), and RM46,800 from 2031.
Heliports and shipboard helidecks will experience charges rising to RM37,500 (2025-2027), RM48,750 (2028-2030), and RM58,500 from 2031.
Airlines will also see increased costs for the annual renewal of certificates of airworthiness, based on the maximum certificated take-off mass of their aircraft.
Other certification-related fees, including those for continuing airworthiness management, maintenance of aeronautical products, maintenance training, and renewal of air operator certificates, will see substantial increases every three years starting from 2025.
Norazman added that this revised fee structure marks a pivotal transition from a state-sponsored model to a cost-recovery model funded by the industry.
“Recognising the pivotal role of a robust aviation regulatory framework and efficient air navigation services, the government has undertaken comprehensive measures to reform CAAM’s financial structure, ensuring long-term financial sustainability.
“The approval of the new aviation pricing framework reflects a milestone achievement, built upon extensive consultations initiated in 2021, and collaborative efforts among industry stakeholders, regulatory authorities and the government.”
Earlier this year, stakeholders had expressed concerns regarding the steep increases, warning that they would burden aerodrome and airline operators still recovering from the impacts of COVID-19. They also feared that these increased costs would inevitably be passed on to air travellers, adding to their financial burden. – May 22, 2024
Main photo credit: The Star
