Reconsider MAVCOM-CAAM merger: IATA

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NSTbusiness: IATA said it was willing to assist and support the task force which will be looking into the terms of the merger.

The International Air Transport Association said the change in Mavcom’s structure and processes can have a negative impact on its future performance, which will not bode well for aviation in Malaysia.

The official letter, which was sighted by the New Straits Times, raised its strong concerns about the sudden decision due to lack of industry consultation, citing that the merger of Mavcom and CAAM could jeopardise the efficiency and effectiveness hitherto achieved by the former as an independent regulator.

Since its establishment in 2016, IATA said Mavcom had delivered many positive outcomes for the betterment of the local aviation industry. Having consulted with stakeholders including IATA over the years, he said Mavcom had also been developing the framework for the economic regulation of Malaysia Airports Holdings Bhd’s tariff and was close to make its first determination under this framework.

IATA said the importance of having an independent economic regulator for the aviation industry would promote best practice and helps the necessary leadership and oversight of the industry, while making decisions free from any conflict of interest. Its members include Malaysia Airlines, Malindo Air and many other foreign airlines that operate services to/from Malaysia.

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and add in 'something' to their advantage undermining our sovereignty anthonyloke

Afaik, S'pore does not have an equivalent of MAVCOM. And yet S'pore's regulatory regime for the aviation industry & civil aviation in the republic is one of the most stringent in the world. It's all about right staffing & management ethos..anthonyloke

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