KUALA LUMPUR: The Dewan Rakyat has approved the Malaysian Aviation Commission (Mavcom) (Dissolution) Bill 2024 which is aimed at providing for the vesting of its properties in the Civil Aviation Authority of Malaysia (CAAM).
The bill, tabled by Transport Minister Anthony Loke Siew Fook, unanimously received the yea vote after it was read by Dewan Rakyat Speaker Tan Sri Johari Abdul.
Earlier, the second reading of the bill, which was also tabled by Loke, was passed via bloc vote with 93 in favour, 63 against and 63 absent.
Loke, during the tabling of the bill in the Lower House today, said the decision for the dissolution of Mavcom was comprehensively done through engagement sessions with relevant stakeholders such as CAAM, Attorney-General's Chamber, Public Service Department, Economy Ministry, Finance Ministry as well as Domestic Trade and Consumer Affairs Ministry.
He also said the merger of Mavcom and CAAM would no longer require two separate regulatory bodies to monitor national civil aviation sector affairs.
"The government has considered the implementation of merging the national civil aviation regulatory bodies, involving CAAM and Mavcom, through the repeal of Act 771 and amendments to Act 788 (of CAAM Act 2017).
"The merger aims to streamline bureaucratic processes and enhance the efficiency of the civil aviation service delivery system, particularly in licensing services.
"This unified mechanism is also employed by most countries that oversee the world's major air transportation sectors, such as the United States, United Kingdom, Germany, Singapore and China," he said in his speech during the tabling of the bill, today.
In terms of finances, Loke added that Mavcom was not reliant on any government allocations and funded its operational expenses through revenue generated from the Regulatory Services Charge of RM1 imposed on each passenger departing from any commercial airport in Malaysia.
Following this, he said all powers, rights, duties, liabilities and obligations of Mavcom shall be devolved on CAAM through the bill.
"In 2023, RSC collections amounted to RM36.9 million, up from RM24.3 million in 2022."
The bill also sought to provide for the transfer of all existing agreements, deeds, documents and other instruments from Mavcom to CAAM.
All money standing in or due to be paid to the Aviation Commission Fund and Public Service Fund established under the Mavcom Act 2015 shall be transferred to the CAAM Fund established under the CAAM Act 2017.
The bill also sought to provide for the transfer of all existing agreements, deeds, documents and other instruments from the Commission to the CAAM.
The merger will see some amendments to the CAAM Act 2017, which will be tabled in Dewan Rakyat.
The main amendments include the increased size of its members by not less than six and not more than eight other members.
Under the proposed changes, CAAM will also include a representative from the Economy Ministry apart from representatives from the Transport and Finance ministries.