KUALA LUMPUR: Airlines departing from Malaysia now have to provide refunds to affected passengers in the original mode of payment within 30 days.
This has to be done when flights are delayed by five hours or more on the day of departure.
Malaysian Aviation Commission (Mavcom) director of consumer and public affairs, Pushpalatha Subramaniam, said the move is part of the regulator's Malaysian Aviation Consumer Protection (Amendment) Code (MACPC) 2024.
"If you pay by cash, then they (airline) have to return (refund) to you by cash. If you pay via credit card, they (have to) reimburse your credit card. If you pay through airline miles (points), they will reimburse the miles you credited," she said at a media briefing on the enhanced MACPC 2024 here today.
MACPC 2024 also includes refunds for flight disruptions caused by extraordinary circumstances beyond airlines' control such as weather and security risks.
Under this, an airline must first offer a refund in the original mode of payment, or if the passenger does not opt for a refund, the airline may offer alternative forms of refund such as travel vouchers or credit shells.
Previously, airlines were not subject to offer compensation if their flight disruptions were caused by circumstances beyond their control.
Starting today, airlines have to provide meals, phone calls and internet access to passengers for flights delayed by two hours or more on the day of departure.
For delays of five hours or more, passengers will also get hotel accommodation if an overnight stay when necessary, transport between the hotel and airport, and a refund in the original payment mode within 30 days.
Asked how the refund mechanism would work if passengers bought their flight tickets via online travel agencies (OTA), Pushpa said the airline has to reimburse the OTA within 30 days, after which OTA would refund the passenger.
"That (OTA) is not within our jurisdiction. It is within the Tourism, Arts and Culture Ministry (MOTAC) but we are working with MOTAC to make sure that because the money has gone to the travel agent, they should reimburse (the passenger) as soon as possible," she said.
Pushpalatha said the enhanced MACPC also ensures that airlines must offer refunds for refundable and non-refundable tickets for flights passengers did not board.
"Airlines are now required to refund all mandatory charges such as fuel surcharge, taxes, fees, and charges such as the departure levy, passenger service charges (PSC) and carbon fee," she said.
She added that all cancelled flights must be promptly removed from all booking platforms, including those operated by online and offline travel agents.
Under the updated MACPC, airlines must inform consumers of new departure times (if the flight timings are changed more than three hours from the scheduled departure time) when the latest time is decided or at least 24 hours before departure.
Pushpa said starting today, any denied boarding must be done at the check-in counter or departure gate before the passenger boards the aircraft.
From Jan 1, 2025, Mavcom would not allow airlines to change their flight schedules within two weeks from the departure date except in extraordinary circumstances or technical reasons.
According to Mavcom, a rescheduled and re-timed flight occurs when an airline changes the scheduled departure time as stated on the ticket.
Pushpalatha said passengers affected by delays of more than five hours should approach the carrier's representative first to seek a refund before lodging a complaint with Mavcom.