KUALA LUMPUR: The FLYsiswa initiative, which provides subsidised airfare for students from public universities, polytechnics, and community colleges, will be incorporated into the Ministry of Transport’s (MOT) yearly budget, Anthony Loke said.
The Transport Minister said the initiative, first introduced in 2023 to ease the financial burden of students travelling between the Peninsular and East Malaysia, will continue to benefit approximately 60,000 students, particularly those from Sabah and Sarawak.
He said this decision was confirmed during a Cabinet meeting on Sept 3, as part of the government’s commitment to reducing the cost of air travel for students, particularly during peak festive seasons.
“The FLYsiswa programme has been highly successful in supporting students, and we are pleased to make this initiative a permanent fixture in our yearly budget,” Loke told the Dewan Rakyat on Monday (Oct 28).
Under the FLYsiswa programme, eligible students are provided with a digital voucher, known as a credit shell, worth RM300.
This voucher can be redeemed for domestic flights between the Peninsula, Sabah, Sarawak, and the Federal Territory of Labuan.
Loke said the initiative is intended to ensure that students can afford to travel home during their breaks without facing the financial strain of high airfares.
In addressing concerns over the rising cost of airline tickets during peak travel seasons, Loke revealed that the Transport Ministry, in collaboration with the Malaysian Aviation Commission (Mavcom) and domestic airlines, has been working to increase flight capacity and offer more competitive prices.
This initiative aims to prevent ticket prices from soaring during festive periods when demand traditionally outstrips supply, he added.
“The Ministry has had discussions with Mavcom and several airlines, including Malaysia Airlines, AirAsia, and Batik Air, to ensure that flight capacity is increased according to demand.
“The airlines have agreed to adjust their schedules and increase the number of available seats during peak periods, which will help bring down ticket prices and make air travel more affordable.”
This announcement comes as part of the government’s broader strategy to manage airfare inflation, particularly during high-demand seasons such as Chinese New Year, Hari Raya Aidilfitri, and Christmas.
Loke said Mavcom will continue to monitor ticket prices across all domestic routes, ensuring that airlines adhere to competitive pricing strategies.
At the same time, Loke also highlighted the operational challenges faced by the airline industry over the past year, resulting in significant disruptions to domestic flights.
According to data provided by Loke, Malaysia Airlines Bhd (MAB) reduced its capacity by 95,906 seats from August to December 2024, which was partly offset by an additional 139,578 seats offered by AirAsia, AirAsia X, and Batik Air.
For passengers affected by MAB’s cancellations, the airline has provided rebooking options, including rescheduling flights to one day before or after the original departure date, he said.
If MAB flights are unavailable, he said passengers can opt for alternative carriers.
Loke reassured that these rebooking arrangements have largely been completed, and the airline is now operating as usual, only cancelling flights when absolutely necessary due to force majeure, such as adverse weather or aviation advisories.
Additionally, he said from January to August 2024, approximately 24% of the 258,116 domestic flights operated by Malaysian Airlines were delayed, with 55,024 flights experiencing delays of less than two hours and 5,990 facing delays of more than two hours.
Flight cancellations, though less common, were still a concern, with 18% of scheduled flights cancelled in 2024, compared to 20% in 2023, he added.
“The primary causes of delays and cancellations include aircraft rotations, crew shortages, and technical issues, as well as extraordinary circumstances such as poor weather and air traffic control constraints.”
In a bid to help travellers secure cheaper fares, Loke urged passengers to book their tickets well in advance.
He said airlines typically release tickets as early as nine months before the travel date, and prices tend to increase closer to the departure date as lower-priced tickets sell out.
Loke highlighted that, on average, the highest fare brackets - usually reserved for last-minute bookings - account for about 10% of tickets sold during peak seasons, while more affordable tickets, priced below RM599 one-way, make up 60% of the total.
To further ease the burden of high airfares, particularly during festive seasons, he said the government has also implemented a price ceiling of RM599 for one-way economy class tickets from the Peninsular to Sabah, Sarawak, and Labuan.
“This ceiling applies during the three days leading up to major festive celebrations, including Chinese New Year, Hari Raya, and Christmas, ensuring that Malaysians can return home without excessive financial strain.
“The government will cover the difference for tickets that exceed this RM599 limit, while tickets below this threshold will continue to be sold at their original price,” he said.
