By DayakDaily Team
KUCHING, Feb 19: The federal government’s decision to continue providing rural air service (RAS) subsidies to AirBorneo aims to prevent the Sarawak government-owned airline from incurring losses, as rural air services are generally unprofitable.
In a TVS news report, Transport Minister Anthony Loke explained that although the airline, formerly known as MASwings, is now under the Sarawak government’s ownership, the federal government remains responsible for channeling RAS subsidies to airlines operating rural routes.
“We have an obligation to ensure uninterrupted air connectivity in rural areas; otherwise, AirBorneo would face significant financial losses.
“Just as we provided subsidies to MASwings, the same applies to any airline operating in rural areas. Without government support, no commercial airline would undertake such operations,” he said during the winding-up session of the Debate on the Royal Address for the Ministry of Transport (MOT) in the Parliament today.
Loke was responding to a supplementary question from Datuk Mohd Suhaimi Abdullah (Perikatan Nasional-Langkawi), who sought clarification on the government’s decision to continue RAS subsidies for AirBorneo.
When asked whether AirBorneo would introduce a Kuching-Langkawi flight route, Loke said the decision rests with the airline, adding that his ministry has no objections.
“It’s up to AirBorneo. The MOT does not restrict any airline from operating. However, if this route is to materialise, the Kedah government must take the lead in marketing efforts,” he said. — DayakDaily
