Premier does ‘homework’, develops business model for boutique airline

Abang Johari (third left) and Juma’ani welcoming visitors to their Hari Raya Aidilfitri open house t BCCK on April 22, 2023. With them is Abang Abdul Karim (second right).
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By Wilfred Pilo

KUCHING, April 22: Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg has developed a business model for managing the much-talked-about boutique airline in the region.

He said that since the federal government had agreed in principle, he had done his homework and that the business model would be different.

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“I cannot reveal it because it is mine. So, we hope this business model will allow us to run the airline and cover the overhead because it (boutique airline) is not profit-motivated,” he added.

He told reporters this at his Hari Raya Aidilfitri open house at Borneo Convention Centre (BCCK) today.

Regarding the steep price of airfare, he said to stabilise it, an intervention in the airline market is needed, and for that, Sarawak needs to have its own airline.

“So, in that case, the airline is run by the Sarawak government, and the private sector will drive it. The core is with regional airline Hornbill Skyways.

“Hornbill Skyways have been there for over 30 years, we got the experience, and what we need is the new business model that I have come up with that will allow us to have a boutique airline,” he said.

Abang Johari then emphasised that the Sarawak government’s focus is not on profit.

“If you can cover the overhead, it will be enough as, after all, the people will benefit.

“When you calculate the return, it is not only on the airline but the whole spectrum in the tourism industry, then ‘orang kampung’ (rural folk) would benefit,” he further explained.

When asked whether the boutique airline’s airfare will undercut other airlines, Abang Johari declined to reveal anything about it.

“That one must keep to myself because I have thought a lot. But, you must remember, before I became a YB (elected representative), I was in the airline industry, so you cannot lie to me,” he said.

He is not worried about claims made by Bandar Kuching MP Dr Kelvin Yii, who alleged that such an airline would have an adverse economic impact.

“Time will tell. (It is) The same with the Autonomous Rapid Transit (ART) system.

“They (opposition) were sceptical at first, also with my digital economy (initiative) and Sarawak Pay, but now you see (the effects of it). Let time tell. I don’t want to debate,” he said.

Also present during the open house were Abang Johari’s wife, Datuk Amar Juma’ani Tuanku Bujang, and his elder brother, Dato Sri Abang Abdul Karim Tun Abang Openg. — DayakDaily

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