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28 August 2024

Airlines required to offer consumers option of full refund in the original payment method if a flight delay of five hours or more,

 



Refund the customer if the flight is more than five hours late


Refund the customer if the flight is more than five hours late
Anthony Loke during a press conference at the Ministry of Transport on Wednesday. - Picture/ Shahir Omar/ Astro AWANI
PUTRAJAYA: Airlines are now required to offer consumers the option of a full refund in the original payment method in the event of a flight delay of five hours or more, effective next Monday
The Minister of Transport, Anthony Loke Siew Fook said, the payment must be settled by the airline within 30 days if the customer chooses not to continue the journey due to a delay of five hours or more
"MOT through the Malaysian Aviation Commission (MAVCOM), has improved the Malaysian Aviation Consumer Protection Code 2016 (MACPC) which will provide better consumer protection," he said during a post-Cabinet press conference here on Wednesday.
According to him, airlines are required to first offer a refund in the original mode of payment in case of flight disruption due to extraordinary circumstances.
"Airlines can also offer alternative reimbursement modes such as travel vouchers or 'credit shells'.
"However, users have the right to choose the refund mode they want," he explained.
According to Anthony, all canceled flights must be removed from all booking systems, including online and offline travel agent platforms.
"This is to protect consumers from buying canceled flight tickets," he said.
He added that any change in the Scheduled Departure Time (STD) must be notified to the user at least two weeks before the actual departure time, unless it is due to extraordinary circumstances or unavoidable technical problems.
"This provision will come into force in January 2025," he said.
According to Anthony, any denied boarding due to overbooking should be notified to the user at the check-in counter or at the departure gate.
"Denying users who have boarded the plane is prohibited," he said.
Also improved is the time limit for users to submit complaints extended from one to two years.
MACPC is the first protection code specifically for Malaysian aviation industry users.
The Code provides transparency on the obligations of airlines towards consumers and clearer guidance on their rights and interests in the event of a flight disruption.
He explained that with the improvement, aviation users can get an enhanced guarantee of protection for air travel.
"MAVCOM will also continue to monitor the performance of airlines to ensure compliance with established industry benchmarks for the benefit of consumers.
"Failure to comply with the MACPC can be subject to a financial penalty of up to RM200,000 and in the case of a second or subsequent non-compliance, an amount 10 times the first financial penalty will be imposed," he said. -

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