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- Transport Minister Anthony Loke Siew Fook: Even though MAHB is a government-linked company, it is still subject to our licensing regulations. Therefore, through APAD, we can take action, including imposing fines, if MAHB fails to provide satisfactory service to passengers.
KUALA LUMPUR (Oct 16): The Ministry of Transport (MOT) said it will initiate action through the Land Public Transport Agency (APAD) against Malaysia Airports Holdings Bhd (MAHB) following a series of repeated technical failures involving the Kuala Lumpur International Airport (KLIA) aerotrain system.
Transport Minister Anthony Loke Siew Fook told the Dewan Rakyat on Thursday that APAD, as the regulator for all rail-based systems, has the authority to take enforcement action against MAHB despite its status as a government-linked company (GLC).
“Even though MAHB is a government-linked company, it is still subject to our licensing regulations. Therefore, through APAD, we can take action, including imposing fines, if MAHB fails to provide satisfactory service to passengers,” he said, adding that he would discuss the matter further at the ministry level to determine appropriate regulatory measures.
Loke was responding to Shaharizukirnain Abd Kadir (PN–Setiu), who had asked about accountability measures imposed on contractors and airport management in light of the recurring breakdowns of the KLIA aerotrain system and whether a forensic audit had been conducted to identify underlying weaknesses.
Since its resumption of service on July 1, the aerotrain has reportedly encountered 20 incidents, including one that just happened on late evening on Wednesday. Deputy Transport Minister Datuk Hasbi Habibollah previously told the House that some of the disruptions stemmed from both technical issues, such as signalling faults, and human-related errors, including passengers attempting to open the train doors manually.
MAHB bears full project cost
Clarifying financial aspects, Loke emphasised that the aerotrain project is fully financed by MAHB and not through any government allocation under the Transport Ministry.
“There has been some misunderstanding—the aerotrain project is not funded by the government. The entire cost is borne by MAHB as the airport operator under its concession. Not a single sen comes from the ministry’s budget,” he said.
He added that since operations resumed three months ago, the aerotrain had served about five million passengers, maintaining normal service availability 99% of the time. “That said, even a single disruption is unacceptable. MAHB and its contractors must strive to ensure zero breakdowns,” he added.
For now, the aerotrain system remains under a two-year defects liability period, during which the manufacturer, France-based Alstom SA, is responsible for rectifying any faults. Loke said MAHB will impose penalties on the contractor if performance standards are not met.
The 25-year-old KLIA aerotrain system was first suspended in March 2023 after multiple breakdowns. Subsequently, MAHB terminated the services of its contractor, Pestec International Bhd (KL:PESTEC), over non-performance. However, in January 2024, Pestec was reappointed as a joint-venture partner with IJM Corp Bhd (KL:IJM) and Alstom SA for the aerotrain replacement project.
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