Kuala Lumpur: Malaysia-based carrier AirAsia will begin imposing a mandatory carbon fee on all passengers starting January 1, 2025, according to the country’s Transport Minister Anthony Loke. The announcement was made in a written response to a parliamentary inquiry regarding the recent amendments to the Malaysian Aviation Consumer Protection Code 2016 and the current status of carbon fee collections introduced earlier this year. This move marks a step towards enhancing accountability and transparency in the aviation industry as Malaysia intensifies efforts to combat carbon emissions.
According to Lao News Agency, the Malaysian Aviation Consumer Protection Code (Amendment) 2024 was gazetted on August 30 and took effect on September 1. The amendments include several key provisions targeting increased transparency and accountability for airlines. Among these, airlines are now mandated to publish all-inclusive ticket prices, which must incorporate any carbon fees or charges imposed on passengers. The final tick
et price, inclusive of all fees and charges, must be disclosed before a customer completes a purchase.
Additionally, the amendments require airlines to refund fuel surcharges, taxes, fees, and government-imposed charges, including carbon fees, when applicable. To maintain transparency, the Malaysian Aviation Commission (MAVCOM) will require airlines to submit reports on carbon fee collection and usage.
Currently, Malaysia Airlines has been operating a voluntary carbon fee program since June 2023. However, starting in January 2025, AirAsia will make the carbon fee mandatory for all passengers, a significant shift in policy intended to further support environmental initiatives in the aviation sector.