This article by my friend Dr Rosli Khan, a transportation consultant, is taken from FMT here. I have some running commentary in blue.
(The article is also available at Malaysia Today here)
Do read my own conclusions at the end (in Malay) about the supply of fish as well.
Free Malaysia Today
No discussion about Malaysia Airlines (MH) can be meaningful without a clear understanding of its colourful past.
Once among the top airlines in the region, MH has now succumbed to the status of a "sick man" of the aviation world.
The decline began in 1994 when the airline was privatised by Dr Mahathir Mohamad’s administration in favour of an entrepreneur with no experience in managing airlines.
This marked a significant turning point for our national carrier, which had been performing well prior to the sale.
In the seven years that followed (1994), the airline’s shares plummeted due to serial mismanagement and poor decision-making.
Eventually, in 2001, the government bought back the shares at the same price they were sold, even though the traded value at that time was only a fraction of the original price.
Critics and analysts alike labelled it a bailout.
(OSTB : I believe this buy back clause - the so called bailout - was critical for the initial privatisation of MAS. MAS undertook and still undertakes until today loss making "national service" routes like flying villagers and their chickens in Sabah and Sarawak. Plus daily scheduled flights to smaller towns that are not profitable. Then during the age of Mandela and 'Dr Mahathir was the global leader of the South' MAS was "asked" to fly loss making, long distance routes like to Johannesburg in South Africa. Then there were standby flights for VVVIPs (though very few). No real, privatised airline could undertake all these expensive, loss making 'national service' routes without some kind of financial guarantee by the government. Hence that 'shares buy back' policy. Salam Tan Sri, lama tak jumpa. I hope I got these 'facts' right).
Malaysia Aviation Group
In November 2021, finance minister Tengku Zafrul Aziz made the astonishing revelation that Khazanah had in fact pumped RM28 billion into Malaysia Airlines.
Still, the turnaround didn’t happen. Where did all the funds go?
(OSTB : I believe the RM28.0 billion of tax payers money pumped into MAS included that RM9.6 billion plus another RM1.4 billion to privatise MAS in 2014. I raised this point last week. Since 2014 MAS has been privatised (voluntarily delisted).
So how was the financial performance of MAS over the past 10 years? The public does not know because since 2014 MAS is no more listed on the Bursa Kuala Lumpur.
- Can MAS still stay afloat by itself?
- Or does it still need infusions of taxpayers funds?
- How much taxpayers money is the government pumping into MAS each year?
- We need answers to these questions.
Pumping tens of billions of taxpayers money into transportation GLCs is nothing new. Prasarana, our transportation infra GLC has racked up tens of billions in losses and tens of billions of Ringgit in debt.
OSTB : FMT Reporters 10 Jul 2024
- LKAN dedahkan MRT Corp rugi sebelum cukai RM181.5 juta pada 2023
- Laporan itu menyebut, kerugian terkumpul RM57.624b sejak 2011
- MRT Corp menerima lebih RM59.2b dana kerajaan sehingga tahun lalu
So please do not be shy to update the taxpayers about the financial condition of the national airline).
On top of that, the airline last year decided to retire and return all six of its A380 aircraft to Airbus, deeming them no longer viable for operation. The fleet was bought in 2012.
For context, the current list price for a new Airbus A380 is US$445.6 million (airframe only).
It seems MH has taken many wrong turns over the years. Was this due to poor management strategy or a series of bad decisions made by those governing MH, namely Malaysia Aviation Group (MAG)?
Take responsibility
- Some hard questions must be asked of Khazanah, the MAG board, and MH management.
- Why do we have multiple layers of management—Khazanah, MAG, MH, Firefly, MasWings, and Amal?
- What do young executives at Khazanah know about airline operations? What exactly is their vision?
- Are MAG’s board members competent in airline management?
Do they understand the unique challenges of airline operations, which are deeply tied to technical certifications, strict maintenance programmes, international regulations and protocols, and cut-throat competition?
This concern is magnified by the latest news on operating certificates, highlighted by a recent announcement by the transport ministry which has been tasked with resolving issues plaguing the airline.
Why isn’t the MAG board or Khazanah executives taking responsibility?
A case of brain drain
The certification issue highlights a long-standing problem within Khazanah and companies under its control. It is linked to a lack of competency, knowledge and technical expertise.
In the case of airline operations, strict adherence to having the proper documentation on board before an aircraft takes off is paramount.
Understanding why an aircraft cannot take off or may be grounded due to safety issues and deemed unfit to fly must be part and parcel of management capabilities.
Abbreviated as AROW, these documents include:
an airworthiness certificate
a registration certificate
an operating certificate
a weight and balance report
In addition to these four certificates, all maintenance certificates must also be in order.
Who handles the aircraft maintenance department and other related technical matters? Is it done in-house or outsourced? Is the department run by a pilot or a well-qualified aircraft maintenance engineer?
Aircraft maintenance and operations are closely related to issues concerning maintenance, repair and overhaul (MRO), which many airlines have recently ventured into.
Look at the hangars in Sepang and Subang, where such activities are being undertaken in increasing numbers and volume.
Where does Malaysia Airlines Berhad Engineering Services (MABES), a separate outfit under MAG, fit in?
MH once had a strong in-house MRO maintenance team, but over the years, many of their personnel have left to join other airlines or MRO-specialist firms for various reasons, including better pay and working conditions.
Hundreds of qualified people in the airline sector left Malaysia for the Gulf countries decades ago and continue to do so, leaving the current talent pool sparse. These certified personnel are highly employable and can work globally.
Unfortunately, MH has not managed to retain its experienced staff, nor has it trained new personnel in the MRO field, leading to the significant vacuum it is now experiencing.
To make matters worse, other airlines are setting up their own MRO companies. They hire experienced professionals, and there’s nothing to stop them from poaching staff from other airlines, including MH.
What’s next for MH?
MH needs to undertake serious forward planning in the training of personnel. It also needs to review its remuneration packages and make them competitive, if not better than those of competing airlines such as Singapore Airlines, Emirates or Qatar.
It is important to note that many Malaysians who abandoned MH years ago are now senior personnel working for those rival airlines.
The brain drain in the aviation sector is a serious and significant issue, which mirrors trends across many other sectors in the country.
This problem is not limited to MH but extends across various economic and technical sectors, although those in Khazanah continue to deny it is happening on a large scale.
This is the price we Malaysians have to pay for our ignorance, denials and ineptitude. An immediate policy review is definitely needed here.
The current government must also replace the existing board members and top management of this redundant group. Despite all the funds made available, they have failed us and the nation. They must be held accountable.
The government can then appoint experts and experienced people to provide clear strategies and direction.
The views expressed are those of the writer and do not necessarily reflect those of FMT.
OSTB : Until today Malaysia Airlines is practically a 'jabatan kerajaan' or 'government department'. This is evidenced by the recent media briefing about the airline's technical problems which was held by no less than the Minister of Transport himself.
- Prior to 1994 MAS was fully owned by the government.
- It had been effectively a monopoly airline in Malaysia.
- Almost all the domestic routes were serviced by MAS.
- MAS was the only Malaysian airline operating international air routes.
- Plus 100% financial support by the government.
- Hence MAS was very successful.
- Even a monkey can make money running a monopoly business.
- Indeed those were MAS' golden years.
- As a result of the Dasar Ekonomi Baru, our local boys could not handle open market competition very well.
- They perform best in monopolistic, oligopolistic, license-controlled and bumiputra quota controlled businesses.
- Obviously all this new competition affected the performance of MAS too.
- This problem still persists.
- Masalah besar ini masih kekal.
- Tuan-Tuan listen carefully.
- This is very important.
- The priority is not the survival of any one particular airline.
- The priority is to provide the widest options for the safest, most reliable and most affordable air travel to all consumers especially the Malaysian consumer.
- This is a really simple concept.
- This is the simplest and most correct formula.
- RM28 billion pumped in
- making billions of Ringgit losses
- flights turned back
- and such never ending headaches (since 1994 - 30 tahun dah !!)
Dan kebanyakan ikan yang diimpot ini adalah ikan jenis 'bumiputra' ia itu jenis ikan yang berasal di lautan dan perairan negara kita sendiri. Bawal hitam diimpot dari Indonesia, ikan kurau dan tenggiri diimpot dari Thailand dan banyak lagi.
Seringkali ikan itu ditangkap oleh nelayan asing di perairan di sisi lautan kita juga contohnya di Laut China Selatan, di perairan Selat Melaka, di perairan Bay of Bengal (Langkawi dan Pulau Nicobar), Gulf of Siam dsbnya.
Contohnya pada 2023 Malaysia telah mengimpot ikan bernilai RM640 JUTA dari Thailand dan RM743 JUTA ikan dari negara Indonesia. Jumlahnya sebanyak RM1.38 BILION impot ikan dari dua buah negara jiran sahaja.
Malaysia Imports from Thailand of Fish, crustaceans, molluscs, aquatics invertebrates was US$146.06 Million during 2023
Malaysia Imports from Indonesia of Fish, crustaceans, molluscs, aquatics invertebrates was US$170.38 Million during 2023
JADI TUAN-TUAN ORANG MELAYU PLEASE BACA DAN DENGAR BAIK-BAIK OK.
Semua jenis ikan ini adalah ikan kita juga. Ikan yang berkembang-biak di lautan Thailand dan Indonesia adalah jenis ikan yang sama yang hidup di perairan kita juga. Sewaktu di sekolah menengah di Melaka dulu kami memancing ikan gelama, ikan kurau di kuala sungai Melaka saja.
Kenapa pula Thailand dan Indonesia boleh tangkap jenis ikan yang sama untuk dijual kepada Malaysia pula? Pada harga impot yang sangat mahal. Apakah nelayan kita sendiri kurang faham menangkap ikan di laut?
Sebab itulah harga ikan sangat mahal di pasaran kita. Kita terpaksa impot ikan yang kemungkinan besarnya kembang-biak di lautan kita sendiri. Ikan itu adalah jenis 'bumiputra' - guarantee sudah memenuhi 'kuota' bumiputra. Tapi negara jiran pula yang menjual "ikan bumiputra" kepada kita pada harga impot yang mahal.
So what is happening? Apa yang berlaku sebenarnya? Apakah masalahnya? Masalahnya adalah Dasar Ekonomi Baru. Yang tiba dengan pelbagai jabatan perikanannya, Majuikan dia, persatuan nelayan dia, kuota lesen deep sea fishing, sabsidi minyak disel dan bermacam lagi 'percampuran tangan' ahli politik, para menteri parti politik, diiringi pelawak sokongan penjawat awam yang semuanya bodoh, bangang, iblis dan setan yang tidak faham apa pun pasal apa pun. Mereka hanya tahu makan duit.
Biar saya tukar cerita sikit. Banyak tahun dulu saya pernah jumpa seorang uncle Cina di negeri Hang Tuah yang menternak ikan tilapia. Ikan tilapia itu dijual di pasar tempatan saja dengan harga yang berpatutan. Orang kampong di sana ramai membeli ikan tilapia itu. Tetiba suatu hari datanglah lebai tolol yang berkata uncle Cina itu tidak boleh jual ikan tilapia itu lagi kecuali dia bagi makan 'makanan ikan yang halal' dalam kolam ikan dia. Uncle Cina itu membeli sisa ayam dari pasar untuk diberi makan kepada ikan dia. Lebai tolol pula kata dia perlu pastikan sisa ayam itu adalah sisa ayam yang disembelih cara halal. (Ayam katok style Cina semua tak boleh). Uncle Cina pula blur sebab dia kata semua sisa ayam itu depa masuk sekali dalam tong. Macam mana dia nak bezakan antara sisa ayam katok dan ayam sembelih? Lebai tolol itu berdegil juga. (Mungkin depa gian nak makan tilapia goreng).
Padahal ikan di sungai dan di laut makan najis dan bangkai segala jenis haiwan seperti babi hutan, kerbau dan lembu.
Long story short Uncle Cina itu berhenti bela ikan tilapia. Dia fed up. Dia bertukar bela ikan siakap pula yang walupun risiko tinggi (cepat sakit, senang mati) tapi mudah diekspot ke Singapura dengan harga yang lumayan. Jadi Uncle Cina jadi lebih kaya tetapi bekalan ikan tilapia di kawasan itu berkurangan. Harga ikan di pasar tempatan pun makin naik. Orang kampong terpaksa bayar lebih, menjadi makin miskin.
Lebai tolol dan kerajaan tempatan masuk campur dalam urusan yang mereka tidak faham apa pun dan merosakkan ekonomi tempatan. Akhir sekali, akibatnya ialah bekalan ikan berkurangan, harga ikan naik. Ekonomi pula lembap.
Begitu juga dengan perikanan di laut. Lesen nelayan (deep sea fishing license) dikuotakan. Persatuan nelayan bumiputera pula jadi "agen" untuk lesen nelayan. Siapa dapat 'lesen' kayalah sebab lesen itu boleh dijual atau "disewa" kepada taukeh Cina (Ali Baba). Maka orang politik berebut menjadi pengerusi persatuan nelayan. Politik masuk campur urusan tangkap ikan.
Persatuan nelayan juga akan tentukan ahlinya yang boleh mohon sabsidi disel. Pada zaman Abdullah Badawi, seperti mana saya ramalkan pada waktu itu, terjadi kes ahli persatuan nelayan yang dapat sabsidi disel menjual disel murah kepada orang lain dengan harga tinggi. Tetiba para nelayan jadi 'oil traders' atau pedagang minyak disel. Mereka jadi cepat kaya. Kerja-kerja tangkap ikan pula "ke laut" sahaja. Bila mereka sudah cepat kaya daripada menjual disel 'sabsidi' kenapa pula mereka perlu bekerja keras ke laut untuk tangkap ikan? Relak lah brader. Jadi bekalan ikan di pasar kurang lagi. Harga ikan naik lagi. Kita perlu impot lagi banyak ikan lagi.
Taukeh Cina yang sewa lesen nelayan terpaksa bayar dua kali. Lepas bayar bot, bayar minyak, bayar gaji pekerja sekarang dia terpaksa bayar 'sewa' lesen nelayan pula. So what does he do? Dia naikkan harga jualan ikan untuk cover balik kos sewa lesen. Atau dia akan jual tangkapan ikan di Singapura untuk harga yang lebih. Dia pun kena cari hidup.
Inilah ceritanya dari Perak ke Johor ke Pahang. Sejak berpuluh tahun dah. Inilah dasar ekonomi ketuanan parti politik dunggu. Yang jadi kaya sedikit Melayu politik saja. Yang terpaksa bayar lebih adalah 34 juta penduduk Malaysia.
Harga ikan naik gila, kita terpaksa impot ikan sebanyak berbilion Ringgit dari negara jiran.
Inilah yang sedang berlaku dalam segala pelusuk ekonomi negara kita, tak kira syarikat penerbangan atau industri nelayan.
Campur tangan ahli politik iblis yang mahu cepat kaya, campur tangan menteri bangang yang tak faham apa pun pasal apa pun, perlantikan orang yang tak faham apa pun untuk menjaga harta dan aset negara, hanya mengakibatkan kerugian berpuluh bilion Ringgit. Ekonomi jadi rosak. Harga semua barang naik tanpa sebab yang lojik atau munasabah.
Segala kenaikan harga dan hidup yang lebih susah adalah akibat interference atau kacau-bilau oleh orang politik iblis yang mahu penuhkan kocek dan perut mereka dulu. Melalui dasar-dasar penyamun dan ilanun mereka.
Percayalah satu hari nanti negara ini akan terhenti bergerak. Serupa kereta yang kehabisan minyak. Pada hari itu orang politik, konco dan kroni mereka, JoLo dan wanita sapu RM100 juta sudah lama ghaib. Mereka sudah beli rumah di London dan Australia dengan mengguna duit yang mereka curi itu. Duit tuan-tuan.
Mungkin itulah takdir tuan-tuan. Jadi kaldai tunggangan.
The views expressed are those of the writer and do not necessarily reflect those of MMKtT.
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