Reforms Post-privatisation Bear Fruit For Airport Operator MAHB - Managing Director
From Kisho Kumari Sucedaram
BANGKOK, May 14 (Bernama) -- Malaysia Airports Holdings Bhd (MAHB) said reforms introduced following its privatisation exercise last year have strengthened operational efficiency, accelerated infrastructure planning and improved decision-making processes across Malaysia’s airport network.
Among the reforms are ensuring that investments to be undertaken are feasible through its proof-of-concept (POC) approach, maximising outcomes from projects as well as introducing improvements to ensure seamless passenger movement.
Elaborating, MAHB managing director Datuk Mohd Izani Ghani said the airport operator has adopted a more disciplined and agile approach in evaluating airport projects, with greater emphasis placed on operational effectiveness, passenger flow management and long-term value creation.
He said that among the key changes implemented after privatisation was the introduction of a proof-of-concept (POC) approach before large-scale investments are undertaken.
“Before we embark on any project, we have to have a POC first. If it works, then we invest. If it doesn’t work, we try another way,” he said in an exclusive interview with Bernama on the sidelines of the Airports Council International Asia-Pacific & Middle East Regional Assembly, Conference and Exhibition here.
According to Mohd Izani, MAHB has also introduced a ‘tollgate process’ to ensure projects go through a challenge process aimed at maximising outcomes before final decisions are made.
“To me, it is more efficient and provides better value for money as well,” he said, adding that the team has become increasingly familiar with the new processes after nearly a year of implementation.
MAHB was privatised in February 2025 following the completion of a takeover exercise by a consortium led by Khazanah Nasional Bhd and Employees Provident Fund through Gateway Development Alliance Sdn Bhd.
He said the improvements have already translated into better passenger movement and operational efficiency at KL International Airport (KLIA), particularly at Terminal 1 (T1), which handled about 33 million passengers last year despite being originally designed for 30 million.
“If we don’t improve the flow through technology, congestion will be more severe,” he said.
Mohd Izani said process enhancements at boarding gates and passenger screening areas have helped ease congestion and improve travel experience at the airport.
“Now it is very seamless,” he added.
Seamless airport, terminal optimisation
MAHB is also intensifying efforts to optimise capacity utilisation across KLIA’s terminals as part of a broader strategy to improve airport efficiency without immediately resorting to costly new infrastructure development.
Mohd Izani said although T1 is operating beyond its intended capacity, Terminal 2 (T2) still has substantial room for expansion.
“T2 was built for 45 million passengers, but last year we only handled about 29 million there. We still have around 16 million capacity available,” he said.
As such, MAHB is encouraging new airlines and alliances to operate from T2 to better distribute passenger traffic between both terminals.
He said the airport operator also wants to remove public perception that T2 is a lower-tier terminal compared with T1.
“To us, T2 should be the same standard. In fact, the shops and commercial offerings there are even better in some aspects,” he said.
Expanding beyond KLIA
Beyond Kuala Lumpur, MAHB is also pursuing a broader multi-airport hub strategy aimed at maximising the utilisation of airports across its nationwide network.
Mohd Izani said the company no longer wants KLIA to serve as the sole aviation gateway, noting that airports such as Penang International Airport, Kota Kinabalu International Airport and Kota Bahru Airport are increasingly being positioned to accommodate growing regional and international traffic.
“We are not just focusing on KLIA. Airlines can also use Penang, Kota Kinabalu, Kota Bahru and other airports so that we can maximise the infrastructure that we already have,” he said.
MAHB has already commenced expansion works at Penang International Airport to address rising congestion levels there.
“The expansion will take around three years and is scheduled for completion by end-2028,” Mohd Izani said.
Renewable energy push
On top of those efforts, MAHB is accelerating renewable energy initiatives across its airport network as part of its long-term sustainability agenda and support for net-zero targets.
Mohd Izani said the company is developing a large-scale solar project on approximately 100 acres near KLIA, with a target of generating 30 megawatts (MW) of electricity.
The project, which is currently under construction, is expected to be completed within 18 months.
“We will generate 30 MW of electricity that will supplement KLIA’s energy requirements,” he said, adding that there is also a plan for the second phase of the project in the same vicinity.
He added that the initiative emerged from earlier collaborative discussions involving UEM Group Bhd and renewable energy company Cenergi.
Beyond KLIA, MAHB is also planning rooftop solar installations at smaller regional airports nationwide.
“So the smaller airports, the solar panels will be installed on the rooftop,” he said.
MAHB currently manages 39 airports across Malaysia of varying sizes, including five international airports, as well as one airport in Istanbul, Türkiye.
Aerotrain improvements
He also said the KLIA Aerotrain system remains an issue closely watched by the public given its operational disruptions and breakdowns several times.
Mohd Izani said MAHB is taking a cautious approach before fully resuming 24-hour operations to ensure reliability issues are comprehensively addressed.
He said extensive improvement works and technical assessments have been carried out over recent months together with contractor Alstom and relevant regulators.
“We have done a comprehensive action plan to make sure reliability is there,” he said.
He said MAHB has also appointed consultants to review the system and recommend improvements before the final operational assessment is conducted by the Land Public Transport Agency (APAD).
“After discussions with APAD, then we will go to the Ministry of Transport for the announcement,” he said regarding the timeline for restoring round-the-clock services.
Currently, the Aerotrain operates with limited overnight closures, a period which Mohd Izani said involves lower passenger volumes.
The Aerotrain has previously faced public criticism following operational disruptions and technical glitches, including incidents involving train doors.
Mohd Izani said MAHB is working to minimise further disruptions while also improving public understanding of automated train operations.
“Sometimes passengers block the doors. Once the doors are blocked, the system needs to reset and that can take several minutes,” he explained.
As part of mitigation measures, additional personnel have been deployed to manage passenger movement and reduce crowd-related operational interruptions.
“We want to avoid any more glitches,” he stressed, while acknowledging the continued efforts to educate public about it.
-- BERNAMA