01/10/2025

BIZ & FINANCE WEDNESDAY | OCT 1, 2025

14

Ű BY DEEPALAKSHMI MANICKAM sunbiz@thesundaily.com

MAG plots bold growth path as it marks 10th anniversary

KUALA LUMPUR: Malaysia-China trade hit US$131.84 billion (RM555.7 billion) in the first eight months of this year, ushering in robust momentum at the start of the “Golden 50 Years” of relations. China’s Ambassador to Malaysia Ouyang Yujing cited the figures as evidence of the thriving partnership at a reception in Kuala Lumpur on Monday to mark the 76th anniversary of the founding of China, noting that tourist arrivals from the mainland reached a historic 2.78 million in the first seven months of this year. “As a new chapter begins, we continue to write the story of renewed brilliance and shared prosperity. “Let’s carry forward the traditional friendship between China and Malaysia, strengthen strategic communication, deepen practical cooperation, and bring more benefits to the peoples of China and Malaysia. “Together, let us make greater contributions to regional peace, stability, development, and prosperity,” he said. Ouyang said high-level visits by leaders of the two countries have injected strong impetus into the development of the China-Malaysia community with a shared future. In April, President Xi Jinping made a historic state visit to Malaysia, during which both countries agreed to build a high-level strategic China-Malaysia community with a shared future, elevating the bilateral relationship to a new height, he said. Apart from Xi’s visit, Chinese Premier Li Qiang was also in Malaysia to attend the inaugural SEPANG: Malaysia Aviation Group Bhd (MAG) is leveraging its 10th anniversary to chart a bold growth path anchored on digital partnerships, regional catering hub and operational resilience as it seeks to secure its place in a highly competitive global aviation market. Speaking at the group’s Airline 101 media tour yesterday, Malaysia Airlines chief operating officer Captain Nasaruddin A. Bakar painted a picture of transformation rooted in lessons from past crises, including the tragedies of MH370 and MH17, and the Covid-19 pandemic that shut down 95% of global flight networks. “From about 800 airlines globally, only 300 survived during Covid. Now, the industry has reset itself and so have we. For MAG, the learning was to restructure and not put every business in one basket,” he said. MAG today operates under three business pillars: airlines (Malaysia Airlines, Firefly and MASwings), loyalty (led by Enrich) and aviation services such as engineering and catering. Nasaruddin highlighted that MAG has partnered with global technology leaders including Google and Samsung, along with Spanish and Canadian firms, to future-proof operations and diversify income streams. “These heavyweight teams are able to enhance our reach to a bigger customer base,” he said. “First and foremost, it’s about increasing our revenue base and secondly, improving our operations.” While no specific revenue targets were shared, he confirmed that MAG views digitalisation as a “moving target” and is exploring further opportunities in artificial intelligence, financial technology and loyalty ecosystems. Digitalisation, he stressed, is one of MAG’s main enablers for growth through 2030. A major highlight of the group’s plans is a new catering complex, set to begin construction in 2026 and complete in 2029, which could become one of Asia’s largest airline kitchens. Currently, MAG Catering Services prepares around 26,000 meals daily, but the new facility will double capacity to 50,000. “With this new setup, we will be able to cover all of Malaysia Airlines’ network capacity and still have surplus to support foreign carriers,”

Asean-GCC-China Summit in May. Malaysia’s Prime Minister Datuk Seri Anwar Ibrahim also visited China for the Shanghai Cooperation Organisation Plus 2025 meeting and attended the Victory Day Parade to mark 80 years after the end of World War II in Tiananmen Square, Beijing, earlier this month. Meanwhile, Ouyang said China’s 76-year journey has progressed from peaceful co existence to deeper global integration and now towards building a shared future. He said China’s foreign policy has evolved from safeguarding independence to fostering stability and advancing the vision of a community with a shared future for humanity. China has worked with partner countries to promote initiatives such as the Belt and Road, the Global Development Initiative, Global Security Initiative and Global Civilisation Initiative, which together have built broad consensus and strong synergy for unity, development, security and civilisational progress, he said. “China will continue to share development opportunities with countries worldwide, including Malaysia, while working together to build a brighter and more prosperous future,” Ouyang said. Transport Minister Anthony Loke, the guest of honour, joined Ouyang in toasting the success of their respective governments and the friendly ties between the two countries. Tourism, Arts and Culture Minister Datuk Seri Tiong King Sing and Deputy Communications Minister Teo Nie Ching were also present at the reception. – Bernama o Malaysia Aviation Group outlines digital push, catering growth and renewed passenger focus Nasaruddin said. The move follows MAG’s decision to insource catering after ending its long-standing partnership with Brahim’s Holdings last year. Nasaruddin said the group managed to recover within a month, investing in high-lift trucks and other equipment to stabilise operations. “Our on-time performance because of catering is 100% most of the time. The results have been very good,” he said. Nasaruddin also offered a behind-the scenes look at the scale of running an airline, noting that a new long-haul route can take up to five years of planning and involves over 800 processes before an aircraft even pushes back. He emphasised that the aviation industry is among the most regulated globally, with strict oversight by both the Civil Aviation Authority of Malaysia and international bodies. Safety, he said, remains the group’s “number one non-negotiable”. “Airline is the safest transport industry. We target zero incidents, because in this business, even one is too many,” he added. Operational performance, particularly on time departures, is another critical benchmark. MAG currently ranks among the top five airlines in the Asia-Pacific region for punctuality. On customer satisfaction, the airline tracks 11 touchpoints, from website booking to cabin

Nasaruddin conducting a briefing during Malaysia Aviation Group’s Airline 101 media tour yesterday.

deliver lower emissions per megawatt, while preparing Malaysia to scale up solar, hydro and hydrogen in the years to come,” he said. He said the project is a joint venture with Korea Electric Power Corporation (Kepco), whose 25% equity participation marks South Korea’s first-ever investment in a Malaysian power plant, affirming the strength of Malaysia’s energy sector and the Selangor government’s execution capability. “As we move forward, I encourage Worldwide Holdings Bhd (WHB) and other companies to continue exploring new frontiers, including hydrogen, floating solar and green power purchase agreements,” he said. “These efforts will be critical as we work together to shape an energy ecosystem that is aligned with global sustainability ex pectations.” The PIPP is a 1,200 megawatt combined cycle gas turbine facility located in Pulau Indah, owned and operated by Pulau Indah Power Plant Sdn Bhd, a joint venture between WHB and Kepco. PIPP achieved its commercial operation date on March 1 this year under a 21-year power purchase agreement with Tenaga Nasional Bhd, and has generated over 2,500 job opportunities throughout its development. Built on a 60-acre reclaimed site adjacent to the Port Klang Free Zone, the project is officially listed under the First Selangor Plan 2021-2025 and classified as a high-impact project. – Bernama annually pre-pandemic, but expects to serve 15 million in 2025 as recovery continues. Through its oneworld alliance and global partners, MAG offers connectivity to 900 destinations worldwide. “From Singapore to Kuala Lumpur to Doha to Boston, passengers can travel seamlessly under our network,” Nasaruddin said. As MAG embarks on its second decade, its priorities are clear: scale up digitalisation, expand in-house capabilities like catering, and double down on operational excellence. “Safety, punctuality, customer experience and financial strength, those are the four pillars we measure ourselves on. And these are what will carry us forward,” Nasaruddin said.

PORT KLANG: The Pulau Indah Power Plant (PIPP) is a blueprint for how Malaysia can build smarter and cleaner energy solutions through collaboration, Deputy Prime Minister Datuk Seri Fadillah Yusof said. Fadillah, who is also Energy Transition and Water Transformation Minister, said the project is a model of cooperation where federal goals and state actions align, ensuring clear governance while fostering lasting public private partnerships. “With the commissioning of the PIPP, we are not simply bringing new capacity online. I strongly believe we are reinforcing Malaysia’s commitment to energy security and sustainable growth. “This 1,200-megawatt combined cycle gas turbine plant is among the most advanced and efficient generation assets of its kind in Malaysia. It stands as a milestone that reflects Malaysia’s bold energy ambitions and confidence in a fast-changing global landscape,” he said in his speech at the inauguration ceremony of PIPP here yesterday. Also present was Selangor Menteri Besar Datuk Seri Amirudin Shari. Fadillah said Malaysia’s actions in energy transition are guided by the National Energy Transition Roadmap (NETR). “I am proud to say that this Pulau Indah Power Plant project is proof of that transition in action. This is Phase 1 of NETR in motion phasing down coal, boosting efficiency, and laying the foundation for a cleaner energy mix. “It uses advanced turbine technology to crew service. Malaysia Airlines’ cabin crew are ranked eighth globally, with ambitions to return to the top spot it once held two decades ago. Addressing the often-debated issue of airfares, Nasaruddin explained that pricing is governed by a dynamic supply-demand algorithm used across the industry, alongside operational costs. “For a Kuala Lumpur-London flight, just the fuel alone requires 150,000kg, equivalent to RM1 million. So the further you go, the fare will be higher. Product offerings, like serving steak or caviar, also influence pricing,” he said. MAG currently operates 117 aircraft, with plans to add 40 more over the next decade. The group carried about 40–50 million passengers

Pulau Indah power plant blueprint for smarter, cleaner energy: Fadillah

China, Malaysia usher in ‘Golden 50 Years’ amid robust trade, tourism flows