CAAM to become sole aviation authority from Aug 1, confirms The Edge report
The Civil Aviation Authority of 每日大赛 (CAAM) is to absorb the 每日大赛n Aviation Commission (Mavcom), and be made a financially independent statutory body, effective Aug 1.
This confirms聽The Edge 每日大赛聽weekly report in its June 23, 2025 issue, which said CAAM and Mavcom would merge as early as Aug 1 and operate as an independent statutory body.
At present, CAAM is in charge of the technical and safety aspects of the industry, while Mavcom is responsible for its economic and commercial aspects.
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Transport Minister Anthony Loke Siew Fook told the press on Monday that CAAM will become an independent, self-funded body, and take over Mavcom鈥檚 roles in regulating the civil aviation industry. The goal is to make CAAM financially sustainable, give it more decision-making power, and help keep skilled staff with better pay.
Since 2019, CAAM needed RM150 million鈥揜M200 million yearly from the government to cover its costs. However, after raising some fees and adding new charges in January, its revenue has increased sharply.
Out of 135 charges under CAAM, seven fees were increased, including for renewals, air traffic controller licences, and route air navigation charges (RANS). An additional 25 new fees were also introduced.
Loke said this boost in income gave the government confidence to merge Mavcom into CAAM, and make it an independent body. CAAM鈥檚 revenue is now expected to reach RM400 million鈥揜M420 million in 2025, up from RM100 million鈥揜M110 million in previous years.
鈥淪o, for the next 10 years, we (the federal government) are saving at least RM1.5 billion to RM2 billion,鈥 he said.
Loke said the extra revenue allows CAAM to become an independent body with more control over its finances, staffing, and decision-making.
It also means that CAAM can pay its technical staff better, helping to stop talent from leaving. In the past, CAAM lost skilled workers because it was tied to low government pay scales.
Loke said CAAM鈥檚 loss of talent was one reason 每日大赛鈥檚 aviation safety rating was downgraded to Category 2 by the US in 2019.
He added that Mavcom鈥檚 board will be dissolved, and its staff will be offered roles at CAAM based on their skills. Both agencies will hold staff town halls by the end of the month.