The DAP Youth chief also called for more information about the project’s cost, its cost-benefit analysis, and the parties involved.
He stressed that it was in the best interest of all Sarawakians to be made more aware of such details, especially in light of the huge investment and quality expertise needed, as well as the tough regulations and requirements to operate in the aviation industry.
“This decision may cost a lot of public funds to set up, (and it may be) tough to sustain the business model and maintain assets as Sarawak may not have the economies of scale to keep it sustainable,” Yii said in a statement today.
“If it was profitable, I am sure the other airlines would have taken advantage of it and provided more routes to and from Sarawak.
“We do not want to see after a period of time, the Sarawak government having no choice but to use huge sums of public funds to bail out the airline to keep it afloat as it cannot remain sustainable.”
Yii said it would be better for Sarawak to cooperate with existing national and private airlines to improve connectivity, especially in Sarawak’s domestic routes, by offering incentives and subsidies.
“In principle, it should not be the business of the government to be in business. Their role is to provide a conducive environment and ecosystem for businesses to thrive, or find ways to incentivise the private sector to come up with good and sustainable business plans, rather than trying to start their own airlines,” he said.
Prime Minister Anwar Ibrahim yesterday said he agreed with Sarawak’s plan to set up a state-owned boutique airline. He said the new airline could result in cheaper airfares between the Peninsula and East Malaysia.
The proposal for the airline was made two years ago when Sarawak premier Abang Johari Openg said the state was planning to establish an airline to be operated by Hornbill Skyways, the state-owned domestic airline company.
The initial plan was to provide direct flights from Sarawak to Kuala Lumpur, Singapore, Thailand, Indonesia and Hong Kong.
In November last year, Abang Johari said the operational aspects of the airline had been finalised for international tourists to be flown directly to the state, adding that Sarawak was only waiting for the transport ministry to issue a licence.