Kuala lumpur: Ascend Airways Malaysia is confident of the prospects of its aircraft, crew, maintenance, and insurance (ACMI) business, with operations targeted to commence by mid-November this year in line with rising demand and interest in Malaysia and the Asia-Pacific region. Chief executive officer (CEO) of Ascend Airways Malaysia Germal Singh Khera said the company has reached phase four of the air operator's certificate (AOC) process with the Civil Aviation Authority of Malaysia (CAAM) and expects to complete it within the stipulated timeline.
According to BERNAMA News Agency, Germal stated that the company is progressing well with CAAM's assistance. Ascend Airways Malaysia has successfully closed three phases and is currently midway through phase four, having completed the CAAM audit last week. The arrival of the Boeing 737-800 freighter aircraft next week will allow the airline to conduct the proving flight test required under phase four, with phase five being largely administrative. If all goes according to plan, operations are expected to begin in mid-November.
The airline has already obtained a Conditional Air Service Permit, valid until November 14, 2025. As a sister company of Ascend Airways UK, the airline will function under a business-to-business (B2B) ACMI charter model, providing flexible and short-term capacity solutions for local and regional airlines. Germal expressed confidence in the demand for ACMI in Malaysia and the broader ASEAN market, despite the concept being relatively new in the region compared to its widespread adoption in Europe.
Germal explained that the ACMI model offers flexibility, allowing airlines to experiment with new routes for a few months without committing to a long-term lease. This flexibility is particularly relevant in today's volatile aviation market, where demand patterns are shifting. Ascend Airways Malaysia is currently in discussions with several potential airlines and clients in Malaysia, although some airlines remain cautious about the ACMI model due to traditional preferences for aircraft ownership.
Despite initial reservations, airlines are beginning to recognize the operational flexibility and cash flow benefits offered by ACMI. The ASEAN Open Skies framework further supports ACMI growth, providing more opportunities for airlines to explore new routes without long-term commitments. Ascend Airways Malaysia is affiliated with the Ireland-based Avia Solutions Group, which already holds an AOC in Indonesia and is seeking regulatory approval for additional AOCs in Thailand, the Philippines, and Malaysia.
Operations in Malaysia will be based at KL International Airport Terminal 1, with an initial fleet expected to reach 20 aircraft by 2027, including contributions from its United Kingdom (UK) operation. Ascend Airways CEO Alastair Willson highlighted the stable regulatory environment and openness to foreign investments in the Malaysian aviation industry, as well as the liberal air service agreements between the UK and Malaysia. He added that the ACMI business model would contribute to Malaysia's gross domestic product growth.