AirBorneo may submit applications to operate flight services on the Kuching-Sibu, Kuching-Miri, and Kuching-Bintulu routes commercially, according to a statement from the Transport Ministry on May 20, 2026 [1, 2].
These three Sarawak intercity routes are not classified as Rural Air Services (RAS) following a review by the Malaysian Aviation Commission in 2017 [1, 2]. The review found the routes do not meet Public Service Obligation (PSO) criteria since they are jointly operated by MASwings together with AirAsia, Malaysia Airlines, or both [1, 2].
As a result, flights on these routes should not receive government subsidies because they connect two cities in a manner similar to inter-city flights in Peninsular Malaysia [1, 2].
The change in status from public service to commercial routes is expected to stimulate competition and encourage local airlines to offer more flight options in rural areas of Sabah and Sarawak, expanding connectivity for passengers [1, 2].
Earlier concerns about the lack of AirBorneo flight services on these routes were raised in the Sarawak State Legislative Assembly. The absence of flights was allegedly linked to a 2019 agreement signed by the Federal Government that restricted operations on these routes [1, 2].
The Sarawak state government took over MASwings through its own subsidiary, AirBorneo, effective January 1, 2026, marking a shift in control over the region's rural air services [1, 2].
AirBorneo’s potential applications to run the three routes commercially represent the next steps in Sarawak's efforts to expand air travel options and increase service availability between key cities in the state.
