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The Malaysian Communications and Multimedia Commission (MCMC), together with the Ministry of Communications and Multimedia, has announced a two-year moratorium on the issuance of new licenses for messaging services, effective from September 14, 2020 to September 15 September 2022.
MCMC in a press release explained that during the moratorium period, it will not accept any new license applications from those who want to provide messaging services in all categories.
The regulatory body said it will continue to process applications it received before September 14, adding that as of October 2020, there are 109 licensees for courier services operating in Malaysia in various categories.
The decision to freeze new licenses was made in accordance with the Postal Services Act of 2012 and can be revised at any time if the need arises, MCMC stated.
The Postal Services Act 2012 stipulates that a person who provides postal services without a valid license granted under Article 10 is considered to have committed a crime. Upon conviction, the person will be punished with a fine not to exceed RM500,000 or a prison term of not more than five years, or both.
The moratorium was implemented to allow the government and the postal and courier industries to formulate new plans to strengthen the sector, as it faces numerous challenges due to rapid changes in technology and market trends.
The move is in line with official calls made by the Association of Malaysian Express Carriers (AMEC), which represents 25 courier companies in Malaysia, including Pos Malaysia Bhd, GD Express and City-Link Express, among others.
A new action plan will be drafted through discussions at the National Postal and Messaging Industry Laboratory (NPCIL), which is scheduled to take place from November 2-22.
The last study on the country’s postal and courier services was conducted in 2009.
MCMC explained that the outcome of the NPCIL discussions will be crucial for the messaging industry serving as the backbone of e-commerce activities and the digital economy in Malaysia.
A comprehensive report with action plans to support the growth of the postal and courier industry will be available on the MCMC website.
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