Mahb Sustainability Report 2020

EMERGING
STRONGER
TOGETHER
Sustainability Report 2020
Malaysia Airports Holdings Berhad
Cover Rationale
To ensure the sustainability of
Malaysia Airports’ business in a
year during which the aviation
industry was badly hit, we
took immediate measures to
strengthen our ability to ride
out the challenging operating
environment. Nevertheless, our
business operates in an eco-
system in which stakeholders are
dependent on one another. By
lending a helping hand to other
stakeholders, we will weather
the storms and emerge stronger
together, and ready to soar again.
Fe e db a c k
Malaysia Airports is committed to continuously improve our reporting and we value input from our stakeholders in making these
enhancements. Should you have any queries or feedback on this report, please contact us through the following channels:
Email : CARE@malaysiaairports.com.my
Address : Malaysia Airports Holdings Berhad
Malaysia Airports Corporate Office
Persiaran Korporat KLIA, 64000 KLIA Sepang, Selangor Darul Ehsan, Malaysia
Sustainability Report 2020
Table of Contents
About M al ays ia Airport s
2 A Joint Message from our Chairman and Group CEO
8 At a Glance
9 FY2020 Key Highlights
10 Where We Operate
12 Sustainability Highlights
Report ing and Gove rnance

36 About this Report
37 Governance and Accountability
40 Materiality Process
42 Material Matters
46 Key Stakeholders
46 Key Stakeholder Engagement
53 How it All Works Together
P rac t is ing S ens ibl e E c on omics

55 Airport Capacity
56 Cybersecurity
57 Digitalisation
58 Economic Performance
59 Market Presence
59 Procurement Practices
60 Regulatory Compliance
Env ironm ent al C ons c iousness

62 Energy Efficiency
64 Emissions
64 Waste and Effluent Management
66 Water Management
C re at ing an Ins p iring Workplace

68 Diversity
69 Employee Engagement and Development
77 Integrity and Anti-corruption
C om m unit y- F riendly Organisation

80 Contributions to Local Community
M e m orabl e Airp ort E xp e rience

84 Airport Safety and Security
86 Total Airport Experience
87 Transportation and Connectivity
88 INDE PE NDE NT AS S URANCE STATEMENT

2 Malaysia Airports Holdings Berhad >> About Malaysia Airports
A Joint Message from our Chairman and Group CEO
DATO’ SERI DIRAJA DR. ZAMBRY ABD KADIR DATO’ MOHD SHUKRIE MOHD SALLEH
Chairman Group Chief Executive Officer
Dear Stakeholders,
In 2020, Malaysia Airports faced our biggest ever challenge – managing our business
amidst the COVID-19 pandemic which had impacted the aviation industry globally. We took
immediate and pro-active steps to put into place crisis management measures to ensure
the survival and sustainability of the Group with the aim of recovering from the crisis and
preparing for post-pandemic growth and transformation.
Nevertheless we remain committed and steadfast in our long- We are therefore pleased to share with stakeholders this
term goal of building a sustainable business that creates value Sustainability Report, which is our 12th such report, that views
for all stakeholders. Therefore, despite this being the first this year’s events through a sustainability lens.
loss-making year in our corporate history, Malaysia Airports
continued to make progress in the area of sustainability and in A new vision for a sustainable future
the key material matters of our business.
In 2019, Malaysia Airports had articulated an ambition to rank
Sustainability has been at the heart of the discussions within among the ‘Top 5 Airports in the World’ within the next five
Malaysia Airports, as well as between Malaysia Airports and years. We conducted a brand audit on our vision and mission
our stakeholders throughout this unprecedented year as we statement, to ensure better alignment with our focus areas
looked to institute a ‘ground zero reset’ of the business. By for the future. At the beginning of 2020, we encapsulated
engaging and including the interests of stakeholders in our our way forward with a new vision – ‘A Global Airport Group
business plans, we will strengthen our value proposition to that Champions Connectivity and Sustainability’ – which now
stakeholders with the goal of emerging stronger together. reflects our ambition more accurately. The vision is reinforced
by our Brand Promise – ‘Hosting Joyful Connections’.
Sustainability Report 2020 >> About Malaysia Airports 3
In view of our vision and our focus on Sustainability, the Board We believe our new vision statement
of Directors and Executive Committee (ExCo) of Malaysia
Airports have approved the formation of a Sustainability and brand promise will enable
Committee. The Committee reports to the ExCo and the stakeholders to understand more
Board and will feature representation across all divisions and
subsidiaries of Malaysia Airports. In addition to providing clearly our ambition and commitment in
advice and support to the ExCo and Board on Sustainability, creating long-term sustainable value for
the Committee will also set up sustainability strategies, plans,
initiatives, and analyse risks and opportunities linked to the
the future for all our stakeholders.
United Nations Sustainable Development Goals, Malaysia
Airports’ Sustainability Framework and Sustainability Policy.
To further amplify our focus on sustainability, we also updated driven and Technology focused - Phase 1 from now till 2022
our Sustainability Policy to reflect our approach in embedding sets out the direction for survival and recovery, while Phase 2
Environment, Social and Governance (ESG) matters in our (2023-2025) outlines the growth and transformation phase of
decision making, and to emphasise the Group’s efforts in Malaysia Airports.
supporting Malaysia’s contribution towards achieving the
United Nations Sustainable Development Goals. Outcomes shaped by key stakeholder engagement
Review of Material Matters The nature of our business, particularly the aviation business,
requires Malaysia Airports to engage closely with all
In the course of the year, we organised workshops with our stakeholders to ensure that our operations run in a manner
stakeholders to seek their views on their key concerns in which is safe, smooth and seamless. Recognising that each
relation to our business. This forms part of the review process of stakeholder offers a unique proposition and brings value to
the Group’s Material Matters to ensure that our stakeholders’ the company in different ways, in tackling issues of concern,
input is taken into consideration when formulating the we always strive to find synergistic solutions that offer win-win
material matters of our business and the materiality matrix. propositions. As a result, we have built strong relationships
The exercise was particularly important this year in view of the with stakeholders premised on mutual trust and respect and
impact of the COVID-19 pandemic on our business and the common goals.
aviation industry.
This has proven to be valuable in tackling the pandemic, in
From the workshops, we were heartened that our stakeholders which our chief concerns have been to protect the safety of
share our views on the enhanced importance of Airport Safety passengers, our employees and other frontline stakeholders
and Security, with the emphasis on implementing health and at the airports and to coordinate with other stakeholders to
safety measures to prevent the spread of COVID-19 and take urgent steps to mitigate the risks posed by COVID-19 at
maintain public confidence in the safety our airports. This was the airports.
seen as a key step towards restoring confidence in air travel.
Airport Safety and Security, Digitalisation
In addition, our stakeholders also shared our approach in In January1, when there were initial concerns about the novel
dealing with the crisis. Airport capacity was also highlighted coronavirus, we formed the KUL COVID-19 Committee to
as a key material matter by many stakeholders, indicating that coordinate a response with the National Disaster Management
while Malaysia Airports deals with near-term issues such as Agency (NADMA), the Ministry of Health, the Royal Malaysian
surviving and recovering from the crisis, they are also looking Police (PDRM), and other airport stakeholders. The Committee
at the Group’s efforts in long-term capacity building for future met weekly to formulate, implement, review and improve
growth. operational processes to incorporate the Standard Operating
Procedures (SOPs) prescribed by the National Security Council
Key material matters such as airport capacity, airport safety into airport operations while maintaining service levels and
and security, digitalisation and total airport experience are passenger flows.
addressed in ‘Future F.I.T.’, the Group’s 5-Year Strategy and
Transformation Plan. The plan outlines the Group’s strategic We also engaged extensively with the media and passengers
direction for two phases over the next five years from 2021 to to address their uncertainties and disseminate the new SOPs,
2025. Premised on three pillars – Financially sustainable, Impact leveraging on mainstream media, social media channels and
1
All references to time periods are references to 2020 unless otherwise stated.
A Joint Message from our Chairm an and Group CEO

all available media assets at the airports (for example, flight efforts to manage the business, and spoke to them in a frank,
information display screens, commercial screens, digital clear and transparent manner. We increased the frequency of
directories and printed materials) and workplace to reach the our townhalls and used online platforms for communication,
widest audience possible. making the townhalls accessible to all employees.
The new SOPs at airport terminals incorporate public health The regular and open communication with our employees
measures including physical distancing, the use of face masks, helped them stay focused and motivated to navigate the
contact tracing, temperature checks at terminal entrances and challenges during the year.
the availability of hand sanitisers throughout the terminal. We
also installed new safety equipment at the airports including Economic Performance
state-of-the-art thermal scanners, security scanners as well as We are also pleased that MFMA Development Sdn Bhd, the
sneeze guards. Public areas were regularly sanitised and ultra- joint venture between Malaysia Airports (30%) and Mitsui
violet technology was used to sterilise handrails at walkalators Fudosan Co. Ltd (70%), has expanded its scope in 2020 to
and escalators, disinfect washrooms and disinfect all arriving develop the Mitsui Outlet Park Penang International Airport.
baggage at KUL.
The joint venture which was formalised in 2013 had achieved
We also leveraged on prior investments in technology and a milestone with the opening of the Mitsui Outlet Park
digitalisation capabilities. We were therefore able to deploy KLIA Sepang in 2015 as it was the first Mitsui Outlet Park in
our Airports 4.0 digitalisation initiatives for a contactless South East Asia as well as Mitsui Fudosan’s first commercial
experience for airport users. For example, with the introduction property investment in the region. The expansion to Penang
of the Single Token Journey initiative, by leveraging on facial is an example of Malaysia Airports’ continued commitment to
recognition technology, passengers are able to navigate the stakeholders and our ability to bring strong value propositions
airport’s touchpoints from check-in to boarding with a single to them.
identification verification. Other contactless measures include
self check-in, self bag-drop, contactless security screening, Progress on key material matters
and the use of e-wallets or mobile payment services at retail
and food and beverage outlets. While this Sustainability Report presents a comprehensive
review of the progress we have made on the material matters,
Our investments in technology were instrumental in making we would like to take this opportunity to highlight some of our
available a wide array of options to put passengers’ minds work-in-progress and achievements.
at ease over their safety while in the airport. Our early
engagement and long-standing rapport with the stakeholders Total Airport Experience - Top 10 global ranking for KUL
helped to ensure excellent cooperation and communication One of our proudest achievements of the year was the return
among all parties and a safe and seamless process for all of KUL to the top 10 airports in the world (above 40 million
airport users. mppa) as ranked by the Airports Council International through
its Airport Service Quality (ASQ) rankings.
Employee Engagement and Development
Internally, our employees were concerned about matters such
as health and safety and job security. We fast tracked the While our business is about large
procurement of personal safety equipment for our employees
and worked tirelessly to keep people safe by leveraging on infrastructure, complex equipment,
technology at the airports. Despite the challenges we faced, the latest in technology, and myriad
we avoided as far as possible from putting our employees on
furloughs as we also had to balance ensuring airport readiness
regulations, processes, procedures and
when the industry recovers. As a result, we kept all our staff statistics, it is easy to lose sight of the
employed with the only departures being due to natural
attrition and non-performance.
fact that at our core, our business is
about people and relationships. Strong
As ‘work from home’ became the new norm at Malaysia stakeholder relationships are essential for
Airports for employees who were not required to be present at
the workplace, we worked hard to overcome communication the smooth functioning of the business.
challenges. We communicated to all employees regularly on
such as joint ventures, master concessions and franchise

models. These new avenues require less capital investment
and offer a more sustainable business cost structure and a high
degree of visibility at the nation’s gateways.
The proposal has been well received, and we look forward to a

greater level of participation from these SMEs in future.
Recognition - Gold Sustainability Rating

Following a review of Malaysia Airports’ sustainability practices
and initiatives in the environment, social and governance
spheres as well as the impact of the Group, RAM Sustainability
assigned the Group an overall gold rating, the highest of three
available ratings. Malaysia Airports also received a gold rating
for the social and governance spheres as well as for positive
impact. For the environment sphere, we received a silver
rating. (RAM Sustainability is wholly owned subsidiary of the
rating agency, RAM Holdings Berhad.)
The rating reflects Malaysia Airports’ strong overall

KUL’s overall score of 4.98 out of a possible 5.00 for 2020 sustainability performance after taking into consideration
is a big jump from 4.76 in 2019 when we ranked #17. This its environment, social and governance and positive impact
is driven primarily by several factors – fulfilling our brand attributes. The rating also recognises that our sustainability
promise ‘Hosting Joyful Connections’ as well the impact performance is driven by robust governance and its positive
of the host culture transformation programme to improve impact on the economy and society. Among other matters, the
service quality among frontline workers at the airport, the rating report also highlights our dedication towards integrity
refurbishment of the washrooms at the airport as well as the and anti-corruption is shown by the adoption of the ISO 37001:
many enhancements that have been implemented through Anti-Bribery Management Systems.
the ‘#1improvement1week’ initiative, all of which have been in
progress since 2017 and 2018. Appreciation
Over and above that in 2020 alone, we implemented new We would like to thank all our shareholders, our employees,
safety measures at our own cost amounting to RM15.0 million partners, regulators, the airport community and other
at KUL and other airports as part of the new normal in air travel stakeholders for their support during this unprecedented year.
and to assure passengers that their safety is our top priority. We are grateful that together with our stakeholders, we have
built a pathway towards a more sustainable future for Malaysia
The hard work and outstanding effort put in by all our employees Airports.
and the other members of the KUL airport community in
making the holistic improvements needed to stand among the Yours sincerely,
top 10 airports in the world have certainly paid off, despite the
additional challenges posed by the pandemic.
Contribution to Local Community - Bumiputera Empowerment

Agenda
The Bumiputera Empowerment Agenda is an initiative we are
nurturing to encourage participation and enhance visibility of
local Bumiputera small and medium enterprises (SMEs) at our
airports.
Dato’ Seri Diraja Dr. Dato’ Mohd Shukrie
Leveraging on a partnership with Perbadanan Usahawan
Zambry Abd Kadir Mohd Salleh
Nasional Berhad, Malaysia Airports proposed to open new Chairman Group Chief
avenues to facilitate the participation of Bumiputera SMEs Executive Officer
Last year proved to be an arduous year due

to the COVID-19 pandemic. We have had to
drastically adjust our operations and innovate
ourselves by exploring new business models,
technologies and developments.
Amidst this landscape, Malaysia Airports continued to

remain steadfast and resilient to ensure that we continually
host joyful connections to guests, passengers and partners.
Our commitment to this was recognised through various
accolades, one of which was that KL International Airport
(IATA Code: KUL) was hailed as one of the world’s top 10
airports in the Airports Council International (ACI) Airport
Service Quality (ASQ) ranking.
This hard-won achievement would not have been possible

without the full support of the whole airport community.
Everyone in the community displayed a strong spirit of
collaboration and came together as one to elevate the airport
service performance as we continue to serve the nation.
We are also extremely grateful to all airport frontliners

who have tirelessly continued to devote their time and
energy towards combatting the pandemic while ensuring a
seamless airport experience within the new norms. We are
humbled by your immense contribution and unwavering
for the benefit of the nation.
At a Glance
Globally, Malaysia Airports is one of the largest airport operator groups, based on
the total number of passengers handled, managing in total 39 airports throughout
the country (five international airports, 16 domestic and 18 STOLports). The Group
also owns and manages one international airport in Istanbul, Turkey.
Our Malaysia operations comprises Competitive advantage

five key business activities which are
airport services, duty free and non- • Malaysia is located in a strategic
dutiable goods, hotel, project and location – in the heart of ASEAN,
repair maintenance and agriculture and surrounded by high growth markets
horticulture. For overseas operations, in such as China and India.
addition to ownership and management • Competitive aeronautical and
of SAW, we also provide services for passenger charges – one of the O U R VI SI O N
operations and maintenance of airports lowest in the world. A Global Airport Group
and airport-related services. • Well-equipped terminals with that Champions Connectivity
safety standards certified under and Sustainability
Listed on the Main Market of Bursa ISO 45001:2018 as meeting the
Malaysia since November 1999, at the global standards and requirements
end of 2020, Malaysia Airports’ market of the British Standards Institution.
capitalisation stood at RM 9.8 billion. The safety standards also meet
the requirements of the Turkish
We are a constituent of the FTSE4Good authorities.
Bursa Malaysia Index as well as Bursa • Our flagship, KUL, is ranked within
Malaysia’s benchmark index FTSE Bursa
Malaysia Kuala Lumpur Composite
the Top 10 airports globally for >40
mppa under ACI’s Airport Service
BR AN D P R O M I SE
Index (FBMKLCI). Quality rankings. Hosting Joyful Connections
• KUL’s two terminals have a
As a signatory to the Aviation Industry combined capacity of 75 mppa.
Commitment to Action on Climate • KUL’s three-runway system
Change, we strive to create a pathway facilitates efficient flight operations
to carbon-neutral growth and a carbon- • 100 km2 land bank surrounding
free future. Malaysia Airports also holds KUL allows for aviation-related and
memberships in the Airports Council commercial development.
International (ACI), the ACI World • SAW was one of the busiest airports
Standing Committee and the ACI in Europe in 2020.
C o r e Val u es
Asia Pacific Regional Environmental Integrity
Committee. Post COVID-19 pandemic, Malaysia Customer-Centricity
Airports is well-positioned to benefit
from the recovery of the aviation industry Accountability
through the strong hub advantage of New Ideas
leading low-cost carriers while also
leveraging on the connectivity and
network of home-based full-service
carriers for both its operations in
Malaysia and Turkey.
FY2020 Key Highlights
Scope FY2020 FY2019 FY2018
Group Financial Performance

Revenue (RM'mil) Group 1,866.3 5,213.1 4,851.7
EBITDA (RM'mil) Group 21.6 2,292.0 2,383.5
Profit for the Year (RM'mil) Group (1,116.2) 537.0 727.3
Total Equity (RM'mil) Group 8,099.3 9,324.5 9,140.7
Airport Performance
Group Passenger Movements (mil) Group 43.0 141.2 133.2
Group Aircraft Movements Group 600,073 1,281,000 1,232,735
Group Cargo Movements (metric tonnes) Group 834,718 1,003,000 1,037,370
KUL ASQ rank (> 40 mppa category) KUL 10 17 14
KUL ASQ score KUL 4.98 4.76 4.70
Total Direct Destinations KUL 166 166 >120
SAW 130 >160 >160
Sustainability Performance
Energy Consumption (kWh/passenger) Airports in Malaysia 15.9 5.1 5.3
SAW 3.8 2.2 2.2
Solar Power Generated (MWh) KUL 16,949 18,763 18,284
Water Consumption (litre/passenger) Airports in Malaysia 365.5 104.7 127.3
SAW 12.8 10.2 10.1
Total Waste Generated (kg/passenger) KUL 0.36 0.23 0.27

SAW 0.27 0.14 0.13
Recycling Rate (%) KUL 8.3 13.8 5.7

SAW 33.3 50.5 47.1
Total Employees Group 10,333 10,724 10,799
Percentage of Female Employees (%) Group 34.2 34.6 33.4
Community Investment (RM) Group 417,839 1,066,847 1,373,919

Where We Operate
Langkawi (LGK)
4.0 mppa Kota Bharu (KBR)
Alor Setar (AOR)
1.5 mppa
0.8 mppa
Pulau Redang (RDN)
Penang (PEN)
6.5 mppa Kuala Terengganu (TGG)
1.5 mppa
Ipoh (IPH)
0.5 mppa
Pulau Pangkor (PKG)
Kuantan (KUA)
Istanbul Sabiha Gökçen 1.3 mppa
International Airport (SAW) Subang (SZB)
TURKEY 1.5 mppa
41.0 mppa KL International Airport (KUL)

100% shareholding KLIA1 klia2
Melaka (MKZ) Pulau Tioman (TOD)
30.0 mppa 45.0 mppa
1.5 mppa
Rajiv Gandhi
International Airport (HYD)
INDIA
25.0 mppa
11% shareholding
AIRPORT SERVICES
MALAYSIA TURKEY INDIA
• KL International Airport (KUL) • Istanbul Sabiha Gökçen International • Rajiv Gandhi International Airport
INTERNATIONAL • Kota Kinabalu International Airport Airport (SAW) (HYD)
(BKI)
• Kuching International Airport (KCH)
• Langkawi International Airport (LGK)
• Penang International Airport (PEN)
• Melaka Airport (MKZ) • Sultan Ismail Petra Airport, • Mulu Airport (MZV)
• Sultan Abdul Aziz Shah Airport, Kota Bharu (KBR) • Sibu Airport (SBW)
DOMESTIC Subang (SZB) • Sultan Mahmud Airport, • Labuan Airport (LBU)
• Sultan Abdul Halim Airport, Kuala Terengganu (TGG) • Lahad Datu Airport (LDU)
Alor Setar (AOR) • Bintulu Airport (BTU) • Sandakan Airport (SDK)
• Sultan Ahmad Shah Airport, • Limbang Airport (LMN) • Tawau Airport (TWU)
Kuantan (KUA) • Miri Airport (MYY)
• Sultan Azlan Shah Airport, Ipoh (IPH)
• Pulau Pangkor (PKG) • Kapit (KPI) • Long Seridan (ODN)

• Pulau Redang (RDN) • Lawas (LWY) • Marudi (MUR)
SHORT TAKE-OFF • Pulau Tioman (TOD) • Long Akah (LKH) • Mukah (MKM)
AND LANDING PORTS • Bakelalan (BKM) • Long Banga (LBP) • Kudat (KUD)
(STOLPORTS)
• Bario (BBN) • Long Lellang (LGL) • Long Pasia (GSA)
• Belaga (BLG) • Long Semado (LSM) • Semporna (SMM)
Annual
Sustainability
ReportReport
2020 2020 >> Our
About
Business
Malaysia Airports 11
Kudat (KUD)
Kota Kinabalu (BKI)

9.0 mppa Sandakan (SDK)
1.5 mppa
Labuan (LBU)
2.2 mppa
Lahad Datu (LDU)
Limbang (LMN) 0.1 mppa
0.3 mppa Lawas (LWY)
Miri (MYY)
2.0 mppa Mulu (MZV) Long Pasia (GSA) Semporna (SMM)
0.05 mppa Long Semado (LSM)
Marudi (MUR)
Bakelalan (BKM) Tawau (TWU)
Long Seridan (ODN) 1.5 mppa
Bario (BBN)
Long Lellang (LGL)
Bintulu (BTU)
1.0 mppa Long Akah (LKH) Long Banga
Mukah (MKM) Belaga (BLG)
Sibu (SBW)
1.8 mppa
Kapit (KPI)
Kuching (KCH)
5.3 mppa
DUTY FREE AND NON-DUTIABLE GOODS PROJECT AND REPAIR MAINTENANCE

• KL International Airport (KUL) AIRPORTS
• Kota Kinabalu International Airport (BKI) • KL International Airport (KUL)
• Kuching International Airport (KCH) • Kota Kinabalu International Airport (BKI)
• Langkawi International Airport (LGK) • Kuching International Airport (KCH)
• Penang International Airport (PEN) • Langkawi International Airport (LGK)
• Sultan Abdul Aziz Shah Airport, Subang (SZB) • Penang International Airport (PEN)
• Istanbul Sabiha Gökçen International Airport (SAW) • Sultan Abdul Aziz Shah Airport, Subang (SZB)
• Hamad International Airport (DOH)
AGRICULTURE AND HORTICULTURE

PORT
• KL International Airport (KUL)
• Port of Tg Pelepas
• Bintulu Airport (BTU)
• Miri Airport (MYY) COMMERCIAL BUILDINGS
• Sibu Airport (SBW) • Airbus Helicopters Malaysia
• Cainiao Aeropolis eWTP Hub
HOTEL • Exxon Mobil
• Masjid As-Syakirin KLCC
Four locations in and around KUL and SAW:
• Maxis Tower
• KLIA1 landside
• Novugen Pharma (Malaysia)
• KLIA1 airside
• Persada PLUS
• klia2 airside
• Petronas Tower 3
• SAW landside
• Sepang International Circuit
• SPIRIT Aerosystems Malaysia
Sustainability Highlights
2020 was an extraordinary year for Malaysia Airports as we faced unprecedented challenges brought about by the COVID-19
pandemic. We took steps to quickly adjust to the new normal and prepare growth for when passenger confidence in air travel
is restored. While it has not been business as usual at Malaysia Airports, we remain steadfast in our commitment to embedding
sustainability throughout the business.
This section of the Sustainability Report covers the Sustainability Highlights for 2020 according to the Sustainability Pillars, and
links them to the relevant United Nations Sustainable Development Goals (UN SDGs), Material Matters and Key Stakeholders.
We also briefly introduce the sustainability activities of in our hotel business in Malaysia and our operations in Turkey at SAW.
Sustainability Pillars and Highlights
PILLAR Practising Sensible Economics

1 Riding Out the Storm Together
PILLAR Environmental Consciousness

2 On the Road to Becoming a Greener Airport
PILLAR Creating an Inspiring Workplace

3 Taking Care of Our Own
Community-Friendly Organisation
PILLAR
4 We Care
Inclusivity at Malaysia Airports
Memorable Airport Experience

PILLAR
5 Making Strides in Service Quality

Your Safety is Our Priority
Sustainability Spotlight
Sama-Sama Hotels
Istanbul Sabiha Gökçen International Airport
Moving Forward
Future F.I.T.
PILLAR
1 Practising Sensible Economics
Riding Out the Storm Together

Airport retailers offered various forms of assistance by Malaysia Airports.
Businesses have traditionally only been interested in their own survival. However, in this age of interdependence, to safeguard
their own existence, corporations will need to look beyond their bottom line to ensure their stakeholders thrive as well.
“We feel that it is important to stretch the Ringgit further in order to extend a helping
hand to our partners so that we can all recover together and take advantage of any
potential for future growths.”
Dato’ Mohd Shukrie Mohd Salleh, Group CEO
Airport retailers have been affected by the COVID-19 pandemic. In response to this,
Malaysia Airports implemented a series of initiatives to ease their burden. Material Matters:
Digitalisation
Digitalising retail: The e-commerce platform shopMYairports was launched in Economic Performance
September to increase retailers’ revenue by selling to the wider public, particularly Market Presence
non-travellers. A similar platform, shop@SAW, was launched by SAW in Turkey. This Total Airport Experience
is part of the Airports 4.0 digitalisation initiative.
UN SDGs:
New rental model: Under our Commercial Reset which was initiated in 2018, a
Bridging Strategy and New Rental Model were introduced to attract sought-after SDG 1: No Poverty
brands and reputable companies, stimulate high CAPEX investment by tenants and
encourage tenant retention. Tenants who sign up under the Reset are given flexibility SDG 8: Decent Work and
as to the tenure of the tenancy and for rental to be calculated in relation to passenger Economic Growth
movement. This will act as additional stimulus for retailers to recover in tandem with
SDG 17: Partnership for
the recovery in passenger traffic. In 2020, a total of 354 retail outlets were awarded
the Goal
at our airports where 160 were for KUL and the remaining 194 spread across other
airports in Malaysia.
Key Stakeholders:
Relief packages: We introduced several assistance and relief packages to ease the
Employees
cash flow issues of tenants. These include deferring rental payments, extending credit
terms, extending the tenure of newly signed contracts and deferring commencement
of business. Malaysia Airports also offered a six-month rental moratorium and a Passengers
subsequent customised Rental Relief Package which offered up to 100% rental
rebate for six months in 2020. Tenants
Airport-wide sales: Two editions of the ‘KLIA Crazy Sale’ were held in 2020. It Local Community
allowed the wider public to purchase items at duty-absorbed prices and provided
retail partners with an additional sales avenue to clear excess inventory. Safety
The Media
measures and physical distancing were strictly observed for public safety.
PILLAR
2 Environmental Consciousness
On the Road to Becoming a Greener Airport

Malaysia Airports reiterates commitment to protecting the environment.
Air pollution, climate change and deforestation are just some of the threats to our environment. Left unfettered, the earth’s
future and that of future generations is uncertain. Everyone must play their part, no matter how small, to make a difference.
12,000MWh ENERGY GENERATED PER YEAR
New solar photovoltaic (solar PV) systems: As part of Malaysia Airports’ Green
Material Matters:
Airports Strategy, the installation of solar PV systems on the rooftops of five airports
Climate Change
– BKI, KUA, LGK, MKZ and PEN – began in Q4 2020. This initiative is focused on
Economic Performance
increasing the airports’ usage of green energy and supports the government’s
Emissions
commitment to promote renewable energy and reduce carbon emissions by 50%
Energy Efficiency
from 2015 until 2030. Solar energy has been used at KUL since 2014.
Regulatory Compliance
Environmental benefit: This system can generate more than 12,000MWh of energy
UN SDGs:
per year which translates into a reduction of 8,700 tonnes of CO2 emissions yearly.
This is equivalent to 16% of the Green Airport Strategy’s annual carbon emissions SDG 7: Affordable and
reduction target. Clean Energy
Economic benefit: The solar PV systems were installed without any investment from SDG 13: Climate Action
Malaysia Airports as part of the Energy Performance Contract framework established
in 2016. The framework is based on a profit-sharing agreement between the
building owner and the Energy Service Company (ESCO) where the initial cost of the Key Stakeholders:
project is borne by the ESCO. In addition, electricity will cost 30% less than current
Regulators and
electricity rates, resulting in potential savings of RM 42.7 million for utility operational Government
expenditures for the next 25 years.
Employees
Other green initiatives: The implementation of rain water harvesting, LED light
bulbs, motion sensors to determine lighting and automated services such as Passengers
escalators, the use of natural light where possible and use of white paint to reduce
heat absorption at selected airports.
Tenants
Investors
Local Community
PILLAR
3 Creating an Inspiring Workplace
Taking Care of Our Own

Protecting our workforce is protecting our business.
The welfare of a company’s workforce should always be a priority. While in many countries there are legal provisions for this,
there are still too many instances of employee exploitation. Slave labour, wrongful termination and all forms of discrimination
are problems that are still rife all over the world. There is a need for businesses to revolutionise the way they view and treat
their employees.
ZERO RETRENCHMENTS IN 2020

SALARY CUTS IN 2020
Our employees make up one of our biggest groups of stakeholders. As a responsible

Material Matters:
employer it is our duty to protect them in times of crisis and prepare them for better
Airport Safety and Security
days ahead.
Employee Engagement and
Development
Reskilling and reassignment: We reskilled and reassigned 88 Aviation Security
Human Rights
personnel to become Airport Fire and Rescue Service (AFRS) personnel through
the Basic Training for AFRS Integration Programme. The objective for this was to
UN SDGs:
redistribute talent from areas that were over-staffed due to travel restrictions to areas
that needed more manpower. SDG 3: Good Health and
Well-being
Online training: Malaysia Airports suspended all non-essential face-to-face training
sessions for the safety of our employees. We introduced online training and learning SDG 8: Decent Work and
modules which enabled employees to select training schedules that matched their Economic Growth
work schedules. Our online workplace training programmes include e-learning courses,
webinars, and videos that allow information to be presented and tested in many ways. Key Stakeholders:
Regulators and
Health and safety: Malaysia Airports coordinated a series of COVID-19 screenings Government
in collaboration with the Ministry of Health and the Social Security Organization
under the Saringan Prihatin programme. We decontaminated and sanitised offices Employees
and common areas to ensure they were safe for use and placed hand sanitisers
throughout the airport and in offices. All cleaning and sanitisation personnel were Tenants
provided with Personal Protective Equipment. Malaysia Airports recently received
the ISO45001:2018 certification from the British Standards Institution as testament to
the emphasis we have placed on passenger and airport community safety since the
onset of the COVID-19 pandemic.
Guidelines: To raise awareness and further educate our employees on COVID-19,

we circulated a COVID-19 Prevention and Handling Guideline and a Return-to-work
Protocol Guideline.
PILLAR
4 Community-Friendly Organisation
We Care
Giving back to the community is part of Malaysia Airports’ DNA. In challenging times
such as these, we continue to fulfil our corporate responsibility to do what we can for
the community.
Consumers and businesses all over the world have become very discerning in the companies they choose to associate with.
Corporations that do not consider the welfare of the communities outside and inside itself, will have a difficult time earning
the trust and goodwill of the public.
“We would like to show support to frontliners by contributing

to their well-being. It is also our gesture of thanks for their tireless sacrifice,”
Comfort Kits: To show our support for their efforts, Malaysia Airports contributed
2,000 comfort kits to frontliners in Hospital Sungai Buloh, 350 kits to frontliners in Material Matters:
Tawau and Kota Kinabalu and 500 kits to passengers who were stranded at KLIA1. Contributions to Local Community
The comfort kits contained a sleeping bag, a face towel and a set of toiletries each. Human Rights
We also donated 500 cheer packages of chocolates sponsored by Eraman to the
frontliners at Hospital Queen Elizabeth, Kota Kinabalu. UN SDGs:
#MYAirportCARES Iftar Meal Distribution: Complimentary Iftar meals and dinners SDG 1: No Poverty
were provided to over 1,000 frontliners during the fasting month of Ramadan. All meals
were provided through donations from Malaysia Airports’ employees.
SDG 2: Zero Hunger
#MYAirportCARES Ceria Ramadan: We donated essential items and Duit Raya to

SDG 10: Reduced
about 88 underprivileged students from three primary schools in the communities
Inequalities
surrounding KUL.
#MYAirportCARES Ceria Aidiladha: Malaysia Airports donated essential items and Key Stakeholders:
meat to help 55 families from Kampung Labu Lanjut, Sepang, a village located near
Employees
Malaysia Airports’ Corporate Office. This project was carried out to help alleviate
the burden of community members who have been badly affected by the COVID-19
pandemic. Passengers
Recognition: Malaysia Airports won the Company of the Year award for Education & Tenants
Community Initiatives in the Sustainability & CSR Malaysia Awards 2020. This honour
was conferred on Malaysia Airports based on the 91 projects conducted in 2019 Local Community
under our CR pillars: Education and Youth Leadership, Community Enrichment and
Malaysia Branding.
The Media
PILLAR
4 Community-Friendly Organisation
Inclusivity at Malaysia Airports

As Caring Hosts, Malaysia Airports strives to ensure every guest experience
is a joyful one.
In an ideal world everyone would have access to travel. However, barriers to travel are exceedingly commonplace because the
travel industry often fails to take accessibility into account when serving customers with disabilities.
“We understand that travelling through the airport can be overwhelming…

With this new facility, we hope to ease the burden of the family during their journey
and create a safe and calm space for our special guests.”
To increase inclusivity, we have taken concrete steps to provide guests with disabilities
with a more positive experience at our airports. Material Matters:
Contribution to Local Community
The Butterfly Effect: This set of facilities and services were implemented to cater Diversity
to passengers with hidden disabilities such as autism. A Calm room with interactive Human Rights
activities was set up in KLIA1 as a safe place for passengers to calm and prepare Total Airport Experience
themselves before proceeding on their journey. Sensory walls were installed in key
locations across KUL to help reduce agitation and provide sensory support. Special UN SDGs:
training was provided to Malaysia Airports staff by the Autism Behavioral Center to SDG 3: Good Health and
equip them with the skills and knowledge to provide the correct assistance when Well-being
necessary. Butterfly Lanyards are provided to registered guests so they can get help
when required in a safe and timely manner. SDG 9: Industry, Innovation
and Infrastructure
Barrier-Free airport: SAW became Turkey’s first Barrier-Free Airport after it
SDG 10: Reduced
completed the infrastructure work required. These included building designated
Inequalities
disabled parking spaces, tactile walkways and ramps with a 6% slope in and around
designated areas of the airport. SAW also built disabled-friendly washrooms, check-in SDG 11: Sustainable Cities
counters, food and beverage areas and elevators and escalators with audio warnings and Communities
and notices in braille. Disabled and reduced mobility passengers were also allocated
reserved seats at the departures and arrivals floor and baggage claim area.
Key Stakeholders:
Employees
Passengers
Local Community
The Media
PILLAR
5 Memorable Airport Experience
Making Strides in Service Quality

In 2020, KUL ranked among the top 10 globally in the Airport Service Quality (ASQ)
rankings for airports in the >40 mppa category, up from #17 in 2019.
KUL’S ASQ SCORE IMPROVING OVER 3 YEARS
2020 4.98
2019 4.76
2018 4.70
0 1 2 3 4 5
In 2018, Malaysia Airports launched the Happy Guests, Caring Hosts service culture
transformation programme. It aimed to instil a ‘customer first’ mind-set among the Material Matters:
KUL community comprising airline partners, government agencies and some 8,000 Airport Safety and Security
Malaysia Airports employees. By 2020, approximately 10,000 airport frontliners Digitalisation
had received training under the programme, in KUL and other airports nationwide. Regulatory Compliance
Total Airport Experience
#1improvement1week: Malaysia Airports initiated the ‘#1improvement1week’
programme to continuously improve passengers’ experience at the airport. UN SDGs:
Approximately 150 improvements have been made since 2018 for a more seamless SDG 3: Good Health and
journey for passengers navigating the airport. 50 of them were implemented in Well-being
2020 focusing on the safety and security of passengers in the light of the COVID-19
pandemic. Among the more visible changes to passengers are the improved SDG 9: Industry Innovation
washroom facilities at KUL. A washroom refurbishment programme which was also and Infrastructure
launched in 2018 has modernised the facilities and benchmarked them against the
top global airports. Key Stakeholders:
Regulators and
ASQ: In the global ASQ survey by Airports Council International (ACI), KUL’s return Government
to the top 10 rankings globally and improvement in its ASQ scores are a testimony
to the collective efforts of Malaysia Airports and the airport community in improving Employees
the service and facilities at the airport. In addition, LGK was inducted into the ACI
Director General’s Roll of Excellence based on its track record for winning multiple Airlines
ASQ awards over a five-year period during the past 10 years.
Passengers
QoS: In addition, in Q3 2020, KUL passed all elements of the QoS framework set by
MAVCOM. This is further testimony to the improvements in service quality that has
been achieved collectively by Malaysia Airports and the airport community at KUL. Tenants
Vendors and Service

Recognition: We are also pleased that our efforts have been recognised by a Silver
Providers
award for ‘Customer-centric Culture’ at the prestigious International Customer
Experience Awards in 2020.
PILLAR
5 Memorable Airport Experience
Your Safety is our Priority

New safety measures and standard operating procedures were implemented to
protect our passengers and the airport community.
Airport safety and security has never been more important. Traditional threats encompass terrorist attacks, human trafficking
and the smuggling of goods. In 2020 however, the COVID-19 pandemic refocused travellers’ attention on how airports keep
travellers and their frontline workforce healthy and secure.
OUR AIRPORT SAFETY STANDARDS ARE CERTIFIED UNDER

ISO 45001:2018
as meeting the global standards and requirements of The British Standards Institution. The safety standards also
meet the requirements of the Turkish authorities.
The safety of passengers and the airport community is our top priority. Thus, we
rolled out new measures to create a contactless and sanitised airport environment to Material Matters:
build public confidence in the safety of our airports. Many of these measures leverage Airport Safety and Security
on our prior investments in technology, in particular our Airports 4.0 digitalisation Digitalisation
initiatives. A KUL COVID-19 Committee was specially formed to coordinate with Regulatory Compliance
government agencies and relevant stakeholders, while safety compliance officers Total Airport Experience
were deployed on ground to ensure compliance with the new norms.
UN SDGs:
Standard Operating Procedures (SOPs): New SOPs include physical distancing, SDG 3: Good Health and
the use of face masks in the terminal, contact tracing, temperature checks at terminal Well-being
entrances and the availability of hand sanitisers throughout the airport. The terminals
are sanitised and disinfected regularly, with high-traffic areas and surfaces such as SDG 9: Industry, Innovation
check-in counters and washrooms being sanitised at least eight times daily. and Infrastructure
Airports 4.0 initiatives: Technology-driven measures have focused on creating a Key Stakeholders:
safe and contactless airport experience. These include the use of facial recognition
technology, self check-in, self bag-drop, contactless security screening, automated Regulators and Government
ultra-violet disinfection, and the use of e-wallets or mobile payment services at retail
and food and beverage outlets throughout the terminal. Employees
An exciting Airports 4.0 initiative was SAW’s introduction of the Aerobot, the airport’s
Airlines
first social robot. The Aerobot communicates in over 20 international languages and
assists passengers in wayfinding while reminding them about the new travel norms
Passengers
in place at SAW.
Other safety measures: Ultra-violet (UV) technology is used to sterilise handrails at Tenants
walkalators, escalators and washrooms. Most recently, all arriving baggage at KUL go
through a UV tunnel for sanitisation. We also implemented the use state-of-the-art
thermal and security scanners and sneezeguards at KUL and 19 other airports.
Sama-Sama Hotels
A hit with travellers.
Malaysia Airports’ wholly owned subsidiary, KL Airport Hotel Sdn Bhd, operates three hotels in Malaysia under the brand
‘Sama-Sama Hotel’.
93.2 % SAMA-SAMA HOTEL KL INTERNATIONAL

AIRPORT GUEST SATISFACTION RATE
The hotels: In Malaysia, the Sama-Sama Hotel KL International Airport is a five star
hotel, while the Sama-Sama Express KL International Airport and Sama-Sama Express Material Matters:
klia2 are airside transit hotels. Climate Change
Contributions to Local Community
Green practices: The hotels avoid using plastic-based items and use biodegradable, Procurement Practice
non-woven, and paper-based products as an alternative. Hotel amenities are sourced Total Airport experience
from a local company known for using mostly natural preparations with minimal
preservatives and additives. They also give priority to vendors who implement the UN SDGs:
best environmental practices. SDG 3: Good Health and
Well-being
Corporate responsibility: A celebration was held during Hari Raya at an orphanage
SDG 12: Responsible
in Banting, Selangor, and another during Deepavali at an orphanage and senior
Consumption and
citizens home in Rembau, Negeri Sembilan. Frontliners working in the hotel and
Production
airport community were honoured for their efforts during the COVID-19 pandemic at
two events at Sama-Sama Hotel KL International Airport.
SDG 13: Climate Action
Cooperation with the government: Sama-Sama Hotel KL International Airport was

used as a quarantine hotel to support the government’s mandatory quarantine for Key Stakeholders:
incoming travellers who fell under the persons-under-surveillance group.
Regulators and
Government
Other services: KL Airport Hotel Sdn Bhd also operates the Airport Fast Track
service at KLIA1, a premium kerbside-to-gate service that offers guests fast track Employees
lanes for check-in, customs and immigration, transportation services and buggy and
concierge services.
Airlines
Awards: Our hotels are popular with travellers and won several travel industry
Passengers
awards, as well as an award for occupational safety and health.
Vendors and Service
Providers
Local Community
AWARDS WON IN 2020
SAMA-SAMA HOTEL KL
INTERNATIONAL AIRPORT
• 2020 Haute Grandeur Global Hotel
Awards for Best Airport Hotel on
Global Level
• 2020 Haute Grandeur Global
Awards for Best Luxury Hotel in
Asia
• 2020 Haute Grandeur Global
Awards for Best Prime Location in
Malaysia
• 2020 World Luxury Hotel Awards
for Luxury Airport Hotel Global
Winner
• 2020 Tripadvisor Traveller’s Choice
Hotel
• 2020 Tripadvisor Traveller’s Choice
Best of The Best Hotel
• 2020 Hotels.com Love by Guests
Awards Winner
• 2020 Malaysia Society for
Occupational Safety and Health
(MSOSH) OSH Silver Award
SAMA-SAMA EXPRESS KL
INTERNATIONAL AIRPORT:
for Air Transit Hotel - Asia
Continent Winner
SAMA-SAMA EXPRESS klia2:

for Luxury Contemporary Hotel
- South East Asia Regional Winner
Istanbul Sabiha Gökçen International Airport

The airport (IATA Code: SAW) increased in prominence in 2020, contributing 40% of
Malaysia Airports’ passenger movements.
The airport is a fully owned asset of Malaysia Airports and is recognised as Turkey’s emerging city airport. The earlier
opening of boarders in Europe and other airport-wide initiatives have seen SAW reinforcing Malaysia Airports’ vision to
become ‘A Global Airport Group that Champions Connectivity and Sustainability.’
“SAW has shown commendable resilience in weathering the impact of the

pandemic.”
Passenger movements: Total passenger movements for SAW for 2020 stood at
17.2 million passengers, contributing to 40% of Malaysia Airports group passenger Material Matters:
numbers for the year. Operations in SAW showed positive recovery signs in June Climate Change
following the relaxation of travel restrictions on 1 June. It achieved peak recovery rate Diversity
at 73% of pre-COVID 19 levels in October, and in some months achieving 50% levels Economic Performance
of the corresponding month in 2019. Energy Efficiency
Emissions
Travel hub: The airport was declared Europe’s fifth busiest airport by the European Market Presence
Organisation for the Safety of Air Navigation in October 2020 registering an average Total Airport Experience
of approximately 500 flights per day. It had previously been ranked as one of the top Waste and Effluent Management
ten busiest airports in Europe registering 35.6 million passengers in 2019. Water Management
Duty-free tie-up: The world’s largest travel retail and duty-free player, Dufry, joined UN SDGs:
SAW’s retail partner line-up in November. It will occupy a total of eight retail lots with SDG 8: Decent Work and
2,800 square metres of duty-free retail space in the departures area and 1,100 square Economic Growth
metres of arrivals shops. Apart from the usual duty-free offerings of liquor, tobacco,
SDG 9: Industry, Innovation
perfume, cosmetics and confectionery, Dufry will also feature a refined selection
and Infrastructure
of local food and souvenir brands which showcases Turkey’s cultural heritage and
specialties. SDG 11: Sustainable Cities
and Communities
World-class hospitality: In January 2021, SAW handed over operations of its lounge SDG 12: Responsible
areas at the terminal as well as all premium facilities, including fast track and meet Consumption and
and assist services to Plaza Premium Group. The Plaza Premium Group will invest Production
in enhancements and upgrade services and facilities to create an elevated lounge
experience and promote a seamless airport journey. It will also add an additional SDG 13: Climate Action
lounge at the international terminal, increasing the number of airports lounges at
SAW from two to three.
Inclusivity: SAW is a certified Barrier Free Airport, highlighting its disabled-friendly

design and facilities. It is the first airport in Turkey to receive this certification. Key Stakeholders:
Regulators and Government

Green building: SAW became a LEED Gold® building under the U.S. Green Building
Council’s LEED® green building program in January. It is the first LEED-certified
airport in Turkey. Its efforts to improve energy efficiency with a trigeneration unit, Employees
maximising the use of daylight and encouraging people to use public transportation
contributed to the attainment of this certification. Airlines
Green airport project: SAW is a certified Green Airport under the Turkish Directorate Passengers
General of Civil Aviation’s Green Airport Project. The Green Airport Project aims to
reduce the negative effects on the environment caused by airports and greenhouse Tenants
gas emissions. Airports qualify as a Green Airport by fulfilling several requirements
which include preparing a greenhouse gas management plan and a waste Vendors and Service
management plan and a dangerous goods inventory. SAW prepares and monitors Providers
the mandatory applications and keeps up-to-date plans for greenhouse gasses and
waste annually. Investors
Airport safety: SAW took concrete steps to increase the safety of guests,
Local Community
passengers and staff in light of the COVID-19 pandemic. During the lockdown,
occupational health and safety trainings were conducted online to raise awareness
of the pandemic. After the lockdown, workplace safety training was provided to all
staff by the workplace doctor. Other safety measures enforced include shortened
working hours to minimise contact, PCR tests for all personnel, monthly medical
check-ups by the workplace doctor, postponement of face-to-face events and the
use of plexiglass separators in areas where staff meet passengers. SAW also provides
all staff members with masks to be changed every 4 hours daily and easily accessible
alcohol-based hand sanitisers.
Cross country learning: In preparing our people for the future through our Talent
Mobility and Talent Exchange Programmes, we encouraged various learning,
coaching and knowledge sharing sessions through online and e-learning platforms as
well as peer coaching sessions. To facilitate knowledge-sharing in airport operations,
Malaysia Airports has an exchange programme for employees in Malaysia and Turkey
which started in 2019. In 2020, four employees from our Malaysia operations were
assigned to SAW while three from our Turkey operations were assigned to work in
Malaysia for two years.
SAW
QUICK FACTS AND FIGURES
2020
One of Europe’s 58 international

DESTINATIONS
Top 10 34 domestic
busiest airports DESTINATIONS
in 2020 36 countries
17.2 million
5
passengers
new
routes
1Barrierst
Free
Airport
587
TOTAL
43
FEMALE
%
in Turkey EMPLOYEES EMPLOYEES
1st AIRPORT IN
TURKEY
Moving Forward
Future F.I.T.
“Future F.I.T. is Malaysia Airports’ answer to today’s unprecedented operating
environment while laying the foundations for dynamic post-pandemic growth.”
The COVID-19 pandemic presented an opportunity for Malaysia Airports to institute

a ‘ground zero reset’ of our business. Building on the Group’s near-term plans to Material Matters:
stabilise the Company, we reformulated our 5-Year Strategy and Transformation plan, Airport Capacity
known as Future F.I.T. to focus also on building capacity and capabilities today to Airport Safety and Security
capture post-pandemic opportunities. Economic Performance
Digitalisation
Future F.I.T. outlines our roadmap for survival, recovery and growth as air travel Total Airport Experience
recovers aims to make Malaysia Airports Financially sustainable, Impact driven and
Technology focused. UN SDGs:
SDG 8: Decent Work and

What it entails: A two-phase rollout which in the short term, from now till 2022, the Economic Growth
Group’s focus is to survive and recover from the pandemic. Beyond that, from 2023
till 2025, the Group will turn to positioning ourselves for future business growth and SDG 9: Industry, Innovation
sustainability. and Infrastructure
Phase 1 Survival and Recovery (2021-2022): This crucial phase addresses our Key Stakeholders:
business and financial positioning which have been impacted by the pandemic and
helps us navigate the through the resulting economic slowdown. During this period, Employees
the Group will focus on five main strategic themes namely, Survivability, Fixing the
Basics, Horizontal Expansion, Digitalisation and Critical Asset Replacement. Airlines
Phase 2 Growth and Transformation (2023-2025): In Phase 2, Malaysia Airports Passengers

will focus on positioning ourselves for future business growth and sustainability. This
phase will be anchored by three strategic thrusts - Maximising Revenue Generation,
Tenants
Developing New Capabilities and Ensuring Business Sustainability.
Vendors and Service

End state: While Future F.I.T. lays down the groundwork for the Group to survive and
Providers
recover from the pandemic, it is also the runway for Malaysia Airports’ future growth;
taking us closer to realising our vision of becoming ‘A Global Airport Group that Investors
Champions Connectivity and Sustainability’ together with returning to profitability
and staking our place among the Top 5 airports globally.
The Media
36 Malaysia Airports Holdings Berhad >> Reporting and Governance
REPORTING AND GOVERNANCE

ABOUT THIS REPORT Scope and Boundary
(GRI 102-45, 102-46)
Introduction
(GRI 102-1, 102-32, 102-46, 102-54) The consolidated financial statements of Malaysia Airports
cover the entities contained in the group structure in the
This Sustainability Report for Malaysia Airports Holdings percentages shown in the corporate structure set out in
Berhad (Malaysia Airports) for 2020 is presented in accordance Malaysia Airports’ Annual Report for 2020. Unless otherwise
with the GRI Sustainability Reporting Standards (GRI) – indicated, this Sustainability Report covers Malaysia Airports’
Core option and the relevant GRI Airport Operators sector Group-wide operations as shown in the corporate structure set
disclosures (AO). out in Malaysia Airports’ Annual Report for 2020.
This report highlights the material matters relating to Malaysia Malaysia Airports’ operations in Malaysia is anchored by its
Airports’ stakeholders as depicted in the Materiality Matrix. It subsidiaries, Malaysia Airports (Sepang) Sdn Bhd (MA Sepang)
covers the key material matters as determined in consultation which manages KL International Airport comprising KLIA1 and
with internal and external stakeholders. The material matters klia2, and Malaysia Airports Sdn Bhd (MASB) which manages
included in this report have been deemed to be those which other airports in Malaysia apart from KUL. Unless otherwise
have the most impact on Malaysia Airports by Management. stated, references to airport statistics, benchmarks, targets
and activities refer to KUL being the largest operations hub of
This report has been approved by Malaysia Airports’ Board of Malaysia Airports having the largest impact on stakeholders.
Directors and Management Executive Committee.
Where relevant, we have also highlighted the sustainability
Reporting Suite and Framework practices of Malaysia Airports’ operations in Turkey, namely at
This Sustainability Report forms part of Malaysia Airports’ Istanbul Sabiha Gökçen International Airport.
annual reporting suite for the financial year ending 31
December 2020 which comprises the following - Annual Reporting Period and Cycle
Report, Financial Statements, Sustainability Report and Airport (GRI 102-50, 102-51, 102-52)
Statistics. Together, they provide a comprehensive report
of the Group’s performance, activities and outlook as well This report covers the period from 1 January 2020 to 31
as disclosure of the management of sustainability risks and December 2020 unless otherwise stated and follows from our
opportunities within environmental, social and governance previous Sustainability Report for the year ended 31 December
(ESG) parameters. 2019. We have been producing an annual Sustainability Report
since 2009.
In addition, in line with the Malaysian Code on Corporate
Governance and the Listing Rules of Bursa Securities Malaysia Independent Assurance Statement
Berhad (Bursa Malaysia), we produce an annual Corporate (GRI 102-56)
Governance Report which is disclosed to Bursa Malaysia
and the Securities Commission of Malaysia. This is a public At Management’s request, SIRIM QAS International Sdn Bhd
document and is available through Bursa Malaysia’s listing (SIRIM QAS International) has performed an independent
announcements as well as Malaysia Airports’ corporate verification and provided assurance of the accuracy and
website. reliability of the information presented in this Sustainability
Report. This is in line with our practice which has been in place
The reports can be found online on our corporate website: since 2012 to seek external assurance for our Sustainability
www.malaysiaairports.com.my Report.
To ensure the objectivity and impartiality of SIRIM QAS

International’s verification statement, no member of the
verification team nor any employee of SIRIM QAS International
was involved in the preparation of this Sustainability Report.
The assurance statement is included in this report.
Sustainability Report 2020 >> Reporting and Governance 37
GOVERNANCE AND ACCOUNTABILITY

GOVERNANCE AND ACCOUNTABILITY and management committees see to their own sustainability
(GRI 102-18) targets, implement initiatives and monitor and track progress
towards achieving these targets. To this end, we recognise the
Malaysia Airports recognises that to achieve our corporate need to have a formal management committee to oversee
vision to be a ‘A Global Airport Group that Champions company-wide ESG initiatives.
Connectivity and Sustainability’, we need to do more than
just create economic value for shareholders. Rather, there is A non-exhaustive list of these Board and management
a need to balance profitmaking and operational excellence committees include:
with conducting our business in a manner that is transparent
and responsible. In the journey to become a sustainable E Environmental matters
business for the long term, our operations need to be built • Engineering Environment Committee
on the foundations of good governance while considering
environmental and social factors. S Social matters
• Board Nomination and Remuneration Committee
Governance and Structure • Human Resources Committee
(GRI 102-18, 102-20, 102-26)
G Governance matters
Malaysia Airports recognises the importance of Environment, • Board Finance and Investment Committee
Social and Governance (ESG) factors in creating long- • Board Risk Management Committee
term sustainable value for stakeholders while ensuring our • Board Procurement Committee
businesses remain relevant. As such, we constantly work to • Corporate Risk Management Committee
embed these sustainability factors throughout the Company’s • Information Security Management Committee
value creation model and value chain.
Sustainability Policy and Framework
The Board of Directors provides strategic direction with regards Malaysia Airports has been guided by a Sustainability Policy
to Malaysia Airports’ ESG model through the Company’s since 2010.
Sustainability Policy and Framework.
In January 2021, in line with our vision to become ‘A Global
The Senior General Manager, Strategy (previously the Senior Airport Group That Champions Connectivity and Sustainability,’
General Manager, Planning) of Malaysia Airports is responsible an update to the Sustainability Policy was approved by the
for ensuring the ESG model is translated into actionable Board. The new Policy integrates Malaysia Airports’ widened
tangible initiatives by business and support units in line with ESG model to better align business decisions and strategies
Malaysia Airports’ five Sustainability Pillars. The incumbent with ESG considerations and stakeholders’ concerns and
is a member of the Management Executive Committee supports the Nation’s commitment towards the UN SDGs.
(ExCo), chaired by the Group CEO, and comprises the top
management of Malaysia Airports. The incumbent is also The Sustainability Framework links our Sustainability Pillars to
responsible for highlighting and reporting on sustainability the material matters relating to Malaysia Airports’ business
matters to the ExCo, and where relevant, to the Board of as well as to the SDGs. It illustrates the connection between
Directors. Malaysia Airports’ ESG model and the material matters at the
forefront of our business, and how business can ultimately
The Sustainability Unit assists the Senior General Manager, contribute towards achieving the global sustainability agenda.
Strategy in the day-to-day running and management of
organisation wide sustainability initiatives. The Sustainability Our Sustainability Pillars are Practising Sensible Economics,
Department also provides consulting services and engages Environmental Consciousness, Creating an Inspiring
stakeholders on all matters related to sustainability. Workplace, Community-Friendly Organisation and Memorable
Airport Experience.
In 2020, the ExCo approved the establishment of a
Sustainability Committee to oversee all ESG matters and to
ensure that they are streamlined. Currently, interdepartmental
working committees and taskforces which support the Board
GOVERNANCE AND ACCOUNTABILITY

KUL Sustainability Charter
Five Sustainability Pillars The KUL Sustainability Charter was introduced in 2019, creating
a leadership role for Malaysia Airports in sustainability matters
PILLAR Practising Sensible Economics within the airport community at KUL. The charter reflects new
and evolving matters of concern to Malaysia Airports and its
1
Generate sustainable returns from
stakeholders, both internal and external namely employees,
business activities by strengthening and
regulators, airline companies, investors, airport tenants,
optimising revenue streams.
vendors, passengers, the local community and the media.
Through stakeholder consultation, we identified material

PILLAR Environmental Consciousness matters, set goals and identified key initiatives to form the basis
2 Manage and reduce the impact on the of the charter. Each of these are aligned to the Sustainability
environment from business activities. Pillars and SDGs.
Sustainable Development Goals

As a Government-Linked Company, Malaysia Airports supports
Creating an Inspiring Workplace the Malaysian Government’s commitment to the United
PILLAR
Nation’s 2030 Agenda for Sustainable Development. The
3
Value our employees, provide
development opportunities and embed United Nations had identified 17 Sustainable Development
good governance. Goals (SDGs), representing a call for action by all countries –
poor, rich and middle-income – to promote prosperity while
protecting the planet. Ending poverty must go hand-in-hand
Community-Friendly Organisation with specific goals and strategies that build economic growth
PILLAR Support and strengthen community and address a range of social needs including education,
4
engagement and efforts to develop health, social protection, and job opportunities, while tackling
climate change and environmental protection.
programmes to meet the needs of local
communities.
In 2019, Malaysia Airports aligned its material matters,
Sustainability Pillars and the KUL Sustainability Charter with all
Memorable Airport Experience 17 SDGs. However, the SDGs highlighted in the Sustainability
PILLAR Enhance the travel experience of airport
Report are the ones most relevant to Malaysia Airports.
5 guests to support our brand promise of

hosting joyful connections.
Sustainability Rating
Malaysia Airports was assigned a Gold Sustainability Rating
by RAM Sustainability. The rating reflects Malaysia Airports’
The following policies, procedures, guidelines also serve to strong overall sustainability performance after taking into
embed the ESG model in Malaysia Airports’ operations and consideration its ESG and positive impact attributes.
are available on our corporate website:
Ratings are assigned to the overall Sustainability Rating and
each of its four components – Environment, Social, Governance
• Environmental Management Policy
and Positive Impact. The three different rating levels that can
• Environmental Protection Policy
be assigned are Bronze, Silver and Gold. Malaysia Airports was
• Procurement Policies, Procedures and Guidelines assigned Gold ratings for the Social, Governance and Positive
• Anti-Corruption Policy Statement Impact components and a Silver for Environment.
• Gift Policy
• Fraud Policy Malaysia Airports’ Gold Sustainability Rating is driven by strong
• Whistleblowing Policy corporate governance, our commitment towards sustainability
• Safety, Health and Environmental Policy efforts and our contribution to the domestic economy as a
national airport operator. Our focus on community and social
• Policy on Prevention and Eradication of Drug and Alcohol
contributions and forward-looking environmental policies and
Abuse in the Workplace
strategies also contributed to Malaysia Airports’ achievement.
• Sexual Harassment Policy
• Stop-Work Policy
• KUL Sustainability Charter
• Sustainability Policy
• Code of Ethics and Conduct
Sustainability Framework
A Global Airport
Group that
Champions
Connectivity and
Sustainability
5 s
Su
sta i llar
inability P
20
17 ers a
ls
M a te
Su rial Matt t Go
sta en
inab
le Developm
Practising Sensible Environmental Creating an Community-Friendly Memorable Airport

Economics Consciousness Inspiring Workplace Organisation Experience
Airport Capacity Waste and Effluent Integrity and Anti- Human Rights Airport Safety and
Management corruption Security
Digitalisation Contributions to
Emissions Employee Local Community Total Airport
Economic
Engagement and Experience
Performance Climate Change
Development
Transportation
Regulatory Water Management
Diversity and Connectivity
Compliance
Energy Efficiency
Procurement
Practices
Market Presence
Cybersecurity
MATERIALITY PROCESS
MATERIALITY PROCESS
(GRI 102-42, 102-43, 102-49)
Material Matters identified as relevant to Malaysia Airports and its stakeholders are continuously monitored and managed as they
form the basis of our value creation model and influence our business strategy and targets.
Materiality Assessment Process

The material matters were identified and prioritised in 2018 following a materiality assessment process as described below.
IDENTIFICATION PRIORITISATION VALIDATION
A comprehensive list of material matters Key representatives of internal The Materiality Matrix was validated
was identified based on a review and stakeholders met to review, discuss and by senior management and approved
analysis and through engagement with prioritise the identified material matters by the Board.
internal and external stakeholders. to form a Materiality Matrix.
Materiality Matrix Changes to Materiality Matrix in 2020

The Materiality Matrix plots material matters in two dimensions As a result of the review, this year’s Materiality Matrix introduces
– first, impact to Malaysia Airports and secondly, significance a repositioning of several material matters, the most significant
to key stakeholders. It guides Malaysia Airports in addressing being Airport Capacity and Transportation and Connectivity.
and managing matters of utmost importance for the business
as well as stakeholders. Airport Capacity remains in the Extremely High category and
is perceived to be top priority for Malaysia Airports. This is
Review of Material Matters in 2020 reflective of our Future F.I.T. strategy in preparing the airports
A full review of our material matters was carried out this year for future demand as public confidence gradually increases for
through a materiality assessment workshop with our key air travel post COVID-19.
stakeholders.
Transportation and Connectivity was moved from the Very
The workshop took place in September 2020 at Sama-Sama High to the Extremely High category in the Matrix. Passengers
Hotel KL International Airport, and involved 60 individuals from increasingly expect a seamless airport journey, and for airports
various Key Stakeholder groups which included Regulators and to be a user-friendly transportation hub with equal accessibility
Government, our employees, Airlines, Tenants and Vendors for all.
and Service Providers.
We also recognise that Airport Safety and Security remains in
It provided a platform for participants to discuss their interests the Extremely High category as the COVID-19 pandemic has
and concerns with regards to each of the material issues been an impetus for Malaysia Airports to relook and reinforce
identified in light of the COVID-19 pandemic. the way it protects passengers, staff and the airport community.
Matters such as the containment of the health crisis, the Beyond these shifts, the overall results of 2020 assessment
restoration of consumer confidence in air travel and the remain largely consistent with the previous year, particularly
recovery of the industry emerged as some of the key interests about our most material issues. There were no new material
among the attended stakeholders. matters identified for 2020 and no significant changes to the
business model or operating boundaries.
The review also analysed the Group’s business direction, peers,
regulatory environment and external environment. In addition to the above, our Annual Report includes a
discussion on the top eight material matters, linking the
All this, together with the results from Malaysia Airports’ material matters with strategic themes and enablers, key
internal materiality assessment survey, were used to refresh the stakeholders and capitals affected to demonstrate the
Materiality Matrix for 2020. dynamics of value creation by the Company.
Malaysia Airports Materiality Matrix for FY2020
Extremely High
Very High
Significance and Importance to Key Stakeholders
High Airport Safety and Security

Economic Performance Digitalisation
Transportation and Connectivity Total Airport Experience
Airport Capacity
Cybersecurity
Regulatory Compliance
Integrity and Anti-Corruption
Market Presence Human Rights
Procurement Practices Contributions to Local Community

Emissions Employee Engagement and Development
Waste and Effluent Management Energy Efficiency
Diversity
Water Management
Climate Change
Impact to Malaysia Airports
Sustainability Pillars: Practising Sensible Economics Creating an Inspiring Workplace Memorable Airport Experience
Environmental Consciousness Community-Friendly Organisation
Mapping Material Matters to Sustainability Pillars

The 20 areas selected to represent our material matters are mapped to the Sustainability Pillars that are defined in the Malaysia
Airports Sustainability Framework. Below is a brief description of each material matter and how they relate to the respective
pillars. More detailed information on the activities and initiatives related to the material matters are available in the corresponding
sections on each pillar.
MATERIAL MATTERS
Practising Sensible Economics
PILLAR As the nation’s main airport operator, it is our duty to run a profitable business that
has potential for strong long-term growth whilst we uphold our responsibility to cater
1 to the needs of stakeholders. In today’s uncertain economic climate, this means being
able to survive and recover from the negative effects of the COVID-19 pandemic on the
airline travel industry. The following material matters are associated with Pillar 1 as their
characteristics have the most impact on the economics of the business.
1. Airport Capacity Explanation: We are a public-listed entity and our primary

Definition: Refers to the airports’ ability to cater for increasing responsibility is to create shared value for our stakeholders.
passenger traffic and to manage capacity constraints How we perform is crucial to the existence of the business
through space optimisation and airport expansion. and the interests of our stakeholders which include amongst
Explanation: Airport capacity is an important factor in others healthy economic returns and continued employment
ensuring operational safety and efficiency, service standards and business opportunities.
as well as passenger comfort. It is also one of the factors
airlines take into consideration when deciding on route 5. Market Presence
development which is pertinent to the growth of our Definition: Refers to leveraging our business to create a
business. fair and sustainable marketplace for us and other market
participants.
2. Cybersecurity Explanation: Malaysia Airports’ ability to continue as an
Definition: Refers to the continuous strengthening of airport operator, asset owner and real estate developer is
our capabilities to protect the security and privacy of our dependent on being able to carry on its operations in a
stakeholders’ business information and systems through sustainable manner. As such, we strive to reinforce a positive
cybersecurity. market presence by being a role model in sustainable
Explanation: Airport operations are a national security practices that cut across all our pillars and have a positive
matter. Increased digitalisation at Malaysia Airports for the effect in the long-term on our business.
convenience of our stakeholders comes with inherent risks
related to cyber-related security threats. Cybersecurity is 6. Procurement Practices
crucial to ensure the data of stakeholders and our own data Definition: Refers to supporting local suppliers at significant
and digitalised processes are always protected. location of operations.
Explanation: As the main airport operator, our spending on
3. Digitalisation local suppliers directly impacts Malaysia Airports’ economic
Definition: Refers to the digital framework encompassing performance and acts as a catalyst to create a thriving
enhancement, capacity development and digital innovations business environment where we operate. To ensure greater
that aim at terminal optimisation, operational efficiency, transparency and fairness in our procurement processes, we
revenue generation, regulatory compliance and health have in place policies to prevent anti-bribery and corruption
protection during the COVID-19 pandemic. that apply to our employees and suppliers. This is crucial to
Explanation: Digitalisation is important to Malaysia Airports maintain healthy returns for our stakeholders and to create a
in the face of Industrial Revolution 4.0 to ensure up-to-date sustainable pool of local suppliers.
technologies are used to improve efficiency, reduce human
error and to redirect resources to more crucial areas of our 7. Regulatory Compliance
operations. Digitalisation has been especially important to Definition: Refers to the compliance with all international
Malaysia Airports in 2020 as it played a big part in enhancing and national laws and regulations, including environmental,
the safety and security of passengers and the airport social and operational regulations.
community during the COVID-19 pandemic. Explanation: Malaysia Airports operates within a highly
regulated industry. It is imperative that we adhere to laws
4. Economic Performance and regulations to ensure we can continue operations and
Definition: Refers to the economic value generated and to maintain our good reputation. Compliance was especially
distributed by an organisation, its defined benefit plan important in 2020 as we had a responsibility to help prevent
obligations, the financial assistance it receives from any the spread of COVID-19 at our airports.
government and the financial implications of climate
change.
Environmental Consciousness
PILLAR The world’s resources are finite and consumption of these resources have an effect on
the environment. To ensure future generations can thrive, we need to grow responsibly
2 and manage and reduce the impact of our business on the environment. The following
material matters relate to how we manage these limited resources while interacting
positively with the environment.
1. Emissions 3. Energy Efficiency

Definition: Refers to the discharge of environmentally Definition: Refers to efficient use and consumption of
hazardous substances and greenhouse gas into the electricity and energy generated from renewable sources.
atmosphere. (E.g. dust, dark smoke, emissions with metallic Explanation: All energy consumed contributes to carbon
compounds, carbon dioxide, methane, nitrous oxide.) emissions which has an impact on climate change. Our
Explanation: Carbon emissions contribute towards climate stakeholders have decided that energy efficiency is a material
change and as a participant of the ACI’s Airport Carbon matter for us and we are dedicated to using resources in a
Accreditation (ACA) programme, we are committed to sustainable manner to reduce our carbon footprint.
the development of our business towards carbon-neutral
growth and aspire to a carbon-free future. 4. Waste and Effluent Management
Definition: Refers to the treatment of hazardous and non-
2. Climate Change hazardous waste.
Definition: Refers to having a strategy in place that Explanation: How we treat our waste and how we approach
demonstrates Malaysia Airports’ commitment to the aviation recyclable items impact on our business, society and the
industry’s aim to achieve carbon-neutral growth. environment in the long run. As such, our stakeholders have
Explanation: In recent years, climate change has had deemed this to be crucial to minimise our negative impact
an increasingly negative impact on the aviation industry. on the environment.
Inclement weather has been the most significant factor
affecting aircraft operations and is accountable for passenger 5. Water Management
delays that result in lost revenue. Malaysia Airports is a Definition: Refers to the consumption and efficiency of
member of Airports Council International (ACI) that has water usage for industrial processes and general purposes.
pledged to achieve carbon neutral airports. As we define Explanation: Water is a finite resource that is important for
a strategy that works best for us, we have chosen ‘Climate our operations. Water Management allows us to monitor
Change’ as a material matter as it the basis for many of our water usage and facilitates our plans to use this resource in
sustainability initiatives. a more sustainable manner.
MATERIAL MATTERS
Creating an Inspiring Community-Friendly
PILLAR Workplace PILLAR Organisation
3 4
Our employees are an invaluable The material matters grouped
resource as well as a large under this pillar illustrate Malaysia
stakeholder group. The material Airports’ commitment and
matters associated with this pillar support to strengthen community
are concerned with the welfare and development of engagement and efforts to develop programmes
our workforce and embedding good governance. to meet the needs of local communities.
1. Diversity 1. Contributions to Local Communities

Definition: Refers to diversity in workforce, Management Definition: Refers to Malaysia Airports’ community building
and the Board which is characterised primarily by gender efforts.
and age. Explanation: We are committed to strengthening the
Explanation: We serve a diverse group of stakeholders, as social well-being and community relationships with our
such, it is important that we have a diverse workforce that stakeholders and the country we serve. As such we have
can engage effectively with our stakeholders. chosen this to be one of our material matters.
2. Employee Engagement and Development 2. Human Rights

Definition: Refers to the level of commitment our employees Definition: Refers to Malaysia Airports’ commitment to
have to Malaysia Airports’ goals, vision and initiatives; our safeguard our employees’ right to work in a safe and secure
approach to the training and upskilling of our staff, and our environment that is free of discrimination, with access to a
management of their career progression. reasonable wage regardless of age, race, sex, nationality,
Explanation: This is a material matter for us because ethnicity and religion.
engaged employees are more invested in our goals and Explanation: We have chosen this to be a material matter
initiatives and perform better at their roles. We believe that because it is essential that all our employees are able to
the continuous development of our employees’ skills and work in an environment where they feel safe and valued
career will have a positive impact on their commitment. without fear of persecution.
3. Integrity and Anti-corruption

Definition: Refers to the act of upholding ethics in
our everyday conduct in the workplace. This includes
advocating anti-corruption across all levels of dealings. Acts
of corruption include, among others, bribery, fraud, the offer
or receipt of kickbacks in return for facilitating a transaction
or appointment.
Explanation: Corruption in any form has a negative effect on
the business and its ability to generate revenue and on non-
complicit stakeholders. This has been included as a material
matter to underline it as an issue that Malaysia Airports
needs to address throughout the entire organisation and
operations.

PILLAR In creating a memorable airport experience for our stakeholders, we recognise that the
journey through the airport passes through many touchpoints and facilities. This pillar
5 addresses our stakeholders’ top concerns relating to security, service quality, guest
experience and transportation links to the airport.
1. Airport Safety and Security 3. Transportation and Connectivity

Definition: Refers to the anticipation, recognition, Definition: Refers to ground transportation and connectivity
evaluation and control of hazards or threats arising in or for passengers, employees, visitors and suppliers within, to
from the airport. The COVID-19 pandemic has heightened and from the airport.
the need to safeguard the safety, security, health and well- Explanation: The airport experience begins before guests
being of airport users and the airport community. even set foot at the airport premises. As such, the ease
Explanation: Airport Safety and Security matters are a of getting to the airport is an important factor. The more
concern for airports everywhere. Many aspects of our convenient their journey to the airport, the more likely they
operations such as the timely and safe passage of our will use it.
passengers and the wellbeing of our guests, employees
and retailers while at the airport rely on safety and
security measures being in place. In our consultation with
stakeholders, ‘Airport Safety and Security’ was categorised
in the Extremely High category because of the COVID-19
pandemic and its effect on the health and safety of our
passengers and community.
2. Total Airport Experience

Definition: Refers to the quality of services delivered to our
customers to enhance their airport experience. During the
pandemic, instilling passenger confidence in the airport
includes conducting temperature checks, providing a
contactless experience and the enforcement of public
health measures.
Explanation: The positive experience of guests at the
airport is shaped by operational excellence and exceptional
service by our employees and other members of the airport
community. Reporting on these matters enables Malaysia
Airports to identify and rectify problems and continuously
improve on all round quality.
KEY StakeholderS
KEY STAKEHOLDERS
(GRI 102-40, 102-42)
Our material matters are prioritised based on the interests and expectations of our stakeholders. We have identified nine key
stakeholder categories that are most affected by our business operations.
Regulators and
Employees Airlines Passengers Tenants
Government
Vendors and
Investors Local Community The Media
Service Providers
KEY STAKEHOLDER ENGAGEMENT

(GRI 102-42, 102-43, 102-44)
Several factors make Key Stakeholder engagement an integral part of our business and embedded in the way we operate.
First, the aviation industry in which we operate is highly regulated both in Malaysia as well as internationally.
Secondly, we are listed on Bursa Malaysia and our shareholders cover a wide range of institutional investors such as Government-
Linked investment companies, investment funds, pension funds as well as retail investors, both domestic and overseas.
Thirdly, our business requires discussion, coordination and collaboration with many parties to ensure that complex processes are
executed successfully.
Also, as we are a large employer of choice, we constantly engage our employees to understand their concerns. We also engage
with the community around our airports to understand the impact of our business on them and to assist those in need.
Therefore, our Management and employees constantly engage our Key Stakeholders and work closely with them to understand
their concerns for our business to succeed for the long term.
As Key Stakeholder engagement this year was dominated by our response to the COVID-19 pandemic, the table below focuses
mainly on the concerns related to the pandemic.
KEY Stakeholder ENGAGEMENT

Key Frequency Method of Areas of Our Response Sustainability
Stakeholders of Engagement Interest Pillars and
Engagement Material
Matters
Engagement Regulatory Conducted regular audits and inspections Pillar 1
sessions, face-to- compliance Carried out engagements and discussions with Airport Capacity
face meetings, regulators on the finalisation and direction of the Market Presence
and dialogue Operating Agreements, Regulated Asset Base
REGULATORS sessions Regulatory
framework and Quality of Service framework Compliance
AND Consultation
GOVERNMENT Adhered to industry standards and obtained
sessions on certifications Pillar 2
regulatory matters Climate Change
Adhered to international and national laws,
regulations, and best practices Energy Efficiency
Implemented appropriate work-from-home Emissions
measures during the Movement Control Order, Waste and
Controlled Movement Control Order and Recovery Effluent
Movement Control Order based on instructions
from the Ministry of Defense Water
Management
Our Aviation Security personnel worked closely
with government agencies to enforce the Pillar 5
Malaysian National Security Council’s Movement Airport
Control Order SOPs and rescue flight operations Safety and
Collaborated with the National Disaster Security
Management Agency and Ministry of Health in Transportation
managing Person-Under-Surveillance cases and Connectivity
Installed thermal scanners to assist in the Ministry
of Health’s manual temperature screenings for
passengers arriving at international airports in
Malaysia
Airport Assess opportunities and potential for
competitiveness collaboration with key stakeholders
Actively seek foreign investment
Implement incentive programmes to attract new
carriers – Airline Incentive Programme, the Joint
International Tourism Development Programme
and Network Reconnecting Programme
Infrastructure Maximise land bank through KLIA Aeropolis and
development Subang Regeneration Initiative
Leveraged technology for airport operations
Environmental Engaged in environmental monitoring
and Climate Adhered to local and national environmental
Change regulations on energy, noise, water and effluent,
air quality and waste management
Conducted noise contour and impact surveys
Initiated the renewal of KUL’s Level 3 Airport
Carbon Accreditation
Continued to support Malaysia’s renewable energy
agenda through the production of solar power at
klia2
Encouraged guests and the airport community to
Recycle, Reduce and Reuse waste
Licensing Obtained 17 Aerodrome Operator Licenses
from the Malaysian Aviation Commission and
Aerodrome Certification from the Civil Aviation
Authority of Malaysia.
Frequency of Engagement Daily Twice a year As and when required
Weekly Quarterly Ongoing
Monthly Annually
Key Frequency Method of Areas of Our Response Sustainability

Stakeholders of Engagement Interest Pillars and
Engagement Material
Matters
Town halls, Employee health Provided clear COVID-19 SOPs Pillar 1
engagement and safety PCR testing for staff in collaboration with Digitalisation
sessions and wellbeing the Ministry of Health and Social Security Regulatory
Focused group during and post Organisation Compliance
discussions on COVID-19
EMPLOYEES Implemented the use of masks, faceguards, and
targeted issues goggles where necessary Pillar 3
Employee Diversity
Have in place a work-from-home rotation
performance schedule Employee
review Engagement
Engaged with employees on COVID-19 matters and
through the COVID-19 portal Development
Provided awareness and updates on COVID-19 to Integrity and
employees Anti-corruption
Provided fitness and childcare facilities at HQ
Pillar 4
Workplace safety MySejahtera COVID-19 screening at Malaysia
Human Rights
during and post Airports’ premises
COVID-19 Revised Occupational Health and Safety Policy Pillar 5
and Procedures to reflect COVID-19 safety Airport Safety
measures implemented and Security
Certified under ISO 45001 Occupational Health
and Safety Management System: Corporate
Office and MA Sepang
Decontamination and sanitisation of work and
common areas
Supplied alcohol-based sanitisers
Job Security There were zero retrenchments and zero salary
cuts
Corporate Committed to the Malaysian
integrity Government-initiated Integrity Pact
Have in place a Code of Ethics and Conduct,
a Whistleblowing Policy, the Malaysia Airports
Integrity Plan and Corruption Risk Management
System and Policies
Conducted a Corporate Integrity System
Assessment
Conducted Integrity Perception Surveys
Employee Conducted townhalls, walkabouts, ‘Let’s Connect
engagement Session’ engagements, internal communications
and union engagements
Training Introduced the use of Microsoft 365 to facilitate
and career remote work, online meetings, and training
development Reskilled and retrained employees for
redeployment to other divisions including 88
Aviation Security personnel to take on Airport
Fire and Rescue Service duties

Monthly Annually
Key Frequency of Method of Areas of Our Response Sustainability

Stakeholders Engagement Engagement Interest Pillars and
Material
Matters
Regular meetings Innovation and Engaged airlines and communicated ‘Airports Pillar 1
and face-to-face technology 4.0’ initiatives Airport Capacity
discussions advancement
Leveraged on technology: single token journey, Regulatory
Airline operating self-baggage-drop facilities, self-check-in Compliance
AIRLINES
committees kiosks, Passenger Reconciliation System,
facial recognition for improved efficiency and Pillar 5
Local carrier
passenger and airline crew safety Transportation
airlines meetings
and Connectivity
Improved KUL’s digital network – Total Airport
Foreign carrier
Management System
airlines meetings
Airport safety Established a COVID-19 Crisis Management
Security facilitation
Team at MA Sepang
meeting
Implemented the use of thermal and security
Feedback surveys
scanners and sneezeguards at KUL and 19 other
airports
Implemented safety measures following the SOPs
established by the government
Carry out frequent Runway Safety inspections and
Runway Safety Team meetings
Put in place the Safety Management System and
obtained Aerodrome certification
Carry out regular safety and emergency
simulation exercises by Airport Fire and Rescue
Service
Conduct Foreign Object Debris walkabouts
Continued the KUL Runway Sustainability Master
Plan
Terminal Embarked on renovating, refurbishing and
and building modernising terminals
infrastructure
Upgraded critical upgrading works based on the
Group’s Cost Optimisation Plan
Optimised terminal operations through partial
closure of underutilised areas of the terminals

Monthly Annually

Material
Matters
Airport Service Airport service Launched e-Commerce platforms, Pillar 1
Quality surveys quality and #shopMYairports and shop@SAW in Malaysia and Airport Capacity
MAVCOM Quality experience Turkey respectively, to provide a seamless and Cybersecurity
of Service audits contactless airport shopping experience
PASSENGERS Digitalisation
Social media Used the Airport Service Quality Benchmarking
Programme to measure airport service quality at Economic
Customer our airports Performance
Feedback Regulatory
Management Complied with MAVCOM’s Quality of Service
framework Compliance
Improved digital processes which include Pillar 4

single-token travel, self-baggage-drop facilities, Human Rights
self-check-in kiosks, Passenger Reconciliation
System, facial recognition for improved efficiency
and passenger
Improved KUL’s digital network – Total Airport
Management System
Customer Provide the public with updates via social media
service Engagement with passengers through Airport
CARE Ambassadors
Continued the Customer Affairs and Resolution
Excellence Feedback Management System to
manage and respond to feedbacks and queries
Implemented cashless payment services for
increased customer convenience
Cleanliness Carried out washroom refurbishments and
renovations
Introduced ‘Adopt Your Toilet’ programme
Communication Provide the public with updates via social media
and Provide guests with help and guidance via the
announcements Airport CARE InfoCentre at KUL
Published ‘Convergence’ e-magazine
Use of #MYairportsupdates to provide the public
with a convenient way to access our updates on
travel restrictions and SOPs
Improved wayfinding signages
Passenger traffic Implemented more digitalised initiatives
to provide more seamless and contactless
experience for passengers travelling
Airport security Embarked on the use of thermal scanners and
and safety sneeze guards
Piloted single token journey initiative driven
by facial recognition and other technology to
improve passengers’ journey throughout the
airport
Collaboration with the Ministry of Health and
other relevant agencies and airlines to ensure that
the risk of exposure to COVID-19 is minimised

Monthly Annually

Material
Matters
Standard Airport operator Practice standard contracting procedure Pillar 1
consulting Provided rebates on rental for premises at the Cybersecurity
procedure airports Digitalisation
Engagements, Introduced new rental model for retail tenants Economic
TENANTS briefings, as part of an ongoing effort to retain and attract Performance
one-on-one business partners
communication Procurement
Customer Enhanced the Commercial Reset Strategy Practices
Communication
satisfaction Implemented a cashless payment ecosystem for
plans and Pillar 5
projections increased customer convenience
Airport Safety
Launched #shopMYairports, an e-Commerce and Security
platform that enhances passengers’ retail
Total Airport
experience, allows the public to purchase duty
Experience
absorbed goods and supports the recovery of
airport retail tenants
Departing international passengers can pre-
purchase and pick up their duty-free goods at the
airport through this platform as well
Held the ‘KLIA Crazy Sale’ which allowed the non-
travelling public to purchase duty-absorbed goods
at the airport
Tenders and Procurement Regularly review and adhere to procurement Pillar 1
requests for process policies, procedures and guidelines Digitalisation
proposals Implemented e-Procure and automated Economic
Briefing on procurement process to improve efficiency and Performance
VENDORS processes and digitisation
AND SERVICE Procurement
updates on Practices
PROVIDERS Prompt Implemented the Vendor Management System to
projects
payments keep track of procurements and payments
Pillar 3
Integrity and
Anti-corruption
Analyst briefing Financial returns Regular review of business and investment plans to Pillar 1
sessions match the current and predicted social-eco climate Economic
One-on-one Performance
Communication Regular review of business and investment plans to
engagements on Future F.I.T. match the current and predicted social-eco climate Market Presence
INVESTORS
Implemented Future F.I.T., a 5-year plan to see the Regulatory
business through survival and recovery Compliance
Put in place measures to improve cost structure
Pillar 3
and reduce operating cost
Integrity and
Governance and Adhere to the Malaysian Code on Corporate Anti-corruption
transparency Governance
Company Regularly publish literature and press releases that
reputation highlight our activities, awards and accolades
Regulatory Adhere to Bursa Malaysia’s listing requirements
compliance Became a constituent of the FTSE4Good Bursa
Malaysia Index
Integrated Sustainability Reporting into our annual
disclosures
Financial results Announce financial results every quarter

Monthly Annually

Material
Matters
Community Corporate Continue to give back to local communities Pillar 4
engagement citizenship through our Corporate Responsibility Framework Contributions
Strategic which focuses on Education and Youth Leadership; to the Local
partnerships Community Enrichment and Malaysia Branding Community
LOCAL Distributed comfort kits to frontliners at various Human Rights
COMMUNITY News media
hospitals and stranded passengers at KLIA1
Social media
Donated essential items and food to 55 families
Website in Sepang to help them overcome the negative
effects of COVID-19
Media briefings Environmental Issue press releases and conduct press briefings Pillar 1
and interviews social and regularly Economic
Website and governance Practise sound and transparent decision making Performance
events issues Market Presence
MEDIA
Social media Media relations Grant media interviews when appropriate and
visit media occasionally
Press conferences

Monthly Annually
HOW IT ALL WORKS TOGETHER

This table summarises the way our business considerations, which are represented by material matters; and sustainability matters
represented by the Sustainability Pillars; relevant SDGs, KUL Sustainability Charter Goals and our Key Stakeholders are intrinsically
linked in Malaysia Airports’ strategy.
SUSTAINABILITY PILLARS UN SDGs KUL SUSTAINABILITY MATERIAL MATTERS KEY STAKEHOLDERS

CHARTER GOALS
SDG 8: Decent Work and Goal 1: Optimising Airport Capacity Regulators and Government
PILLAR Economic Growth Economic Performance Cybersecurity Employees
1 SDG 9: Industry, Innovation Digitalisation Airlines
and Infrastructure
Practising Sensible Economics Economic Performance Passengers
Generate sustainable returns SDG11: Sustainable Cities and
Communities Market Presence Tenants
from business activities by
strengthening and optimising Procurement Practices Vendors and Service
revenue streams Regulatory Compliance Providers
Investors
The Media
SDG 6: Clean Water and Goal 2: Improving Energy Climate Change Regulators and Government
PILLAR Sanitation Efficiency Energy Efficiency Employees
2 SDG 7: Affordable and Clean Goal 3: Reducing Overall Emissions Airlines
Energy Carbon Footprint
Environmental Consciousness Waste and Effluent Passengers
Manage and reduce the impact SDG 11: Sustainable Cities Goal 4: Enhancing Water Management
and Communities and Waste Management Tenants
on the environment from
Water Management Vendors and Service
business activities SDG 12: Responsible
Consumption and Production Providers
SDG 13: Climate Action Investors

Local Community
The Media
SDG 5: Gender Equality Goal 5: Being a Diversity Regulators and Government

PILLAR Responsible Service
SDG 9: Industry, Innovation Employee Engagement Employees
3 and Infrastructure Provider and Development
SDG 16: Peace, Justice and Goal 6: Promoting Integrity and Anti-
Creating an Inspiring
Strong Institutions Diversity and Inclusivity corruption
Workplace
Value our employees, provide SDG 17: Partnerships
development opportunities and
embed good governance
SDG 1: No Poverty Goal 7: KUL Community Contributions to Local Regulators and Government
PILLAR Development Through Community
SDG 3: Good Health and Employees
4 Well-Being Partnerships Human Rights Local Community
Community-Friendly SDG 4: Quality Education The Media
Organisation SDG 10: Reduced Inequalities
Support and strengthen
SDG 17: Partnerships
community engagement
and efforts to develop
programmes to meet the
needs of local communities
SDG 9: Industry, Innovation Goal 8: Providing Airport Safety and Regulators and Government
PILLAR and Infrastructure Exceptional Customer Security Employees
5 SDG 11: Sustainable Cities Experience Total Airport Experience Airlines
and Communities Goal 9: Optimisation Transportation and
Memorable Airport Passengers
SDG 16: Peace, Justice and through Technological Connectivity
Experience
Advancement Tenants
Enhance the travel experience Strong Institutions
of airport guests to support our SDG 17: Partnerships Goal 10: Strengthening Investors
brand promise of hosting joyful Safety and Security at The Media
connections KUL
54 Malaysia Airports Holdings Berhad >> Practising Sensible Economics
PILLAR Practising Sensible Economics
1 Definition: Generate sustainable returns from business activities by

strengthening and optimising revenue streams.
2020 was a year of unprecedented business upheavals as the COVID-19 pandemic upended businesses and industries the world
over. In the face of such a challenging landscape, Malaysia Airports’ strategy for recovery is led by Future F.I.T. which outlines our
strategy for survival, recovery and growth through practising sensible economics.
Pillar 1 aligns with the following UN SDGs, KUL Sustainability Charter Goals, Material Matters and Key Stakeholders.
UN SDGs KUL Sustainability Charter Material Matters Key Stakeholders
Goals
SDG 8: Decent Work and Goal 1: Optimising Economic Airport Capacity Regulators and Government
Economic Growth Performance Cybersecurity Employees
SDG 9: Industry, Innovation and Digitalisation Airlines
Infrastructure
Economic Performance Passengers
SDG11: Sustainable Cities and
Market Presence Tenants
Communities
Procurement Practice Vendors and Service
Regulatory Compliance Providers
Investors
The Media
Sustainability Report 2020 >> Practising Sensible Economics 55
AIRPORT CAPACITY
Definition: Refers to the airports’ ability to cater for increasing passenger traffic and to manage capacity constraints
through space optimisation and airport expansion.
GRI 103
Airport capacity is crucial to ensure operational safety and efficiency, service standards and passenger comfort. Airlines take this
into consideration when deciding on route development which impacts our earnings. Before the onset of COVID-19, several of
our airports had outgrown their designed capacities while others approached full capacity due to high traffic growth.
We are committed to catering to passengers, as well as the expected surge, once confidence in air-travel is restored and
international borders re-open. As such, despite Group-wide cost containment measures, we forged ahead with critical projects in
2020 to ensure capacity and readiness.
Key Airport Capacity Initiatives and Impact for 2020

Baggage Handling System upgrade: Able to process baggage 30% faster at double the capacity, able to cater up to 49.5 mppa.
Replacement of Aerotrains: Improved capacity from 4,200 people to 5,400 people per hour per direction.
Runway Rehabilitation: As part of the KUL Runway Sustainability Plan, Runway 3 was fully rehabilitated by August, while work
started on Runway 1 in November 2020. This initiative is vital to sustain the safety of flight operations at the airport.
Airport Master Plans: Airport master plans for KUL and five other airports – PEN, BKI, KCH, SBW and TWU - to cater for future
growth were completed in 2020. Airport Capacity Planning is completed for KUL, PEN, BKI, SBW and TWU.
Subang Airport Regeneration: Began the master planning for the regeneration of Subang Airport which will revitalise the existing
airport ecosystem, and position it as a vibrant city airport, a hub for business aviation and a complete aerospace ecosystem.
CYBERSECURITY
Definition: Refers to the continuous strengthening of our capabilities to protect the security and privacy of our stakeholders,
business information and systems through cybersecurity.
GRI 103
Malaysia Airports’ increased reliance on technology through its digital transformation programme and the everchanging landscape
of cyber-related threats puts our business, and that of our stakeholders, at risk. To this end, Malaysia Airports took steps in 2019 to
employ the highest standards of cybersecurity to ensure the digital information and processes within our domain are sustainably
safe guarded through the Cybersecurity Acceleration Programme. This was completed in 2020. Key achievements of this project
include the improvement and standardisation of IT processes, the establishment of new cybersecurity related processes, the
establishment of Malaysia Airports’ own approach and methodology to cybersecurity business risk assessment and analysis, the
enhancement of information security risk assessment practices across Malaysia Airports and accelerated learning and education
through videos, posters, quizzes, cybersecurity week and trained change agents.
We adopt the following policies, standards and regulations to cybersecurity:

Communications and Multimedia Act 1998
Computer Crimes Act 1997
Personal Data Protection Act 2010
Copyright Act 1987
National Cyber Security Policy
Malaysia Cyber Security Strategy
Arahan MKN 24: Mekanisme Pengurusan Krisis Siber Negara
General Data Protection Regulation: GDPR 2016/679
Information Security Management Systems: ISO/IEC 27001,27002
ICAO Annex 17: Security – Safeguarding International Civil Aviation against Acts of Unlawful Interference
Payment Card Industry Data Security Standard
Malaysia Airports Information Security Policy
DIGITALISATION
Definition: Refers to the digital framework encompassing enhancement, capacity development and digital innovations
that aim at terminal optimisation, operational efficiency, revenue generation, regulatory compliance and health protection
during the COVID-19 pandemic.
GRI 103
In response to COVID-19, we changed the way we operate to create an environment that was sanitised and predominantly
contactless, to maintain public confidence in the safety of our airports. On-going investments in Airports 4.0 digitalisation
initiatives contributed greatly to the success of this transformation. We were able to streamline passengers’ journey through the
airport and enabled our employees to adapt quickly to working from home effectively.
We apply these standards to our businesses:
ISO/IEC 27001: 2013 Information Security Management Systems

Malaysia Airports Sdn. Bhd
Site: LGK and PEN only
Malaysia Airports Consultancy Services Sdn. Bhd.
Site: Human Capital Division and Procurement & Contract Division only
Malaysia Airports (Sepang) Sdn. Bhd.
IT Division
Key Digitalisation Initiatives for 2020
KUL Network Refresh: The IT network for KUL is now compatible with 5G, WiFi6 and Internet of Things (IoT).
The Single Token Journey: Promotes a contactless journey through the airport’s pilot project in facial recognition technology.
The Passenger Reconciliation System: An automated security screening system that heightens security and airline operational
efficiency.
Automated ultra-violet disinfection: Used to disinfect high-traffic areas and arriving baggage.
Introduction of Aerobot at SAW: A social robot that assists passengers in wayfinding.
Launch of shopMyairports e-commerce platform: Enables airport retailers to sell to the wider public.
Microsoft Office 365 deployment: Facilitated work-from-home measures and online training.
ECONOMIC PERFORMANCE
Definition: Refers to the direct economic value generated and distributed by Malaysia Airports.
GRI 108, 201-1
Our economic performance is crucial in attracting investors to fund the growth of our businesses. As such, Malaysia Airports
embarked on a range of initiatives under Future F.I.T. in an effort to mitigate the negative effects of the current economic and
social environment on our business.
Key Economic Performance Initiatives for 2020
Group-wide cost containment measures
Deferment of selected major infrastructure developments
Recouped receivables from key parties
Negotiated on utility costs
Economic Performance in 2020
Economic Value Generated (RM million) Economic Value Distributed (RM million)
1,139.8
-6 742.6
663.8
2,047
-499.2
-500 0 500 1000 1500 2000 2500 -600 -400 -200 0 200 400 600 800 1000 1200
Economic Value Retained Economic Value Distributed Operational costs Employee wages and benefits
Capital Providers Government
The reduction in economic value distributed to the Government is a result of tax credits that were largely due to the recognition of tax
recoverable and deferred tax assets, as well as the deferment of fees due to the Government.
Economic value generated in 2020 was RM2,041 million. Our cost containment measures led to a 36.3% reduction in total costs or
RM1,155.7 million in savings, surpassing our 20.0% target.
MARKET PRESENCE
Definition: Refers to leveraging our business to create a fair and sustainable marketplace for us and other market participants.
GRI 103, 202-2
Malaysia Airports’ commitment to the sustainability agenda is reinforced by our Sustainability Policy. We align our business to
global best standards and strive to reinforce a positive market presence by being a role model in sustainable practises. To that
end, senior management positions at Malaysia Airports as at end 2020 consisted of only Malaysians.
PROCUREMENT PRACTICES
Definition: Refers to supporting local suppliers at significant location of operations.
GRI 103, 204-1
Malaysia Airport’s rules for procurement are laid out in the Procurement Procedures, Policies and Guidelines or 3Ps. It covers all
initiatives to source and acquire goods, services, or works from external sources including tenders or competitive bidding. The
3Ps are in place to ensure a balance between procurement price and factors such as quality, quantity, time and location. The
Procurement Manual also aims to minimise the risk of fraud or collusion. Malaysia Airports views procurement as an area where
integrity and anti-corruption are key factors for sustainability. The Procurement Manual is accessible via digital applications and
Malaysia Airports’ web portal for fast and easy reference.
Malaysia Airports is committed to the Malaysian Government’s Integrity Pact that aims to fight corruption in public procurement.
There were no breaches to the Procurement Code of Ethics in 2020.
Key Procurement Initiatives for 2020
Implemented cost optimisation measures to mitigate the effects of the Covid-19 pandemic through the Appeal for Goodwill
initiative.
Leveraged on technology for better efficiency through eTender, eFormA, eCatalogue, eBidding and the Digital Interactive Group
Procurement Manual with the objective of expediting current processes and improving efficiency, quality and transparency.
Deployed Robotic Process Automation as proof of concept on selected procurement processes which produced significant results
- higher productivity, faster turnaround and cost savings. Full implementation was deferred in line with cost optimisation measures.
Our relationship with vendors and suppliers has a significant impact on the running of our business as it is critical for Malaysia
Airports to be able to procure goods and services for the smooth running of operations. In 2020, we engaged a total of 1,055
suppliers, 98.0% of whom are local. We consider companies established under the laws of Malaysia as well as foreign companies
with an office or operations base in Malaysia as ‘local’.
Breakdown of Expenditure on Suppliers for 2020

2019 2020
Expenditure Expenditure Expenditure Expenditure
(RM million) (%) (RM million) (%)
Local 845.6 82 726.6 90
Foreign Direct Investment 135.6 13 14.1 2
Overseas 53.8 5 61.3 8
TOTAL 1,035.0 100 802.0 100
REGULATORY COMPLIANCE
Definition: Refers to compliance with all international and national laws and regulations, including environmental, social
and operational regulations.
GRI 103, 206-1
Malaysia Airports is governed under the provisions of the Malaysian Aviation Commission Act 2015, specifically Part VII of the Act
which deals with competition. As the Malaysian Aviation Commission Act 2015 is excluded from the application of the Competition
Act 2010, Malaysia Airports is therefore subject to the guidelines issued by MAVCOM relating to Part VII (Competition) of the
Malaysian Aviation Commission Act 2015.
We comply fully with the applicable laws and guidelines.
On 1 June 2020, a new Section 17A of the Malaysian Anti-Corruption Commission Act 2009 (MACC Act) came into force and
companies such as Malaysia Airports may be liable to legal proceedings for corruption offences committed by persons associated
with the Group. More information on this is available in the ‘Integrity and Anti-corruption’ section, a material matter under Pillar
4, ‘Creating an Inspiring Workplace’
No legal action was taken against Malaysia Airports for anti-competitive behaviour, anti-trust or monopoly practices in 2020.
Sustainability Report 2020 >> Reporting
Environmental
and Governance
Consciousness 61
PILLAR Environmental Consciousness
2 Definition: Manage and reduce the impact on the environment from

business activities.
Malaysia Airports understands that world’s resources are finite, and therefore, based on sustainability principles such as circular
economy, we strive to progress towards greater resource efficiency through continuous stakeholder engagement, and focus on
key initiatives that address ESG issues.
Goals
SDG 6: Clean Water and Sanitation Goal 2: Improving Energy Climate Change Regulators and Government
SDG 7: Affordable and Clean Efficiency Energy Efficiency Employees
Energy Goal 3: Reducing Overall Emissions Airlines
SDG 11: Sustainable Cities and Carbon Footprint
Waste and Effluent Passengers
Communities Goal 4: Enhancing Water and Management Tenants
SDG 12: Responsible Consumption Waste Management
Water Management Vendors and Service Providers
and Production
Investors
SDG 13: Climate Action
Local Community
The Media
Note: Where possible we include data from our fully owned subsidiary Istanbul Sabiha Gökçen International Airport (SAW) in Turkey.
62 Malaysia Airports Holdings Berhad >> Environmental Consciousness
Travel restrictions and the closure of borders due to COVID-19 prevention measures led to a contraction in passenger movements
across all airports in 2020. As a result, several of the statistics covered in this section show unusually large differences from the
previous year.
Passenger movements 2018 to 2020

2018 2019 2020
KUL (million) 59.0 62.3 13.2
YoY change (%) - 5.6 -78.9
*MASB (million) 39.1 42.9 12.6
YoY change (%) - 9.7 -70.6
SAW (million) 34.0 35.9 17.2
YoY change (%) - 5.6 -52.1
Grand Total (million) 132.1 141.1 43.0
*Airports in Malaysia other than KUL
We apply these standards to our businesses:

ISO 14001: 2015 Environmental Management Systems
Malaysia Airports (Sepang) Sdn. Bhd
Malaysia Airports Sdn. Bhd.
Urusan Teknologi Wawasan Sdn. Bhd.
ENERGY EFFICIENCY
Definition: Refers to efficient use and consumption of electricity and energy generated from renewable sources.
GRI 103, 302-1, 302-3, 302-4
Our Sustainability Policy reiterates the need for Malaysia Airports to be prudent in managing finite resources as stakeholders have
determined that ’Energy Efficiency’ is a material matter. We are dedicated to using these resources in a sustainable manner and
reducing our carbon footprint.
Malaysia Airports embarked on energy optimisation initiatives in 2020 as part of our cost containment measures. These include a
new joint venture with TNB Engineering Corporation for cooling energy supply. This will bring about sustainable energy cost savings
of over RM50.0 million annually from modernising KUL’s district cooling plant to improve its efficiency and to run fully on electricity.
In addition, we continued the installation of solar PV equipment at BKI, KUA, LGK, MKZ and PEN to harness the use of solar power
for our operations.
Fuel Consumption 2020 – Malaysia

2017 2018 2019 2020
Total Fuel Consumption (litres) 488,133 491,403 478,952 365,521
YoY change (%) -1.0 0.7 -2.5 -23.7
Fuel Intensity (litre/passenger) 0.0051 0.0050 0.0046 0.0142
YoY change (%) -7.2 -1.9 -0.1 208.7
Note: Data for 2020 is incomplete for Sabah and Sarawak airports.
Malaysia Airports adheres to the Greenhouse Gas (GHG) Protocol Corporate Standard. The Standard classifies a company’s Scope 1 GHG emissions for
airports as direct emissions from sources owned and controlled by the airport operator, such as energy generation and fuel for airport vehicles and Scope 2 as
indirect emissions from the generation of purchased energy by the airport operator Fuel consumption contributes to our Scope 1 carbon emissions footprint.
Sustainability Report 2020 >> Environmental Consciousness 63
Fuel Consumption 2020 – Turkey

2018 2019 2020
Diesel (litres) 14,150 9,313 5,826
Natural gas (million cubic metres) 7.6 7.2 7.5
Total Fuel (million cubic metres) 7.6 7.2 7.5
Fuel Intensity (litre/passenger) 0.2 0.2 0.4
Note: SAW calculates Scope 1 and Scope 2 emissions according to the ISO 14064 Greenhouse Gas Management Standard. Fuel consumption contributes to
our Scope 1 carbon emissions footprint.
Although there was a reduction in passenger movements at SAW, we increased our natural gas consumption to improve cost optimisation
as the cost of purchased electricity went up by 20% while the price of gas was reduced by 12% as compared to 2019. In addition, we
commissioned a new gas engine this year which has allowed us to produce electricity more efficiently through our trigeneration system
which also led to us consuming more natural gas. Trigeneration systems harness excess heat, steam and other gases which would
otherwise be lost in the power generation process to increase efficiency of power generation and reduce energy costs.
Solar Power Generated 2020 – KUL

2017 2018 2019 2020
Total Solar Energy Production (MWh) 18,079 18,284 18,763 16,949
Total Savings (RM million) 1.04
Total Energy Consumption 2020 – Malaysia

2017 2018 2019 2020
Total Energy Consumption (MWh) 491.5 525.6 541.5 410.2
YoY change (%) -2.7 6.9 3.0 -24.2
Energy Intensity (kWh/passenger) 5.1 5.3 5.1 15.9
Note: Electricity usage contributes to our Scope 2 carbon emissions footprint.
Breakdown in Energy Consumption 2020 – Malaysia

Sector MA Sepang MASB
2017 2018 2019 2020 2017 2018 2019 2020
Total Energy Consumption (million kWh) 359.4 393.5 406.0 307.5 132.1 132.1 135.5 102.7
Energy Reduction YoY (%) N/A 9.5 3.2 -24.3 N/A 0 2.6 -24.2
Energy Intensity (kWh/pax) 8.5 9.0 6.5 23.4 18.8 16.3 3.2 8.1
Breakdown in Energy Consumption 2020 – Turkey

2018 2019 2020
Electricity (million kWh) 51.3 53.5 39.3
Heating (million kWh) 17.5 19.9 18.8
Cooling (million kWh) 5.2 4.7 7.6
Total Consumption (million kWh) 74.0 78.1 65.7
YoY change (%) N/A 5.4 -15.8
Energy Intensity (kWh/passenger) 2.2 2.2 3.8
Reduced passenger movements at our Malaysia operations led to an unusual drop in our Total Fuel and Energy Consumption
figures. It also caused our Fuel Intensity and Energy Intensity figures to increase.
There were no reports of non-compliance in 2020 with regards to Energy Efficiency at Malaysia Airports and SAW.
EMISSIONS
Definition: : Refers to the discharge of environmentally hazardous substances and greenhouse gas into the atmosphere
such as dust, dark smoke, emissions with metallic compounds, carbon dioxide, methane and nitrous oxide.
GRI 103, 303-1, 305-2, 305-4
As a signatory of the Aviation Industry Commitment to Action on Climate Change (Geneva, 2008), Malaysia Airports is committed
to reducing carbon emissions.
Emissions – KUL
2015 2016 2017 2018
Scope 1 (tonnes) 2,409 2,192 2,193 2,303
Scope 2 (tonnes) 38,929 42,507 34,500 33,149
Total Scope 1 and 2 (tonnes) 41,338 44,699 36,693 35,452
Carbon emissions intensity (tonnes/passenger) 0.00085 0.00085 0.00063 0.000591
The table above shows the latest Emissions data which has been independently verified, namely 2018 data. Due to cost containment
initiatives, the verification of 2019 Emissions data was deferred. We will report the updated numbers in the following Report.
KUL’s Level 3 ACA Accreditation for 2020 is currently in the process of being verified.
WASTE AND EFFLUENT MANAGEMENT

Definition: Refers to the treatment of hazardous and non-hazardous waste.
GRI 103, 306-2
Waste and how it is treated has a great impact on the local communities. We have chosen ‘Waste and Effluent Management’
as a material matter because how we treat our waste and approach recyclable items impacts our business, society and the
environment in the long-run.
Malaysia Airports abides by the Environmental Quality Act 1974, the Solid Waste and Public Cleansing Management Act 2007 and
the Environmental Quality (Scheduled Wastes) Regulations 2005.
Waste Management 2020 – KUL

2017 2018 2019 2020
Total Waste Sent to Landfill (million kg) 14.4 15.8 14.5 4.8
Waste Intensity (kg/pax) 0.25 0.26 0.23 0.36
Recycled Waste (million kg) 1.3 0.9 2.0 0.4
Recycling Rate (%) 9.0 5.7 13.8 8.3
Recycled Waste Intensity (kg/pax) 0.022 0.016 0.033 0.036
Total Scheduled Waste Collected (tonnes) 20.3 27.7 19.5 14.2
The drop in Total Waste Sent to Landfill, Recycled Waste and Total Scheduled Waste Collected is caused by the fall in passenger
movements. This has also driven our Waste Intensity figures up.
Sustainability Report 2020 >> Environmental Consciousness 65
Waste Management 2020 – SAW

2017 2018 2019 2020
Total Waste Sent to Landfill (million kg) N/A 4.6 5.0 4.6
Waste Intensity (kg/pax) N/A 0.13 0.14 0.27
Recycled Waste (million kg) N/A 4.1 5.1 2.3
Recycling Rate (%) N/A 47.1 50.5 33.3
Recycled Waste Intensity (kg/pax) N/A 0.12 0.14 0.13
Total Hazardous Waste Collected (tonnes) N/A 79.5 95.8 48.7
In Turkey, a change in local legislation brought on by COVID-19 resulted in some recyclable waste sent to the landfill as non-
recyclable waste. This caused Total Waste Sent to Landfill figures to remain high while Total Recycled Waste figures dropped.
Types of Scheduled Waste 2020 – KUL Types of Hazardous Waste 2020 – SAW
Tonnes Tonnes
Batteries 0.4 Waste of Paints 0.1
Ni-Cd Batteries 0.2 Cartridge, Toner 0.2
Mercury 4.6 Lubricating Oil 6.3
Electrical Devices 1.7 Contaminated Package 1.7
Lubricating Oil 2.0 Contaminated Waste 8.9
Waste Oil 1.4 1.5
Inorganic Wastes Containing
Heavy Metal Resin 0.5 Dangerous Substances
Contaminated Disposed Waste 1.6 Organic Wastes Containing Dangerous 22.4
Contaminated Waste 0.9 Substances
Waste of Paints 0.9 Pb Batteries 7.0
Biochemical Waste 0.4 Fluorescence 0.6
Grand Total 14.2 Total 48.7
Note: In Malaysia, scheduled waste is any waste that has hazardous Note: In Turkey, hazardous and non-hazardous waste management is carried
characteristics that may potentially affect public health and the environment. out according to the regulations published by the relevant government
There are 77 types of scheduled waste listed under the First Schedule institutions. It is fulfilled by considering the practices such as storage type
of the Environmental Quality (Scheduled Wastes) Regulations 2005 and and storage period in the regulations. There are approximately 900 waste
scheduled waste must be managed in accordance with the provisions of types under 20 main headings for hazardous and non-hazardous waste in
the Regulations. the Waste Management Regulation.
Airports in Malaysia have their own Effluent Treatment Plant facilities and selected staff from each airport are required to attend a
course for Certified Environmental Professionals in Sewage Treatment Plant Operation.
In 2020, MA Sepang was issued with a written warning by the Department of Environment about the non-availability of a competent
person at their Effluent Treatment Plant. This issue however has been resolved and MA Sepang continues to ensure they comply
with the legal requirement of having a competent person to operate, maintain, and monitor the performance of the facility.
WATER MANAGEMENT
Definition: Refers to consumption and efficiency of water usage by Malaysia Airports.
GRI 103, 303-5
Water is a finite resource that is important for our business operations. In line with our Sustainability Policy that encourages us to
continuously look for ways to improve our global environmental performance we have chosen ‘Water Management’ as a material
matter as we monitor water usage and use water in a more sustainable manner.
Key Water Management Initiative for 2020

Water Recycling Program: Initiated in 2019. Tendered out at the end of 2020 via an Energy Performance Contract. Contract
preparations and applications for regulatory approvals are underway for KUL.
Water Consumption 2020 – Malaysia

2017 2018 2019 2020
Total Water Consumption (million cubic metres) 11.8 12.6 11.0 9.4
YoY change (%) 7.1 6.8 -12.7 -14.5
Water Consumption Intensity (litre/passenger) 122.3 127.3 104.7 365.5
Water Consumption 2020 – SAW

2017 2018 2019 2020
Total Water Consumption (million cubic metres) N/A 0.35 0.37 0.22
YoY change (%) N/A N/A 6.1 -39.9
Water Consumption Intensity (litre/passenger) N/A 10.1 10.2 12.8
Lower passenger numbers caused Total Water Consumption to fall and Water Consumption Intensity to rise across our airports
in Malaysia and Turkey.
Rainwater Harvested – klia2

2017 2018 2019 2020
Total Rainwater Harvested (cubic metres) 87,247 56,011 69,827 52,695
There were no reports of non-compliance in 2020 with regards to Water Management at Malaysia Airports and SAW.
Sustainability Report 2020 >> Creating an Inspiring Workplace 67
PILLAR Creating an Inspiring Workplace
3
Definition: Our employees are an invaluable resource as well as a large
stakeholder group. The material matters associated with this pillar are
concerned with the welfare and development of our workforce and
embedding good governance.
‘Creating an Inspiring Workplace’ is one of the Sustainability Pillars for Malaysia Airports as we are committed to the welfare and
development of our employees, who are amongst our biggest group of stakeholders. It is our policy to nurture the professional and
personal growth of our people and ensure that all Malaysia Airports employees work in a healthy, safe, secure and efficient manner.
Goals
SDG 5: Gender Equality Goal 5: Being a Responsible Diversity Regulators and Government
SDG 9: Industry, Innovation and Service Provider Employee Engagement and Employees
Infrastructure Goal 6: Promoting Diversity Development
SDG 16: Peace, Justice and Strong and Inclusivity Integrity and Anti-corruption
Institutions
Note: Where possible we include data from our fully owned subsidiary Istanbul Sabiha Gökçen International Airport (SAW) in Turkey.
68 Malaysia Airports Holdings Berhad >> Creating an Inspiring Workplace
CREATING AN INSPIRING WORKPLACE
DIVERSITY
Definition: Refers to diversity in workforce, Management and the Board which is characterised by the gender and age.
GRI 102-8, 103, 202-2, 405-1
Our Sustainability Policy underlines the importance of Malaysia Airports taking on a leadership role in sustainability initiatives that
reinforce the social well-being and community relationships with our stakeholders. As we serve a diverse group of stakeholders, it
is important that we have a diverse workforce that can engage with them on various issues.
As an equal opportunity employer, we are committed to providing equal opportunity, without discriminating against gender, age,
religion and physical disabilities.
Board Members by Gender 2020

Malaysia Turkey
BOD BOD
Percentage (%) Percentage (%) Total
Headcount Headcount
Female 3 34 0 0 3
Male 9 66 7 100 16
Total 12 100 7 100 19
Total Employees by Gender 2020

Malaysia Turkey
Employee Employee
Headcount Headcount
Female 3,188 35 152 28 3,340
Male 6,033 65 389 72 6,422
Total 9,221 100 541 100 9,762
Total Employees by Age Group 2020

Malaysia Turkey
Employee Employee
Headcount Headcount
Below 30 2,473 27 171 32 2,644
31-50 5,359 58 356 65 5,715
Above 50 1,389 15 14 3 1,403
Total 9,221 100 541 100 9,762
Employee Distribution by Category 2020

Malaysia Turkey
Grand
Permanent Contract Total Permanent Contract Total
Total
F M F M F M F M
Senior - - - 7 7 2 10 - - 12 19
Management
Management 123 249 8 20 400 5 28 - - 33 433
Executive 401 664 1 5 1,071 54 72 - - 126 1,197
Non-Executive 2,643 5,065 12 23 7,743 91 279 - - 370 8,113
Total 3,167 5,978 21 55 9,221 159 389 - - 541 9,762
We did not hire any new part-timers and the trainee programme was deferred as part of cost containment initiatives. We also
did not renew contracts that had run out during this period.
Employees by Region 2020

Number of Employees
Peninsular Malaysia 7,627
East Malaysia 1,594
Turkey 541
EMPLOYEE ENGAGEMENT AND DEVELOPMENT

Definition: Refers to the level of commitment our employees have to Malaysia Airports’ goals, vision and initiatives; our
approach to the training and upskilling of our staff, and our management of their career progression.
At Malaysia Airports, we nurture the talent of our people through constructive social development projects, positive team-
building activities and skill-enhancing training and education programmes. We believe these are crucial for increasing employee
engagement which translates into increased commitment to their roles and responsibilities and to the Company and our goals.
As the well-being of our employees was a top priority in 2020, we took the following measures to engage extensively with them
and assure them that not only were we in this together, but that we would emerge stronger together.
Key Employee Engagement and Development Initiatives for 2020

Health and safety: We fast tracked the procurement of personal safety equipment for our employees and leveraged on technology
at the airports to keep people safe
Resource optimisation: We instituted other measures to manage costs such as a hiring and promotion freeze, strict management
on performance and output, rearranging shift patterns, and consolidation of roles and responsibilities through organisational
restructuring. Bonuses were also frozen as part of this measure.
Job security: Despite the challenges we faced, we kept all our staff employed with the only departures being due to natural
attrition such as retirement and non-performance.
Alternative working and engagement arrangements: ‘Work from home’ became the new norm for employees who were not
required to be present at the workplace. To overcome communication challenges, we communicated to all employees regularly
on efforts to manage the business challenges, spoke in a frank, clear and transparent manner and increased the frequency of
our townhalls and communication through online platforms. These townhalls, helped our people stay focused and motivated to
navigate the state of flux that prevailed in the year.

Employee Remuneration and Benefits
GRI 202-1, 401-2, 403-6, 405-2
Our employees make up a big part of our airport community stakeholders. As such, employee remuneration and benefits are of
great importance to us. We strive to be fair and just in the treatment of our employees regardless of gender, race, religion and
physical capability.
The ratio between female and male total basic salary and remuneration at our Malaysia and Turkey operations is 1:1.
In Malaysia, Malaysia Airports’ standard entry level wage regardless of gender is RM1,200 which is at par with Malaysia’s Minimum
Wage Order 2020. SAW complies with Turkish law which puts net minimum wage for 2020 at TL2,324 or RM1,199.
Note: Conversion rate used TL1.00 = RM0.5157
Malaysia Airports provides all full-time employees with attractive and competitive employment benefits as part of their terms of
employment.
Some of the benefits offered to Malaysia Airports’ employees in Malaysia

Life insurance under a Group Term Life Insurance scheme
Health care covering medical, dental and optical treatment
Parental leave for male employees
90 days maternity leave
Grandparental leave for employees who have become grandparents
Leave to perform the Umrah
Loans - housing, vehicle and festival loans, and school advance loans to help employees with their children’s back-to-school
expenses
Employee education assistance scheme and scholarships
Zakat contribution
Flexible working hours
Shorter working hours for pregnant women
Dedicated parking for pregnant women
Annual full medical check-ups for employees over 40 years old
Access to free medical treatment by Malaysia Airports’ panel of doctors
Any employee who is diagnosed with a critical illness will receive an accelerated payment of 25% of the sum insured under the
Group Term Life Insurance scheme
We contribute to the Malaysian Government’s social security scheme, SOCSO, for enrolled employees
We contribute a monthly sum for all employees to the Employees Provident Fund (EPF), a retirement scheme which is run by the
Malaysian Government. It is compulsory for all employees in Malaysia to enrol with EPF
Some of the benefits offered to Malaysia Airports’ employees in Turkey

Food service for all employees once a day
Transportation service for all employees
Parental leave for male employees as per Turkish Labour Law
16 weeks maternity leave as per Turkish Labour Law
Life insurance under a Group Term Life Insurance scheme for directors and above
Health insurance covering medical, dental and optical treatment for executives and above
Supplementary health insurance for non-executives that covers 80% of outpatient treatment costs and 100% of inpatient costs
Free employee parking
Fuel allowance for Assistant Managers
Fuel and car allowance for Managers and above
Training options for all employees
Annual salary increments and bonus based on performance evaluation
Collective Bargaining
GRI 102-41
In Malaysia, 84% of eligible employees are covered under collective bargaining agreements that are in accordance with the
Industrial Relations Act 1967 and cover our non-executive employees.
Family-Friendly Organisation
GRI 401-3
Malaysia Airports promotes equality in the workplace. As such, all our employees are entitled to parental leave regardless of
gender. In Malaysia, our employees are entitled to grandparental leave as well.
Parental and Grandparental Leave 2020 – Malaysia

Male Female Total
Total number of employees took parental leave
Total number of employees that returned to work in the 404 194 598
reporting period after parental leave ended
Total number of employees that returned to work after
parental leave ended that were still employed 12 months 331 164 495
after their return to work
Total number of employees that took grandparental leave 122 32 154
In 2020, 598 or 6.5% of our employees in Malaysia took parental leave, and 154 or 1.7% of our employees took grandparental
leave. 100% returned to work after that. 495 employees who had returned after taking parental leave remained in employment 12
months later including employees who took parental leave in 2019

Parental Leave 2020 – Turkey
Male Female Total
Total number of employees took parental leave 11 10 21
Total number of employees that returned to work in the
11 6 17
reporting period after parental leave ended
Total number of employees that returned to work after
parental leave ended that were still employed 12 months 27 4 31
after their return to work
In Turkey, 21 employees representing 3.9% of our workforce took parental leave. 81% returned to work after that. 31 employees
who had returned after taking paternal parental leave remained in employment 12 months later. This includes employees who
took parental leave in 2019.
Employee Turnover and New Hires

GRI 401-1
Employee Turnover by Category 2020 – Malaysia

Below 30 years 31-50 years Above 50 years
Male Female Male Female Male Female Total
Senior Management - - - 1 1 1 3
Management - - 9 5 17 8 39
Executive 4 10 10 6 14 4 48
Non-Executive 198 139 60 35 189 54 675
Grand Total 202 149 79 47 221 67 765
Employee Turnover by Category 2020 – Turkey

Senior Management - - 2 - 2 - 4
Management - - - 1 - - 1
Executive 2 - 4 3 - - 9
Non-Executive 24 28 11 9 1 - 73
Grand Total 26 28 17 13 3 - 87
To minimise the effects of the pandemic on the livelihoods of our employees, there were no retrenchments for 2020 in Malaysia
and Turkey after COVID-19 was declared a global pandemic. Departures were a result of natural attrition and disciplinary action.
The employee turnover rate for our Malaysia operations was 8.3% while the turnover rate for SAW was 16.1%. The overall retention
rate for Malaysia Airports was 91.3%.
New Hires
GRI 401-1
New Hires by Category 2020 – Malaysia

Senior Management - - 1 - - - 1
Management - - 4 7 1 2 14
Executive 9 11 9 3 2 - 34
Non-Executive 206 133 18 3 1 - 361
Grand Total 215 144 32 13 4 2 410
New Hires by Gender for 2020 – Malaysia

2018 2019 2020
Female 386 397 159
Male 566 693 251
Total 952 1,090 410
New Hires by Category 2020 – Turkey

Senior Management - - - - - - -
Management - - 3 - - - 3
Executive 1 - 2 - - - 3
Non-Executive 1 2 1 1 - - 5
Grand Total 2 2 6 1 - - 11
New Hires by Gender 2020 – Turkey

2018 2019 2020
Female 69 35 3
Male 132 73 8
Total 201 108 11
There was a hold on all new non-essential employment as of April 2020 as part of our resource containment measures which led to
more conservative hiring figures in both our Malaysia and Turkey operations. In Malaysia, 387 of new hires occurred in and before
April while there were 13 new hires involving essential hires and pre-planned hires after April.

Employee Related Programmes
GRI 103, 404-1, 404-2, 404-3
All non-essential instructor-led training was put on hold as part of our efforts to keep our employees safe and as part of our
resource optimisation initiatives. We implemented alternatives to adjust to the new normal and to help keep our employees well-
skilled.
Key Employee Related Programme Initiatives for 2020

Digital learning platform: We accelerated our digital learning platform e-MAGE, and introduced 35 bite-size modules which
garnered a 85% participation rate. In addition, 30% of classroom training was shifted online.
Talent Mobility and Talent Exchange Programmes: To prepare for the future, we encouraged various learning, coaching and
knowledge sharing sessions through online and e-learning platforms as well as peer coaching sessions. Four employees from
our Malaysia operations were assigned to SAW while three from our Turkey operations were assigned to work in Malaysia for two
years.
Reskilling: 88 of our Aviation Security employees were retrained and reskilled as Airport Fire Rescue Service employees through
the Basic Training for AFRS Integration Programme. We also launched targeted upskilling programmes to enable employees to
remain relevant for current and future needs
Total Employee Training Hours by Gender 2020 – Malaysia

2019 2020
Male 118,441 84,260
Female 58,007 41,772
Total 176,448 126,032
Total Employee Training Hours by Category 2020 – Malaysia

2019 2020
Management 26,444 5,148
Executive 59,342 18,623
Non-executive 90,662 102,261
Total 176,448 126,032
Average Training Hours 2020 – Malaysia

2019 2020
Management 61.2 12.0
Executive 57.8 17.0
Non-Executive 18.0 13.0
All employees 27.1 13.0
Investment in Training and Development 2020 – Malaysia

2018 2019 2020
Investment (RM million) 9.1 12.6 2.8
In Malaysia, Total Employee Training Hours were pared down this year because all non-essential face-to-face training was
temporarily postponed as part of our resource containment initiatives and to help prevent the spread of COVID-19. As an
alternative, trainings were held online which enabled staff to join at their own convenience. This led to an increase in total training
hours by 12.8% compared to 2019 for our non-executive employees who would normally not have been able to participate due
to work commitments.
Some of our online training courses included a refresher course for the ‘Happy Guests, Caring Hosts’ programme and various
compliance related courses conducted through e-MAGE that were made compulsory for all Malaysia Airports’ employees.
With much of our training held on-line this year, we were able to conserve resources in terms of Investment in Training and Development.
With reduced face-to-face trainings, we saved on transportation, accommodation, venue and food and beverage costs.
Training Effectiveness: Performance Appraisal:

Training Effectiveness for 2020 All employees received a performance
appraisal in 2020 irrespective of employee
83% category or gender
Total Employee Training Hours by Category 2020 – Turkey

2019 2020
Management 5,910 2,154
Executive 1,220 1,196
Non-executive 408 132
Total 7,538 3,482
Average Training Hours 2020 – Turkey

2019 2020
Management 15.0 6.4
Executive 12.4 4.0
Non-Executive 9.8 9.7
All employees 16.4 6.0
In Turkey, reduced training hours was due to the closure of SAW in the early stages of the pandemic for the safety of our passengers
and the airport community, and a temporary hiatus on face-to-face trainings to reduce the risk of COVID-19 transmissions.

Occupational Health and Safety
GRI 103, 403-1, 403-5, 403-6
In Malaysia, Malaysia Airports complies with the Occupational Safety and Health Act 1994 (OSH Act) and has a dedicated
Occupational Safety and Health Department to drive initiatives in this area. There are 26 Safety, Health and Environment
Committees across our operations that investigate specific occupational safety and health concerns of employees at the
workplace. The Committees are manned by 433 employees, representing 4.4% of our workforce across our business locations.
In Turkey, we have in place an Occupational Health and Safety Management System that was implemented in 2012 as part of
SAW’s risk management strategy. We also have an Occupational Health and Safety Committee at SAW that guides employees on
Occupational Health and Safety issues and evaluates Occupational Health and Safety hazards and precautions in the workplace.
In addition, the Board of Directors for SAW meets once every two months to review Occupational Health and Safety management
issues. Occupational Health and Safety awareness is inculcated across SAW through various programmes and activities.
Key Occupational Health and Safety Initiatives for 2020

Audits: We completed a total of 19 audits for 2020 based on OHSAS 18001 and ISO 45001. Five audits were conducted on site
and 14 were conducted remotely.
Training: We launched five e-learning modules on noise awareness, Occupational Safety and Health Policy, Drug and Alcohol
Policy, No Smoking Policy and Stop work policy.
COVID19 screening: OSH coordinated a series of COVID-19 screenings together with the Ministry of Health and Social Security
Organisation under Program Saringan Prihatin.
Achievements in 2020
ISO Certification: The Group’s Corporate Office and KUL were certified with ISO 45001 Occupational Health and Safety
Management System by The British Standards Institution (BSI) for 2020.
Awards: Malaysia Airports was presented with the Malaysia Society for Occupational Safety and Health (MSOSH) Gold Class 1
Award for SDK, Gold Class 2 Award for both KUL and KBR, Gold Class 1 Award for the Group’s Corporate Office and Silver Award
for Sama-Sama Hotel KL International Airport. The MSOSH Award is an annual award presented to organisations that meet the
stringent documentation and site verification audit by a panel of auditors from various governmental and non-governmental
agencies.
Work-related Injuries in 2020

There were no fatalities due to work-related injuries in both our Malaysia and Turkey operations. In Malaysia, eight cases of high-
consequence work-related injuries were reported to the Department of Occupational Safety and Health (DOSH) at a rate of 0.8.
There were 44 cases of work-related injuries involving employees at a rate of 4.4. We recorded zero occupational disease rates
for 2020.
Accident Rate 2020 – Malaysia

2019 2020
Incident Rate 1.31 0.80
Frequency Rate 0.45 0.32
Severity Rate 423.65 6.41
Accident Rate 2020 – Turkey

2019 2020
Incident Rate 16.00 9.00
Frequency Rate 76.10 50.73
Severity Rate 1.71 2.44
Although the incident and frequency rates for accidents were low in Malaysia, the severity rate was relatively high because the
number of lost days following the accidents were high. A total of 159 lost days were recorded and reported to DOSH.
At SAW the severity rate is relatively lower compared to the frequency rate as there were fewer lost days attributed to these
accidents.
INTEGRITY AND ANTI-CORRUPTION

Definition: Integrity refers to the act of upholding ethics in our everyday conduct in the workplace. This includes advocating
anti-corruption across all levels of dealings. Acts of corruption include, among others, bribery, fraud, the offer or receipt
of kickbacks in return for facilitating a transaction or appointment.
GRI 102-17, 103, 205
Integrity is the foundation of the relationship between Malaysia Airports and their employees. Truth and honesty, the main aspects
of integrity, foster trust and confidence, creating a working atmosphere that inspires our people to work better together and
achieve better results.
As a result, ‘Integrity and Anti-corruption’ continues to rank among the top material matters for Malaysia Airports.
All Malaysia Airports employees are expected to abide by our Code of Ethics and Conduct. We are also regulated internally by a
detailed Fraud Policy and Guidelines on Gifts, Entertainment, Sponsorship and Conflict of Interest as well as an Anti-Bribery and
Corruption Guide.
Malaysia Airports’ Board of Directors and Senior Management view Integrity and Anti-corruption issues with utmost gravity. In the
event of breaches, we take swift and stern action.
We apply the following standards to our businesses:

ISO 37001:2016 Anti-Bribery Management Systems
Scope: All processes

Scope: All processes
Key Integrity and Anti-corruption Developments

What: On 1 June 2020 a new Section 17A of the Malaysian Anti-Corruption Commission Act 2009 (MACC Act) came into force. It
introduces corporate liability on commercial organisations in Malaysia.
Effect: Companies such as Malaysia Airports may be liable to legal proceedings for corruption offences committed by persons
associated with the Group.
As a defence for the Group: Adequate procedures were communicated, implemented and enforced effectively within the
organisation to prevent associated persons from committing an act of corruption.
Awareness: To ensure wide-spread awareness on the new provisions of the law, in terms of Learning and Development, we
developed online learning modules for employees to learn about these anti-corruption provisions, with 100% of employees
having completed the e-learning course.
Corruption impacts the business and other non-complicit staff negatively. To minimise such occurrences, we put into place
policies and measures to outline our stand on maintaining the highest standards of integrity and underscore our zero tolerance
for corruption. These are in addition to Malaysian laws that impose penalties for corrupt practices.
Key Integrity and Anti-corruption Initiatives for 2020

Corruption Risk Management Workshop: We organised a series of five Corruption Risk Management Workshops in January
and February this year. By May 2020, all divisions had identified and registered 510 corruption risks in the Malaysia Airports’ risk
scorecard. From the 510 registered risks, 25 were identified as risks related to corporate liability under the newly enacted Section
17A of the MACC Act.
Whistleblowing Policy: A revised Whistleblowing Policy was approved by the Board of Directors on 30 November 2020.
Guidelines: As a follow through on our ISO certification obtained in 2019, Malaysia Airports developed Guidelines on Anti-
Corruption Due Diligence to guide the relevant companies and divisions in the Group on fulfilling the requirements of Guidelines
on Adequate Procedures and MS ISO 37001:2016 Anti-Bribery Management Systems.
Organisational Anti-Corruption Plan: We started the development of the Organisational Anti-Corruption Plan (OACP) with the
completion of three workshops attended by OACP development committee members.
Learning and Development: We developed online learning modules to create awareness among employees on corruption.
20 concerns were raised through our Whistleblowing Programme which covered broad areas of improprieties such as grievance,
non-compliance with policies and procedures, abuse of position related to misconduct and bribery or corruption. The concerns
were channelled to the Internal Audit Division (four concerns), Corporate Integrity Division (one concern) and Human Capital
Division (15 concerns) for further investigation and action.
Sustainability Report 2020 >> Community-Friendly Organisation 79
PILLAR Community-Friendly Organisation
4
Definition: Support and strengthen community engagement and efforts
to develop programmes to meet the needs of local communities.
Our Sustainability Policy emphasises the need for us to go beyond profit-making objectives to be transparent, caring and
responsible towards society. As such, being a ‘Community-Friendly Organisation’ is one of the pillars in our Sustainability
Framework. In the present climate of economic uncertainty, we feel we should continue doing what we can for the needy.
Goals
SDG 1: No Poverty Goal 7: KUL Community Contributions to Local Regulators and Government
SDG 3: Good Health and Well-Being Development Through Community Employees
Partnerships Human Rights
SDG 4: Quality Education Local Community
SDG 10: Reduced Inequalities The Media
80 Malaysia Airports Holdings Berhad >> Community-Friendly Organisation
COMMUNITY-FRIENDLY ORGANISATION
In 2020 our community and corporate responsibility
CONTRIBUTIONS TO LOCAL COMMUNITY programmes were rebranded under the #MYAirportCARES
Definition: Refers to Malaysia Airport’s community initiative. This initiative serves to elevate community livelihood
building efforts. by providing a broad range of programmes which include
micro-entrepreneurship support, collaborations to promote
GRI 103
environmental consciousness, and other community goodwill
activities.
Our Corporate Responsibility Framework focuses community
building efforts on three main areas: Education and Youth Supporting frontliners
Leadership, Community Enrichment and Malaysia Branding. Malaysia Airports greatly appreciates the dedication of all
A dedicated Corporate Responsibility unit sits within frontliners in the fight against the spread of COVID-19. To
the Corporate Communications division and is tasked show our solidarity, gratitude and support, we prepared
with planning, organising and implementing corporate comfort kits that consisted of a sleeping bag, a face towel and
responsibility initiatives. a set of toiletries each for distribution to frontliners through
our #MYAirportCARES initiatives.
Focus Areas Key Frontliner Appreciation Initiatives

Distribution of #MYAirportCARES comfort kits: We
EDUCATION AND YOUTH LEADERSHIP distributed 2,000 comfort kits to frontliners at Hospital Sungai
Supporting the national education agenda Buloh, 350 kits to frontliners in Tawau and Kota Kinabalu and
by elevating academic performance and 500 kits to passengers who were stranded at KLIA1.
leadership development in students.
#MYAirportCARES cheer packages for Hospital Queen
Elizabeth, Sabah: We also donated 500 cheer packages of
chocolates sponsored by Eraman to the frontliners at Hospital
COMMUNITY ENRICHMENT
Queen Elizabeth, Kota Kinabalu.
Elevating community livelihoods by
providing a broad range of programmes #MYAirportCARES Iftar Meal Distribution: Complimentary
from micro entrepreneurship support, Iftar meals and dinners were provided to over 1,000 KUL
environmental consciousness collaborations frontliners during the fasting month of Ramadan. All meals
and other community goodwill activities. were provided through donations from Malaysia Airports’
employees.
MALAYSIA BRANDING
Collaborating with state tourism
organisations, and relevant agencies
to leverage our airports as gateways
into Malaysia to promote our Malaysian
culture, heritage and unique local brands.
At Malaysia Airports, giving back to the local community

and building strong bonds with them is supported by our
Sustainability Policy and our stakeholders.
To date, we have impacted 32 schools nationwide and

indirectly impacted 30,000 people through Beyond Borders,
our flagship Education and Youth Leadership programme.
In addition, over 10,500 individuals have benefited from our
Community Enrichment activities, while 14 projects have been
completed for Malaysia Branding.
Sustainability Report 2020 >> Community-Friendly Organisation 81
82 Malaysia Airports Holdings Berhad >> Community-Friendly Organisation
COMMUNITY-FRIENDLY ORGANISATION
School and community donations
Malaysia Airports has a history of supporting schools and
communities in and around the area of KUL in various ways
which include providing assistance to them during festive
seasons. This year we continued with this tradition through
#MYAirportCARES.
Key School and Community Initiatives for 2020

#MYAirportCARES Ceria Ramadan: We brought festive The Butterfly Effect
cheer to 88 students from three schools in the vicinity of As Caring Hosts, Malaysia Airports strives to make every visit to
KUL – SK Sungai Melut, SK Bukit Tampoi and SK Cyberjaya. our airports a joyful experience for all our guests. To that end,
We presented them with essential items such as foodstuff, in our efforts to improve inclusivity, Malaysia Airports initiated
personal care and hygiene kits as well as festive chocolate The Butterfly Effect, a set of facilities and services put in place
hampers and Duit Raya. This programme is in its fifth year, to cater specially to passengers with hidden disabilities such
and has brought cheer to underprivileged children within the as autism. We also collaborated with the Autism Behavioral
communities surrounding the vicinity of our airports. Center to teach and train the airport community how to
identify these disabilities and how to support individuals with
#MYAirportCARES Ceria Aidiladha: Malaysia Airports special needs.
donated essential items and meat to 55 families in the KUL
area. The donation is also meant help alleviate the burden of Key Butterfly Effect Initiatives for 2020
community members who have been badly affected by the
Butterfly Kit: Passengers are given a Butterfly Kit which a
COVID-19 pandemic.
contains a special identification lanyard so they can be easily
Other Initiatives: Other activities undertaken by Malaysia identified by the airport community.
Airports include blood donation drives, beach clean-up
The Calm Room: This is safe space for our special passengers
activities, gotong royong with local communities to help
located on Level 5 of KUL Terminal 1 which requires registration
clean up schools and masjids and donation of food stuffs and
and an access code to enter.
groceries to the needy.
Sensory walls: Designed to provide sensory feedback and
stimuli, these walls are placed strategically throughout KUL.
Special assistance: The airport community is always on hand

to help our passengers with any special assistance they may
require.
Priority lanes: Passengers with the Butterfly Lanyard are given

access to priority lanes to reduce hassle and waiting time at
screening checkpoints.
Recognition
Our education for children and community initiatives were
recognised and awarded at the 2020 Sustainability and CSR
Malaysia Awards hosted by the CSR Malaysia Publication and
Corporate Sustainability and Responsibility Malaysia Welfare
Society. This honour was conferred on Malaysia Airports based
on the 91 projects conducted in 2019 under our CR pillars -
Educational and Youth Leadership, Community Enrichment
and Malaysia Branding.
Sustainability Report 2020 >> Memorable Airport Experience 83
PILLAR
5 Definition: Enhance the travel experience of airport guests to support

our brand promise of hosting joyful connections.
In line with our brand promise ‘Hosting Joyful Connections’, our priority has always been to create experiences that make a
memorable impact on our stakeholders.
In 2020 the COVID-19 pandemic changed the way people looked at travel. There was an increasing demand for better health
safeguarding, screening, physical distancing and less person-to-person contact to prevent the spread of the virus. In this regard,
the material matters, ‘Airport Safety and Security’, ‘Total Airport Experience’ and ‘Transportation and Connectivity’ address our
stakeholders’ top concerns.
Goals
SDG 9: Industry, Innovation and Goal 8: Providing Exceptional Airport Safety and Security Regulators and Government
Infrastructure Customer Experience Total Airport Experience Employees
SDG 11: Sustainable Cities and Goal 9: Optimisation through Transportation and Airlines
Communities Technological Advancement Connectivity Passengers
SDG 16: Peace, Justice and Strong Goal 10: Strengthening Safety
Tenants
Institutions and Security at KUL
Investors
The Media
84 Malaysia Airports Holdings Berhad >> Memorable Airport Experience
MEMORABLE AIRPORT EXPERIENCE
AIRPORT SAFETY AND SECURITY

Definition: Refers to the anticipation, recognition, evaluation and control of hazards or threats arising in or from the airport.
The COVID-19 pandemic has heightened the need to safeguard the safety, security, health and wellbeing of airport users
and the airport community.
GRI 103
Malaysia Airports is committed to providing the highest level of safety and security to all our guests and the airport community.
COVID-19 has affected the way travellers view airport safety and while traditional threats such as cyber, insider and terrorism
remain, the infectious disease and its transmission have taken main stage in the past year. To this end, Malaysia Airports put
in place all the necessary precautions and safeguards to keep our users and community safe. Our airport safety standards are
certified under ISO 45001:2018 as meeting the global standards and requirements of The British Standards Institution.
Key COVID-19 Related Initiatives for 2020

Corporate Crisis Management Team (CCMT): In March, we activated the CCMT as part of our business continuity plans. The
CCMT, which is chaired by the Group Chief Executive Officer, provided strategic direction and communications pertaining
to recovery and sustainability of Malaysia Airports’ business operations, maintenance of service levels and engagement with
stakeholders. The CCMT convened regularly throughout the year, logging weekly meetings in 2020.
KUL COVID-19 Committee: This committee was formed to ensure a coordinated response by Malaysia Airports, government
agencies and relevant stakeholders. Together, the multi-stakeholder committee brainstormed and rolled out new measures to
comply with SOPs prescribed by the National Security Council, and to create a contactless and sanitised airport environment to
build public confidence in the safety of our airports, while maintaining smooth operational flow.
New SOPs: These incorporate public health measures in the airport terminal which include physical distancing, the mandatory
use of face masks by guests and the airport community in the terminal, contract tracing, entry and exit temperature screening
for arriving and departing passengers, facilitation of COVID-19 testing by Ministry of Health officials for arriving passengers, the
availability of hand sanitisers throughout the terminal and the issuance of personal protective equipment to employees based on
their job requirements.
Awareness: To keep our passengers and airport community vigilant, we made frequent announcements within the terminals
on social distancing, put up physical and digital signages and communicated with the public regularly via the mainstream
media and social media. We increased internal communication to staff and airport stakeholders via email and weekly committee
engagements.
The Passenger Reconciliation System: This automated security screening system heightens security and airline operational
efficiency by scanning and matching information on passenger travel documents to the airline’s passenger database in real time.
It alerts the airline if, for example, there is a need to offload a passenger’s baggage in the event of a no-show. It also enables the
airport to operate an ‘open gate’ system.
Leveraging technology: New safety equipment has also been deployed at the airports including state-of-the-art thermal scanners
and security scanners as well as sneeze guards.
Sanitising and disinfecting the airport: The airports’ common amenities and facilities such as lifts, counter tops, trolleys,
doorknobs and handrails are sanitised regularly. Public areas in the airports are sanitised eight times a day or once every three
hours. Ultra-violet technology is used to sterilise handrails at walkalators and escalators, disinfect washrooms and disinfect all
arriving baggage at KUL.
Other Key Airport Safety and Security Initiatives for 2020

Runway Rehabilitation: Rehabilitation of Runway 3 was completed on schedule by August. This is part of the KUL Runway Sustainability
Plan, which is vital to sustain the safety of flight operations at the airport. The rehabilitation of Runway 1 began in November.
Increased Airport Fire and Rescue Service Personnel: We retrained and reskilled 88 of our Aviation Security employees to
become Airport Fire Rescue Service (AFRS) employees through the Basic Training for AFRS Integration Programme. This was to
ensure the continued employability of our employees and to meet the demand for AFRS personnel at our airports.
Wildlife Strikes and Oil Spills

AO9
Wildlife strikes at KUL fell from 52 in 2019 to 35 this year while oil spillages at KUL saw a 47.2% drop from 108 in 2019 to 57 in 2020.
This has been attributed to the reduced number of flights caused by travel restrictions that are part of the nation’s COVID-19
prevention measures.
Foreign Object Debris

Foreign Object Debris (FOD) collected within the KUL boundary increased from 191,886 in 2019 to 221,237 in 2020. This 15.3%
increase in FOD was due to an increase in cargo plastic collected at the cargo area.
86 Malaysia Airports Holdings Berhad >> Memorable Airport Experience
MEMORABLE AIRPORT EXPERIENCE
TOTAL AIRPORT EXPERIENCE

Definition: Refers to the quality of services delivered to our customers to enhance their airport experience. During the
pandemic, instilling passenger confidence in the airport includes conducting temperature checks, providing a contactless
experience and the enforcement of public health measures.
GRI 103
In our efforts to deliver our brand promise of ‘Hosting Joyful Connections’ we understand that our guests’ experience with us
starts from their journey to the airport until they depart. To this end, we strive to provide our guests with a holistic memorable
airport experience.
We apply the following standards to our businesses:

ISO 9001: 2015 Quality Management Systems
Malaysia Airports Sdn. Bhd.
Malaysia Airports (Niaga) Sdn. Bhd.
Urusan Teknologi Wawasan Sdn. Bhd
Malaysia Airports Consultancy Services Sdn. Bhd
MAB Agriculture-Horticulture Sdn. Bhd.
MS ISO 1900: 2005 Quality Management Systems – Requirements from Islamic Perspectives
Malaysia Airports Consultancy Services Sdn. Bhd.
The COVID-19 pandemic has changed the way passengers perceive airports and travel. At Malaysia Airports, we want our guests
to feel safe and feel confident that they are protected during their time with us. As such we have stepped up to the plate to
provide our guests with peace of mind through various customer-centric initiatives.
Service Quality
2020 has been a year of progress for Malaysia Airports in terms of improving service quality. This comes on the back of efforts
to inculcate our core values of integrity, customer centricity, accountability and new ideas amongst our employees in order to
establish a high-performance culture that is caring and principled. It also represents the progress made in service quality since the
Happy Guests, Caring Hosts’ culture transformation programme began in 2018.
Key Service Quality Initiatives for 2020

The Single Token Journey: This initiative promotes a contactless journey through the airport using facial recognition technology
so that with a single identification verification, passengers can navigate all the airport’s touchpoints from check-in to the boarding
gate.
‘Happy Guests, Caring Hosts’: We formulated an online refresher course for the ‘Happy Guests, Caring Host’ programme and
made it compulsory for all Malaysia Airports’ employees to participate to ensure that our employees are ‘ready for action’ once
the industry recovers.
#1week1improvement initiative: Malaysia Airports initiated this to continuously improve passengers’ experience at our airports.
Approximately 150 improvements have been made since 2018 for a more seamless journey for passengers navigating the airport.
50 of them were implemented in 2020 focusing on the safety and security of passengers in the light of the COVID-19 pandemic.
Enhancements to Airport Infrastructure: We proceeded to make enhancements to airport infrastructure to improve the
experience of our guests in the future. This includes the completion of runway rehabilitation works, the replacement of the
Baggage Handling System and Aerotrain, IT core network upgrading and the Commercial Reset.
Washroom refresh: Malaysia Airports launched the Washroom Improvement Programme in efforts to improve our washroom
performance to meet the MAVCOM’s Quality of Service framework. This enabled KUL to consistently pass monthly washroom
inspections by MAVCOM in Q3 2020 and contributed to KUL being placed in the top 10 airports in the global Airport Service
Quality (ASQ) survey for 2020 for airports >40 mppa.
Social Media Engagement: We used social media extensively to update our guests on COVID-19 related announcements,
changes to Standard Operating Procedures and travel advisories made by the authorities especially during the Movement Control
Order. We also used social media to answer enquires from our guests in a timely and efficient manner.
Service Quality Achievements for 2020

ASQ survey: KUL was named one of the world’s top 10 airports in the global ASQ survey by Airports Council International (ACI)
in the over 40 million passengers per annum category. KUL’s annual score of 4.98 out of a possible 5.00, coupled with a perfect
5.00 score recorded in Q4 2020, was a significant improvement over the previous year in which KUL scored 4.76 and ranked 17th. In
addition, LGK was inducted into the ACI Director General’s Roll of Excellence based on its track record for winning multiple ASQ
awards over a five-year period during the past 10 years. These achievements are testament to KUL and LGK’s continuous efforts
to keep abreast of our passengers’ expectations and needs especially in these challenging times.
Quality of Service framework (QoS): In Q3 2020, both terminals at KUL passed all elements of the QoS framework set by
MAVCOM. This is further testimony to the improvements in service quality that has been achieved collectively by Malaysia Airports
and the airport community at KUL.
International Customer Experience Awards: Our efforts have been recognised by a Silver award for ‘Customer-centric Culture’
at the prestigious International Customer Experience Awards in 2020.
ASQ ranking and score for 2020

2017 2018 2019 2020
Overall ASQ Ranking in the 12 14 17 10
>40 mppa category
KUL Overall ASQ Score 4.65 4.70 4.76 4.98
TRANSPORTATION AND CONNECTIVITY

Definition: Refers to ground transportation and connectivity for passengers, employees, visitors and suppliers within, to
and from the airport.
GRI 103
Our guests’ airport experience begins even before they step foot at the airport premises. The ease of getting to the airport is an
important factor in this regard – the more convenient it is for passengers to get to and from the airport, the more likely they are to
use the airport regularly making ‘Transportation and Connectivity’ material to our business.
We remain committed to providing a Memorable Airport Experience to our guests despite the year’s challenging travel climate. To
that end we maintained our existing ground connectivity network, which includes the number of operating routes and availability
of public transportation such as Light Rail Transit and Express Rail Link services, for the convenience of travellers who were eligible
to travel.
88 Malaysia Airports Holdings Berhad >> Independent Assurance Statement
INDEPENDENT ASSURANCE STATEMENT

Sustainability Report 2020 >> Independent Assurance Statement 89

90 Malaysia Airports Holdings Berhad >> Independent Assurance Statement
Sustainability Report 2020 >> Independent Assurance Statement 91

www.malaysiaairports.com.my
MALAYSIA AIRPORTS HOLDINGS BERHAD

Registration No. 199901012192 (487092-W)
Malaysia Airports Corporate Office,

Persiaran Korporat KLIA,
64000 KLIA, Sepang,
Selangor Darul Ehsan, Malaysia.
Tel : +603-8777 7000

Fax : +603-8777 7778
Malaysia Airports
@MY_Airports
malaysiaairports
Malaysia Airports
This Annual Report was printed entirely on environment-friendly paper

Mahb Sustainability Report 2020

Uploaded by

Copyright:

Available Formats

Mahb Sustainability Report 2020

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Mahb Sustainability Report 2020

Uploaded by

Copyright:

Available Formats

EMERGING

Report ing and Gove rnance

P rac t is ing S ens ibl e E c on omics

Env ironm ent al C ons c iousness

C re at ing an Ins p iring Workplace

C om m unit y- F riendly Organisation

M e m orabl e Airp ort E xp e rience

88 INDE PE NDE NT AS S URANCE STATEMENT

A Joint Message from our Chairman and Group CEO

A Joint Message from our Chairm an and Group CEO

such as joint ventures, master concessions and franchise

The proposal has been well received, and we look forward to a

Recognition - Gold Sustainability Rating

The rating reflects Malaysia Airports’ strong overall

Contribution to Local Community - Bumiputera Empowerment

Last year proved to be an arduous year due

Amidst this landscape, Malaysia Airports continued to

This hard-won achievement would not have been possible

We are also extremely grateful to all airport frontliners

Our Malaysia operations comprises Competitive advantage

FY2020 Key Highlights

Scope FY2020 FY2019 FY2018

Group Financial Performance

EBITDA (RM'mil) Group 21.6 2,292.0 2,383.5

Profit for the Year (RM'mil) Group (1,116.2) 537.0 727.3

Total Equity (RM'mil) Group 8,099.3 9,324.5 9,140.7

Group Aircraft Movements Group 600,073 1,281,000 1,232,735

Group Cargo Movements (metric tonnes) Group 834,718 1,003,000 1,037,370

KUL ASQ rank (> 40 mppa category) KUL 10 17 14

KUL ASQ score KUL 4.98 4.76 4.70

Total Direct Destinations KUL 166 166 >120

SAW 130 >160 >160

Total Waste Generated (kg/passenger) KUL 0.36 0.23 0.27

Recycling Rate (%) KUL 8.3 13.8 5.7

Total Employees Group 10,333 10,724 10,799

Percentage of Female Employees (%) Group 34.2 34.6 33.4

Community Investment (RM) Group 417,839 1,066,847 1,373,919

41.0 mppa KL International Airport (KUL)

• Pulau Pangkor (PKG) • Kapit (KPI) • Long Seridan (ODN)

Kota Kinabalu (BKI)

Mukah (MKM) Belaga (BLG)

DUTY FREE AND NON-DUTIABLE GOODS PROJECT AND REPAIR MAINTENANCE

AGRICULTURE AND HORTICULTURE

Sustainability Pillars and Highlights

PILLAR Practising Sensible Economics

PILLAR Environmental Consciousness

PILLAR Creating an Inspiring Workplace

Memorable Airport Experience

5 Making Strides in Service Quality

1 Practising Sensible Economics

Riding Out the Storm Together

On the Road to Becoming a Greener Airport

12,000MWh ENERGY GENERATED PER YEAR

3 Creating an Inspiring Workplace

Taking Care of Our Own

ZERO RETRENCHMENTS IN 2020

Our employees make up one of our biggest groups of stakeholders. As a responsible

Guidelines: To raise awareness and further educate our employees on COVID-19,

“We would like to show support to frontliners by contributing

Frequency of Engagement Daily Twice a year As and when required

Frequency of Engagement Daily Twice a year As and when required

Frequency of Engagement Daily Twice a year As and when required

Frequency of Engagement Daily Twice a year As and when required

Frequency of Engagement Daily Twice a year As and when required