In Local News, Malaysian Fuel Prices / / / 10 comments 
The federal government of Malaysia will require more time to decide on the possibilities of lowering the retail price of fuels in the country, despite current downward trend of global crude oil prices, reported the New Straits Times.
The Malaysian government needs to take into account many factors, including the current financial capabilities and allocation for economic activities which have multiplier effects, economy minister Rafizi Ramli said.
“This is beyond the issue on the (price setting formula), but more importantly, the current economic situation,” Rafizi said, noting that with the current global crude oil price between US$83 to US$85 per barrel (RM364 to RM373 per barrel), some have said that the price of crude oil has dropped over the past four to five months.
“Hence, when the global crude oil price has dropped, is it enough for us to lower the retail fuel price? Of course, for those who understand the oil and gas sector, [they] will be asking the question,” Rafizi said, adding that the government will have to study its financial capabilities before reviewing the retail prices of fuels.
Rafizi added that the formula for deciding the retail prices of fuels in Malaysia continues to be relevant, and that the formula should be retained as it takes into account the changes in global crude oil prices as well as the suitable ceiling price for fuel.
In June this year, then-finance minister Tengku Datuk Seri Zafrul Abdul Aziz said that the fuel subsidies will reach RM30 billion this year, with a projection made based on Brent oil price. Last week, newly appointed prime minister Datuk Seri Anwar Ibrahim said that relevant government ministries have been given two weeks to discuss and analyse the matter of targeted subsidies, including for fuel.
The ceiling price of RON 95 petrol is RM2.05 per litre, which was set by the Malaysian government in February 2021. As of December 1, 2022, the retail price of RON 97 petrol is RM3.85 per litre, or a 10 sen drop from the preceding week, which ended an eight-week run of being priced at RM3.95 per litre since the previous adjustment from RM4 per litre on October 6.
Diesel fuels, meanwhile, also continue at their respective ceiling prices of RM2.15 per litre for Euro 5 B10 and B20 blends, while Euro 5 B7 diesel continues at RM2.35 per litre.
Comments
I do second a more thorough and effective subsidy system to aid the lower income group but bear in mind, the middle and higher income groups are taxed a lot to fund the subsidy programme. So by right these groups of contributors should also get to enjoy whatever subsidies. The loopholes and misuse of the subsidy system should tackle as well!
U agree for a thorough subsidy program to aid the lower income group but at the same time said higher income group should also enjoy the subsidy. In that case, no change is needed then. Its like saying a factory operator should be able to drive the MD luxury car every now and then as that operator contribute to the profit that makes it possible for the MD to buy that car. OMG i just realise i am entitled to fly onboard the Malaysian Gomen official aircraft, i better make my way to the airport right away.
If u ask me, remove fuel subsidy in phases. Why? Misuse comes in many shape and sizes. If one uses the subsidise fuel to go lepak, enjoy with girlfriend at vacation spot, go to casino to gamble, go to 4d shop, drive or ride like maniac, etc….misuse?
Make price more cheaper
We want RM1.50! Dislike if u agree with me.
U all don’t have other things to do other than this?
Still waiting rafizi to announce cheaper myvi at rm25k and civic at rm67k based on his formula.
harga minyak diesel harus turun mendadak..
baru kos pengangkutan bahan mentah dapat di kawal… minyak diesel naik.. harga barang naik.. bila turun kenapa harga barang tak turun… adakah mainan politik
As long as it’s RM1.50/L petrol, i don’t mind
Well considering back in April 2020 world price is lower than USD$20 while our RON95 was set lowest hovering around RM1.25/L so you guess it USD$80 is still 4x the price of the lowest.
Janji turun harga minyak kasi jadi, ini kalilah
Add a comment
required
required
Car Reviews
Car Launches
Copyright © 2022 Driven Communications Sdn Bhd. All Rights Reserved.