Datuk Shahrir Samad says fuel prices could be lowered again by another 15 sen during the next revision which is scheduled to take place at the end of this month. A 15 sen reduction would mean RM1.85 per litre for RON97 fuel, the lowest it has been in 3 years since it was previously raised to RM1.92 end-February 2006.
He also said the National Economic Council will meet on the 1st of December 2008 to decide on a fuel price float mechanism where fuel prices would be revised at a certain interval according to global crude oil prices, with a 30 sen fuel subsidy to be given only when necessary so there will probably be some form of upper-end threshold before the subsidy kicks in. The matter of a lower-end threshold (a floor price for fuel) is still being decided, but if the government goes ahead with one we’ll see us paying a fuel tax for every litre if crude oil prices drop below the floor price.
But let’s hope we won’t see Fomca’s wishes come true. Fomca (Federation of Malaysian Consumer Associations) spoke to the NST on Sunday and said they would like to see a minimum price of RM3 per litre to encourage prudent use of petrol, push for alternative energy R&D and promote the use of public transport.
Obviously Fomca secretary-general Muhammad Sha’ani Abdullah lives right next to an LRT in an area where buses are clean, well-maintained and always on time because I sure don’t and I’m sure many others do not.