Gov’t says structure of petrol subsidy rationalisation programme for RON 95 not finalised, out next year

Ron95_diesel_up_2

The structure and mechanism of the new petrol subsidy rationalisation programme for RON 95 that is supposed to come into effect next June has not been finalised, says the government. According to Deputy Finance Minister Datuk Chua Tee Yong, the subject is still being studied and details of the new system are not expected to be revealed until next year.

Chua told reporters over the weekend that discussions are ongoing, and will involve relevant agencies, organisations and ministries. “At the moment, we are still studying the system. We also have to look into the agencies that will help us successfully implement it,” he said.

He added that the income bracket or group that will continue to enjoy subsidised fuel with the subsidy rationalisation would need to be identified. Last Thursday, it was reported that the programme would involve the MyKad and be based on a motorist’s income level.

A dual-pricing system for RON 95 is set to be implemented – those belonging to a ‘high-income group’ will have to pay the full market price for RON 95 petrol (RM2.58 per litre, at current price), while individuals classified under the ‘low-income group’ will be able to continue filling up at the current subsidised rate of RM2.30 per litre.

UPDATE: Second Finance Minister Datuk Seri Ahmad Husni Hanadzlah has revealed that those earning below RM5,000 per month will receive full subsidy, while those earning between RM5,000 and RM10,000 will get partial subsidy. No subsidised fuel for those earning five figures a month.

The use of the Mykad as a tool to determine subsidies has raised the question of whether it will incorporate data from the Inland Revenue Board (LHDN) showing how much one earns.

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Chua however pointed out that the public should not speculate that the government has already finalised the system or its full workings. “An announcement will be made once the Cabinet gives the approval,” he explained.

He stated that subsidy rationalisation was an important step for the development of the country, and added that the government wants to ensure that only those who qualify for subsidy benefit from the new system.

Determining this will be the challenge, according to Federation of Malaysian Consumers Associations (Fomca) deputy president Mohd Yusof Abdul Rahman. “Firstly, the government has to narrow down on those eligible to receive the subsidy, secondly, remove from the list the industries not qualified for the subsidy, and thirdly, the government needs to fix the leakages and then only, turn to the domestic consumers,” he told Bernama.

He added that the government should also provide a clear definition of the ‘high-income group’ because it differed according to the situation and where they were located. “Those earning RM5,000 to RM10,000 are still pressured by the rising cost of living in the city,” he told the publication.

Meanwhile, the NST reports that Malaysian Muslim Consumers Association chief activist Datuk Nadzim Johan has suggested that the programme have tiers for different levels of income.

Petrol_Subsidy_Sept_ 001

He said that for the system to work, the government will need to have comprehensive data on individuals’ incomes and assets, and the declaration of these as well as debts will provide the government with a clearer picture of an individual’s actual purchasing power and define the tier he/she will fall under.

“If a person drives a small car, for example, he or she will need a certain amount of petrol each week. For someone with a fixed income of RM3,000 a month and who drives his father’s luxury car, he uses a different amount of petrol than a person driving a smaller car. How will the government address and solve this?,” Nadzim said.

He suggested that those eligible for subsidised fuel should be allotted a specific amount of fuel each week. The limit for each individual will prevent others from different tiers from using others’ monthly allocation. “Once an individual finishes his allocation, he or she can purchase fuel at non-subsidised rates until the week or month ends, depending on which cycle the system adopts,” he said.

On October 2, the price of RON 95 petrol and diesel went up by 20 sen to RM2.30 and RM2.20 per litre respectively. At that point, the actual market price was RM2.58 per litre for RON 95 and RM2.52 for diesel, translating to a current subsidy rate of 28 sen per litre for petrol and 32 sen for diesel.

In Budget 2015, tabled on October 10, PM Datuk Seri Najib Razak announced that RON 95, diesel and LPG is to be exempted from the Goods and Services Tax (GST) that will come into effect in April 2015. As for unregulated RON 97, its pricing will be subject to the 6% GST – currently, it is priced at RM2.75 per litre.

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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • i_swear on Oct 27, 2014 at 9:19 am

    There a simple solutions. Just remove the subsidiary all together to have it floating and remove the car excise duty which the price reflect global market then plus the 6% GST. At least i can get a B Segment car for lower 60K, exclude Proton & Perodua.

    Problem is, whether they dare or not? As Excise duty is charge heavily on cars which I don’t think minister will ever talk on this.

    Try to do this and i don’t think Government kena back lash as teruk as The Mykad proposal.

    Well-loved. Like or Dislike: Thumb up 172 Thumb down 10
    • Vader (Member) on Oct 27, 2014 at 11:23 am

      Monthly salary <RM4k is low income group, so RM4K above consider high income group!
      I never aware that I am having high income!!! lol

      Well-loved. Like or Dislike: Thumb up 58 Thumb down 5
      • Axia 20KM/Liter on Oct 27, 2014 at 12:07 pm

        Cheap petrol + 75% car tax ?

        or

        Expensive petrol + 0% car tax ?

        Your choice, BN and Pakatan voters.

        Like or Dislike: Thumb up 51 Thumb down 4
        • Now you’re having both ends of the word, expensive car, expensive fuel. I love you government!

          Like or Dislike: Thumb up 48 Thumb down 0
        • policeman on Oct 27, 2014 at 1:07 pm

          Pakatan? What are they good for?

          Look at the Selangor water crisis. Look at the terrible pot holes on all Selangor roads.

          Only the greedy and gullible will fall for their tricks. Free education, no need to pay back loans, free toll, free water. Bloody beggars!

          Like or Dislike: Thumb up 17 Thumb down 104
          • Vote BN then?

            Like or Dislike: Thumb up 26 Thumb down 3
          • Fireman on Oct 27, 2014 at 3:27 pm

            Water crisis is all set up by BN trying to impute pakatan

            Like or Dislike: Thumb up 52 Thumb down 13
          • Henry on Oct 27, 2014 at 3:48 pm

            Don’t pretend you are clever when clearly you are not. Pakatan state Governments cannot collect taxes. It is the Federal Government under BN. Pakatan have to ask the Fedaral Government for money to do all those things you complain about. You think it’ll be given? If given, what percentage?

            For your education, everything that has a ministry is under the Federal Government, like defence, works, transport, finance, communication etc etc. Now, go complain to the right people.

            Well-loved. Like or Dislike: Thumb up 66 Thumb down 5
      • Painter on Oct 27, 2014 at 2:33 pm

        Minister Finance 2 just announced.

        full sub: salary < 5,000
        partial sub: 5,000< salary < 10,000
        no sub: 10,000 < salary

        All salary per month.

        P/s: if I declare my salary below 5,000 and allowance 10,000. Which category do I fall into?

        Like or Dislike: Thumb up 34 Thumb down 3
      • Sorchai (Member) on Oct 27, 2014 at 2:38 pm

        Huh? I agree. I didn’t realize I was in high income group also. But but…. G announce in 2009, RM3k is poverty level. Say at inflation of 4% per annum, can I just agak agak RM 3.65k is the poverty level now in 2014. That means difference of poverty to high income is RM350 saja?

        http://www.thestar.com.my/Story/?file=/2009/10/26/nation/4974360

        Like or Dislike: Thumb up 11 Thumb down 1
    • kzm (Member) on Oct 27, 2014 at 11:24 am

      u oni think bout car n car..what bout other things? car cheap then what? people has more money coz car is cheap? u forget other cost of living when fuel subsidy suddenly stop..what is the benefit if car is cheap n cost of living increase suddenly? this oni benefit new car buyer what bout rest of the people who dont buy car?

      ..i oso dont like subsidy n high car tariff..i do prefer subsidy to targeted people and gradual reduce of car price..

      Like or Dislike: Thumb up 7 Thumb down 58
      • i_swear on Oct 27, 2014 at 11:47 am

        Don’t you know that the car is 2nd highest debt in every family?

        And please don’t be naive if it on cost of living, it never went down since Pak Lah increase 70 sen and then lower it to RM1.90 RON 95.

        Like or Dislike: Thumb up 40 Thumb down 2
        • kzm (Member) on Oct 27, 2014 at 12:28 pm

          does it benefit those family who already has car? does it reduce those debt for those currently has car? answer that first..

          u say it boleh family 2nd highest debt then if govt sudden cut subsidy..those people still has to pay high car debt n high fuel price those people will die first..it oni benefit new car buyer oni not current owner or people who dont buy car..

          ..i dont say cost of living going down but sudden increase in cost of living…

          Like or Dislike: Thumb up 8 Thumb down 22
          • paparadzi (Member) on Oct 27, 2014 at 7:29 pm

            You buy a car once and never buy another one in your whole lifetime?

            Like or Dislike: Thumb up 9 Thumb down 1
        • policeman on Oct 27, 2014 at 1:10 pm

          If car prices are reduced, will it become the 3rd or 4th highest debt in every family?

          Like or Dislike: Thumb up 0 Thumb down 12
          • Bongok on Oct 27, 2014 at 4:04 pm

            It means far lower car loan repayments which is big savings and can be used to pay house downpayment or keep it at bank accounts.

            Next time talk using brain, not using your empty knee caps.

            Like or Dislike: Thumb up 7 Thumb down 8
          • kzm (Member) on Oct 27, 2014 at 5:38 pm

            u forget bout car loan interest…u forget bout food..u forget bout low income earner..

            Like or Dislike: Thumb up 6 Thumb down 7
      • Operation-Manager (Member) on Oct 27, 2014 at 1:03 pm

        What subsidy is all about, its only RM0.27 /liter

        for a normal user @ 30 liter/week, 120 liter/month,

        120 x rm0.27 = RM32

        You will get subsidy:
        RM 32/month
        RM 384/year
        RM 3840/10years

        compared tax 95% MIN for CKD
        Remember the crazy booking of HONDA JAZZ selling price in LANGKAWI at RM36k, you already paid RM39,000 TAX to govt once the HP done.

        You choose : paid RM39000 or get discount RM 3840/10years

        Like or Dislike: Thumb up 47 Thumb down 2
        • Operation-Manager (Member) on Oct 27, 2014 at 1:14 pm

          With 150liter Ron95 @ RM0.27 subsidy only cost RM40/month or RM480/year.

          Goods price increase is a norm with operational cost increase, but would not more than but still less than 10%.

          Few cents for a cup of drink, or extra RM3 for a softpack of 2KG milo for months consumption.

          what a big deal???

          We need NO subsidy, PLS STOP SUBSIDY WITH IMMEDIATE EFFECT by today.

          Like or Dislike: Thumb up 10 Thumb down 6
          • kzm (Member) on Oct 27, 2014 at 5:33 pm

            easy for u to say…bcoz u have money..what happen to those low income people who use motorcycle or don’t use vehicle at all? car price go down do effect them but increase price for petrol n food item do hurt them most (oppo sources say 80% salary RM3k n below)..does sudden termination of petrol subsidy their salary go up?..u must think other people that not so fortunate..not bout u n car oni..

            Like or Dislike: Thumb up 5 Thumb down 10
          • kzm (Member) on Oct 27, 2014 at 5:35 pm

            typo….”car price go down don’t effect them but”

            Like or Dislike: Thumb up 2 Thumb down 6
          • Bro kzm, you need to understand that if the government lessen our subsidy gradually, lets say 4 times in 2 year by 10 cents(decrement) x 4 = 40cents. Taking the price of canned food will increase about 20 cents per fuel price increment x 4 = 80 cents. However if subsidy has been fully removed in one shot, the price increase will be only once (eg 40 cents only) which can be regulated by the government. Our salary of course will be increased. Now which one u prefer?gradual decrement or complete removal of subsidy?

            Like or Dislike: Thumb up 1 Thumb down 0
          • disgruntledBMWowner on Oct 29, 2014 at 10:52 am

            Ya betul, hapuskan subsidi. tak memanfaatkan langsung.

            Harga asal ron 95 RM 0.30 sen/liter

            Lepas subsidi BN ron 95 RM2.30/liter

            Hidup BeEnd

            Cuba survey harga petrol di negara Arab. Lebih murah dari air. Itu baru subsidi betul

            Like or Dislike: Thumb up 1 Thumb down 0
        • kzm (Member) on Oct 27, 2014 at 5:05 pm

          Where got langkawi jazz rm36k nowaday bro…now jazz is ckd..the cheapest langlawi is rm57k better u check honda boleh site..previous jazz cbu no excise tax..now ckd jazz langkawi include excise tax..

          Like or Dislike: Thumb up 5 Thumb down 3
          • Somehow I rasa orang tak faham:
            1) asalkan petrol naik, barang lain naik juga… Kalau warong you biasa pergi, bos untung setiap bulan > RM5k, harga teh tarik dan mee goreng naik juga…
            2) kalau you untung dari subsidi pun, harga benda lain pun you kena tanggung…
            3) yang tak mampu beli kereta, guna motor – berapa you ingat untung dari subsidi? Motor minyak sebulan RM40, untung subsidi 20% (baru RM8).. Teh tarik naik RM0.30 segelas minum 30 kali sebulan pun sudah RM9, apa lagi harga barang lain?

            Like or Dislike: Thumb up 0 Thumb down 0
      • I agree with kzm. Paul tan readers only knows car. Idiotic

        Like or Dislike: Thumb up 4 Thumb down 4
        • Sharuddin on Oct 29, 2014 at 8:58 am

          Of course, this is an automotive blog. car lovers come here. Then? U wanna politic around here? We have enough jokes per day from those incompetent politicians. Therefore, coming into paultan to check out new cars just to ease our stress.

          Like or Dislike: Thumb up 0 Thumb down 0
    • Zlanu on Oct 29, 2014 at 11:35 am

      You’re just thinking of car excise tax and duties and then forcing everyone to pay unsubsidized prices. It might help a new person buying a car but anyone else with an older car will feel the immediate pinch because they’ve already paid for the car on the previous tax scheme.

      It doesn’t make sense to the person who wants to buy the fuel.

      Like or Dislike: Thumb up 0 Thumb down 0
  • hadi75 on Oct 27, 2014 at 9:40 am

    Just float the price for consumers and give subsidies to industries since one of their biggest costs is fuel bill…..but for it to work…taxes on cars should be reduce…

    Like or Dislike: Thumb up 24 Thumb down 5
    • Burong on Oct 27, 2014 at 2:58 pm

      RON95
      Actual price – RM2.57/l
      Control price – RM2.30/l
      Gov subsidy – RM0.27/l

      But you need to pay extra 75% of a car price. Honda City original price: RM50,000. You need to pay extra RM37,500 so your BN government can subsidy you RM0.27/l fuel.

      Full tank: 30l
      So they only subsidy RM8.1 for you per pump, and you need to pay extra RM37,000 advance not counting the interest yet.

      And now they are thinking to remove that subsidy totally if you earn RM4,000 and above. I think they are still in debt with the Gangnam style and 1MDB so they really have no path to choose and force to do such drastic move.

      Like or Dislike: Thumb up 15 Thumb down 2
  • What ever! You run the country…people cannot do anything…

    Like or Dislike: Thumb up 20 Thumb down 6
  • michaelooi on Oct 27, 2014 at 9:43 am

    They could have easily added some ‘pelepasan’ in the income tax for the same purpose. Why ponder a program that is hard to control and prone to abuse? Songlap?

    Like or Dislike: Thumb up 35 Thumb down 0
  • Low Budget on Oct 27, 2014 at 9:52 am

    In my opinion, only cars that cost more than certain price and below certain age should have no subsidy. IF those cars attain 15 years of age or more, they be subject to subsidy because those cars become cheap for the poorer people to buy.

    Like or Dislike: Thumb up 11 Thumb down 5
    • Anakjambi on Oct 27, 2014 at 10:30 am

      Great idea… That means my RM1 million ANTIQUE rolls royce car which is >15 yrs old is eligible for the subsidize price

      Like or Dislike: Thumb up 22 Thumb down 1
    • What if those who cannot effort to change car and still driving their beloved one and only car??

      Like or Dislike: Thumb up 2 Thumb down 1
      • policeman on Oct 27, 2014 at 1:13 pm

        Then they should learn the difference between effort and afford.

        Like or Dislike: Thumb up 8 Thumb down 4
  • venven81 on Oct 27, 2014 at 9:58 am

    when you haven’t got a solid and concrete proposal/plan/policy, please keep your mouth shut to avoid any speculations, confusions, unnecessary hassle to the public ok! duxxxss!

    Well-loved. Like or Dislike: Thumb up 51 Thumb down 1
  • Dual citizen for dual petrol system that what they meant

    Like or Dislike: Thumb up 9 Thumb down 1
  • mr subsidy on Oct 27, 2014 at 10:26 am

    next year or next election?

    Like or Dislike: Thumb up 15 Thumb down 1
  • rakyat on Oct 27, 2014 at 10:29 am

    MyCard rosak how? cannot fill up fuel lah?

    Then all the ministers, bosses, taukeh ask their Ahmad to fill up fuel using their MyCard and still enjoying subsidies fuel.

    Rakyats wages that over RM1 from the requirement, already f**ked up!

    Like or Dislike: Thumb up 20 Thumb down 1
    • Low Budget on Oct 27, 2014 at 12:37 pm

      MyKad rosak means you be treated as KiaSu Singaporean and pay full price.

      Like or Dislike: Thumb up 2 Thumb down 2
    • MyCardCollector on Oct 27, 2014 at 5:18 pm

      Aiyo.. go duplicate your IC… u know how easy to make new one frm img dept. Just pay little admin free and there you go.

      Like or Dislike: Thumb up 0 Thumb down 1
  • This is tantamount to an invasion of privacy! Once my income tax and earning details are in the MyKad, I’m indirectly telling people how much I earn!

    Like or Dislike: Thumb up 28 Thumb down 1
  • bbtree on Oct 27, 2014 at 10:35 am

    Which minister and info is more credible, this one or earlier?

    or neither both?

    Like or Dislike: Thumb up 13 Thumb down 0
    • Low Budget on Oct 27, 2014 at 12:40 pm

      Most of them appears to be the same, lack of intelligence when they open their big mouth to give statements to the people.

      Like or Dislike: Thumb up 5 Thumb down 1
  • kongkong on Oct 27, 2014 at 10:35 am

    dont let people get angry…
    jammed this morning at sungai besi.. aioo worst la these day…

    Like or Dislike: Thumb up 14 Thumb down 1
  • Government semakin nampak idea kebodohan Ahmad Maslan. Sekarang mereka kata belum finalize pula

    Like or Dislike: Thumb up 16 Thumb down 3
  • cendol (Member) on Oct 27, 2014 at 10:49 am

    For God’s sake, just do away with subsidy already.
    Increase BR1M to RM5900, straight away no more poverty in Malaysia

    Like or Dislike: Thumb up 16 Thumb down 2
  • disgruntledBMWowner on Oct 27, 2014 at 10:52 am

    Can’t define stuuuuuupid any better. Our goverment is a joke. Trying to fool the public again as if our fuels are heavilly subsidised. Pure bullshit. In kuwait petrol cost R<0.30 cents. That is called sibsidy. This is sapu habis habis. Hope Sabah quickly split from Malaysia or they will be sucked dry and clean

    Like or Dislike: Thumb up 24 Thumb down 4
  • takNakP1 on Oct 27, 2014 at 10:54 am

    most of the time simple things just made complex & complicated for popularity reason.

    i believe the lower income group or poor main concern is not petrol subsidy. what they concern most is how much food they can put on the table with what they earn.

    with petrol subsidy, for the fame of a “caring government” sekejap naik, sekejap turun (GE) is cause more harm to them because necessity price will only follow “sekejap naik” but never follow “sekejap turun”. Adjusting petrol price naik/turun 10 times will cause the necessity price up 5 times. Imagine something cost RM3.00 will become more than RM4.50.

    how much of petrol can the poor use for a motorbike? RM50/month? How much of petrol of the eligible upper income group use? RM500/month? Which group benefit most?

    Petrol subsidy is not helping the poor. It is doing more damage than good.

    Like many said, FLOAT THE PETROL PRICE.
    To simplify the “caring government” fame give them monthly BR1M. Only eligible and needy people will go to apply.

    Like or Dislike: Thumb up 27 Thumb down 1
  • gaviny on Oct 27, 2014 at 10:56 am

    TAAAA DDAAAAA!!!!

    i already predicted this before, but forgetful malaysians cannot remember anything after six months, all like to get excited.

    you put your flip flop in, you put your flip flop out, you put your flip flop in and shake it all about.

    you do the terima kasih BN for flip flopping for prihatin to the rakyat that’s what it’s all about

    Like or Dislike: Thumb up 18 Thumb down 1
  • BeemerFreak on Oct 27, 2014 at 11:04 am

    What if the mykad belongs to an individual who is working overseas. IRB will not have any info on them, will then the relatives will just take advantage of this and use their mykad for subsidized petrol….this is the wrong way to charge fuel.

    Instead improve the public bus services tremendously and then charge all user the same rate at pumps. Let them decide on the amount of fuel that they use. No pain no gain, if they continue to be subsidized they will never learn how to save.

    And yeah, get rid of the excise duty, that is a 20th century nonsense created by a senile old man. We are the future, we don’t need and don’t want that.

    Like or Dislike: Thumb up 16 Thumb down 1
  • encikpadil on Oct 27, 2014 at 11:11 am

    when the time comes, choose wisely. dare to change anyone? they asked us to transform right. ur wish is my command. gladly.

    Like or Dislike: Thumb up 13 Thumb down 0
  • structure on Oct 27, 2014 at 11:16 am

    Ron95 needs no restructure one lah. It’s the retarded minister and government that need a major restructure.
    Its easy, just increase the price by 20 cents every 6 months and make the rakyat suffer so the cronies can be richer.

    Like or Dislike: Thumb up 17 Thumb down 0
  • jimmy on Oct 27, 2014 at 11:26 am

    just open the book of petrol price from international standard price, so follow the international market price then let ppl to choose to fuel in . remove BRIM to minimise the expenditure……. then cut more tax

    Like or Dislike: Thumb up 5 Thumb down 0
  • hashim on Oct 27, 2014 at 11:27 am

    Hapuskan subsidi minyak kepada semua orang. Semua akan beli pd harga yg sama (harga pasaran). Selepas itu, wujudkan 1 pusat pungutan subsidi minyak di LHDN. Rakyat berpendapatan rendah yang berminat untuk tuntut subsidi boleh datang tuntut di situ. Saya yakin kerajaan akan jimat duit sebab sudah tentu ada rakyat berpendapatan rendah yang malas nak pergi tuntut subsidi itu.

    Like or Dislike: Thumb up 27 Thumb down 1
    • Axia 20KM/Liter on Oct 27, 2014 at 12:20 pm

      Betul tu, boleh juga tengok mana-mana pendatang haram bawa Mykad tuntut subsidi. Senang sikit Jabatan Imigresen pergi tangkap.

      Like or Dislike: Thumb up 18 Thumb down 0
    • policeman on Oct 27, 2014 at 1:16 pm

      Most sensible suggestion I’ve read here.

      Like or Dislike: Thumb up 4 Thumb down 1
    • disgruntledBMWowner on Oct 29, 2014 at 10:50 am

      Ya betul, hapuskan subsidi. tak memanfaatkan langsung.

      Harga asal ron 95 RM 0.30 sen/liter

      Lepas subsidi BN ron 95 RM2.30/liter

      Hidup BeEnd

      Cuba survey harga petrol di negara Arab. Lebih murah dari air. Itu baru subsidi betul

      Like or Dislike: Thumb up 0 Thumb down 0
  • I’ve notice there’s no October announcement from kpdnkk on petrol price subsidized at petrol station. I wonder how much the GOV has been subsidized for us since the world price has drop to $81.

    Like or Dislike: Thumb up 10 Thumb down 0
    • Ayam & Hippo on Oct 27, 2014 at 11:36 am

      Hahahaha…
      In oct 2014, we are subsidizing G around RM0.10/liter as international oil price drop drastically

      Like or Dislike: Thumb up 14 Thumb down 1
    • Low Budget on Oct 27, 2014 at 12:49 pm

      The farking problem is when world price fall, Petronas will also ‘untung’ less thus the Gomen cannot suck out more money from Petronas, so how?

      Like or Dislike: Thumb up 4 Thumb down 2
  • This and the Br1m system is unfair and eligibility was not properly studied. What about those people whom are not working because they are already rich from inheritance etc? Those retired with lots of cash and properties? Youngsters with rich parents? I know quite a few of them and they are eligible.

    Like or Dislike: Thumb up 5 Thumb down 2
  • How does one expect the government to complete the fuel subsidy rationalisation when the entire lot are irrational in their thoughts and speech?

    Like or Dislike: Thumb up 8 Thumb down 0
  • 4G63T DSM on Oct 27, 2014 at 12:05 pm

    After beating around the bush, now they say they are still not sure.

    Poor people wont benefit from the subsidy (if any). This comes from right from the minister’s mouth, since he says they only use 7.5L of petrol.

    If I’m poor and my means of transport is a kapchai..how much fuel do you think I will end up using a month?

    So subsidize what then?

    Business owners wont get subsidy, so your cost of goods will go up anyway.

    Why bother with this MyKad nonsence? Must as well remove the subsidies all together. This is just a smokescreen to please the rural folk…which wont be getting much subsidies anyway.

    This MyKad nonsense will cost the government more money trying to implement than what the subsidies will save.

    Like or Dislike: Thumb up 13 Thumb down 0
  • wiralution on Oct 27, 2014 at 12:16 pm

    Damn! Where’s the ‘middle-income group’ lies?

    Like or Dislike: Thumb up 8 Thumb down 0
  • kemosabe on Oct 27, 2014 at 12:16 pm

    Seems like a plot to polarised the country into the rich and the poor. Middle class folks will have to either become rich or join the poor.
    Petrol is only one part of our costs of living. The other factors that causes our costs of living to go higher is more important, and that is the one that is not addressed.
    My friend just got back from Japan, he mentioned price of food there was roughly the same as 12 years ago. Imagine our price of food 12 years before, and for the next 12 years.

    Like or Dislike: Thumb up 7 Thumb down 0
    • nabill (Member) on Oct 27, 2014 at 12:39 pm

      Japan have been in a deflation since more than a decade ago thats why ur friend say prices have been the same…totally different stroy

      Back to our petrol fiasco,its impossibel to catogorize people according to their incomes,n we dont have any accurate data of wveryone…how abt if someone is self employed ie freelance, n not registered under any employee…how u gonna catagorize that…
      i agree with most,either remove subsidy all together or tax everyone the same…there bound to b plenty of loopholes to exploit…

      N we r not exactly know to b efficient to actually work out a system…

      Theres a million way to improve the lives of the less fortunate if they r really sincere to help ….n doing this stupid system is NOT one of them

      Like or Dislike: Thumb up 6 Thumb down 0
    • Low Budget on Oct 27, 2014 at 12:55 pm

      12 years ago, our nasi campur is around RM 2.80 to 3.00 today its around RM 5.50 to 6.00, so its almost 100% increase, I can fore see after next June it will be RM 7.50 to RM 9 They keep telling us the inflation rate is 3%, even their mama also don’t believe in them.

      Like or Dislike: Thumb up 11 Thumb down 0
    • policeman on Oct 27, 2014 at 1:23 pm

      Price of chicken 12 years ago was around RM6 per KG. Last week at Econsave it was RM4.99.

      Soft drinks prices are still the same, RM3 per 1.5L bottle. Sometimes it is around RM2.65.

      Ice Cream price still same, RM5.99 for Kings 1.2L

      Harga sayur/buah same lah cos tanam sendiri.

      Like or Dislike: Thumb up 0 Thumb down 14
      • Abu Sayur on Oct 27, 2014 at 3:13 pm

        but kangkung price turun!!

        Like or Dislike: Thumb up 4 Thumb down 0
      • ah chong on Oct 28, 2014 at 5:32 pm

        Hey Policeman. I pay u rasuah to closed 1 eye.. i didn’t ask you to talk cocktail on behalf of gomen… In the end pocket money u got is.more thn you basis salary.. who’s ur God father?

        Like or Dislike: Thumb up 2 Thumb down 0
  • This is BS. Upper bracket already pay more tax, now no more fuel subsidy. Whats next?! Increased toll/food prices for the upper bracket? There are some upper bracket families that have to support their less fortunate relatives, how is this fair for us?!

    Like or Dislike: Thumb up 11 Thumb down 0
  • heybadigol (Member) on Oct 27, 2014 at 1:36 pm

    Petrol should never be subsidised in my personal opinion. It is a limited resource, hence it should be priced accordingly. Eventually, it will be as rare as gold. Are we going to still be subsidising petrol then, when its RM10 per litre (it could happen sooner than later)? By subsidising, people will just waste it rather than use it wisely.

    In my 2 sen opinion, we should remove the petrol subsidy entirely, and to make up for the increase in cost of living, perhaps personal income tax rates can be reduced. Or BR1M benefits can be increased. That way, only those who declare their income with LHDN (and who fall in the low income bracket), will get BR1M. People who evade taxes & don’t declare income, will not get any BR1M. Of course, this will be only useful to those who still earn income, and will result in retirees being left out (they no longer pay income taxes, so a reduction would make no sense). Why not offer BR1M to them as well?

    Like or Dislike: Thumb up 3 Thumb down 2
  • BeemerFreak on Oct 27, 2014 at 2:14 pm

    Why should we be paying market rate when we are getting substandard fuel. Market rates are based on EURO 5 grade petrol and diesel, and we are getting EURO 2M. Stupid G never use brain for evaluation. Give us EURO 5 NOW……..

    Like or Dislike: Thumb up 14 Thumb down 0
  • droll on Oct 27, 2014 at 2:20 pm

    the problem here is statistics and data. the government doesn’t have a lot of information about the population to implement this. a lot of the cases / situations cited in the comments here are valid but what % of the petrol consuming population falls into each category? without this information, you will always be trying to solve 100% of the problems. you could end up spending 80% of your budget to solve 5% of the problem.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Not foolproof if strictly based on salary . results can be biased. besides i can always pinjam my lower salary friends/relatives’s IC & thumbprint to pay for petrol.

    Scene “A”:
    Married & Earning RM10k (after EPF & Tax about 8k, income tax of RM1.2k per mth), wife not working, having 4 kids, renting a house + loads of other commitment.

    VS

    Scene “B” :
    Single & Earning RM5k (after EPF & Tax balance is 4k, income tax RM400per mth), living with Parents (FAMA support foods and stay).

    wonder who needs the fuel subsidy most? + BRIM / Prima etc?

    Like or Dislike: Thumb up 4 Thumb down 0
  • Henry on Oct 27, 2014 at 3:54 pm

    This is the most soh-hai idea. The high income fellas are already paying so much tax. Now you want to wallop them some more? Do the right thing and not what is popular.

    Like or Dislike: Thumb up 4 Thumb down 0
  • Sompua on Oct 27, 2014 at 4:06 pm

    don’t worry, lets the G implement the system
    let’s together we beat this system, once and for all

    Like or Dislike: Thumb up 2 Thumb down 0
  • Patrick Yee on Oct 27, 2014 at 4:19 pm

    What I dun understand is why high income group doesn’t entitle to petrol subsidy? We must not forget high income group people are also Malaysian who already paying higher income tax than the lower income group. I agree help should be rendered to the needy but isn’t it a joke to deny those who pay higher income tax from petrol subssidy. High income earner = high income tax = 0 petrol subsidy???? You go figure it out what logic is this?

    Like or Dislike: Thumb up 8 Thumb down 0
    • paparadzi (Member) on Oct 27, 2014 at 7:34 pm

      Double (or actually, multiple) taxation.

      Like or Dislike: Thumb up 0 Thumb down 0
    • maybe the so called graduates does not even have the knowledge about this field or the U skipped this matter? lol somehow I really cannot accept these kind of policy.

      I love HK protes’s students, they are future leaders so demand proper system, Malaysia? ruler generations..so rich one, prepare to pack and migrant.

      Like or Dislike: Thumb up 0 Thumb down 0
  • well, what if my salary is rm4000, but i received allowance rm10k through cheque. i’m definitely going to receive full subsidy since LHDN only capture rm4000 salary but not my RM10k allowance.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Anonymous on Oct 27, 2014 at 4:40 pm

    remove the petrol subsidy, but upgrade the petrol to euro 4-6

    Like or Dislike: Thumb up 2 Thumb down 0
  • Simon Hoh on Oct 27, 2014 at 6:27 pm

    Potential pocket money for large poor families. They just need to share their unused quota and make a couple of hundred if its a big family. :)

    Like or Dislike: Thumb up 0 Thumb down 0
  • Maserati(Official) on Oct 27, 2014 at 6:41 pm

    The government is doing a fantastic job in introducing the 3 tier system

    it’s simple really, the rich will subsdize the poor, while the poor will have lesser burden,,, u cant get any fairer than that

    we malaysians must be caring and give back to the society, like how the government disburse the many br1m back to the poor. if the poor suffers, the country suffers as poor ppl will rob and do anything to meet end needs, then the rich will complain crime increases etc.. fortunately this has not happened yet as everyone knows malaysia is still peaceful but dont take this for granted!!

    we must be thankful that our government is doing these good deeds in this time and age, there’s no other government which are helping the poor

    Like or Dislike: Thumb up 3 Thumb down 8
    • It was rm950 I heard? divided by 365 days……crap the whole policy and yet when I was listening to FM, there are people who said “oh i was glad government giving br1m, it helps me to go through my day”

      sigh~

      Like or Dislike: Thumb up 1 Thumb down 0
  • paparadzi (Member) on Oct 27, 2014 at 7:32 pm

    High income people don’t pay income tax, do they?

    Like or Dislike: Thumb up 0 Thumb down 0
  • Albert on Oct 27, 2014 at 9:44 pm

    How to implement? The petrol stations are manned by mostly foreigners.
    Will forged ICs be rampant?
    Is this a get rich scheme for cronies to come out with some Billiondollar software to segregate the rich and poor?
    If you want to target the rich,just increase their income tax.
    Why hurt those like us who are neither poor nor rich?

    Like or Dislike: Thumb up 3 Thumb down 0
  • christopherG on Oct 27, 2014 at 10:16 pm

    Can use MyKid to pump petrol or not ah?

    Like or Dislike: Thumb up 0 Thumb down 0
  • Kuli Bapak Kau on Oct 27, 2014 at 10:20 pm

    Government do not effect their income because they got Petrol Card to refill their cars. No big issue to them!

    How about people who do not declare their income at LHDN?
    How about people that got many kids?
    How about people that stay outside town area?

    etc :
    1- People that income RM15,000 per/month can get BR1M because they are not declare their income at LHDN.
    2 – People with their income RM8,000 and got 10 kids..are government consider into this??
    3 – People that bought their house far away from town area…and their income is RM5,000 per/month…

    This is the most stupid solution that Malaysia Government want to implement….

    Like or Dislike: Thumb up 5 Thumb down 0
  • Kuli Bapak Kau on Oct 27, 2014 at 10:27 pm

    Government servant do not effect their income because they got Petrol Card to refill their cars. No big issue to them!

    How about people who do not declare their income at LHDN?
    How about people that got many kids?
    How about people that stay outside town area?

    etc :
    1- People that income RM15,000 per/month can get BR1M because they are not declare their income at LHDN.
    2 – People with their income RM8,000 and got 10 kids..are government consider into this??
    3 – People that bought their house far away from town area…and their income is RM5,000 per/month…

    This is the most stupid solution that Malaysia Government want to implement….

    Like or Dislike: Thumb up 2 Thumb down 0
  • Kastam Malaysia on Oct 27, 2014 at 11:18 pm

    Data from FY2013
    Royal Custom Duty on Car = RM13 Bil
    Subsidy on Fuel = RM25 Bil

    FY2015, more car will be on the road, statistic show FY2014 increase by 10% volume to 6xxk New Car registration, Mean Gov will be dying soon for fuel subsidy.

    They need to rationalize this as soon as possible.
    They didn’t reliaze that fuel subsidy can balloon into such as huge amount compare to car duty collection.

    Good luck Gomen!!

    Like or Dislike: Thumb up 0 Thumb down 2
    • Maserati(Official) on Oct 28, 2014 at 8:42 am

      exactly! this is the point I’m trying to put across in this website but yet many ppl flame me for this

      the gov don’t owe u a living, instead u rakyat have been leeching the gov for so long on the subsidized fuel, its time to put a stop on this so the government can have a surplus in their income to focus more on development projects to enrich the rakyat in their soft and hard skills

      stop having the tongkat mentality, remember the gov don’t owe u anything!

      Like or Dislike: Thumb up 0 Thumb down 3
      • just-pass-by on Oct 28, 2014 at 3:25 pm

        The government doesn’t own ppl anything if they have done a good job. They can raise any price or tax whenever they want and it will fine. But they owe ppl a lot if they squander, pocket the money and doesn’t put it to good use.

        Like or Dislike: Thumb up 3 Thumb down 0
      • RejimKejamGanas on Oct 28, 2014 at 11:44 pm

        A large portion of the fuel subsidies goes to IPPs. With population increase and production increases, the needs for electricity goes up too.

        How about the govt stop leeching from the rakyat too? Like wasting money like there is no tomorrow and funding scams like 1MDB.

        Like or Dislike: Thumb up 2 Thumb down 0
  • BuRaIaN on Oct 28, 2014 at 12:47 am

    If they really want to help the ‘poor’, when the system is implemented, they should lower the price of subsidized Ron95 below RM2.10 where it is supposed to be, instead of swallowing the earnings they took from the ‘rich’.

    Like or Dislike: Thumb up 0 Thumb down 0
    • Maserati(Official) on Oct 28, 2014 at 8:50 am

      the earnings are channeled back via br1m, government is keeping to its promise to help the poor, what more do you want from the government?

      Like or Dislike: Thumb up 0 Thumb down 1
      • flippityflippityflop on Oct 28, 2014 at 10:21 am

        a)you teach a person how to fish and he can self sustain for life.
        b)not give a person fishes every month and he will sit under a tree waiting for free fishes everyday
        c) Gov should do something to help the poor increase their earning capacity, not give BR1M monthly or yearly. this is crap. Why keep tyring to find ways to squeeze money from Raykat to pay for BR1M? If you cannot pay, dun do it. period.
        d)Maserati you dumb ass(your posts sounds like a blind supporter)
        e)I want the Gov to do the right thing. ie. remove fuel subsidy and reduce car duty for a start.
        f) I want the Gov to reduce wastage and leakages through controlled spending at Gov events etc…
        g) I want the Gov to do many things for the Raykats but …1st..pls do the above 1st before we ask for more…!!!!

        Like or Dislike: Thumb up 4 Thumb down 0
  • old dog on Oct 28, 2014 at 1:48 am

    implementing the so-called system is the way to loot the subsidy money to the cronies. period.

    that is the whole point.

    Like or Dislike: Thumb up 2 Thumb down 0
    • Maserati(Official) on Oct 28, 2014 at 8:43 am

      it goes back to the government coffers which will be channeled to the development fund for the betterment of Malaysia as a whole, not only cronies which is hard to come by these days due to the transparency of our government practices these days! fuel subsidies need to go!

      Like or Dislike: Thumb up 0 Thumb down 3
  • CrudePriceFalling on Oct 28, 2014 at 8:41 am

    Expert predict crude oil falling till US70/barrel by 2015, Govt are still talking about subsidy control and nothing mention about fuel price drop.

    Like or Dislike: Thumb up 3 Thumb down 0
  • just-pass-by on Oct 28, 2014 at 3:57 pm

    When the time comes, the 3-tier system will be scrapped la. It’s impossible to be implemented by next year. Those politicians are very good in coming out with all these “grand” solution, over simplified theory, unpractical, nightmarish implementation, one fix for all problem stupid idea. If it is implemented, you will see the bangla station attendant also doing consensus survey on high/low income earner everyday. JPN charge you higher penalty for lost mykad because their system shows you are high income earner. and you will see more ppl bringing their kid or retired grandfather to petrol station to have a walk. Or maybe bribe the cashier and still make some saving, everyone happy.

    Like or Dislike: Thumb up 1 Thumb down 0
  • I am a student and I’m wondering which group I am belong to.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Eddy Irwan on Oct 28, 2014 at 5:01 pm

    Kenapa letak gambar shell?

    Like or Dislike: Thumb up 0 Thumb down 0
  • I am high income group and should pay more huh? Why can’t I save more money that I worked for and create a better living style and as well for my future plan? It is I earn $10,000 and give $9000, left $1000 for me to live with? Are G promoting this kind of living style? Citizen salves??

    This policy sounds retard for me just like the women can’t drive/shopping in Arab. It’s obviously squeezing every cent from citizen.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Why not every working citizen pay their tax according to their working state? For example citizen work in Miri pay tax directly to the Miri state and few % goes to whole (Malaysia). Isn’t this sounds better? The money are directly goes into development projects without the to go through troublesome……..

    After all those century, only certain state are developed. Do we have this policy?

    Like or Dislike: Thumb up 0 Thumb down 0
  • limlawpei on Oct 28, 2014 at 8:51 pm

    This would cost absolute millions to get a system in place…and a big portion of that would to go a privileged few. And then it would be dumped after suffering massive failure and who pays for it?

    Like or Dislike: Thumb up 2 Thumb down 0
  • alvin on Oct 30, 2014 at 2:57 pm

    if public transport can reach my working place, thn i no bother bout it. but cant.. so, i need a car, i dont dare ride motor. i using old wira, no airbags no tsc no abs no vsc. i spent time on road longer, higher risk i got.so i need a better car, oh wait, new car is mahal, cheap car still no vsc tsc, oh wait, iriz got them..now you know why our better equip car is mahal..

    Like or Dislike: Thumb up 0 Thumb down 0
 

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