Petronas Station

We might see another fuel hike soon, or we might not, but whatever happens, ultimately we are going to get better quality fuel in this country.

The government has amended regulations with fuel, and by the end of March 2007, sulphur content in diesel will go down from 0.3 percent to 0.05 percent, and for petrol, it will go down from 0.15 percent to 0.05 percent. All oil companies in Malaysia will have to adhere to the new standards.

This also means we might be seeing a new price of RM1.96 per litre for petrol and RM1.62 per litre for diesel by the end of March 2007, as the extra refinery process is expected to cost an additional 3 or 4 cents more per litre of fuel.

We’re finally moving to Euro II, from the current MS123 diesel and MS118 petrol standards. Euro II, or EC96, limits car emissions to 7 g/km of NOX and 0.15 g/km of PM (Particle Matter).

European Union countries put Euro II into effect back in 1995, more than 10 years ago, and it was phased out with a new Euro III standard in 1999. Europe moved to Euro IV in 2005, and diesel trucks will have to comply with a new Euro V standard in 2008.

So, everyone hold your breath for 31st March 2007. We might be seeing another fuel price hike. But in return, we’ll get a cleaner environment with less hazardous pollutants!