New details have been released on the new petrol pricing system that’s set to be implemented on the 1st of May this year. Apparently the different pricing systems will be applied based on “engine capacity” and “socio-economic” factors, though there was no specific numbers unveiled on what the thresholds are.
While we have no details yet as of now on what the threshold of an increase petrol price will be but past government measures might give us a hint. When the price of petrol hit the roof back in 2008, the government announced that a RM625 one-time petrol subsidy would be given to cars with engine displacements of up to 2,000cc, trucks with engine displacements of up to 2,500cc and bikes of engine sizes up to 250cc. We might see these numbers used again for the new subsidy system.
Cars with large engines are already being ‘punished’ with exponentially higher road tax charges but now owners of such cars will have to deal with the fuel prices as well.
Make no mistake about it – with the trend of how things are going, the middle class are just going to be squeezed tighter and tighter. We’ve got to deal with pricier petrol, GST, and many others. You had better plan your finances and monthly budgets for the worse this year, as I don’t think we are going to get any indication of what we are going to face until the last minute. The same report unveiled that details would only be announced on the very day of implementation.
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AI-generated Summary ✨
Comments express skepticism and frustration over the proposed petrol subsidy system based on engine displacement, highlighting its unfairness and practical flaws. Many criticize it for penalizing middle-income car owners with larger engines while benefiting wealthy owners of high-end, smaller-cc cars. Several suggest alternative approaches like income-based criteria or fuel quota systems, emphasizing the difficulty of implementation and potential for abuse. A common sentiment is that the policy is shortsighted, rewarding loopholes and unfairly punishing ordinary Malaysians, especially middle and lower classes. Others lament the government’s lack of long-term planning and transparency, calling the move an ineffective and flawed solution that could worsen economic inequality and encourage illegal activities. Overall, the tone is predominantly critical, with concerns about unfair discrimination, practical enforcement issues, and the broader economic consequences.