Keep fuel revisions monthly, says local SME president

RON-95-Petrol

An SME authority has spoken out against the recent proposal by the Malaysian Petrol Dealers Association to have fuel prices revised on a weekly basis. Michael Kang, the national president of the Small and Medium Enterprise (SME) Association of Malaysia rejected the idea, calling for the government to maintain its current monthly revisions instead.

According to The Star, Kang said that should weekly fuel price revisions be implemented, “SMEs will need to start monitoring the global oil price to do their budget forecast if the cost of fuel is one of the major components in their operational costs.”

Kang agreed, however, that should fuel prices remain stable or keep going down like it has for January 2016, the proposed system could benefit SMEs. But should prices suddenly be increased, it will burden them. The SME association’s president said that, “it’s good if the oil prices keep going down, but bad if the oil prices increase suddenly as it will be out of control for SMEs in terms of cost,”

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Datuk Low Kian Chuan, secretary-general of the Association Chinese Chambers of Commerce and Industry of Malaysia shared Kang’s sentiments, but added that, “businesses know how to adjust to it, most know how to do the forecast. Normally, oil prices only change between three and five percent.”

He continued, “only if the price fluctuates more than 10% will it affect businesses.” Stating that the manufacturing industry has already adapted to buying oil at different prices every day according the market rate, Chuan believes that it would be better for Malaysians to also adopt daily fuel price revisions.

How would you feel about weekly or even daily fuel price revisions? Share your views with us in the comments section below.

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Chris Aaron

With an equal passion for fast cars and everyday workhorses, Chris Aaron maintains a passion for European makes, Formula 1, playing the electric guitar and spending endless hours on the PlayStation - first-person shooters and the Gran Turismo franchise are his favourites. He also finds it strange to have written this in the third person.

 

Comments

  • People on Jan 04, 2016 at 11:17 am

    People want open market. Make it weekly i say, They want to live like real Europeans however at the same time very hard to use the signal indicator in their cars. Pffft.

    Like or Dislike: Thumb up 25 Thumb down 0
  • ron97 is already without subsidy. why government still want to control the prices. just let the dealer update the price, daily or weekly is up to them.

    Like or Dislike: Thumb up 23 Thumb down 0
  • Vincent Ang on Jan 04, 2016 at 11:28 am

    Free the car and fuel market just like the US or England. However, I doubt Malaysians will ever be ready to compete in a free market. The NEP has crippled all Malaysians.

    Like or Dislike: Thumb up 14 Thumb down 4
  • superbird #43 on Jan 04, 2016 at 11:56 am

    i dont care who’s saying what to who.
    if it was me, sabah, sarawak and terengganu should permanently enjoy a cheaper fuel price in the country.
    forget about what the datuk and sme president said.
    if price always changed, economy will be destabilised as a result.

    Like or Dislike: Thumb up 5 Thumb down 8
  • Sooner or later it will boils down to Malay vs Chinese again. Cant we for once unite against the corrupt regime and also unite to boost the country economy?

    Like or Dislike: Thumb up 6 Thumb down 3
    • Are you talking about the corrupt private business regime that has a quasi-cartel hold on the economics?
      Those pipu that deals behind the walls of nightclubs and set the prices with just a handshake, no incriminating paper trails?
      Those that would not think twice to make life doing business difficult for those who would not follow and toe the line?

      Like or Dislike: Thumb up 1 Thumb down 0
  • Consumer on Jan 04, 2016 at 1:15 pm

    Has the formula of fuel price calculation been reveal so far?

    Like or Dislike: Thumb up 10 Thumb down 0
  • Chris Ong on Jan 04, 2016 at 1:52 pm

    Let the operator decide their price. They can change anytime or any hour they like, government shouldn’t be bothered.

    As long as there is competition, the price will go by the market.

    Like or Dislike: Thumb up 5 Thumb down 0
  • Susukotak on Jan 04, 2016 at 1:55 pm

    Do it weekly.

    Like or Dislike: Thumb up 3 Thumb down 1
  • Sammy Loo on Jan 04, 2016 at 6:10 pm

    only those tai lan ngong kimchi owners will worry about fuel price and later on, RV.

    Good fuel efficient luxury car like the Lexus CT200h will not need to worry about the fuel prices and also good RV.

    Like or Dislike: Thumb up 7 Thumb down 5
 

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