PDAM voices its concerns over fuel price discounts

PDAM voices its concerns over fuel price discounts

Yesterday, it was reported that the domestic trade, cooperatives and consumerism ministry (KPDNKK) expects that fuel prices will increase or decrease between five to 10 sen after the switch to the new weekly fuel ceiling price mechanism is made. The new scheme begins from tomorrow, March 29.

With pricing set to be fluid, things could get even more dynamic with fuel discounts, but the Petrol Dealers Association of Malaysia (PDAM) says it is concerned about the implications brought about the latter, The Star reports. The association reiterated its concern that some dealers, especially those shifting less volume, will not be able to afford taking that route as they did not have the profit margins to offer such discounts.

The potential for discounts comes following the announcement made by Datuk Seri Hamzah Zainuddin that petrol station operators can either follow the set fuel ceiling price dictated by the system or offer fuel at a lower price, provided they had obtained prior approval from the ministry.

PDAM voices its concerns over fuel price discounts

The association’s president, Datuk Khairul Annuar Abdul Aziz, said it was not clear how these incentives or discounts can be offered. “The ministry has not spelled out the circumstances under which dealers are allowed to give discounts,” he explained, adding that association members will abide by the weekly pump price revision by the ministry.

He said that even though KPDNKK has given oil companies and dealers the opportunity to offer discounts with the ministry’s permission, PDAM will have to look at how viable the move is to the business.

Under the new system, the government will announce the new prices for petrol and diesel on a weekly basis every Wednesday, with the new weekly price coming into effct at midnight the following day.

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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

  • Petrol dealers = businesses

    Ada aku kesah diorang complain?

    Like or Dislike: Thumb up 1 Thumb down 2
    • basherlogic on Mar 28, 2017 at 9:25 pm

      Jangan persoal kebodohan diorang = Authorities

      Like or Dislike: Thumb up 0 Thumb down 0
      • WT Fuchhh on Mar 29, 2017 at 8:46 pm

        If Jack Ma, Alibaba can come in and kill off Malaysian retailers, why not a little competition among petrol dealers!

        Like or Dislike: Thumb up 1 Thumb down 0
  • As i said, PDAM is right. Small players will go out of business if it is free competition. That’s why we have protection in place for Proton, so that more consumers support our local products. Maybe Proton should give discounts like petrol station? No?

    Like or Dislike: Thumb up 2 Thumb down 7
  • Perkara bukan baru, rasanya telah dilaksanakan di negara maju lain. PDAM kena lihat stesyen minyak sebagai perniagaan, kena berubah supaya kekal relevan. Tingkatkan prestasi dan jadikan teksi-uber sebagi kes untuk dipelajari.

    Like or Dislike: Thumb up 4 Thumb down 3
  • Malaysia Boleh on Mar 28, 2017 at 12:25 pm

    No profits is a joke pls!

    Like or Dislike: Thumb up 11 Thumb down 0
  • Kelab Penyayang Kunta on Mar 28, 2017 at 12:27 pm

    PDAM are a bunch of greedy fools. Nobody can forget when petrol went down by 10 sen, they had the guts to ask the Government for compensation.

    But they forgot to tell Government that when countless of times petrol went up many times, even by 30 sen, they made millions each.

    Like or Dislike: Thumb up 34 Thumb down 0
  • Kelab Penyayang Kunta on Mar 28, 2017 at 12:30 pm

    It is high time the petrol station licenses be open to every rakyat in Malaysia and not to the selected few. Just like the AP, the PDAM is not competitive enough to give the rakyat healthy discounts whilst they themselves reap millions.

    Also it is unfair when a few politically connected big guns got about 15 licences each. Imagine how many millions per month they each make.

    Open it to the public. Everyone in Malaysia deserve to run a station if they can do so.

    Like or Dislike: Thumb up 18 Thumb down 1
  • Not Toyota Fan on Mar 28, 2017 at 12:47 pm

    These people has been living in a protected business environment that they now fear open competition. In free open competition, if the seller wishes to sell at 5sen, that is his pasal.

    Like or Dislike: Thumb up 20 Thumb down 0
  • Daniel on Mar 28, 2017 at 12:59 pm

    Petrol station operator runs a business…. they can decide if they want to compete by giving discounts or not. Those who cannot compete shouldn’t be in the business. Some operators may be business minded to take opportunity to sell fuel cheaper as they might have purchased fuel at lower rate…. so to move stock….. plus if they run a convenience shop…. that’s another income generator which is not controlled.

    Like or Dislike: Thumb up 19 Thumb down 0
  • Salmon King on Mar 28, 2017 at 1:08 pm

    PDAM hints it’s going to sell at max ceiling price set by your ruler every week, therefore it ain’t gonna offer any discount…

    Like or Dislike: Thumb up 16 Thumb down 1
    • RejimKejamGanas on Mar 28, 2017 at 6:11 pm

      People are so delusional that they think that the PDAM cartel is going to let it’s members go on a price war. It is silly to think that they are not going to strong arm their members to follow the herd. All this wayang between PDAM and KPDNKK is just to show the public that the gomen is doing something about the ridiculous petrol pricing. If the KPNKK is so confident that this is the way, then why does any petrol dealer need permission them before giving any petrol price discounts? As long as the dealer does not sell above the ceiling, who the hell cares?
      Also, why no anti-cartel laws? Open the petrol dealer licenses to balloting and ban PDAM. Then only we can see competitive fuel pricing in the market.

      KPDNKK has failed repeatedly to protect consumers from price fixing. Apa sudah jadi dengan aduan dari FOMCA atas pencatutan harga barang oleh Nestle? Harga Milo, Nescafe dan Maggi naik mendadak tak leh nak kawal, nak wayang dengan harga minyak lak.

      Like or Dislike: Thumb up 11 Thumb down 1
    • RejimKejamGanas on Mar 28, 2017 at 6:16 pm

      People are so delusional that they think that the PDAM cartel is going to let it’s members go on a price war. It is silly to think that they are not going to strong arm their members to follow the herd. All this wayang between PDAM and KPDNKK is just to show the public that the gomen is doing something about the ridiculous petrol pricing. If the KPNKK is so confident that this is the way, then why does any petrol dealer need permission from them before giving any petrol price discounts? As long as the dealer does not sell above the ceiling, who the hell cares?
      Also, why no anti-cartel laws? Open the petrol dealer licenses to balloting and ban PDAM. Then only we can see competitive fuel pricing in the market.

      KPDNKK has failed repeatedly to protect consumers from price fixing. Apa sudah jadi dengan aduan dari FOMCA atas pencatutan harga barang oleh Nestle? Harga Milo, Nescafe dan Maggi naik mendadak tak leh nak kawal, nak wayang dengan harga minyak pulak.

      Like or Dislike: Thumb up 5 Thumb down 0
  • Azni Sydney on Mar 28, 2017 at 1:22 pm

    Pity Malaysians gotta bear with flippant & inconsistent Gomen bureaucrats.

    Like or Dislike: Thumb up 13 Thumb down 2
  • Konga89 on Mar 28, 2017 at 1:44 pm

    Now this shit story on daily basis to Further mentally torchure us and scare rakyat on going basis…biasa to developed country to practise this but when comes to boleh land it’s intentionally complicated to it’s max level.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Why the concern on fuel discounts? This is great news for customers to shop for the cheapest fuel price, given that the retailers could now set the price below the price ceiling to attract more customers. I for once think it would be a great way for Malaysian consumers to save (from cheaper and discounts) and small retailers to get more fuel sales(from selling it below the ceiling price. This happens on a daily basis in Australia (with loyalty discounts and cheaper fuel offered by smaller fuel retailers), so I don’t see it would be a problem for the Malaysian market.

    Like or Dislike: Thumb up 8 Thumb down 0
  • It's called competition on Mar 28, 2017 at 2:18 pm

    Get with it. If you can’t compete, let’s not artificially marked up the price. Let the market decide.

    Like or Dislike: Thumb up 3 Thumb down 0
  • SoFarSoFail on Mar 28, 2017 at 2:19 pm

    Similar to GST, government shiok sendiri give statement through media without discussing and communicating with relevant parties beforehand.

    Policy kasi complete dulu lah.

    DO YOU KNOW WHY GOV GO FOR THIS?

    It’s because of they wanted the blame of oil price hike to be pointed to the dealer instead.

    Like or Dislike: Thumb up 7 Thumb down 5
  • Albet on Mar 28, 2017 at 2:41 pm

    PDAM should be renamed PCBdam…Petrol Cry baby Dealers ASSOCIATION of Malaysia.
    This cannot,that cannot….like spoilt toddler asking for icecream one moment,then throwing away n sulking.
    Hello….pls give up your licence.There r many hundreds out there,in a long waiting list.

    Like or Dislike: Thumb up 15 Thumb down 0
  • If cannot compete close down lor. Whats there to worry

    Like or Dislike: Thumb up 9 Thumb down 1
  • Jamari on Mar 28, 2017 at 6:38 pm

    This datuk2 always talk like cock…wtf

    Like or Dislike: Thumb up 4 Thumb down 0
  • Hmm... Much Hmm on Mar 28, 2017 at 9:55 pm

    Simple: better services if you want more customer while charging more. Eg: drive up into the filling station, an attendant will fill the petrol, then fill the tyre, check oil level, check washer fluid level, wipe windscreen and etc etc. Honestly i’m happy to pay full price if I can get that level of ‘japanese/korean’ courteous services here, and I know I’m not the only one.

    Like or Dislike: Thumb up 0 Thumb down 0
  • gigi kuning on Mar 28, 2017 at 11:17 pm

    F@cked up PDAM and the petrol station owners…..
    Worst that spoilt babies…

    Like or Dislike: Thumb up 1 Thumb down 1
 

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