Weekly fuel pricing system to remain, says KPDNKK

Weekly fuel pricing system to remain, says KPDNKK

The domestic trade, co-operatives and consumerism ministry (KPDNKK) minister says there will be no change to the current system of announcing fuel prices on a weekly basis, but a new formula to determine fuel prices – which is aimed at stabilising the national oil industry – was still being studied, Bernama reports.

“There are people who want the announcement to be made from weekly to monthly. No, the system that we have right now will remain,” Datuk Seri Hamzah Zainudin said.

Last Friday, he had said the ministry was set to meet with oil industry players this week to discuss a new formula to determine fuel prices. This was to prevent petrol station operators from suffering losses if fuel prices continued to fall under the current method.

Weekly fuel pricing system to remain, says KPDNKK

Hamzah said he had met with industry players to discuss the formula to ensure that it would not disadvantage any party, adding that the government was looking at a ‘win-win’ formula for all parties, including consumers, who would stand to be affected if petrol station operators went bankrupt.

“Currently, the average distance of a petrol station from another is about 25 km, so if one shuts down, it will be difficult for consumers who will need to go far to refuel,” he explained. Presently, there are 3,500 petrol stations operating nationwide.

Last month, the Petrol Dealers Association of Malaysia (PDAM) described the weekly price adjustment system as “unhealthy” and the reason why several station closures had occurred since its implementation at the end of March. At the time, the ministry responded by urging station operators to look for other sources of income to complement the sale of fuels, in order to generate a larger profit.

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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

  • Elchino on Jun 21, 2017 at 10:34 am

    Syabas..Mari puji2 KPDNKK.

    Like or Dislike: Thumb up 0 Thumb down 10
    • YB Kunta Kinte on Jun 21, 2017 at 2:29 pm

      This is all drama. Just to calm the rakyat down. In actual fact, if there was a 8 sen reduction, gomen will just say there is now a 3 sen reduction. The 5 sen will be given to PDAM to make these cronies happy.

      PDAM is like a yoyo. They only wanted weekly. Now, they change their mind want monthly. They themselves don’t know what they want.

      Following whatever system, when fuel prices go down, they make noise but whenever price goes higher, PDAM members make millions each and they keep quiet. But when price goes down (which is rarely), PDAM members demand Government pay them compensation.

      But past 20 years, each made millions in clean profit each year. Why did they not save for a rainy day?

      High time, all petrol lesen is open to all 30 million people in Malaysia. Don’t give it to a selected group like the AP permits. Give it to every deserving Malaysian who can afford to run a petrol station.

      The PDAM are a bunch of greedy cry babies. If they cannot compete, open the lesen up to everyone in Malaysia

      Btw, what happened to the supposedly price war by station operators?

      Gomen said this would be healthy as some stations can sell below the official price.

      What happened? PDAM so stingly, cannot even drop 1 sen for the rakyat but demand gomen to pay them billions.

      PDAM members are all kebal. Cause they are cronies, wives or sons of existing politicians. So, anything they say, Cabinet will kowtow!

      If not, they will play games like today. Firstly do drama and decline PDAM request. Then quietly give them the margin

      Like or Dislike: Thumb up 24 Thumb down 4
  • PitVidic on Jun 21, 2017 at 10:36 am

    When consumer (average citizen) suffers due to the fuel price increases before : KPDNKK said “Meh, just use public transport la, more walking/cycling la”

    When fuel station owner suffers due to decrease price : KPDNKK said “Must help them, to stabilise national oil industry”.

    Blatant favoritism here. Cronism everywhere.

    Well-loved. Like or Dislike: Thumb up 54 Thumb down 2
    • Albert on Jun 21, 2017 at 1:00 pm

      PDAM said weekly pricing UNHEALTHY.
      Who is unhealthy? Consumers or these recalcitrant spoilt dealers?
      High time,we ship these sampans into emerging EXPLODING volcanoes n let true operators from the public take over.
      Worst of all,authorities have some secret adjustment to their fuel formula to bail out these dudes.
      Just shambolic and pathetic.
      The magic word is : BAILOUT…BAILOUT…BAILOUT

      Like or Dislike: Thumb up 14 Thumb down 1
      • YB Kunta Kinte on Jun 21, 2017 at 2:31 pm

        Don’t worry, if today supposed to drop 8 sen, gomen will say only drop 5 sen. then the 5 sen margin, it will be PDAM’s weekly gift.

        Like or Dislike: Thumb up 3 Thumb down 0
  • pengayuhbasikal on Jun 21, 2017 at 11:00 am

    hahahahahaha….if you compare by brand..of course laa average distance 25 km ..

    consumers would be affected so much laaa if one station closed…

    Like or Dislike: Thumb up 6 Thumb down 0
    • Lucky Gong on Jun 22, 2017 at 9:08 pm

      25km for Penang have more than 20 petrol station! KL…> 100? Ha!

      Like or Dislike: Thumb up 0 Thumb down 0
  • kereta_lembu on Jun 21, 2017 at 11:02 am

    Whoever made the decision to introduce the weekly prices and even suggested that petrol stations can even set their own pricing below the ceiling petrol price should be given an award lah. Now price go up also kena, price go down also kena…that’s what you get for not doing proper planning. But its ok, cannot work U-turn aje lah. What’s new?

    Like or Dislike: Thumb up 18 Thumb down 0
  • Ah Kow on Jun 21, 2017 at 11:10 am

    For a slight moment, when I glance at the picture, my brain interpreted that tomorrow’s fuel price will be RM1.60 for RON95. Sigh…false alarm, Brain…

    Like or Dislike: Thumb up 10 Thumb down 1
  • yeah, new formula calculation that is fair to fuel station owners, at the expenses of consumers. as if we are not burdened enough with the rising cost of living.
    this country’s system is getting to where it benefits most to those who can afford investments while those who can just manage to get by every month with their measely wages just continue struggle with no hope for a better life.

    Like or Dislike: Thumb up 3 Thumb down 1
  • in current digital world, can they not link the station & oil companies to be at same page? just charge whatever volume they sell @ current pricing minus the agreed profit. why does it have to be so complicated? win win ma..

    Like or Dislike: Thumb up 2 Thumb down 0
  • pengayuhbasikal on Jun 21, 2017 at 3:46 pm

    long time ago…I believe….its always cheaper when you buy in bulk … not really realistic if you pay the same per liter price when you buy in bulk from Petroleum Producer…

    Like or Dislike: Thumb up 0 Thumb down 0
  • Mummy Yummy on Jun 21, 2017 at 7:31 pm

    All wayang kulit, as usual….

    Like or Dislike: Thumb up 0 Thumb down 0
 

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