Tomorrow’s reinstatement of weekly fuel price updates has now been postponed amid opposition from the Petroleum Dealers Association of Malaysia (PDAM), according to The Edge Markets and Astro Awani. This reverses an announcement made by finance minister Lim Guan Eng last week that would see the managed float mechanism return, having been put on hold in the wake of the 14th general election.

Lim released a statement saying that the government will first study PDAM’s request to raise the sales commission of its members to cover the likely higher operating costs, adding that “the prime minister will meet with PDAM soonest possible.” The association is looking to raise the commission to 15 sen per litre for both petrol and diesel, up from 12 sen and seven sen respectively.

As a result, fuel prices will remain at the current rates of RM2.20 per litre for RON 95 petrol, RM2.50 per litre for RON 97 petrol and RM2.18 per litre for diesel, Lim continued. “A new retail price for petrol will be made before the end of the first week of 2019,” he said.

The weekly fuel price float system was to be reintroduced following the falling prices of fuel prices, with Lim previously saying that updating the fuel prices on a weekly basis would allow consumers to enjoy rapid price changes, in line with similar price changes in world markets.

Lim added that as such, fuel prices were expected to drop tomorrow, and that if the downward trend in world crude oil prices continued, Malaysians would see retail fuel prices lowered every week.

This was met with opposition from PDAM president Datuk Khairul Annuar Abdul Aziz, who said on Friday that dealers had suffered massively from previous changes in the pricing mechanism. He claimed that during the introduction of monthly and weekly floats, retailers lost a total RM61 million and RM30 million respectively.