The new weekly fuel price float system – which was supposed to go live today but is now scheduled to start later this week – will see RON 95 petrol prices capped at RM2.20 per litre, even if crude market price pushes the pump price beyond that level. This was revealed by finance minister Lim Guan Eng, reported by The Star.
Lim said the price float system was different from the previous government’s. “People will be paying less when petrol price drops but when it increases, they need not worry as any increase exceeding RM2.20 will be subsidised by the government,” he told reporters in Bukit Gelugor yesterday.
He explained that the implementation of the weekly price float was delayed because of objections from the Petrol Dealers Association of Malaysia (PDAM), adding that prime minister Tun Dr Mahathir Mohamad would hear the group out first before deciding on the prices, which would be announced after a cabinet meeting today.
PDAM president Datuk Khairul Annuar Abdul Aziz stated his case last week. “As dealers, we have no control over the price. Say we buy petrol today, if the government changes the price tomorrow, we have to follow that even if we had bought (the fuel) at a higher price. Unlike other businesses where they can still keep a margin, we can’t, as we are at the mercy of the government. So, let’s say the price goes down every week, we are then hit (with losses) four times a month,” he said.
“So we can’t even buy less stock; our hands are tied. If the reduction is gradual and doesn’t eat up our margin on a daily basis, then it would be okay but the government needs to discuss with us. It’s right that the government wants to give that (lower fuel prices) to the rakyat and we are all for that, but if we continuously sell at a loss, matilah (we will suffer),” he said, adding that the dealer margin is 10 sen per litre for petrol.
This system won’t be for the long run, though – it will only be in place until a fleet card system is introduced for B40 (bottom 40% lower income) Malaysians to buy subsidised RON 95 petrol. This impending end of the current blanket fuel subsidy was announced in Budget 2019, but the mechanism and criteria is yet to be finalised.
Petrol prices have went below Rm2.00 currently. So who is subsidising who right now, Nobita Minister?
When bn put that rm2.20 world stock market is 85usd per barrel…now the price going down 52usd per barrel…we are not interesting with the upper high price later…we want to know what our price current situation with 52usd..how long will we pay rm2.20??then u will apung that price in julai19???what the point is apung if u said rm2.20 is capped rate..where all the 3bil subsidi will go then??
Bila naik dipersalahkan kerajaan. Bila turun kenapa tak puji kerajaan? Ada yg dah turun. Kangkung dulu naik sekarang ni dah turun. Ada yg dah yurun.
Bila ada turun? Kangkung harga pun sudah melonjak tinggi sial.
This is Penipu Harapan
Kanchil hybrid,
Tun said ‘no oppression,u can voice out’as long as non racial comments.
So ,I reckon u r comfortable with kangkung(which is rising in prices).So u continue eating kangkung lor.
But we want to eat better food by being prudent with our money.PH wants to start Protiga…u want to continue eating kangkung,while your taxdollars are used to pay cronies as r & D grants?
the Pakatan govt only sleeps. they never fulfilled their promises!
Never make the rakyat angry!
Bro. Not only Kuat Tidur, but Kuat Tipu!!!!
Well said, John! You have smashed the glass made heart of Pakatan hardcore supporter man, but I agree you words. Lolz.
I’m sorry Mr. minister… But I think petrol price should be capped at RM1.50. If you do know how to do it, please refer Mr. Tony Pua. Or you may find his video on youtube.
Tried and done, only 1mdb videos on youtube.
The power of Murican paid influence in social media, and they complain the Russians were doing the same thing.
Pua, Rafizi, Khalid Samad. All their videos are trending top of Youtube.
I think petrol price should be capped at RM1.50 since 2015 ,
PH government never promised fuel price at Rm 1.50..they promised return of fuel subsidy and targeted fuel subsidy for lower income earners in Buku Harapan. The old Pakatan Rakyat alliance did promise RM1.50, but that was way back in 2013. Get your facts right.
Same wine, different bottle.
Same politicians, same promises, only different name.
Same promises still applies.
I didn’t said the old Pakatan Rakyat alliance did promise RM1.50… I just give a suggestion, which petrol price should be capped at RM1.50. why so upset? LOL :D
Pakatan pipel now so antsy and defensive about those promises their politicians made.
When they cannot fulfill their promises, they taichi. This is PH.
U turn again! What next?
Tax the pipu even more. What else?
Next is Proton sales will decline
Not even launch yet PEROTIGA will surely failed ( F9) . – will surely ask for TONGKAT later on.
Proton aka Geely will never failed as Geely will not allowed it to happen as Geely is a big auto conglomerates with thriving sales every where and their products are highly desirable and sought not only to the younger buyers but also to new buyers.
Tax holiday. When next one?wanna get G20 330i
Proton 2.0.. What next?
Please quit beating around the bush. Just reduce the much overdue fuel price.
“Hidup Guan Eng!!”
“Matilah poket rakyat!!”
Guan Eng selalu ” Flip Flop “. . cakap lain orang Cara salah tapi dia sendiri pun ikut orang Salah punya Cara Dan idealogy pulak.
Adakah dia pandai atau bodoh . Otak Tak ada innovasi tapi mulut putar pulit .
IT seems after seven months of governing, notice that Guan Eng work hard but Not Smart.
He is very petty over small matter but not able to resolve big issues wonderfully
By this he always give flip flop statements.
Is he gone NUTs ?
Stop ******* subsiding fuel prices. Invest the money saved from fuel subsides and put into public transport. A country can survive without cars.
In August 2017, PDAM said that their profit margin for petrol is 12.19 cents per litre. How come now they claim it’s 10 cents.
They have forgotten what they said and now try to down play the margin.
Khairul Annuar Abdul Aziz needs to shut up. What happens when they buy the fuel cheap today and the prices go up tomorrow, they still earn, correct?
I am surrounded by idiots.
This is a disappointing decision. Price is below MYR2/L with crude dipping. Probably when the term is up.. no chicks will hatch.
No worry Minister.. we rakyat learned! We will not take into consider whatever statement you given, until it really happen, and we also will bear in mind that it could be u turn again .. few days after it been implemented!
As Always this circus administration love to show clown skill at any level..
The Netflix generation voted in clowns and jokers into the government because they were entertaining to watch them fall & fail.
Still much better than having a corrupt PM stealing money from the rakyat who says he got a donation from some Arab prince when exposed.
Better to get donation from some Arab prince than to get 22 years of donation from the rakyat! That’s not called donation in English dictionary, that’s called stealing! The rakyat were fooled to elect the Pirate king back!
Yes, until today still cannot put that guy in jail..
Hahahaaaaa…..
Pakatan Hancing!!!
I lost hope.
1) Let each petrol station decide and order their own petrol themselves; and
2) Let each petrol station decide their price of petrol themselves.
Expected, you have a reasons, Rakyat have a decision, I would like you told you Mr. Lim, next election I won’t pick your gang anymore, no chance, no chance and bye bye to yours, hahaha………
if the system won’t be last until the subsidy card system implemented, why bother about floating the price and capping the fuel at rm2.20? unleast you have no plan to implement the subdidy card system any soon.
LGE, please think of M40 as well. We also work hard for the economy but you take away the subsidy one by one. We are all effected as well…..Petrol, electricity, water for selangorian, income tax……
Well the whole group of M40s did vote en block for PH….
The government should be selling the fuel through the dealers and pay the dealers a fixed commission for every litre sold. This way regardless the price they still earn.
Having regret now for putting this Finance Minister into power. The worst kind of Finance Minister…
Who make final decision or final say on fuel price revision? TUN M or Guan Eng?
We know one of Tun M son also own PETRON , Got the picture? Very obvious.
This govern won’t stay long in power, not helping the rakyat but the cronies too. Know to talk only when not in power, now totally different. Start to feel regret on supporting them. Sad sad sad.
Why would PH worry losing your support or even majority of rakyat support? They have 1,000,000 dupes to vote for them when next GE comes. Their leader is a master of this dark art, try to beat that.
Why not have a daily / half-daily float system like what has been done ages ago in Australia/New Zealand?
Sometimes when the price fluctuates above certain threshold during the day, the morning and evening price can be different as well.
Every stations have their own prices and the stations nearer to the port will have cheaper petrol.
I use the Gaspy app to know the latest prices for every stations near me, this way the petrol dealers won’t simply over-charge us because we can compare the prices.
Guan Eng always goes to Australia, please tell him to study and learn how the float system in Australia and New Zealand are working operated without any protest from their pump stations association .
Do you think white man are stupid than Malaysian or the other way round.
LGE cilaka!