Premium grades of petrol have been continuously climbing in price. For the week of March 17 to 23, 2022, RON 97 is priced at RM4 per litre, up from RM3.75 per litre of last week, while RON 95 remains at its capped price of RM2.05 per litre.

Assuming that RON 95 would naturally be priced around RM3.60 per litre (historically it has been around 30 to 40 sen cheaper than RON 97 when uncapped), this means that the government is subsiding RM1.55 for every litre of RON 95 sold, or a whopping 75% on top of what we are currently paying.

Given the continuously rising global oil prices, the Malaysian government pays dearly for subsidising fuel, and the finance minister said last week that the fuel subsidy will be reviewed.

That said, diesel fuels, as with RON 95 petrol, continue to under the current price cap, and the Euro 5 B10 and B20 blends of diesel remain at RM2.15 per litre. Correspondingly, the Euro 5 B7 blend is pegged at RM2.35 per litre, following its price hike at the beginning of this year.

These prices take effect from midnight tonight until Wednesday, 23 March, when the next set of fuel price updates will be announced. This is the 12th edition of the weekly fuel pricing format for 2022, and the 166th in total since the system’s introduction in 2019.