The Malaysian Institute of Economic Research (MIER) anticipates a “mild adjustment” in RON95 subsidy and therefore, the fuel’s retail price in Malaysia, and it expects the price adjustment to be carried out in July or October this year after the impact of the diesel subsidy rationalisation has been assessed, reported Bernama.
The adjustment is expected to be not as steep as that of retail pricing of diesel fuel, which increased by 56%, or RM1.20 from RM2.15 per litre to RM3.35 per litre earlier this week on June 10, said MIER executive director Anthony Dass.
“We need to look at the impact of the diesel subsidy rationalisation, so we probably need to give it a three- to six-month grace period. We need to look at the impact analysis first, and how the people are adjusting. From that, the government can make the next adjustment to the RON 95 (petrol subsidy),” Dass said.
The price adjustment for RON 95 petrol is expected to be carried out “closer to October” as this would give the government more time to look at the impact analysis, he added.
Regarding the contribution of diesel fuel pricing to the consumer price index (CPI) basket, a 1% increase in diesel price leads to an impact of 0.2% upon the CPI basket, which is therefore almost negligible, Dass said. Meanwhile, the contribution of RON 95 petrol pricing to the CPI basket is around 5.5%.
Yesterday, finance minister II Datuk Seri Amir Hamzah Azizan said the government will focus on the implementation of its targeted diesel subsidy programme before it decides to move on to further related matters, when asked about a timeline for a targeted subsidy to be implemented for RON 95 petrol.
The subsidy reform agenda being carried out by the government is aimed at reducing the country’s fiscal deficit so it can reinvest into things that are important, Amir Hamzah said. “Over time, there has been leakage of subsidies caused by smuggling of petroleum products and subsidies enjoyed by sectors who do not deserve them,” he said.
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I told you guys. The moment the brought up the “smuggling” bull crap excuse about RON95 like they did with the diesel, I knew they will increase the price. Otak OKU people are very easy to predict.
No matter which party is the government this will happen anyway. They’re planning for this for a few years even before the pandemic staring from LGE to Zafrul to now DSAI. To bad we are joining other countries as well.
When a basic BMW 3 series needs $100K to run in this country you know the lunatics are running the asylum.
“minyak turun” since zaman-PR
Ask PAS why promised that but
pilot Targeted Fuel in 2022 ?
There is no such thing as subsidy, according to his mentri formula it is all paid for with higher global oil prices. They must give what they promised!
Pakatan Rakyat Leader = Pakatan Harapan Leader
Promises of Pakatan Rakyat for RM1.50/L petrol = Promises of Pakatan Harapan
Stop defending and give us cheap fuel that we voted for!
Very simple. PN or PH seems they got no other choice but to implement targeted fuel subsidy
smuggling is real. not a crap. otak OKU is someone who cannot comprehend easy thing. like increase price and remove subsidy, they think it the same thing.
Smuggling of fuel can be handled by region. Smugglers ain’t gonna drive all the way to KL to buy fuel to transport to boarder cities.
people can accept this subsidy changes if only the gov is serious in eradicating corruption, cronism, abuse of power,etc else all bullshit wayang only….people already fed up with all these lies and smokescreens…
Tangkap bilis saja, jerung lepas jugak
Diesel subsidies ballooned from RM1.4 Billion to Rm14 Billion..in the last 5 years.(latest reports..(pls factcheck)
Did usage increase so drastically among Msians,or just due to MASSIVE UNCONTROLLED smuggling done by syndicates?
So,the easy way out is to float the price,while smuggling now shifts to petrol.
Why is it so difficult to stamp out or minimise smuggling?
How come our southern neighbour doesnt seem to have this problem? Is it due to their border is less porous?
It all boils down to effective,unannounced,sudden enforcements all year round to nab the culprits.
our nbour fuel price are all expensive as per world mkt price without subsidy by their govt….so obviously they dont have smuggling issues
Why is it so difficult to stamp out or minimise smuggling?.
Because they(all the politiicans are all getting a certain percentage lor.
Thats why there is no willingness for any gov to curb the smuggling!!
lapor MACC cepat!
ape tunggu lagi
MACC is in cahoots with PH Govt larr! See how fast they defended Hannah ‘my family is acceptable crony’ Yeoh from the DRT fiasco even before they investigated anything. Last last now they are forced to open an investigation due to public pressure.
The problem is caused by diesel smugglers, and instead of catching them, the rakyat are being punished.
1) The subsidy for the fisher folks is massive, 1.65 against 3.35 on the market. That’s a 50% subsidy. No wonder it’s more lucrative for them to sell diesel than do fishing. I think the government’s approach seems flawed.
2) The 1.20 price increase is too drastic, and subsidies alone cannot eliminate the impact of unsubsidized diesel input, hence prices will move up.
3) The government should have opted for a more measured increase, perhaps over two years, and reduced the categories of recipients for subsidies. The subsidy for RON95 should also be reduced concurrently. This is about biting the bullet, so to speak.
4) A gradual increase in the ceiling prices will allow people to adjust to the reality. Imagine, even at 3.35 per liter, we are still below all other ASEAN countries except Brunei.
5) The public needs to be weaned off the subsidy mentality, and that can be accomplished with a growing economy and low unemployment. We are roughly there now.
Ini kalilah…
All dua kali lima la. Doesn’t matter which government.
So much from formula minister, a remedy for disaster.
Trusting formula man is a formula for disaster
if only the previous you-know-who govts were less corrupt, we wont have to suffer this, when those greedy sickos filled their pockets with $$$, the rakyat suffer.
You mean the previous PH Govt that was elected based on their promise to stamp out corruption were more corrupted? I am shocked!
rakyat kena scam…
I hope gov can show data subsidised 200k diesel vehicles represent how many % of total in malaysia. I can sure the % will be lower than 20% of total diesel vehicles in malaysia
And yet failed to stop prices raise within these few weeks . Another massive hike after ron95 price floated. Ended up satu cawan kopi O panas RM5. Baik sekali PMX. Mesti Sokong kuat kuat! Hidup mana susah kan Ada wang sokong Sara hidup. Sungguh mesra.
Current expiry date of my car us 4 Sept 2024. Can I renew it with extra 10%, ? Who shld i contact? Which insurance company ?
Pls respond with quotation. Insured sum RM14000. Insured screen for RM600
Taking out subsidies. Govt employees bloated. Personal tax is increasing. Pmx ur such arse&^(÷
the smart businessman will now increase price first, while anticipating the ron95 increase. because if you increase AFTER that, you go to jail.
Try to nominate yourself as a candidate for the next GE.
Voice out how u can deal with this fuel subs things.
Rakyat need to hear the solution from you all.
when government plan to stop the petrol subsidies,
are they planning to stop the duty for CBU cars?
Sorry, I am not involved in this matter, even though the headline clearly bears my name. I am absolutely against any opinion supporting a fuel price hike, as it is detrimental to many, and the suggestion of it happening this July really saddens me.
Snuggling is real for sure.Why is the government punishing the entire nation with increase of fuel prices? Given that smuggling is true,is that not the responsibility of the government to curb it? Why do they pass the responsibility to tax payers who have to bear increase in fuel prices? This is just the beginning of a chain reaction where prices across the board will be increased.The governments failure to curb the smuggling is failure on their part and has nothing to do with the normal law abiding citizens
Smugglers will continue to profit.
Gomen will continue fail to control.
Rakyat will continue suffer under PH Gomen.
When will this end?
Govt should encourage people to shift to hybrids or EVs. Should encourage homes to install solar panels. Make public transportation more attractive
Cheapest quoted price to install solar panel system for landed property is about RM20k. Will take you some years to breakeven or feel the savings from selling your electricity from solar to TNB.
Fail policy coming from fail minister who knows how to suck money from the Rakyat.