M'sia to scrap fuel price curbs, use market rate

[Divespyder]

Malaysia will scrap fuel price controls in August and allow pump prices to rise in line with market rates as part of plans to cut the government's burgeoning subsidy bill, the domestic trade minister said on Tuesday.

 

Looks like Malaysian drivers r screwed now http://www.businesstimes.com.sg/sub/latest...,281981,00.html?

[Blackyv]

aiyah, listen first... the outcome can be as surprising as prison break.. every episode got something new....

[Divespyder]

Yah man... everyday chute new pattern..

[Altivo]

hyperlinked!

 

http://www.businesstimes.com.sg/sub/latest...,281981,00.html?

Edited June 3, 2008 by Altivo

[Try_conti]

duplicate

Edited June 3, 2008 by Try_conti

[Darrenlee]

cant open the link leh. can anyone post the story?

[Try_conti]

Try this:

 

http://www.businesstimes.com.sg/mnt/html/b...,281981,00.html?

[Darrenlee]

Still doesn't work for me. Appreciate if you could just post the story instead of trying to find ways to access the link

[Try_conti]

June 3, 2008, 12.08 pm (Singapore time)

Latest update M'sia to scrap fuel price curbs, use market rate

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KUALA LUMPUR - Malaysia will scrap fuel price controls in August and allow pump prices to rise in line with market rates as part of plans to cut the government's burgeoning subsidy bill, the domestic trade minister said on Tuesday. The government will unveil a new fuel subsidy scheme on Wednesday that may lead to higher petrol and diesel prices later in the year

The government will instead use a quota system or cash payments to cushion the impact on a population used to fuel prices that are less than half those in neighbouring Singapore.

'There will be no control prices...by August. So it will depend on global market prices,' Minister Shahrir Samad told reporters.

'You can't have a price increase without giving some form of subsidy to Malaysians.' The government was considering two options as part of an overhaul of its fuel subsidy scheme - offering direct cash or setting quotas, Mr Shahrir said.

The government will provide details of the new fuel subsidy system on Wednesday, he said on Monday.

Fuel prices in Malaysia are among the cheapest in Asia, with petrol selling for just RM1.92 ringgit (US$0.60) a litre, less than half the price in neighbouring Singapore.

Malaysia is a net oil exporter and gains from high oil prices, reaping RM250 million a year in revenue for every US$1 rise in crude prices.

But the government's fuel subsidy bill also has jumped along with skyrocketing crude prices, pushing it to find ways to ease the burden on its finances.

Domestic fuel prices in many developing countries remain capped despite the doubling of oil prices in the last 12 months. Subsidies allow consumers to continue guzzling oil, pushing up world prices.

But this is changing - Indonesia and Taiwan cut fuel subsidies last month and India is also poised to take action.

In Sri Lanka, President Mahinda Rajapaksa proposed floating fuel prices and suspending import of vehicles for one year, local media reported. -- REUTERS

[Darrenlee]

Thanks bro. Another twist to the tale :)

[Hiphiphoray]

Change pattern again.

 

Can somebody hint to them they are embarressing themselves again & again.

[Shull]

hmmm..still cheaper than us leh..coz they got no tax on their petrol..

[Nhrisuzu]

yup.. but the "savings" will be lesser.. maybe those living futher away from the causeway will make lesser trips le ba..

[Shull]

will sinkie land garment abolish the 3/4 rule? since savings are not significant now..

 

 

 

 

 

 

 

i guess not..coz liddat..no tax and sinkie cartels eat grass liao..

[XLR8]

If boleh land sell RM3 as market rate, then quite pointless to go in liao. 1/4 tank at most 20-25 litres? After paying the $2.50 charges in and out only can save miserable $10-15. Pointless.

[Tanjkp]

will sinkie land garment abolish the 3/4 rule? since savings are not significant now..

 

3/4 rule will still apply.

 

Imagine if can drive in up 50km in empty tank can even save more than now though ard RM$15 worth fuel will be used for the journey.

The Sinkapore garman won want to forgo the 40c/L tax earned from the 3/4 tank.

Edited June 3, 2008 by Tanjkp