No price control on fuel in August, says Shahrir

[Tohsan]

http://www.nst.com.my/Current_News/NST/Tuesday/NewsBreak/20080603120504/Article/index_html

There will be no price control on petrol and diesel with the implementation of the subsidy mechanism in August this year, Domestic Trade and Consumer Affairs Minister Datuk Shahrir Abdul Samad said today.
He said the government was considering two fuel subsidy mechanisms comprising “cash income†and setting quotas.

The fuel prices in Malaysia would then reflect the global market prices, Shahrir said.

"It will depend on global market prices,†he told reporters after opening the First Malaysian Construction Summit 2008 here.

"We are moving towards inflation where the whole subsidy system needs to be revamped, to be done by August. But what is going to happen tomorrow will be a step towards that. We will do it incrementally because a full subsidy system cannot be done immediately now,†Shahrir said.
"Tomorrow has to be seen and looked as part of the total revamp,†he said.
"You can’t have a price increase without some form of subsidy being given to Malaysians. We are thinking to raise the pump price in the market. At the same time, we have to stop the smuggling and abuse that have been happening,†he added.

Shahrir said the government expects to increase its subsidy of the commodity up to between RM55 billion and RM56 billion this year, depending on the global oil price.

"The oil price keeps going up, so the subsidy payroll also keeps going up,†he said. — BERNAMA

tns! the PM say no increase of petrol price this year, he really talk shit!

 

[devious17]

Hmmmmm.........those raking in RM3k a month with a family of 4 can barely scrape through the month, imagine come August, no more subsidised fuel....................ALL HELL WILL BREAK LOOSE!!

 

[kkho99]

tns! the PM say no increase of petrol price this year, he really talk shit!

now u only know he is shit kah!!... late lohhhhh.......muhhahahahahahhahah

 

[BLaCkHoWLiNG]

well, when u dont vote for them, this is what u get in return...

 

[BLaCkHoWLiNG]

There will be a chain reaction from the fuel price hike as well,not just what u see on the petrol kiosk. All other items prices will hike as well as transportation fees for these items are indirectly affected.

It's funny, they say 'market' price is their target. We are an oil producing country. Market price? How many oil producing countries u c are pumping fuel on prices that's based on 'market' price?

 

[JINEIL2EN]

There will be a chain reaction from the fuel price hike as well,not just what u see on the petrol kiosk. All other items prices will hike as well as transportation fees for these items are indirectly affected.

It's funny, they say 'market' price is their target. We are an oil producing country. Market price? How many oil producing countries u c are pumping fuel on prices that's based on 'market' price?

i'll reply this post.

answer: No!!!

 

[JINEIL2EN]

Hmmmmm.........those raking in RM3k a month with a family of 4 can barely scrape through the month, imagine come August, no more subsidised fuel....................ALL HELL WILL BREAK LOOSE!!

all go buy the motorcycle, then can Rempit at night, rob some1 who driving car which they r rich...thats all...

 

[BlackSamurai]

they need money to buy the most expensive Submarine (IN THE WORLD! Another Malaysia boleh record)

btw, new oil subsidy start tomorrow, not August (Our PM just can't make up his mind or there is another hand controlling this?).
http://thestar.com.my/news/story.asp?file=/2008/6/3/nation/21435625&sec=nation

KUALA LUMPUR: A new fuel subsidy scheme to be announced tomorrow will take immediate effect to prevent further speculation.

Prime Minister Datuk Seri Abdullah Ahmad Badawi said the anti-inflation committee would decide today on the various proposals put forward by the Cabinet.

He was speaking to reporters after chairing the national small-and-medium enterprise development council at Bank Negara here yesterday.

Abdullah was asked to confirm an announcement made by Domestic Trade and Consumer Affairs Minister Datuk Shahrir Abdul Samad that a new fuel subsidy scheme would most probably be implemented in August.

Abdullah said: “He said 'might be'. As far as the subsidy management scheme is concerned, the final decision will be made on Wednesday.

“It was to be decided last Friday but it so happened that many of the ministers (involved) were attending conferences overseas. We wanted all to be present to make the decision.â€

Asked whether the announcement would take effect immediately, he said: “We want it to be effective immediately. If not, there will be a lot of speculation.â€

He, however, did not disclose what the new subsidy scheme would involve.

Earlier at Parliament, Shahrir said any change in the subsidy scheme might result in a rise in petrol and diesel prices.

He said the scheme might be changed in August as stated earlier by Second Finance Minister Tan Sri Nor Mohamed Yakcop.

“It will happen. Petrol price will increase,†he said at the lobby of Dewan Negara yesterday.

However, he said Malaysians would still enjoy subsidies, but it would be given based on need.

On another matter, Abdullah said the Government would set up a special committee to recommend measures to reduce the impact of rising costs and oil prices on small-and-medium enterprises (SMEs).

He said measures to be considered included tax incentives to encourage SMEs to upgrade their machinery and equipment as well as adopt new technology.

Abdullah said the measures were vital to ensure that SMEs were not forced to shut down due to rising oil prices.

He said that more than 286,000 SMEs received assistance through the implementation of 189 key development programmes involving RM4.9bil.

Asked whether the RM1bil special allocation for rural development in Sabah was due to pressure by Sabah Barisan Nasional leaders, he said: “It’s for infrastructure development in rural areas in Sabah. It’s from the Federal Government. It’s part of the consideration we are making at the moment.â€

 

[csl]

i'll reply this post.

answer: No!!!

I don't know about all, but Russia has a lot of oil and their station are selling at our money about +-RM4 per liter. Germany even more expensive (with tax).

If cannot afford to drive because of the fuel price raise to market price, that's mean you are not qualify to drive a car in a real world. Should we continue to dream or wake up and face the world?

 

[satria_95]

well, when u dont vote for them, this is what u get in return...

Actually, I kinda felt like this is what we get, when there are still supporters for BN.

 

[links]

its time to start hedging against the raising fuel cost. Buy shares or options of the oil companies (but definitely not bodohnas). So get the profits from their share/options to neutralize the increasing petrol price.

Most airlines did this to cover some cost of the fuel hike.

 

[JINEIL2EN]

I don't know about all, but Russia has a lot of oil and their station are selling at our money about +-RM4 per liter. Germany even more expensive (with tax).

If cannot afford to drive because of the fuel price raise to market price, that's mean you are not qualify to drive a car in a real world. Should we continue to dream or wake up and face the world?

i dunno most where the most ppl looking into, but i'm not talking about the hike & driving.
as for a businessman, i'm looking more to the buying power.

 

[szekeiemme]

follow world price.. y dont those cars also follow world price.. since our country come out wif fuel n yet still follow world price.. n same goes to national car.. y dont follow world market price?

 

[Barchetta]

now everyone is worried about the fuel hike to rm4 as no more subsidy.. if the announcement said that the fuel price will be adjusted to rm2.50 per liter..i think everyone will be very happy and clap their hand and said thank you..coz it's only 58cents hike!!! isn't?

 

[Tohsan]

Petronas’ profit before taxes, royalties, dividends and export duties totalled RM570 billion from 1974 to 31 March 2007. So, where have all the profits from Petronas gone?