The Malaysian federal government will need more time to decide on the possibility of reducing domestic fuel retail prices, despite the current downward trend in global crude oil prices, the report said. New Straits Times.
Economy Minister Rafizi Ramli said the Malaysian government needs to take into account many factors, including current financial capacity and allocations for economic activities that have an exponential impact.
“This is not just a matter of (the formula for setting prices), but more importantly of the current economic situation,” Rafizi said, noting that with current global crude oil prices hovering between 83 and 83. up to 85 USD/barrel (364 to 373 RM/barrel). ), some have said that crude oil prices have fallen over the past four to five months.
“So when the world crude oil price falls, is it enough if we lower the retail price of fuel? Of course, for those knowledgeable in the oil and gas sector, [they] will question,” Rafizi said, adding that the government would have to study its finances before looking at retail fuel prices.
Rafizi added that the formula for determining the retail fuel price in Malaysia continues to be relevant and should be kept as it takes into account changes in global crude oil prices as well as an appropriate ceiling price for the fuel. .
In June of this year, then finance minister Tengku Datuk Seri Zafrul Abdul Aziz said that fuel subsidies will reach RM30 billion this year, with a forecast made based on the price of Brent oil. Newly appointed last week Prime Minister Datuk Seri Anwar Ibrahim say the government is involved the sets were given two weeks to discuss and analyze targeted subsidies, including fuel.
The ceiling price of RON 95 petrol is RM 2.05/liter, before set by the Malaysian government in February 2021. As of December 1, 2022, retail price of gasoline RON 97 was RM3.85 per liter, or 10 sen from last week, ended a run eight weeks priced at RM 3.95/liter since previous adjustment from RM4 per liter on October 6.
Meanwhile, diesel fuel also continues to remain at the ceiling price of RM 2.15/liter for Euro 5 standard B10 and B20 blend, while Euro 5 B7 . diesel engine continues at RM2.35 per liter.
