Malaysia: Floating Fuel Price From 1 September
August 1, 2008 – 10:48 pm by Ivan Chong
Malaysian government will implement floating pump price of petrol like what is practised in Singapore beginning 1 September. This was earlier dismissed by Shahrir who, is the Domestic Trade and Consumer Affairs Minister. Prime Minister Abdullah Ahmad Badawi said that that the pump price would not exceed the current RM2.70 ($0.83) per liter for the rest of this year (2008).
KUALA LUMPUR – Malaysia will next month introduce a new system linking domestic fuel prices to the global market, but will cap prices at their current levels, Prime Minister Abdullah Ahmad Badawi said Friday.
“The government would like to announce that effective September 1, 2008 the retail fuel price will be adjusted according to the monthly average, and the subsidy of RM0.30 (per litre) will be maintained,” Abdullah said in a statement Friday.
“The retail price of fuel will be fixed on the first day of every month.”
An aide to the prime minister said that if global crude oil prices continued to ease, “then pump prices could be adjusted lower in September.”
“The pump price of fuel at the beginning of each month, from September onwards, will reflect the average crude oil prices for the month before,” he told AFP on condition of anonymity.
Malaysia’s annual inflation rate soared to a 26-year high of nearly eight per cent in June due to the rise in fuel costs, echoing a surge in inflation across Asia that has stoked fears of slower regional economic growth.
via AFP
