Malaysia’s petrol cheapest in Asia Pacific, says Picodi

by AZALEA AZUAR/ pic by BERNAMA

MALAYSIA has the cheapest petrol price in the Asia-Pacific region, said Picodi analysts who noted that one litre of petrol in Malaysia costs US$0.49 (RM2.05).

However, Petrol Dealers Association of Malaysia president Datuk Khairul Annuar Abdul Aziz (picture) said Brunei is the cheapest in the Asean region, while we are ranked just behind them.

“We are among the cheapest because we do not have a tax for it, while most countries put taxes on top of their fuel prices,” he said in a phone conversation.

Khairul Annuar believes that Malaysia’s petrol prices will not get any lower due to crude oil being imported directly from Singapore’s refineries.

He is also positive that although Malaysia’s fuel price is driving inflation, it is not excessive compared to other countries.

“It’s still affordable. Cars are so expensive here, so at least our fuel is affordable,” he said.

On the other hand, Khairul Annuar said the con is that people would be inclined to consume more due to its affordability, which will be detrimental to the environment.

Picodi’s report also stated that Malaysia is ranked fifth when it comes to the ratio of petrol price to the average salary, whereby we can buy 1,707 litres of petrol with one salary.

New Zealand ranked fourth with 1,852 litres, while South Korea is in third place with 1,908 litres. In second place is Japan with 2,006 litres.

Australia topped the list, whereby a single salary can buy 3,783 litres of petrol. Off the charts, however, are Qatar, Kuwait and the United Arab Emirates where a single salary can buy between 4,900 and 6,500 litres of petrol.

“Lower in the ranking are countries like Pakistan, Cambodia and the Philippines. There, the average salary allows for the purchase of not more than 200 litres of petrol, which is only 5% of the Asia-Pacific ranking leaders’ capacity,” the report stated.

In the meantime, Venezuela earned the rank of cheapest petrol price in the world where US$29 would be able to purchase more than 14 billion litres of petrol.