Petrol dealers want more clarification

The dealers remain unsure whether the ceiling price for fuel is still in place

by AFIQ AZIZ/ pic by TMR FILE

PETROL dealers are still puzzled over changes in the decision of the removal of ceiling price for RON95 and diesel, which was published in the Federal Gazette on June 3.

The dealers remain unsure whether the ceiling price for fuel is still in place.

“Actually, it is not about the automatic pricing mechanism. Nobody can sell other than the government price — which is set weekly.

“There is a large penalty if we sell more than the government’s price, but the minister needs to confirm if the ceiling price is still in place or not,” a petrol station owner, who declined to be named, told The Malaysian Reserve.

Petrol Dealer Association of Malaysia (PDAM), which represents over 3,800 business owners, also expressed its confusion over the matter.

“We are still in the dark. We are not sure what is going on,” PDAM president Datuk Khairul Annuar Abdul Aziz said.

Bumiputera Petrol Dealers Association of Malaysia (Bumipeda) president Datuk Abu Samah Bachik said hundreds of the association’s members are also “at loss” over the Domestic Trade and Consumer Affairs Ministry’s (KPDNHEP) recent statements.

Both PDAM and Bumipeda said they only learned about changes in the gazette through media reports.

Domestic Trade and Consumer Affairs Minister Datuk Alexander Nanta Linggi reiterated in a statement yesterday that the government has not revoked the order on ceiling retail prices of petrol and diesel.

He added that the enforcement of price compliance for the sales of petrol and diesel is under the Supply Control Act 1961, where the enforcement will increase the punishment to petrol dealers who failed to comply with the Act.

He said the Act allows dealers to be fined up to RM5 million instead of a maximum of RM1 million penalty under the Price Control and Anti-Profiteering Act previously.

A check on the ministry’s Facebook page also revealed that the public also sought more clarification on the matter.

“What is the capped price? Any regularity? For example, RM2 per litre for RON95?” a user named Mohd Redha Amir said on KPDNHEP’s official Facebook page.

Another user Mohd Eizudden Alias said: “What people asked was about the ceiling price, not the (mechanism) of the price determination.”

The price ceiling had been introduced by the previous Pakatan Harapan government, which saw the price ceiling set at RM2.08 per litre and diesel at RM2.14 per litre.

The uplifting sparks rumours that Putrajaya wanted to save billions of ringgit in subsidising the fuel price.