Fuel pricing formula back to drawing board, remains weekly change for now

KUALA LUMPUR, 21 July 2017: 

The government has yet to decide whether to revise the fuel price mechanism from the weekly to the daily basis, Second Finance Minister Datuk Johari Abdul Ghani said.

He said the revision of the formula proposed by Trade, Cooperatives and Consumerism Minister Datuk Seri Hamzah Zainuddin required more time and a comprehensive study.

“Let’s give the ministry (Trade, Cooperatives and Consumerism Ministry) a bit more time to study how the weekly price mechanism could be changed.

“If it is implemented on a daily basis, it requires a thorough preparation and oil companies need to be prepared.”

Johari said the weekly price adjustment would continue for the time being until a better formula is determined for the benefit of all parties, including the people, as well as oil companies and dealers.

“So far, the weekly price mechanism looks okay, everyone can benefit. At the end of the day, the government does not want to take money from consumers.”

He said that when oil prices dropped, consumers must benefit and likewise, they have to absorb the effect of price hikes.

– Bernama

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