Consider setting ceiling price for fuel, says Chieng
SIBU: Sarawak United Peoples’ Party (SUPP) Bukit Assek youth chief Joseph Chieng wants the government to consider setting up a ceiling price for fuel. Speaking in response to this month’s petrol price increase, he said the government should look into the matter to ease the burden of the people as the prices of crude oil are uncertain.
“We have to remember that the price of crude oil per barrel reached its highest at US$ 145 per barrel in July 2008, and as we look at the statistics of petrol prices in Malaysia last year, it was steadily increased every month and this month’s increase is the highest,” he told a press conference at the SUPP Bukit Assek branch office yesterday.
He noted the government cancelled fuel subsidies and adopted the automatic pricing mechanism (APM) in December 2014.
The purpose then was to enable the country to meet global challenges and to provide better assistance to the lower-income group.
“However, I believe the government should look into this matter and consider setting up a ceiling price.
“It means that when the fuel price is below the ceiling price, it can still be decided by APM system and if the price is above the ceiling price, then the government could subsidise,” Chieng said.
He said when the crude oil price increases, the tax by the government would increase also.
“For sure, the government would be able to subsidise the fuel.”
According to Nielson Global Survey of Automotive Demand in 2014, Malaysia was rated the third highest in the world for car ownership, he pointed out, suggesting that Malaysians have no choice but to purchase cars because of insufficient public transport.
The increase in fuel prices would also increase the burden of the people, he added.
“Not only will they need to cope with the increase in the prices of fuel, they also need to pay their car instalments,” he said.
Chieng also called on the government to upgrade the public transport system.
Also at the press conference were the youth wing’s assistant secretary Jimmy Patrick Yiu and committee member Arthur Chieng.