PETALING JAYA: Since April 1, any vehicle entering Brunei must have fuel tanks that are at least three-quarters full.
This is to prevent anyone from coming in just to refuel in the country, where petrol is the cheapest in the region. The premium (RON97) costs RM1.62 per litre while the regular (RON85) costs RM1.10.
With Malaysia selling its non- subsidised RON95 at RM4.27 per litre at pumps, consumer advocates want Malaysia to follow the Brunei model, to prevent vehicles from neighbouring countries abusing the rules.
In Thailand, the price of petrol is RM6.48 per litre while in Singapore, it is RM10.30.
Consumer Association of Penang (CAP) president Mohideen Abdul Kader said the government should quickly implement a measure like Brunei’s to prevent further losses as fuel subsidy costs have surged sharply.
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“With the subsidy bill rising from RM700mil to RM4bil, it is critical to act now to stem further leakages. Brunei has set the precedent. Why can’t we do the same?” he asked.
Criminologist Datuk P. Sundramoorthy went a step further. He said enforcement must also go beyond the retail level and include tighter scrutiny of the entire fuel supply chain.
“Besides monitoring leakages at retail level, there should also be oversight along the supply chain as there may be far greater losses occurring upstream.
“Any loopholes in enforcement should be identified and addressed,” he said.
Senior fuel industry players share their opinion. They said that the “wrongful” sale of subsidised petrol and diesel at fuel stations was a “drop in the ocean” compared to the major losses occurring at the supply chain stage, where millions of litres are allegedly diverted to clandestine storage points controlled by syndicates.
The sources, who spoke on condition of anonymity, said fuel was often transported from depots under the pretext of being supplied to petrol stations.
“Officially, the shipments are recorded as re-supply deliveries to petrol stations, often without the knowledge of the station owners. These shipments are then diverted to locations controlled by syndicates and the subsidised fuel is sold to various interested parties, including industries.
“It is also smuggled across the border and to international waters for foreign vessels,” the source said.
The Petrol Dealers Association of Malaysia has declined to comment on this claim.
The sources, meanwhile, claim the illegally-acquired fuel is transported in modified and concealed fuel tanks installed in cars and commercial vehicles operated by the syndicates.
The sources added that such diversion of subsidised fuel often involved multiple layers of coordination among different parties within the supply chain.
There have been several recent cases of the exploitation of subsidised fuel.
On April 1, a man was held at a petrol station in Tumpat, Kelantan, for allegedly using the identity cards of four individuals to buy more than 100 litres of RON95 petrol.
A week earlier, a couple was filmed filling over 70 litres of RON95 into containers in their boot at a petrol station in Johor Baru.
Just days after the RON95 subsidy and quota system was implemented in January, another couple in a Thai-registered car were spotted pumping the vehicle with RON95 with the help of a petrol station attendant at Rawang, Selangor.
In a separate case the same month, a petrol station operator was hauled to court after a motorist driving a foreign vehicle with its registration number partially concealed was seen pumping RON95 into his car at Kulai, Johor.
Yesterday, chief government spokesperson Datuk Fahmi Fadzil said in his weekly press conference that the government will soon place police officers at fuel stations near border areas to curb fuel subsidy abuses.
